Tuesday Dec 31, 2024
Tuesday Dec 31, 2024
Tuesday, 31 October 2023 01:37 - - {{hitsCtrl.values.hits}}
By Darshana Abayasingha
Delivering its mid-year review of the 2023 Budget proposals and implementation, Verité Research yesterday alleged the Government is refusing to inform the public on what it is doing with people’s tax money.
The independent think tank said transparency and accountability have statistically taken a turn to the worst over the past year, and the country is setting itself up for failure if it doesn’t address these issues.
Verité observed 25 Budget promises for its review, and 68% of these projects offered inadequate data to the public, whilst 48% had no data on progress made. These 25 promises, or projects, had seen an allotment of over Rs. 49.3 billion and accordingly there was lack of accountability for Rs. 47.7 billion spent, the think tank said.
Verité has been doing reviews of the Budget since 2017, and this year the lack of transparency of chosen projects had risen to 70% over corresponding years.
Despite being bound to report on how public funds are spent and the progress of projects, only one institution – the Ministry of Fisheries – had listed programs and progress reports, they added. Only 2 of the 25 promises had shown progress since the Budget was approved last year.
Furthermore, Verite reports the National Budget Department at the Ministry of Finance could not list owners for 44% of the chosen programs. This however, was an improvement from 77% last year.
For example, Verite noted branch universities were to be set up to expand STEM learning, with the Ministry of Defence listed as a driving partner.
When enquired, the Ministry of Defence had noted the program was not under their purview, and the process had ended. There was also a proposal to set up a National Productivity Commission under the auspices of the Ministry of Industries and funds assigned. However, the Ministry had noted this was not under their purview. Successive Budgets from 2014 have allocated funds to set up new Export Processing Zones, but no such facilities have been set up, it was observed.
The lack of accountability and transparency over public funds was listed as a serious concern, and a cause for the present economic crisis, and the continuous mismanagement of public funds poses several problems towards building confidence, Verite noted.
It also opined that lack of fiscal transparency is a key factor that contributed to the present crisis and loss of credibility of the Government, both at home and abroad. “Several commitments made by the Government in its agreement with the International Monetary Fund (IMF), and several recommendations made by the IMF in its latest governance diagnostic on Sri Lanka, highlight the importance of improving fiscal transparency,” Verite said.
President Ranil Wickremesinghe will present 2024 Budget on 13 November.
“Greater transparency and accountability about the progress of budget proposals could help to address the concerns noted by the IMF, and in turn improve Sri Lanka’s chances of a sustainable economic recovery,” Verite emphasised.
