AITP calls on President to halt Singapore FTA implementation

• Says Govt. making efforts to pass legal changes to support FTA
• Wants all such measures stopped till expert commission report finalised

The Association of IT Professionals (AITP) yesterday called on President Maithripala Sirisena to halt any legislative changes that could be used to implement the Singapore-Sri Lanka Free Trade Agreement until the commission appointed by him had presented its final report. 

AITP Chairman Kapila Perera told reporters that professional associations continued to reject the FTA, which he charged had been formulated to allow foreign professionals into Sri Lanka and could be damaging for the local economy. Perera reiterated that the FTA was formulated without the best interests of Sri Lanka at heart and charged it was negotiated by incompetent people who were unaware of the disadvantages the agreement could cause to Sri Lanka’s industries and services sector.    

“The Finance Minister has presented a gazette on Customs activities to parliament, which is part of regulatory changes needed to implement the FTA. Such efforts cannot be allowed to continue when there are cases pending against the FTA and the President has appointed a commission to study it. We call on the President to halt the passage of any legislation linked to the FTA until the commission has submitted its report,” Perera said. 

The AITP also dismissed efforts by the Government to streamline regulations for foreign workers willing to be employed in Sri Lanka, insisting that it was yet another effort to hand over local jobs to foreigners. They criticised measures outlined by the Government to remove line ministries from approving requests from companies to recruit professionals and stressed that the proposed establishment of a Human Resource Council was a “ploy to allow more foreign workers into Sri Lanka.” 

A key grievance of AITP was the limited regulatory measures available in Sri Lanka to protect local companies from Singaporean competitors, which they saw as a vulnerable situation for the Sri Lankan economy. 

“This FTA was negotiated and signed without even a feasibility study being done and we are extremely concerned that it will have serious adverse impacts for the Sri Lankan economy,” Perera added. After taking into consideration the views expressed by various parties over the Sri Lanka-Singapore Free Trade Agreement (FTA) signed eight months ago, President Maithripala Sirisena last Saturday appointed a committee of experts to study and submit a report on it. 

The five-member committee is headed by University of Colombo former Vice Chancellor and Emeritus Professor of Economics Prof. W. D. Lakshman, while the other members include Open University Emeritus Professor of Economics Sirimevan Colombage, University of Kelaniya Emeritus Professor of Economics Ajitha Tennakoon, independent consultant Dr. Sanath Jayanetti and Central Bank former Assistant Governor R.A. Jayatissa.

In addition to studying the FTA, the committee is expected to make recommendations regarding the practical impact and uses of the new proposed trade policy and offer guidance on formulating Sri Lanka’s future trade policies, the President’s Media Division (PMD) said. The committee’s scope includes studying how the Sri Lanka-Singapore FTA could impact institutions providing various services in Sri Lanka, its potential impact on the country’s social and economic situation and the people’s standard of living. 

The committee is expected to submit its report within two months, though the President will check on the progress of its work from time to time through interim reports. Any interested party is welcome to make submissions before this committee, the PMD added.