Priorities for the in-coming President: Business viewpoint

by Chandani Jayatilleke

Leading representatives of the Chambers and a few other sectors say that they expect the President elect to focus on three areas as his priorities. The areas include the resumption of peace negotiations, the implementation of mega infrastructure projects in sectors such as energy and express ways and the development of the agricultural sector as a large contributor to the GDP.

They said however, the most important task of the new President should be to bring in a sustainable solution to the ethnic issue with the support of all political parties and to lead the country to achieve a higher economic growth, while containing the inflation rate and maintaining the law and order of the country.

Another area that they noted with emphasis is to develop the roadwork network and the proposed express highways, such as the Southern Express Highway, the Katunayake Express Highway, and the Kandy-Colombo Express Highway.

Following are excerpts of the interviews:

President, Ceylon Chamber of Commerce, Deva Rodrigo said the most important task of the new president is to consolidate the Ceasefire Agreement and re-open the peace negotiations to arrive at a sustainable solution to ethnic issue. This need still remains the number one priority of this country.

The priorities that the new President should address include restoring political stability, speedy development of infrastructure, maintain law and order, introduction of education reforms to permit private sector participation at school and university levels of the education stream, and create job opportunities for which a rapid economic growth will have to be achieved.

This would in turn require a higher level of savings and investment. The investment target should be 40% of GDP. Without foreign direct investment, such levels of economic growth and employment creation cannot be achieved.

Hence there is great importance attached to developing investor confidence and creating an environment conducive to investment and to make the work force and institutions efficient and productive. This is critical towards this effort.

The most important development projects that we propose include the construction of the road network from Colombo to the south, to Kandy and at least to Negombo including Colombo-Katunayake express way together with the setting up of low cost power generation plants to meet the rising energy demand in the country.

President National Chamber of Commerce of Sri Lanka (NCCSL), Nirmali Samaratunga said the NCCSL believes the priority of the new President on assuming office would be, to get the major political parties together and work towards reaching a political consensus on key issues facing the country, particularly the peace process.

Recommencing of peace negotiations and taking the peace process forward with wider representation from the relevant sections of society, with a view to bringing about a lasting solution, is fundamental for the future of the country. Other issues relating to socio-economic development, such as foreign direct investment needed for economic growth, could be expected to significantly improve only after this pressing matter has been addressed.

Of the many issues that require urgent attention, the following should be priorities: Law and order - the enforcement and maintaining of law and order with no political interference with the law enforcement authorities; economic policy - economically, to continue with the outward economic policies, aiming for a economic growth rate of 7% - 8% within the next five years, and to create a conducive environment that will encourage foreign direct investment essential for economic growth.

Such a conducive environment is also necessary for businesses to grow and gain a competitive advantage in the global market place; infrastructure - strengthening the country's infrastructure also goes hand in hand with bringing in more foreign investment, as this is a key concern of investors.

Therefore this should be a priority; reduction in cost of living - steps to reduce cost of living and work towards an acceptable standard of living for all sections of the society, requires immediate attention; energy crisis - another priority would be to immediately address the power crisis in the country, which is seriously affecting Sri Lanka's ability to compete globally due to high cost of production, as well as being a tremendous drain on the country's finances.

Some of the important development projects include; energy - power generation through commissioning of the two main power projects, as well as undertaking other renewable energy projects. This will address the above mentioned issue of the power crisis and the need to improve the country's competitiveness.

Also need to develop an electricity supply throughout the country; infrastructure - immediately improving the road network and undertaking the proposed express highways - i.e. The Southern Express Highway, the Katunayake Express Highway, and the Kandy-Colombo Express Highway.

President, National Chamber of Exporters, Kingsley Bernard said the new president's priority should be to recommence the peace negotiations and work towards bringing a lasting solution to the ethnic issue. This has to be a genuine effort and he should get the support of all other political parties in this process.

As far as the economy is concerned the new President should take immediate measures to bring down and maintain the inflation rate and ensure that the very poor in the country can also live a reasonable life.

Sri Lanka is in dire need of new projects in the energy sector. We need to get the Norochcholai power project realised as soon as possible. If we do not get the power projects in place, the country will not have any electricity to meet the growing demand.

Vice Chancellor, Uva-Wellassa University, Chandra Embuldeniya said that both candidates have pledged to develop the agriculture sector in numerous ways. "What I suggest is to create a 'value addition concept' in the agriculture sector, in order to increase its contributions towards the GDP. At present, the contributions from the agriculture sector to the GDP is not that significant, although there is a great potential to increase its contributions to the GDP.

He said a lot of food and agricultural produce are consumed without entering the market place, hence this is not counted in the GDP. Both leaders have chosen agriculture as a priority area. But the priority of the new President in this sector should be to find out ways and means to add high value to the agriculture produce.

For example, rice can be promoted as a high value product like wheat. We have been using rice as our staple meal. But like wheat, rice can also be developed in various other uses. Likewise there are several other field crops we could develop for different purposes. However, we need to introduce a lot of modern technologies to achieve this success. Therefore the next leader should understand the 'value added concept' and he should also have a clear strategy to achieve this success. And more investments and new technologies are very important for this.

Secondly, we need to develop the industrial sector with special emphasis on the SME sector. The SME Bank which was set up with the objective of funding good project ideas, had not harnessed the required results. Therefore, we need to fulfil this need. SME sector has a great potential to create jobs and contribute much to the GDP.

We also need to develop at least 10 multi-national companies of Sri Lankan origin. Although the top Sri Lankan companies have been doing well in various business lines, they have not grown to be multi nationals. It's time that we go global. India, Malaysia, Indonesia and Singapore have done this. The next President should take steps to promote this idea in the country, which is an easy way to create more jobs.

I expect this concept to create up to 50,000 jobs a year, and about 500,000 jobs in three to five years.

Nihal Perera, travel trade representative said that the most important duty of the President elect should be focused on how best Sri Lanka can continue with maintaining the peace process, with a solution acceptable to all Sri Lankans.

The best option may be working on a federal constitution, which would only be given after a referendum and such constitution being approved in Parliament by a 2/3 majority. If this is successful economic and social aspects will automatically fall in place and the country can go forward.

The priorities for any elected President should be working for the benefit of all, specific policies to uplift the agricultural sector, road development, power, transportation, aviation, tourism, the apparel industry, small and medium industries and giving special assistance to all tsunami victims for resettlement. Also a special place for the ageing population. Whoever is elected President, the aims and aspirations of all Sri Lankans to have a better way of life should be the main objectives.

Nawaz Rajabdeen, President, Federation of Chambers of Commerce and Industries of Sri Lanka (FCCISL) said when a new president is elected, all parties should be summoned including those in the North and East along with leading business leaders, professional bodies to work out an acceptable formula to all communities to co-exist with dignity and self respect, while the ceasefire continues to be in place.

The identity of all communities should be 'Sri Lankans" and peace should be negotiated with strength and not with weakness. While the peace process is on, immediate development plans should be formulated with private sector participation at the district level, and should be worked out immediately in agro based industry and animal husbandry. This will kick off the development process, the Government should facilitate in setting up these projects.

There should be more job opportunities with accelerated development projects. In order to create more jobs opportunities, enterprise and industrial development should be facilitated. Agriculture sector, animal husbandry and agro processing must be given priority to uplift the rural poor.

All members of Parliament and Provincial Councillors should be confined to their own electorate in the development process and should be compensated for their contribution. A team of advisors should be formed (not politicians) to work out a development plan for five years in all the electorates with private sector participation.

Top priorities should be given to the power sector, transport - both road and rail should be very efficient, productive and profitable. National policies for education, labour, industries, economy and privatisation must be worked out in the interest of the country.