Ceylon Institute of Builders calls on President to discuss revival of construction sector

President Ranil Wickremesinghe receives the copy of the Road Map for Construction Industry 2023/2024 from Ceylon Institute of Builders (CIOB) President Dr. Rohan Karunaratne. Others from left are CIOB Vice Presidents Jaikish Tudawe and Kalana Alwis, Secretary Eng. Saliya Kaluarachchi and Vice President Ruwan De Silva 

A delegation from the Ceylon Institute of Builders (CIOB) led by President Dr. Rohan Karunaratne recently called on President Ranil Wickremesinghe on measures to revive the construction sector.

CIOB presented a “Road Map for Construction Industry 2023/2024” to the President and thanked Wickremesinghe for taking steps for the rapid recovery of the country and the construction industry.

He further mentioned that the majority of contractor dues had been paid, moratorium loans were provided and creating a task-force for the Industry and thanked the President for making such swift decisions.

In the lengthy discussion with the President, he had explained that after September he shall take necessary action to restart the construction industry and that by the year 2024 the construction industry would have reached its usual position as a strong GDP contributor and pillar of the Sri Lankan economy.

He alluded that funded agencies may restart projects again by the last quarter and shall be in full effect by 2024.  

CIOB Vice President Kalana Alwis added that it would be of paramount importance if the banks could be flexible and supportive toward the local Construction industry until it regains the expected prosperity by the year 2024; for which Chief of Staff of the President Sagala Ratnayake noted that it has been discussed with the banks that it would be more suitable to be more lenient towards the construction industry until difficulties subside.  

The President made his concerns on the queries raised by CIOB Vice President Jaikish Tudawe that they will be recommencing CEP II (Kadawatha to Mirigama) and CEP III (Pothuhara to Galagedara) including the Tunnelling Section by the Japanese Contractors.  The President also mentioned that UDA’s Affordable Housing Projects will recommence, after rescheduling local and foreign debts is over.

The President was further impressed by Tudawe’s portrayal of the foundation membership of CIOB which included pioneers of the Construction Industry started in 1961.

Though CIOB Chief Dr. Karunaratne requested the possible starting of an Infrastructure Fund or Exim Bank, President Wickremesinghe noted that at this stage it can be a burden to the Government because guarantees have to be provided by the Government and that after economic stability ensues, the proposal will be considered.

CIOB Secretary Eng. Saliya Kaluarachchi and Vice President Ruwan De Silva discussed promoting construction Industry overseas and getting support from Sri Lankan Embassies overseas to work towards gaining projects and Sagala Ratnayake iterated that cross-border guarantees and support shall be gained for this purpose.

CIOB expresses gratitude for the President’s understanding of the plight of the Construction industry, its unemployment quandaries, how under capacitated material manufacturers are facing steep losses, loss to professionals and their moving overseas and President Wickremesinghe noted that all these issues may, to an extent, settle next year.

CIOB said the meeting ended with the president being advised to only consider construction projects that do not burden the country and are useful to the nation. Due to plummeting construction cost CIOB noted that competitive construction cost can be very beneficial for the acquisition of foreign investors, for which the president noted that this is up to the construction Industry to promote the industry for this endeavour and reap resultant benefits. To this end President Wickremesinghe noted that price control of building materials and wastages, efficient project management and labour management should be considered to reduce costs.

“Overall, the discussion yielded much success and resulted in the President further understanding the nature of the Construction Industry and promising the implementation of the Construction Industry Roadmap submitted by the Ceylon Institute of Builders,” the statement from CIOB said.