Competitive private sector vital for growth -World Bank Managing
Director
By Sanjeevi JAYASURIYA
The private sector should play a bigger role in Sri Lanka’s
development, while ensuring sustainable growth through reform, World
Bank, Managing Director, Sri Mulyani Indrawati said.Emphasising the
importance of increasing the role of the private sector in taking up the
growth challenge and helping to make Sri Lanka the Wonder of Asia, she
highlighted the importance of focusing on the macro economy as being the
key to growth.
The significance of bridging regional and income disparities on the
road to a sustainable economy should be supported through consistency
and stability of policies and skills development. It is encouraging to
see increased growth in Sri Lanka, Mulyani Indrawati said.
However, it will be a challenge to sustain the impressive performance
over the medium and long term, reducing inequality within the provinces
and income groups, she said.Continued reform in fiscal policy and the
public sector, leading to a lower budget deficit, lower public debt,
improved efficiency and a conducive environment for a greater role of a
high quality and competitive private sector would help Sri Lanka’s
forward march. Better productivity and the improved quality of human
resources and skill levels are important, she said.
Attracting high quality private sector investment will require
bringing together the right incentives, a good governing structure and
providing a level playing field.
The challenge of productivity could be met through the enhanced
quality of human capital and matching skills, especially in a country
rich in natural resources and diversity, Sri Mulyani Indrawati said.
Foreign capital could be attracted through a credible framework to make
Sri Lanka’s economic potential ‘the pull factor’ given its natural
resources, strategic location and the quality of its people, she said.
“The Mahinda Chantana policy document addresses these challenges and
if the structural issues are resolved, Sri Lanka can unleash the
economy’s potential to its fullest,” the World Bank MD said.
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