PARLIAMENT

Budget 2012:

‘UNP has failed to put forward constructive criticism’

Sandasen Marasinghe, Irangika Range and Disna Mudalige

Speaker Chamal Rajapaksa presided when Parliament met at 9.30 am yesterday. After presentation of papers and oral questions, the House took up the first alloted day of debate of the second reading of the Appropriation Bill 2012.

International Monetary Co-operation Senior Minister Dr. Sarath Amunugama.

The UNP failed in forwarding constructive criticism of the 2012 budget. The UNP is always living in a dream world. When the government is developing the country, the UNP is still unable to come up with solutions for the growth of the economy. The UNP has no courage to forward economic suggestions. It has no unity within the party. The government has a responsibility to develop the economy. All possible steps for the growth of the economy will be taken.

We have recorded the highest economic growth rate for the last five to six years. The economic growth rate was 8 percent in 2010, while an 8.4 percent growth rate in economy was reported upto this year. Our main objective of the budget is to create a conducive environment for continuing the increased economic growth rate further, to develop the country. Year by year, the country is developing fastly after President Mahinda Rajapaksa took over the government.

A massive development project is taking place in urban and village levels.

Every household will be supplied with electricity and drinking water facilities. The government has allocated sufficient funds to carry out further development activities, while providing relief to the common masses through this budget.

Now the people have no confidence in the UNP. They have already been rejected from society. The SME sector has been given priority through this budget while giving many concessions to uplift their livelihoods.

It is remarkable that the unemployment rate has come down to 5 percent. This is a development oriented budget which has given a balanced approach to all sectors of the economy.

Ravi Karunanayake (UNP): President Mahinda Rajapaksa yesterday presented his 7th budget in Parliament. It is not a people-friendly budget and we, the Opposition are going to prove it.

When the President presented the budget in his capacity as Finance Minister, the people expect relief. They expect the President would take measures to uplift the economy. The economy of entire Europe has collapsed. The economy of America has collapsed.

The economy of St Kitts Island where the Commonwealth games bid was held has collapsed. So, how could President Mahinda Rajapaksa say our economy has not collapsed when the economy of the rest of the world has collapsed?

This budget had not provided any relief to the fisheries industry. This budget has also some positive proposals. We appreciate them. But we identify that this budget had been drafted to fulfill the needs of the IMF. You try to camouflage the real economy of this country.

Sunil Handunnetti (DNA):

This budget had not thought of the ordinary masses in the country. It has deceived the people’s expectations. Eventhough the government said that a salary hike of Rs 2,500 would be granted, only a very meagre salary hike had been given to them. When calculating 10 percent from the basic salary, it is seen that the salary hike granted is insignificantly low.

Yesterday’s budget speech was a repeat of last year’s budget speech. It was full of lies. Most of the budget proposals will not be implemented practically. It has proposed various relief to expatriate workers. However, when a person goes to the airport to travel oversees for employment, the person is severely taxed at the airport.

The price of essential goods such as oil and gas have been increased even before the budget.

Some members of the government commented yesterday that an all inclusive budget had been presented this year. This is far from the truth.

Farmers are unable to bear the present prices of seeds and agro chemicals. What relief has been granted to them from these budget proposals ? No proposal has been mentioned to solve their problems and difficulties.

Education Minister Bandula Gunawardena: This was the 7th budget presented by President Mahinda Rajapaksa. There had been a number of finance ministers in the post independent Sri Lanka. But President Rajapaksa had to face critical challenges during his period unlike any other Finance Minister.

He assumed duties soon after the Tsunami destruction and the country was in the height of the conflict generated by LTTE terrorism.

The oil, food and economic crises is raging in the world. President Rajapaksa had been successful in winning all these challenges.

He is a far sighted and brave leader who had earned international recognition.

The government has to manage efficiently the financial allocations made to development activities and other costs with regard to various activities in the country.

The expenses of any government is very high and it cannot survive with loans.

For example, this government has to bear Rs 236 billion for various subsidies and relief given to the people.

The country is gaining on inclusive growth and ‘Divi Neguma’ had extended a massive support for this process. This budget had proposed measures to strengthen this programme. It supports for people’s participatory development.

The allowance granted to the older generation over 70 years, have been increased. The charity allowance has also been increased and a Rs 750 allowance is proposed for the parents of war heroes. These are important and commendable moves.

P Ariyanethiran (TNA): The President said that problems in the country should not be divulge to people outside the country. But the governments in this country did not solve the problems, so that these problems have been divulged to the outside world.

The President said that Rs 300 million have been allocated for Kebithigollawa which was devastated by terrorists. But nothing has been allocated for the villages in the North. The government increased the price of petrol and diesel 21 days before the budget.

This budget has allocated a large amount of money for defence, even after the operations have been over. The people of the North and East have not been given any relief.

A H M Azwer takes the Chair

Professor Rajiva Wijesinghe (UPFA): The results of the elections after the two years of conflict have shown immense satisfaction. The government has to do better in a few places.

This budget makes clear that the government intends to develop the North and other areas, which have been deprived in the past with infrastructural development to promote equitable prosperity. More distant areas have not been properly connected with the country. The massive amounts dedicated to capital expenditure in select ministries, show the determination to enhance opportunities for the people. There is not doubt that uneven development contributed significantly to resentments that twist into revolution three times. We have to remove their grievances. The budget has taken first measure to provide additional funding to develop a trilingual society through the upgrading of training facilities for teachers and also through new methods of telecommunication facilities.

Training and technology are the key words for society moving forward. But when those words were mentioned, the Opposition retreated into its customary primitive forms of disruption. But the TNA and JVP remained behind and behaved with dignity which indicate their determination to contribute through responsible and constructive criticism.

This is clear that people and physical environment are assets to be cherished and developed. The plans to conserve old buildings, to develop new archaeological sites in areas previously neglected, to revitalize old crafts, underline the path in the country. I am pleased that allocation for Capacity Development in Public Administration has been increased from 65 million to Rs 137 million to upgrade our public service.

This budget is presented at a time of transition when this country is posed to take off into the prosperous pluralistic future. Now we are back to equilibrium and we need to innovate boldly whilst ensuring essential support to those in need. The budget provides us with the framework on which we can build.

Palitha Range Bandara (UNP): The 7th budget was presented yesterday. It is not a budget. It is an utter lie. It has not given any relief to the people. Before this budget was drafted, all senior public servants called on the President at the President’s House. But there is nothing for the people. The investors are not encouraged.

Social Services Minister Felix Perera: Relief and subsidies have been granted to all relevant sectors by this budget. The government has been able to increase these relief measures since the economy is becoming stable day-by-day. We have been able to maintain an eight percent growth rate for several years.

The per capita income has gone up. This budget has allocated Rs 38,000 million for the payment of pensions to public servants.

The government has been able to provide 1.3 million job opportunities since it came into power in 2005. As a whole, this is a development-oriented budget. A peaceful environment has been created in the country after 30 years.

Now the country is marching towards prosperity and success. New investors are arriving in the country. Tourist arrivals too have increased during the recent past.

Anuruddha Roshan Ranasinghe (UPFA): The Opposition has totally neglected its responsibilities today. It was President Mahinda Rajapaksa who granted relief to the common masses and business community. We have not only facilitated foreign investors, but also local manufacturers.

Tax holidays have been given to local businessmen. This is a very successful and beneficial budget. We are in the process of eliminating corruptions, drug menace and underworld activities in society.

Gamini Jayawickrama Perera (UNP): The UNP cannot be divided or broken by anyone. Power is not eternal. Everyone must realize this. This is not a successful budget. It has given nothing for the betterment of the people.

Nothing has been mentioned regarding the farmers’ pension payment. Farmers are helpless today.

Lakshman Wasantha Perera (UPFA): A new era has dawned in the country after this budget. The budget has been prepared after giving due consideration to all key sectors in the economy. A large number of development projects are underway. A sum of Rs 34,000 million has been allocated to build new irrigation projects, while a sum of Rs 5,000 million has been allocated to renovate the existing irrigation projects. War heroes too have been given due consideration through this budget. This is the budget that has fulfilled the basic needs of the people.

Nimal Wijesinghe (UPFA): Due attention has been paid from the smallest child to elderly persons through this budget.

This government has been capable of maintaining the economic growth rate at about eight percent when the world was undergoing a severe economic crisis. Not only economic development, this government also pays much attention to social development. Allowances paid for the low income families and older people over 70 years, have been increased aiming for social development.

J R P Sooriyapperuma (UPFA): The world is heading towards an economic storm. Today I predict that within another 90 days, the Euro currency will be discarded and out of use. This will be a result of a gradual process.

However, Eastern countries such as China, Korea, Taiwan and Singapore will resist this hard time. The USA has newly printed currency notes valued at 15 trillion dollars. In a even difficult background like this, Sri Lanka is powerfully heading towards prosperity. I am very proud of this fact.

President Rajapaksa is the leader who introduced the latest technology to our future generation.

Not only physical development, this government also aims at spiritual development in our society.

P Thigambaram (UPFA): This is a commendable budget estimate. It has looked into the needs of the various segments of society. A decision has been taken to increase the number of pradeshiya sabhas in Nuwara Eliya district.

This is a good move since it will facilitate more development activities within the district. The Mahinda Chinthana policies are based on the far sighted visions of the President.

I also suggest that more attention should be paid to improve the life standards of the plantation workers.

Social Services Senior Minister Milroy Fernando:

In reminiscence over the past few years, it is evident that President Rajapaksa’s regime has initiated a number of programmes for the development of the country.

It has taken an enormous effort to uplift the life standards of the people. It has given high priority to the problems faced by marginalised sectors in society.

The Puttalam district is the most suitable region for shrimp farming and this government understanding this fact, has provided necessary incentives to promote it. As a whole, this budget is a people oriented budget.

M A Sumanthiran (TNA): Before commenting on the budget proposals, I would like to bring to your notice several issues that I have repeated several times in this House. Yesterday, the Minister of Finance presented the budget proposals for the next year. It is my opinion that the President should not hold the portfolio of finance, there is a constitutional bar as to it. When presenting the budget, the President also expressed a few matters irrelevant to the subject on finance.

I agree that there are certain good proposals in this Budget, but those should be assessed only through performances.

Buddha Sasana and Religious Affairs Deputy Minister M K A D S Gunawardena: This budget is one of the most successful budgets that I have listened to since my childhood. This country was overwhelmed with the brutality of terrorism over the past 30 years. Certain MPs in the UNP and the TNA also supported them. It is President Rajapaksa who brought peace to the country allowing all people to live in ethnic harmony.

We as a nation, is indebted to him.

When considering the budget, he had granted a salary hike of Rs 2,500 which was promised by him earlier. This is an all inclusive budget. Some MPs who could not face reality, left the chamber yesterday to cover up their shame.

Some say that there is no word about granting of jobs in the budget. There is no need to speak about the generation of employment separately. This government has been taking measures with regard to it.

Coconut Development and Janatha Estate Development Minister Jagath Pushpakumara: President Mahinda Rajapaksa brought fame to this country. The Opposition’s behaviour defamed our country. This budget is not a traditional budget proposal. For a few months, the public servants, business folk, university lecturers, ministers and politicians and ordinary people were consulted before drafting this budget.

This is the first of that type drafted with the consulting of a wide cross section of the people in the country. Earlier it was drafted with the consulting of a very few people.

The government is planning to take over underutilized lands of 37,000 hectares and to lease them in two acre plots to families. This is a constructive proposal. The Kurunegala Plantation which was managed by Ranil Wickremesinghe’s family members was taken over by the government with a bank over draft of Rs 8 million. But now, under a new management, the Kurunegala Plantation is paying Rs 70 million to the Treasury as the government’s share.

We have been able to demine an area of 1,400 square kilometres and resettle around 300,000 people in the North.

Sumanthiran MP accepted that bridges are being built, roads developed, electricity provided, houses being built in the North and East.

We have constructed the expressway. Now the Opposition members can go to Galle within an hour. We have started and completed. During the last budget, the Opposition brought two halves of a coconut and asked the price of each half. We have long-term plans and we have implemented them. Now nobody brings coconuts or chilies.

We have taken measures to develop coconut in 180 Divisional Secretariat Divisions. We have taken measures to plant four million coconut saplings.

The farmer, gets a good price for their coconut and tea. President Mahinda Rajapaksa has positive proposals for each sector.

Child Development and Women’s Affairs Deputy Minister M L A M Hisbullah: President Mahinda Rajapaksa has presented fitting budget proposals for the country. But the behaviour of the Opposition was not acceptable. Now the Northern and Eastern Provinces are being developed rapidly under the leadership of the President.

Carpeted roads and massive scale bridges have been set up in place of those that were destroy by the terrorists. The hospitals and all other facilities that were deprived to the people for 30 years are being given to them abundantly.

The LTTE-friendly groups are in function overseas and we have to defeat them to protect our country.

At adjournment

Agrarian Services and Wildlife Minister S M Chandrasena stated that a programme will be implemented to pay pensions to elderly farmers along with arrears.

He made this observation in response to and adjournment motion moved by UNP MP Gayantha Karunathilake in Parliament yesterday.

Gayantha Karunathilake (UNP): The farmers don’t have any means to earn their living when they reach old age. The Govi Jana Visrama Vetupa (Pension scheme for farmers) which was granted to the farmers have been held. So I request to recommence to pay this pension to the farmers. There are about 80,000 farmers who should be paid a pension.

Sujeewa Senasinghe (UNP): Many massive irrigation schemes were commenced during the UNP era to facilitate the farmers. All relevant privileges should be provided to protect farmers.

Therefore, the government must take action to provide pensions to farmers.

Agrarian Services and Wildlife Minister S.M. Chandrasena: The government has allocated Rs. 40 billion to provide fertilizer subsidy to farmers. Not only the fertilizer subsidy, the government has allocated huge sums of money to build and renovate irrigation schemes.

Farmers are given loan facilities under low interests. The government is committed to develop agriculture in this country. The pension scheme was not formulated in a systematic manner.

We need some time to rectify the shortcomings of the system. We will take action to provide pensions to farmers once the procedure is streamlined and systemised, within the coming weeks.

Finance and Planning Deputy Minister Geethanjana Gunawardane: The government took action to provide fertilizer subsidy to the farmers to uplift their livelihoods while developing the agriculture sector.

The farmers pension scheme has not been ignored by the government.

The due money of the pension scheme will be paid to farmers shortly. Currently the pension scheme is being streamlined. The hearts of the farmer community are always with the present government.

The debate was adjourned until 9.30 am today.