Per capita GDP over
US$ 2000 :
Sri Lanka records healthy economic growth
Ramani KANGARAARACHCHI
Sri Lanka has become a middle income country with a per-capita GDP of
over US $ 2000 recording a healthy economic growth of more than 5
percent in recent years according to the Sri Lanka Labour and Social
Trends Report 2009 launched yesterday at the Hotel Intercontinental.
|
ILO Colombo Director Tine Stermose receives a copy of the Labour
and Social Trends in Sri Lanka Report from Labour Relations and
Manpower Minister Atauda Seneviratne. Central Bank Governor
Ajith Nivard Cabraal looks on. Picture by Sumanachandra
Ariyawansa. |
The Report has been compiled by the Central Bank, Department of
Census and Statistics and the Ministry of Labour Relations and Manpower.
Elaborating on the Report on emerging opportunities for growth and
development in a post conflict era, Economist, Steven Kapsos said that
the prospects are clearly improving to increase Sri Lanka’s
competitiveness in the global economy.
He said that the current competitiveness ranking places Sri Lanka at
79 out of 133 countries, breaking away from neighbouring countries such
as Bangladesh and Pakistan.
The policy needs to harness Sri Lanka’s highly educated, healthy and
innovative workforce to exploit new opportunities in the post war
period, he said.
The Report said that a dialogue needs to be started as to where to
invest the country’s peace dividend. Defence spending is likely to fall
over time.
If it were to decline in line to what neighbouring countries such as
Thailand and Indonesia spent and even if half of the savings were used
to reduce the Government budget deficit, the balance funds would be
sufficient to boost spending on education by 40 percent or to increase
health expenditure by 55 percent or to increase spending on agriculture
and irrigation by 70 percent.
There is a need to identify productive investments that could boost
agricultural productivity and improve the situation of the rural poor,
it said.
ILO Colombo, Director Tine Staermose said that the Report aims at
presenting an overview of major trends in labour and social conditions
in Sri Lanka, while drawing attention to key policy challenges.
It brings together comprehensive and up-to-date economic and labour
market information and includes a detailed analysis of the key trends
driving economic growth and labour market outcomes.
She said that it is significant in Sri Lanka that there is so much
good economic data available.
This means that there is a lot of potential for analytical research.
The Report identifies a number of key policy issues including labour
market policies employment opportunities by opening new markets for Sri
Lanka’s exports and investments, marketable skills development and
social protection.
Stermose said that the Report will be useful for policy makers,
researchers and others in the country and become a part of the toolkit
for the many planning departments at a time when major infrastructure
projects are taking place in the reconstruction of the Northern part of
the country, where the population can reap the benefit of the employment
opportunities that come with it. |
