Wide development spectrum envisaged

750 public proposals mooted in Budget 2007

by Lionel Yodhasinghe

The Government in its second budget has allocated the highest ever provision, over Rs.730 billion for the infrastructural development in the country. This is nearly 55 percent of the Government total expenditure and the quantum could be the largest allocation for infrastructural development in the history, said Deputy Finance Minister Ranjith Siyambalapitiya.

Prior proposals to the next budget made by a cross section of the society including entrepreneurs and professionals have been given serious consideration to prepare allocations in the budget 2007, Minster Siyambalapitiya told the Sunday Observer.

"President Mahinda Rajapaksa, in his capacity as Finance Minister has considered many of over 750 proposals received, and made allocations to implement them successfully during the next year for the benefit of the respective parties, the majority of the society", Minister Siyambalapitiya said.

He said that the President was well aware of the economic difficulties of the common man, and has not reduced any welfare or subsidy. "Nor he hopes to impose new consumer taxes but presents a consumer friendly budget instead to promote better people's aspirations," the Minister said.

Having listened to the country's entrepreneurs' voice, a major portion of budget has been allocated to accelerate infrastructure development in the rural areas to enable local and foreign investors to move their industries to the periphery to generate employment to the rural masses.

This would be a solution to the rural unemployment, industrial congestion and other related problems in the city. Through rural development, the Government also expects the rural sector to improve its productivity and contribute immensely to the country's GDP, he said. He said the unemployment rate also decreased dramatically to 6.3 percent compared to the 8 percent in the past year.

Measures have also been taken to promote the manufacturing sector in the country and provisions have been given to encourage the farming community to embark on agro industries and value added products.

This drive will attract market forces to the local sector to increase income of the rural community.The minister said the benefits of the global fuel slash would also be passed on to the common man to control the present cost-of-living.

President Rajapaksa will present the second Budget in Parliament on November 16.

[email protected]