Mahinda Chinthana: Vision for a New Sri Lanka Ten Year Development Framework

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Mahinda Chinthana Vision for a New Sri
LankaTen Year Development Framework
Sri Lanka Development Forum January 2007
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Mahinda Chinthana Ten Year Development Framework
Political EconomyPrivate Sector Perspectives

• 
  Mahen Dayananda - Chairman
• The Ceylon
  Chamber of Commerce

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Policy Thrust
Mahinda Chinthana Ten Year Development Framework
Policy Thrust

• Political settlement to the current conflict
  focus on consensus building leading to a
  lasting and sustainable peace/settlement
• Integrate positive attributes of market
• economic policies with domestic aspirations
• Improve growth prospects with equitable
• distribution
• Facilitate the economy to be largely driven by
• private sector whilst encouraging it to be
• - more dynamic
• - regionally integrated

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Policy Thrust
Sri Lankan Economy, current perspective
Source Central Bank of Sri Lanka p projections
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Policy Thrust
Sri Lankan Economy, current perspective
Source Central Bank of Sri Lanka p
projections Based on Jan-Aug 2006 statistics
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Private Sectors contribution at a glance
Private Sectors contribution at a glance

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Strategy
Mahinda Chinthana Ten Year Development Framework
Strategy

• Peace Pursue a negotiated settlement for
• lasting peace
• Consistent, Transparent, Predictable
• Liberal External Trade Policy
• - simplified tariff structure

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Strategy
Mahinda Chinthana Ten Year Development Framework
Strategy

• External Trade Policy ..

• - continued support for exports by
• improving market access, encouraging
• export diversification, promote
  backward
• integration and value addition
• - improving trade regulatory environment to
• ensure level playing field for imports
  
• local products

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Strategy
Mahinda Chinthana Ten Year Development Framework
Strategy

• Enhance GDP growth through
• - Infrastructure development
• - Human Resource development
• - A more proactive public sector
• - Strengthening institutional structure
• - Improving Technology and RD

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Strategy
Mahinda Chinthana Ten Year Development Framework
Strategy

• Sectoral Development Agriculture
• - Transform subsistence agriculture to
  commercially oriented and highly
• productive sector
• - Increase value addition
• - Emphasis on food security and raising
• incomes of small farmers

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Strategy
Mahinda Chinthana Ten Year Development Framework
Strategy

• Sectoral Development Industry
• Shift from import based industries to higher
• value added
• Development of industrial exports and thrust
• industries
• Develop national capacity by entrepreneurship
• development, supporting domestic enterprises
  
• and SMEs

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Strategy
Mahinda Chinthana Ten Year Development Framework
Strategy

• Sectoral Development Industry
• Provide necessary infrastructure facilities
• Improve competitiveness of industries by
• strengthening national innovative system,
  
• quality enhancement, facilitating access
  to
• credit, skills development etc.

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Strategy
Mahinda Chinthana Ten Year Development Framework
Strategy

• Sectoral Development Services
• - Promote Export of Services
• - Tourism
• - Port Services
• - Telecommunication
• - Information Technology/BPOs

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StrategyEquitable distribution of growth
Provincial Contribution to GDP, 2004
Mahinda Chinthana Ten Year Development Framework
Strategy

• Equitable distribution of growth

Provincial contribution to GDP 2004
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StrategyEquitable distribution of growth
Poverty Headcount Index by Province, 2002
Mahinda Chinthana Ten Year Development Framework
Strategy

• Equitable distribution of growth

Poverty Headcount Index by Province 2002
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StrategyEquitable distribution of growth Per
capita income by province (factor cost prices)
2004 US
Mahinda Chinthana Ten Year Development Framework
Strategy

• Equitable distribution of growth

Per Capita Income (US) by Province (Factor Cost
Prices) 2004
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Specific Concerns/ recommendations
Specific Concerns/Recommendations

• Ambitious Programme Implementation is the
• key
• Public Sector rationalisation
• Governance
• Single Agency to co-ordinate infrastructure
• development
• Strengthen Public-Private Sector partnerships
• Legal reforms

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Specific Concerns/ recommendations

• Thank You