Sri Lanka has stabilized economy, investments to come now: PM
ECONOMYNEXT – Sri Lanka has stabilized the economy with the help of a program with the International Monetary Fund, and it is now ready to accommodate a flow of investments in to industry, tourism and agriculture, Prime Minister Ranil Wickremesinghe said.
Sri Lanka had a large debt burden, which had to be fixed by improving government revenues he said.
The country also ran into a balance of payments problem, he said.
Now both problems have been fixed.
But for long term growth Sri Lanka had to boost exports he said.
A South West economic corridor with two ports and airports will accommodate large investment in industry information technology and leisure. Industrial parks will be set up in Kalutara and Avissawella. Galle will have leisure.
More industries will be set up from Matara, along with Hambantota and Moneragala.
North East corridor will also be developed with talks ongoing with India, Japan and Singapore to develop the area around Trincomalee.
Colombo will have an ‘offshore financial centre’ as well as projects coming under the Western region megapolis.
Prime Minister Wickremesinghe said next year 2 to 3 billion US dollars in expected.
Sri Lanka’s was de-stabilized in 2015 as the government hiked subsides and state salaries. But the central bank printed money to keep interest rates down, generating a balance of payment crisis.