SJB unveils economic blueprint V3 – with a view for Presidency

SJB leader Sajith Premadasa with the economic trio — Dr. Harsha de Silva, Eran Wickramaratne and Kabir Hashim at the unveiling of the party’s economic blueprint yesterday at ITC Ratnadipa – Pic by Ruwan Walpola 

• SJB’s economic trio details policy document
• Describes blueprint as an economic pact with people that includes everybody 
• SVAT to stay, income tax to reduce with slabs, digital solution to the fore
• Says IMF program must stay on track, public cannot bear brunt of political mistakes
• Insists growth must be inclusive and representative, policies take time to take effect

By Darshana Abayasinghe

The main Opposition party, Samagi Jana Balawegaya (SJB), last night unveiled its comprehensive economic blueprint to the professional and business community. 

The event was held under the patronage of SJB leader and Presidential hopeful Sajith Premadasa, whilst the policy document was detailed by the party’s economic trio — Dr. Harsha de Silva, Eran Wickramaratne and Kabir Hashim. 

The 600-page SJB’s latest version of its Economic Blueprint covers 27 areas of the economy structured under four pillars, and has taken shape over the past two years since the advent of the economic crisis.

Addressing the gathering, SJB Chairman and MP KabirHashim, said the document will serve as a pact between the people and his party, stating the SJB rejects the notion growth and equity are mutually exclusive. “We must reduce excess inequality. We are not afraid of hard choices. We believe in social justice, but we don’t believe in crony capitalism,” the Kegalle District Parliamentarian stated. 

SJB MP, Eran Wickremaratne, stated: “Doing the right thing doesn’t always translate to political gain.” 

He pointed out that Sri Lanka had only achieved a primary balance five times since independence with the last occasion being in 2019, but each time the Government of the day had lost the next election. “However, other countries that have persisted have gone on to enjoy longer-term gains,” he stated. Wickremaratne reiterated that a future SJB Government under Premadasa will not get in the way of business, but instead focus entirely on creating an enabling environment. 

“The current program with the IMF must continue. Changes are needed on the macro-economic front, but also there must be social stability. A box may have been ticked on certain ratios, but what about the social instability it has created? We believe in social democracy. There must be a means to an end, but it has to be good means. We have committed to devolution for better decision making. Some parties say we are here because successive Governments have not intervened enough in business. We believe in free enterprise as they create wealth. But this can be done in a socio-market economy.”

Wickremaratne also said Sri Lanka’s foreign policy must never threaten India’s security, and the island must target to attract over 2 million tourists from the sub-continent annually, he said. The SJB MP said the biggest problem with Sri Lanka is not its economy but rule of law, adding that greater application of law will give a significant boost to foreign investment and confidence. 

“Transparency is one huge area and public procurement is a key facet to and all transactionsmust be published. All public procurement will be covered by a new law, in addition to the central revenue authority to deal with revenue. Let’s stop looking at individuals,let’s change the systems. I don’t blame public servants for the current situation. This is a creation of politicians. So, the public sectormust be approached with fairness. We will restrict the number of Cabinet and do away with the clause to expand members under the loophole of national Government,”Wickremaratne said. 

Future Finance Minister aspirant, Dr.Harsha de Silva, said the Sri Lanka’s economic recovery will not come at the expense of the people’s survival under an SJB Government, and his party will deliver a win for all Sri Lankans. 

“Ours is a team where we discuss, debate and arrive at conclusions. Our blueprint was first launched in 2022 when the crisis happened. We have worked on it and what this updated blueprint talks about is a plan. It’s a promise for inclusive development and resilience. A promise that all segments will be part of economic growth. It’s a synthesis of economic freedom as we believe in inclusively and equity. That’s where Sajith plays a huge role as he understand the suffering of the people. It’s not just about theory, but people must feel the change. We want to create an economy that grows for everyone.”

“Stabilisation deals with managing debt crisis, revenue and cost management. The IMF must agree both debt agreements are within comparability on treatment. Some parties claim the Debt Service Agreement can be changed because the Business Chamber says growth will be higher. That will not be. To mess around with our base document is a dangerous thing. There are limits within which we can renegotiate with the IMF and creditors. Let us not be fooled. The SJB will offer the Central Bank independence to manage inflation in the country. Politicians will have no room to interfere.”

“We will introduce specific time bound interventions with tax but we will offer some respite to taxpayer. Corporate income tax will stay for moment. Tax incentives will be given to exporters and SVAT will remain until there is a better way to deal with,” de Silva stated. He noted that Withholding Tax must be revisited and excise tax done according to a price-based formula.