Focus on long-term lending

Making Lanka an emerging economy:

Indunil Hewage

The banks in Sri Lanka need to focus on long-term lending in the future while becoming development banks to make Sri Lanka an emerging economy in the world. Addressing the Post Budget Seminar held yesterday Treasury Secretary Dr P B Jayasundara said 2011 budget has paid much attention to hyper incentive activities in the country covering the productive youth workforce to a range of diversified aspects in the society.

The fiscal deficit has also been managed to tolerable level for the benefit of the people. Corporate and personal income taxes have also been reduced giving so much relief to the people in the country while bringing in competent transparent fiscal policies.

“The Government has dropped the debt tax. Capital market is low in the country and it needs to be improved to acquire every equity in this market for the benefit for the people in the country. The 2011 budget has also promoted the research activities in the public and private sector institutions in the diversified economic aspects,” he said.

“Sri Lanka will be able to become a promising economy in the region as the country is recording a five to six percent inflation while having a remarkable eight percent economic growth. Poverty has also come down and the country is also targeting to curtail it to five percent in five years,” Jayasundara said.