Hon. Chathuranga Abeysinghe

¶ 01 Hon. Deputy Speaker, there are a few types of people lecturing us on the economy. First, a group that only knows theory and cannot do anything in practice—people who cannot even win a seat. Next, those who pick a few technical economic terms and come here to advise us—businessmen, black marketeers, dealmakers who entered politics and now talk economics. Then a small English-speaking set trying to boost their YouTube income by discussing the economy. They have not learned economics anywhere, but they grab a mic and pronounce on it. These are the three groups that have been talking about our economy all this time. We too are not experts, but we have systematically learned and, within a collective process, built strength and worked.

¶ 02 Hon. Deputy Speaker, let me remind the House. In 2016, the government formed by these “experts” presented a Budget. Now they say, “You lied to gain power; you did nothing.” When that 2016 Budget was presented, those same “experts” who now brief India, misrepresent Sri Lanka in India, and push their narratives, were part of that government—along with the then Prime Minister Ranil Wickremesinghe, a self-styled neoliberal theorist, and businessmen-turned-politicians. There was also an advisory board that effectively handed the entire economy to their friends. They presented the 2016 Budget claiming to fix the economy. I am highlighting this to expose the incompetence of those who accuse us of lying and doing nothing.

¶ 03 That Budget had 500 proposals to develop the economy, allocating Rs. 229 billion. I will cite 25 of those unfulfilled promises—things they failed to do, which we are now delivering, causing them pain. That is the irony of fate.

¶ 04 - They proposed an industrial policy in 2016—never delivered. We are bringing it this year. - They promised a simplified tax system—Sri Lanka still has one of the most complex in the world. - They said they would add technology to tax collection—no POS systems introduced. We are doing it through this Budget. - They spoke of establishing a Public Debt Management framework from 2016—by 2019 they failed. We are now enacting and implementing it. - They promised to restructure SOEs to profitability—by 2024 they were all bankrupt. - They claimed agriculture productivity would rise and Sri Lanka would be self-sufficient in agri-produce by 2018—never happened. - They proposed a gem and jewellery hub—now we are advancing it. - They proposed a national digital ID in 2016—those corrupt and fraudulent rulers failed; we are implementing it. - They proposed to set up an EXIM Bank—failed. - They proposed a National Payment Platform (NPP)—we, under the present government, built GovPay within six months and it is operating. - They proposed the Anti-Dumping and Countervailing Duties framework in 2016—we brought it last week. - They said they would create a land bank—failed, they instead parceled out lands to friends. We are establishing the land bank this year. - They budgeted for tourism branding—never done; hence today’s weak tourism brand. We will launch branding this year. - They proposed MICE to bring USD 3 billion—failed; we are working on it now. - They proposed a Colombo International Financial Centre—could not deliver; all theory, no execution. - They proposed a “Lanka Enterprise Development Bank”—not established; SMEs suffered bankruptcies as a result. - They said they would amend the Bills of Exchange Ordinance—we did it last month. - They proposed labour law changes to enable women to work in the BPO sector—we implemented it within six months of coming to power. - They allocated Rs. 7 billion for pre-schools—no pre-school was established; where did the money go? - They proposed a holding company structure for SOEs—failed to deliver. - They promised KPIs for SOEs—we have given KPIs and signed management agreements in the Ministry of Industries last week. - They promised to strengthen the Commercial High Court to resolve commercial disputes within six months—failed. - They proposed 24 mini-industrial parks—money vanished; nothing delivered. - They proposed a venture capital fund for SMEs—never delivered.

¶ 05 We have been visiting SOEs. When we flagged the corrupt official who destroyed the roofing tile industry, YouTube “experts” said there is no market for tiles. Yet, their own 2016 Budget, Proposal No. 606, promised to eliminate asbestos and uplift the roofing tile industry by 2018. They also promised protectionist policies for domestic apparel and handicraft industries (Proposal 607). When they promise it, there is no criticism; when we act, they attack.

¶ 06 More broken promises: - Foreign reserves to USD 10 billion by end-2016—baseless lie. - Increase tax revenue to 17% of GDP by 2018—by 2018 it was 12.48%. - Agricultural self-sufficiency—unmet. - Gem and jewellery exports to USD 2 billion by 2018—today it is about USD 330 million; we have to rebuild from scratch. - Digital economy/IT-BPO to USD 5 billion—failed.

¶ 07 They presented two Budgets, lectured us, and achieved none of it.

¶ 08 Numbers: - In 2016, they projected revenue at 16.6% of GDP; achieved 12.7%. Under our President’s Budget, we have broken revenue records, collecting Rs. 230 billion in a single month at customs. - They promised to reduce interest rates to 4.4%; by 2018 interest was 5.98%. - They crashed growth from 4.2% to 2.3% by 2018 and laid foundations for bankruptcy.

¶ 09 On the Gambling Regulatory Authority Bill: this is an important regulatory framework. Back then, they allowed online and local betting and gambling without regulation, letting their cohorts gain super-profits, evade taxes, and conduct illicit operations. We are establishing a regulator to frame rules. Let us work together to craft the best regulations.

¶ 10 On foreign reserves “red lights”: last year, Ranil Wickremesinghe claimed he saved reserves by import bans. We, instead, liberalized through the Foreign Exchange Act to allow outward investments by listed companies up to USD 750 million and by unlisted companies up to USD 200 million, and stabilized reserves through market openness, not lockdowns.

¶ 11 We are implementing regulations under the Public Debt Management Act for self-discipline and transparency, ending past misuse where governments borrowed for pet projects. Analysts should read the 2016–2018 Budgets: 500 proposals in 2016 with Rs. 253 billion squandered and no projects implemented; the next year, another 500 proposals and billions allocated—no benefit to the country.

¶ 12 We are guided by a capable Cabinet, a President, advisors, and collective decision-making. To investors and the public: focus on fundamentals—this country is changing.

¶ 13 Hon. Deputy Speaker: Hon. Chathuranga Abeysinghe, your time is up.

¶ 14 Our country is changing economically, socially, and morally. Do not, out of frustration, slander the nation. I conclude.

¶ 15 Thank you.