Sri Lanka needs immediate reforms to prevent crisis: Finance Minister
ECONOMYENXT – Sri Lanka need immediate economic reforms to prevent a crisis brought about by rising debt, Finance Minister Ravi Karunanayake said.
If the economy goes on without reforms, there may be high unemployment and falling income, he told parliament presenting a budget for 2016.
Karunanayake said the ousted Rajapaksa administration had borrowed heavily.
The country was heading for economic sanctions and when the new administration took over Karunanayake said.
The last administration had built infrastructure but some of the investments were made without proper planning and were not generating returns he said.
The current administration has long term strategy to boost economy based on knowledge, expanding economic freedom, widening freehold land ownership and boosting the estate and rural economy.
He said in 1977, the United National Party had unshackled the economy, ended dual exchange rates, privatized state enterprises and generated employment and growth.
Agriculture has to be developed to be able to export, he said.