Service Sector contributes immensely to country’s foreign exchange income - Prof. G.L. Peiris

Export Development and International Trade Minister Prof. G.L. Peiris said the Service Sector had contributed a large amount of foreign exchange to the country’s export earnings. During the last year alone this sector earned a total of US$ 2800 million which was second only to the US$ 3200 million earned through the export of garments.

Prof. Peiris was speaking at a workshop held at Reef Garden Hotel, Polhena, Matara for officials of the People’s Bank branches in the Galle, Matara and Hambantota districts on the Apara Loan Scheme launched by the Sri Lanka Export Credit Insurance Corporation (SLECIC). Under this Scheme, basic expenses such as air fare, visa fees, medical test charges etc. of people travelling abroad for employment are provided.

Calling the Apara Scheme a national effort catering to a focal need in the country, Prof. Peiris said it tended to help solve a variety of complex problems faced by a segment of people who makes a direct and important contribution to the national economy.

He said that up to now the country had been striving to export as many goods as possible in order to earn valuable foreign exchange but today the service sector throught the export of skills and labour have become a predominant foreign exchange earner.

Unprecedented numbers of Sri Lankans have gone abroad for employment and the money they earn in those countries under trying circumstances have become an important integral part of the Sri Lankan economy.

Prof. Peiris said the efforts of these Sri Lankans have to be appreciated in many ways and the Government in particular is obliged to support such people to the fullest.

The Apara Loan Scheme had been initiated through the Sri Lanka Export Credit Insurance Corporation consequent to such thinking and five financial institutions including the People’s Bank had become partners in this programme at ground level thus becoming stakeholders of a great national endeavour.

Explaining the details of operation of the Scheme, Prof. Peiris said that the people were provided with the necessary funds through the afore-mentioned banks though the loans are wholly guaranteed by the SLECIC as a Government institution.

Offering statistics, Prof. Peiris said that during the whole of 2007, the People’s Bank alone had disbursed a sum of Rs. 23 million while up to May, 2008 it had provided loans up to Rs. 21 million.

He hoped that in 2008 the total disbursements could more than doubled compared with last year. While all banks had attended to the loan requests of 490 people during 2007, within the first five months of this year, the total of such people had climbed up to 950.

Admitting that the banks should never waver from the objective of seeking a profit, Prof. Peiris said that a more accommodating attitude must prevail when it deals specially with people who seek to travel abroad with the intention of earning money for self and country.

Prof. Peiris said the Apara Scheme was a continuously evolving programme that took into account the changing conditions and he hoped that the banks too would be alive to these realities.

Among the other speakers at the Workshop were, C.A.N. Perera, Chairman, SLECIC, W.D. Dayananda, Assistant General Manager, People’s Bank, Dilruk Ranasinghe, General Manager, SLECIC, Nandani Edirimanne, Coordinating Officer, Apara Scheme and Sugath Kadugammulla, Chief Manager, Foreign Branch, Asha Piyatilleka, Creative Manager, A. Siripala, Deputy General Manager, Southern Province and Y.V.A. Piyasena, People’s Bank Galle Assistant Regonal Manager Galle.