A modern economy with people as its focus
Prime Minister Ranil Wickremesinghe attended the World Economic
Forum’s Annual Meeting in Davos, Switzerland, last week.

PIC: GETTY IMAGES |
Below is his address delivered at the Forum:
A new era has dawned in Sri Lanka. Peace has been consolidated after
a bloody 30-year civil conflict. The country’s 67-year- old democracy
has been reinforced after a dramatic, peaceful and people-led political
transition in January 2015.
We’re prioritising business-friendly policies so that we can take
advantage of today’s peace to build a thriving economy.
Sri Lanka is strategically placed to benefit from a changing global
marketplace. We are equidistant between Europe and Far East on the major
East-West shipping lanes. We have easy access to lucrative Middle
Eastern markets and rising African markets, while the growth engine that
is India lies just 20 miles away. The latter will play an increasingly
important role as we broaden the Indo-Sri Lanka Free Trade Agreement.
I see Sri Lanka’s economic future as a services hub; a niche
manufacturing destination to produce goods which plug into regional and
global value chains, particularly light engineering; and a location for
high-value agricultural products such as fruits, vegetables and dairy,
both to service the rapidly growing tourism sector and for exports,
especially, to the Middle Eastern and Indian markets.
To take advantage of these opportunities, we need to tackle two major
social challenges. First, we need to promote reconciliation,
rehabilitation and reconstruction in the areas afflicted by the recent
conflict. Second, we need to bolster Sri Lanka’s democracy, which we’re
achieving by, among other things, reasserting the independence of the
judiciary, combating bribery with the UN Convention against Corruption (UNCAC)
and allowing a free and vibrant press to flourish.
This will create the right context for economic development. It is my
intention to fast-track reform and accelerate our growth to meet the
rising aspirations of Sri Lanka’s well-educated people.My vision is for
the private sector to be the engine of growth, with exports and Foreign
Direct Investment (FDI) playing vital roles. We are making a concerted
effort to improve investment policies, the ease of doing business, trade
policy and trade facilitation.
A new vision
A tangible example of what we are working towards is the Western
Province Megapolis Project. This development will cover several cities
in the area around Colombo, our capital, in the South West of the
country. There will be a financial district, as well as zones dedicated
to logistics, industry, IT and entertainment.
By 2030, the project area is expected to have a population of 8.5
million people and per capita income of US$ 30,000 (compared with
today’s national per capita income of US$3,800).
There will be a major role for the private sector as well as
public/private partnerships in implementing this project in particular,
as well as laying the groundwork for the future of economy in general. I
see industrialization and urbanization as key drivers of modernization.
We will create 45 new industrial parks around the country which will
be developed and managed by the private sector. Five second-tier cities
will also be developed, as part of our program to promote urbanization
through Sri Lanka’s regions.
A modern economy is nothing without its people. Sri Lanka is
upgrading education, training and skills to create the human resource
base which supports a competitive and rapidly modernizing economy.
By forming the right policies to support Small and Medium-sized
Enterprises (SMEs) and agriculture we wish to see Sri Lanka’s new
prosperity shared among its people, in line with the newly agreed
sustainable development goals.
Finally, let me address Sri Lanka’s role in today’s world. Sri Lanka
is also well placed to play a constructive role in addressing the
pressing international issues of the day, such as terrorism, climate
change, migration and strengthening democratic values.
Sri Lanka’s cultural traditions are such that respect for the
environment is embedded in the psyche of our people. This creates a
groundswell of public opinion in favour of sustainable development.
In the wake of the Paris Climate Conference, I would like to point
out that Sri Lanka is committed to achieving 20% renewable energy usage
by 2030, over and above the current 35% of hydropower.
Environmental sustainability is central to the country’s development
plans. At the same time, Sri Lanka is ready to be a constructive partner
in global climate negotiations.
Sri Lanka has also had direct experience with various aspects of
international migration. Between 1.5 mn and 2mn Sri Lankans (7.5% -10%
of the population) work as temporary migrants and the country has
considerable experience in dealing with both the opportunities and
challenges associated with it. Sri Lanka has also had exposure to the
problems of asylum-seekers and economic migrants during the conflict. It
is well placed to share lessons learnt in international fora.
The upcoming World Economic Forum 2016 in Davos in late January
afforded me the opportunity to showcase these landmark changes in Sri
Lanka. Our message to all is that in an international environment that
is insecure and volatile, Sri Lanka has peace, has consolidated
democracy and revived the economy. It now stands ready for takeoff and
to play its full role as a responsible member of the global community of
nations. |