DEW calls for wider debate on global economic downfall | Daily News


DEW calls for wider debate on global economic downfall

Sri Lanka Communist Party Secretary D.E.W. Gunasekara said yesterday that there should be a wider debate in society on the huge economic downfall in the world.

Addressing a media briefing in Colombo yesterday, he said that most developed countries have experienced a downturn in their economy since 2004. The economic growth in the EU and the US are just 1 percent and 2 percent respectively, while in Japan it is only 0 percent.

“More than 70 percent of our exports are channelled to the West. Therefore, when the West experiences an economic downturn, our foreign exchange earnings also go down,” Gunasekara said.

“Most ordinary people do not know anything about this. Today, there is a great economic and social disparity and ordinary people find it difficult to live due to this reason. But, the government has not taken any policy decision on this matter,” he said . “This situation will worsen in the future, specially due to the policies followed by the new US administration. The new US President has proposed an interest rate hike which has resulted in the dwindling of our foreign reserve from US$ 4.4 billion to US$ 1 billion. Accordingly, the government revenue has also fallen to 10 percent from 21 percent,” Gunasekara said.

“The government should also probe as to how Rs.4,000 million has been secured for an investment in a distillery in Kalkuda. The government should also probe whether any fraudulent money is being used for this hundred percent duty free project.

The government which came to power on an anti alcohol platform should not entertain this kind of idea like in the Eastern Province which has seen a 7 percent increase in alcohol consumption,” Gunasekara said.


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