Income distribution happening well

Governor says Government needs to be e-friendly:

Indunil HEWAGE

Certain key economic activities have been shifted to other Provinces without being confined to the Western Province indicating improved macro economic management in the nation.

Certain key economic activities have been shifted to other provinces more than ever before. During the last five years Western Province’s contribution to the Gross Domestic Product (GDP) was 52 percent and remaining eight provinces managed to contribute only 48 percent to the GDP during the same period. These numbers are changing rapidly since last year, Central Bank Governor Ajith Nivard Cabraal said.

Addressing a seminar on Budget proposals 2011 he said the Western Province’s contribution to the GDP has come down to 42 percent during the last year indicating the improved macro economic management in the nation.

Income distribution is also happening well in the country, poorer people are getting rich and rich people are also showing financial capabilities more than ever before.

The Governor said the country should not only target over US $ 4,000 per capita income but aim to elevate poverty goals and other key economic and social indexes to gain higher per capita income targets.

“The Government also needs to be e-friendly using IT tools by facilitating citizens to pay taxes, EPF and other prominent economic activities as e-approvals are happening around the world rapidly,” he said. Private sector borrowing processes have been relaxed by the Government allowing private sector to borrow from outside to establish their ventures locally and internationally.

“Private sector industrialists are also entitled to invest abroad. These outbound local investments would generate higher returns, increase venture capacity and assets accommodation for the country,” the Governor said.