NCCSL welcomes budget

The National Chamber of Commerce of Sri Lanka (NCCSL) said that the budget 2010 is a transitional budget where a revenue and expenditure structure is laid down for a medium policy framework.

The Government intends to reduce the budget deficit and the public debt as a percentage of the GDP which is welcome. The Government has also indicated its programs in continuing infrastructure development projects with increased allocations.

Emphasis has been given to infrastructure development of the entire country including the rural sector. The Government emphasised on SME development with comprehensive policy measures. We also welcome Government initiatives on public-private sector co-operation in investment on development projects. Continuous support to the agriculture sector is encouraging. Preparation of the plantation sector strategy and national transport policy are also welcome.

However, although the Government has given positive proposals for economic development, NCCSL observed some weak areas in implementation and monitoring in the past at different levels. Our revenue and expenditure structure is such that we do not have much space to absorb adverse effects or external shocks. Hence it is important for the Government to have a mechanism at various levels in the administration to ensure the effective implementation of plans and strategies to achieve the stated quantitative objectives.