Raise investments to 33% of GDP - Dr PBJ:

Outlines key economic outcomes expected beyond 2011

Key economic outcomes expected beyond 2011 includes raising investment as a ratio of GDP to beyond 33% to sustain an annual GDP growth of 8%, Secretary to both Finance, Planning and Economic Development Ministries Dr P B Jayasundera said on Tuesday night.

Addressing a presentation titled Sri Lanka beyond 2011: Policy changes, reforms and modernization since the Budget 2011 to the Joint Apparel Association Forum (JAAF) at the Trans Asia Hotel, he said some priorities are shifting Sri Lanka to become a US $ 5,000 per capita income economy, further reduction of poverty, reducing unemployment and inflation towards 5% and realizing Foreign Direct Investment to be over 2% of GDP each year, from 2011 onwards.

He said that among the key outcomes expected was to build greater public-private cooperation in placing Sri Lanka as The emerging wonder of Asia by positioning the key activities as global businesses in apparel, tourism, tea, information technology, professional services, port and shipping and research and technology based high value industries.

He said that development priorities are value added exports - tea, rubber products, cinnamon and spices, mineral and non renewable resources the reduction of primary commodity exports - still in excess of US $ 1,200 million and the tea industry - to become a US $ 2.5 billion business.

Other priorities are rubber and cinnamon are also to be developed to be US $ 1 billion industries, the apparel industry to be a hub providing logistical support, shopping facilities for manufacturers of branded products and create an up-market focus and making it a US $ 5 billion industry, the IT/BPO industry to be consolidated as a US $ 1 billion industry, machinery and equipment to be manufactured for aviation, shipping, power generation and variety and quality improvements to be done in fruits and vegetables.