The Hon. Rohana Bandara

¶ 01 Mr. Presiding Member, many views were expressed. Regarding “Saubhagya” banks: due to legal gaps they have commenced operations. Abruptly shutting them down could trigger panic withdrawals and a crisis that the Government would have to address, harming depositors. We saw what happened with Ceylinco Grameen. Therefore, we must act prudently and manage this carefully.

¶ 02 In places like Galenbindunuwewa (Anuradhapura), when no co-operative existed, people fell victim to pyramid schemes. Provincial Councils, via the Registrar of Co-operatives, can provide some supervision. High promised interest often lures rural people into such schemes; co-operative banking should be expanded to meet needs safely. Note how companies like Amul and Fonterra grew from co-operative roots to global stature.

¶ 03 To the Minister: Anuradhapura significantly contributes to finger millet (kurakkan). If we form producer co-operatives—starting in North Central Province—we can stabilize prices through organized marketing.

¶ 04 [Intervention by the Hon. Wasantha Samarasinghe]

¶ 05 We are forming 1,000 producer co-operatives this year, including for kurakkan in districts like Anuradhapura and Ampara.

¶ 06 [Hon. Rohana Bandara continues]

¶ 07 Thank you, Minister. That is the right approach.

¶ 08 [Intervention by the Hon. Wasantha Samarasinghe]

¶ 09 Also note: some so-called “banks” lend at 20 cents daily interest, 6% monthly, 72% annually for businesses, and even 360% under “other” headings, destabilizing the financial market. We are taking firm steps to curb such expansion.

¶ 10 [Hon. Rohana Bandara continues]

¶ 11 We, especially in North Central Province and Anuradhapura, face pressure from depositors. Handle this delicately. Another issue: staffing. The Co-operative Employees Commission’s scales are too low to attract staff; please raise them and streamline approvals. The Rs. 5,000 ceiling on petty purchases is outdated—even a calculator costs more now. Reinstate practical limits. Also, re-establish district-level co-operative training institutions—Polgolla once served this need. The proposed co-operative pension scheme has failed to pay reliably; this must be fixed. Nepotism and conflicts of interest—husband and wife in the same society, cliques capturing societies—need attention. Auditing is weak; many societies cannot afford chartered auditors. State-facilitated audits would greatly help.

¶ 12 Let us pilot a comprehensive strengthening in Anuradhapura—organizing kurakkan and vegetable producers, ensuring marketing so farmers are not compelled to sell to black marketers. With proper State-backed co-operatives, we can uplift farmers.

¶ 13 Thank you.