SL can achieve economic growth - CB Governor

"Sri Lanka could achieve economic growth amidst global challenges," said Ajith Nivard Cabraal, Central Bank Governor.

Sri Lanka Shippers' Council affiliated to the Ceylon Chamber of Commerce, held its 42nd AGM recently with Ajith Nivard Cabraal, Central Bank Governor gracing the occasion as chief guest.

Ajith Nivard Cabraal CB Governor

Past Shippers Council chairman Gehan Kuruppu said it was important that the private sector and public sector join with all academia to bring about meaningful discussions to determine matters of utmost importance for the development of the economy ,installing a participatory development process.

The new chairman Dinesh de Silva said this was a challenging time to be the chairman of the Shippers' Council which represents 13 product Associations together with individual members covering a large percentage of the shippers in the country.

Addressing the gathering, Cabraal mentioned Christian Legarde IMF Managing Director and how she went on to say that the biggest challenge today was not the crisis in the Euro zone but what they call the US fiscal cliff, which is changing the world.

"Of course these are nice words that people could be interested in knowing and what they mean was that the US was having a greater than 100% debt to GDP ratio and greater than 10% fiscal deficit and those two combined together give you the impression that you are at a cliff and hopefully you won't fall down. But these were the new challenges coming up with greater intensity at different times of the world's history.

"Particularly, the last few years we have been treated if I may use that word on a regular basis to new turmoil, new crises almost on a day to day basis. You have the Euro zone crisis, you have the fiscal cliff, you have the downturn in economies in the hitherto joined economies", Cabraal said.

Even though those not in trouble, China and India were also growing at very great speeds.

There is a reduction in growth speeds now again putting some tension into the overall world condition. Raising finances in different countries has been challenging which had also put a lot of pressure.

Flight to safety which was something that people took as a given today no longer in the same mode as in the past.

There is an intense difficulty in retaining competitiveness. These are everyday problems today. "In the past some of these problems would have been faced over a longer period of time of may be over a decade. But today within a fewweeks you'll probably come across the same amount of challenges," Cabraal said.