Tussle in Parliament over new issue of Treasury bills worth Rs. 1 t

Saturday, 13 May 2023 00:23 - - {{hitsCtrl.values.hits}}

A verbal tussle figured prominently yesterday in Parliament over the Government’s move to raise Rs. 1 trillion through issuance of treasury bills on urgent basis.

The development follows the Cabinet last month approving an increase in the borrowing limit from Rs. 5 trillion to Rs. 6 trillion.

Opposition Leader Sajith Premadasa who objected to the decision said the issuing of treasury bills will be illegal as the approval by the Public Finance Committee to go ahead with the treasury bill issue is not valid.

“The approval by the Finance Committee is not valid as it has to function under a permanent chairman. The decisions at the meeting of the Public Finance Committee which is chaired by an acting chairman are not valid. The current acting chairman represents the ruling party. This is a violation of Standing Orders. Standing Orders clearly state that the Finance Committee has to be chaired by an opposition MP,” he said.

MP Dayasiri Jayaskera also came up with the same view and said illegal moves would be noticed by the IMF.

Chief Government Whip Prasanna Ranatunga said the Opposition should find a suitable person as the Chairman of the Public Finance Committee.

“We can consider any name as the Chairman of the Public Finance Committee if the Opposition comes up with some names,” he said.

“An MP from the Opposition was appointed as the Chairperson of the Finance Committee and the Opposition SJB inflicted undue influence on him to resign. Therefore, it is the Opposition which has created the issue,” he added.

Minister Bandula Gunawardene said the money is to be raised to meet the salary bill.

“The Salary Bill of the Government and the funds spent on welfare has always been high. Also, it is not possible to print money as per the IMF agreement. I also propose that the Treasury presents a report to the House on the total State expenditure on a monthly basis so that the MP will be aware of the expenditures,” he said.

State Finance Minister Shehan Semasinghe too justified the move saying increasing the limit was urgently needed given the country’s fiscal situation and on-going challenges.