Minister calls for better service from State banks

by L.S. Ananda WEDARAACHCHI

Public Administration and Home Affairs Minister and Deputy Finance Minister Dr. Sarath Amunugama took a swipe at the country's two main State sector banks stressing that it was high time that they came out of the cocoon of inefficiency and lethargy that has been a retarding factor to the economy. "They must release funds on lower interest rates in line with President Mahinda Rajapaksa's thinking", he said.

He said private sector banks earn huge profits due to the inefficiency of the two State banks which shoulder a great responsibility regarding the country's economy and development.

The Minister was addressing a special meeting attended by leaders of the main trade unions of the government service who had put forward a series of their long due unresolved problems.

The Minister, accompanied by all relevant departmental heads, said public banks were merely satisfied with the five percent interest earned by investing in Treasury Bonds.

"They have not taken innovative and progressive steps to uplift the country's economy and help the people. Most of China's infrastructure development projects were funded by the country's public sector organisations donating 20 per cent of their profits", he said.

Trade Union leaders pointed out that government servants do not get loans such as distress loans and housing loans due to the lack of funds. They suggested the re-establishment of Debt Relief Boards which functioned in the 1970s before being abolished by the government.

The Public Administration Minister directed the Secretary, Public Administration Ministry to submit Cabinet papers to solve three of the long due problems related to the government management service during the discussions.

The Sri Lanka Administrative Service (SLAS) promotions will be worked out proportionately - 70 per cent from the SLAS open-exam, 20 per cent from the limited exam and 10 per cent from efficient officers.

The officers who joined the government's Management Assistant Service before July 10, 2007 will be exempted from the Tamil compulsory requirement for their efficiency bar examination. Qualified government officers will also be allowed to sit for the SLAS limited examination five times instead of the two sittings allowed at present.