Fiscal Act amended in Parliament

Fiscal Act amended in Parliament

Fiscal Act amended in Parliament

Written by Staff Writer

08 Jun, 2021 | 8:43 pm

COLOMBO (News1st): The Fiscal Management Responsibility Act was amended today, hiking the debt level of state entities, and postponing the debt to gross domestic product targets until 2030.

Dr. Bandula Gunawardana, the trade minister, told Parliament that the amendment was required as the government has not been receiving sufficient revenue.

“The tea, rubber, and coconut industries that generate revenue are at a standstill. The same applies to the garment industry as well,” Gunawardana noted.

He said that although utilizing reserves would be a solution to stabilize the rupee, Sri Lanka does not have much in terms of foreign currency reserves as well.

“When our country doesn’t receive foreign exchange, then they won’t recognize our Letters of Credit (to import products),” Gunawardana said.

Kabir Hashim, an opposition lawmaker, criticized the government for the slump in economic standards.

“Sri Lanka is second on the list of middle income earning countries with the highest debt,” the Samagi Jana Balawegaya parliamentarian noted.

He accused the government of attempting to sell off national resources by betraying the country’s sovereignty.

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