NONSENSICAL "SHADOW BUDGET" BY THE UNP.

Defeating the economic terrorism unleashed by the Govt.


Ranil Wickremesinghe and Ravi Karunanayake
The UNP yesterday tabled an alternate budget proposal in parliament even as two sections of the government’s Appropriations Bill were shot down by the Supreme Court as unconstitutional. We reproduce the alternate proposals which call on the people to defeat the economic terrorism unleashed by the Mahinda Chinthana, tabled by UNP MP Ravi Karunanayake.

The proposals enumerated below gives the new thinking and approach of the United National Party in addressing the burning issues suffered by the people in the face of nepotism, family bandyism and mismanagement of the economy.

Its aim is to pursue vigorously the goals of economic development drawing the talents and energies of the entire country. The benefits of national economic development should be shared by all sectors of the population and not be confined to a privileged minority of cronies.

1. Increase the income of Samurdhi families

To give a sum of Rs. 5000 per month to each Samurdhi family in order to curtail their economic hardships. This will increase their annual income to Rs.60,000.

Policy: To eradicate waste and corruption currently prevailing in the country and pass on the benefit to the needy.

2. Reduce taxes

Instead of the 20% VAT which causes an increase in the cost of living, a new Consumption Tax between 10-11% will be introduced which will make the ‘haves’ pay and the ‘have nots’ to gain.

Policy: To eliminate the inefficient tax management currently in force and introduce a simple, consumer-friendly tax system.

3. Wage increase for the armed forces and the police

Increase the minimum wage of the armed forces cadres who are committed to defend the country to Rs.40,000 and the minimum wage of a member of the police force to Rs.32,000.

Policy: Instead of hollow patriotism to give economic respect to the members of the armed forces and the police who are the true patriots committed to defend the country.

4. Higher salaries for public service

In order to provide a better quality of life, salaries of all public servants will be increased by 20% with a minimum increase of Rs.7500.

Policy: A hand-up to all government employees to fight the escalating cost of living and lead a life with dignity.

5. Higher pensions

To ensure more money in the hands of pensioners: all pensions will be increased by Rs. 3500

Policy: To recognise and respect the services rendered by the senior citizens.

6. Reduction in the price of fuel

Based on the price of a barrel of oil in the world market being US$ 70, fuel will be sold to the people at the following prices;

Petrol: Rs.85 per litre, Diesel: Rs.75 per litre and Kerosene oil: Rs.59 per litre.

Policy: To ensure that the benefits derived from world market prices are given direct to the people without allowing it to be utilised to maintain politicians.

7. Assured market for tea, rubber, coconut, cinnamon, pepper and gems

To enter into trade agreements based on price protection with foreign countries to protect plantation products and gem industry from market collapse. To ensure a market price and a market for tea, rubber, coconut, cinnamon, pepper products and produce.

Policy: To provide protection to the plantation sector against collapse.

8. A new lease of life to the garment and textile industry

To regain the GSP+ facility and the lost dignity of the country at the sametime to enter into foreign contracts in order to protect the garment and textile industry.

Policy: To regain the GSP+ facility which was obtained unconditionally, but has been now lost due to conditions being imposed and protect the garment and textile industry from collapse.

9. A helping hand to the fisheries industry

To modernise the fisheries industry while protecting the traditional fisheries.

Policy: To re-induct the fleeced and forgotten fisherman back into the production cycle while giving the consumer, fisheries produce at a fair price.

10. Relief to the small and medium entrepreneur

To provide capital loan facilities to the small and medium scale entrepreneur at a single digit interest rate.

Policy: Not to allow the small and medium scale entrepreneur to be carried away by impulsive rhetoric and give them an opportunity to solve their real problems.

11. Employment opportunities to rural masses

To establish three factories or companies capable of generating 1000 jobs in every electorate.

Policy: Instead of the so-called development of Colombo, to spread the development island wide thereby combating rural as well as national level unemployment.

12. Rural economic development

Instead of providing financial assistance of Rs.3 billion to Mihin Air, the monies will be utilised to strengthen the rural economy. Accordingly, out of the 25000 villages in the country, 1000 poorest villages will be selected for economic investment.

Policy: The bail-out package of Rs.21 billion promised by the government as damage control for the loss of GSP+ due to the shortsighted foreign policy of the government will be utilised to uplift the neglected rural economy.

13. Lower interest rates

In order to reduce the country’s financial burdens, foreign loans will be obtained only at the minimum rate of interest — 1/2 to 1%. Instead of new loans, the unutilised, unconditional facility of US$ 5.5 billion will be efficiently invested. The current government borrowings which are sky high, obtained by the government internally at very high rates of interest will be brought down to a single digit thereby bringing in efficient fiscal management into government borrowings.

Policy: A policy of foreign borrowings without making the future generations debtors and preventing politicians from benefiting from higher interest rates.

14. New education policy

In order to make free education a reality and to arrest the downward trend in education a new education policy that would boost the economy and produce patriotic citizens will be introduced.

Policy: To invest in education the moneys spent on family bandyism

15. Nutrition to children

To introduce a nutrition programme for children who are the future of the country to counter malnutrition.

Policy: A true investment in children by utilising the monies spent on family bandyism.

16. A health service that cures the people

To introduce a healthcare system by increasing the investment in healthcare and create an efficient and confident system.

Policy: To cure the healthcare system that is ailing with corruption and inefficiency of politicians and provide a good and efficient health care system.

17. A fair market for the paddy farmer

The paddy millers Mafia thriving on political patronage will be eliminated and the benefit of market fluctuations will be given direct to the farmer as well as the consumer.

Policy: The rice market which is being controlled by a privileged few with political patronage will be reorganised to be dependent on supply and demand thereby giving protection to the producer.

18. Fertiliser subsidy

The fertiliser subsidy to the paddy cultivator shall be Rs.350. The other non commercial agricultural crops will be subsidised to Rs.750. Floor prices for crops will be decided in consultation with the farmer societies.

Policy: To uplift farmer families from their burden of debts and strengthen the rural agro economy.

19. Efficient transport system and night bus service

In order to provide a dignified and efficient transport system to the commuters, incentives will be provided for a joint state/private night bus service.

An efficient transport system giving priority to rail and bus services will be introduced by scrapping the non viable, inefficient projects such as Mihin Air.

The railway system which has not been developed since colonial rule will be expanded.

Policy: Instead of false rhetoric, a true and honest attempt will be made to solve the problems of the public.

20. Assistance to tourism

To canvas for the removal of travel adversaries imposed by foreign countries and vigorously market to attract one million tourists in 18 months and thereby give a new life to the ailing industry.

Policy: Increase government revenue and at the same time help the industry to rise again economically.

21. Fiscal discipline

To prevent the politicisation of the state institutions by re-activating the 17th Amendment and re-establish the Independent Commissions for Bribery and Corruption, Public Service, Elections, Police and Finance, thereby arrest the waste and corruption, and irregularities that is prevalent today.

Policy: Re-introduce the 17th Amendment to bring transparency into fiscal management.

22. Eliminate waste and corruption

To defeat the alarming rise in family bandyism and political patronage and eliminate the FAMILY TREE, and thereby save government expenditure.

Policy: Good governance

23. Reduce the number of ministers

Reduce the number of ministers to 35 and invest the savings in national security expenses.

Policy: Defeat the wasteful expenditure of the government and reduce the debt ratio of the country and invest in national security.

24. Relief for dairy farmer and consumer

While protecting the local dairy farmer and increasing the production of liquid milk, the price of powdered milk will be kept at Rs.190 per 400 grams.

Policy: Assisting production by increasing the consumption of liquid milk will help farmers as well as increase nutrition.

25. Consumer goods at reasonable prices

Introducing a scheme to give essential consumer goods at reasonable prices.

E.g. Dhal — Rs.125 per kg

Policy: To bring a balance between consumer affordability and the price.

26. Relief for PAYE tax payers

The PAYE tax limit will be raised to Rs.600,000.

Policy: To stabilise the income of private sector employees.

27. Removal of all taxes from utility vehicles

All taxes levied on buses, vans, tractors, trishaws, motorcycles will be removed.

Policy: To provide relief to those using non luxury vehicles in attending to their daily needs.

28. Media freedom

All restrictions imposed on media institutions will be removed.

Policy: To improve the Right to Information of the people.

Net impact

Total expenditure — Rs. 261 billion

Total savings — Rs. 283 billion

Savings over expenditure (surplus) — Rs. 22 billion