Budget deceives voters, says Marikkar

Wednesday, 19 February 2025 00:04 - - {{hitsCtrl.values.hits}}

SJB MP S.M. Marikkar

SJB MP S.M. Marikkar says Budget has failed to deliver genuine benefits to people
Accuses Govt. of curtailing allowances of State sector employees despite increase in basic salary
Slams Govt. for not reducing taxes on food, healthcare, and school supplies as promised
Predicts Govt.’s economic strategy is pushing country towards greater debt and instability

Samagi Jana Balawegaya (SJB) MP S.M. Marikkar has strongly criticised the newly presented Budget of the National People’s Power (NPP) Government, describing it as a “left wing gilded right wing Budget” that fails to deliver genuine benefits to the public.

Speaking at a press briefing held at the SJB headquarters yesterday, Marikkar argued that while the budget is aspirational in rhetoric, it lacks meaningful relief for the people. He highlighted that, despite the President’s announcement of a Rs. 15,000 increase in the minimum basic salary of public servants, key allowances had been cut, leaving state sector employees with a far lower actual increase than promised.

“A State sector employee expecting a Rs. 15,000 increase will, in reality, receive only Rs. 5,975 this year. They will realise the deception when they receive their salaries on 8 April,” he said.

Marikkar also accused the NPP Government of failing to honour its election promises, pointing out that taxes on food, healthcare, and school supplies, which the President had pledged to reduce, remain unchanged in the Budget. Similarly, he noted that no steps had been taken to reduce the Rs. 50 surcharge that the Ceylon Petroleum Corporation is required to pay the Treasury per litre of fuel.

He warned that the Government’s economic strategy was pushing the country towards greater debt and instability. According to him, while the Government expects revenue of Rs. 4,990 billion this year, its planned expenditure stands at Rs. 7,190 billion, creating a deficit of Rs. 2,200 billion, which will be covered by additional borrowing.

“The Government is planning to borrow Rs. 2,200 billion, equivalent to $ 7.3 billion. This will further add to Sri Lanka’s already massive debt burden of $ 95 billion. Despite the President’s claim that the Government will not borrow, the reality is that it intends to take Rs. 75 billion in foreign loans and Rs. 2,125 billion in domestic loans,” Marikkar said.

Marikkar also challenged the President’s assertion that Sri Lanka will not have to repay its external debt until 2028, clarifying that while payments on international sovereign bonds have been suspended, interest payments on other debt obligations remain in place.

“If debt payments are not due until 2028, then why has Rs. 2,950 billion been allocated for debt servicing this year?” he questioned.

The SJB MP further criticised the Budget for failing to support the private sector and ordinary citizens. He argued that no significant measures had been introduced to assist workers, reduce the cost of living, or provide financial relief for essential items such as food, medicine, and school supplies.

“The people who voted for the NPP were happy for two hours after the Budget speech, but soon realised they had been deceived,” he remarked.

According to Marikkar, the Budget lacks concrete plans to increase revenue, attract foreign investment, or strengthen key sectors like tourism.

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