Winning with geographic vantage
Minister of Special Assignments Dr.Sarath Amunugama addressed the Colombo University MBA Alumni and Daily FT organised forum “Reforms: The Way Forward” on 17th May 2016. Keynote speaker LIRNEasia Chair Prof. Rohan Samarajiva, Colombo University MBAA President Lalith Sumanasiri, Daily FT Editor Nisthar Cassim and Reforms Forum Organising Committee co-chair Sarma Mahalingam were also present.
Dr.Sarath Amunugama told Daily FT-Colombo Uni. MBA Alumni Reforms Forum that Govt. and private sector should focus on growth strategies that will leverage on the country’s geographical position
To fine tune the next round of reforms Sri Lanka has to find its comparative advantage to narrow down its competitive edge in a tough global environment said Special Assignments Minister Dr.Sarath Amunugama yesterday.
“Failure to do so will be Sri Lanka’s misfortune,” cautioned Dr. Amunugama in his address as the Chief Guest at the Daily FT- Colombo MBA Alumini Association organised full day forum titled “Reforms: The Way forward for Sri Lanka.”
Via one hour sessions and involving around 30 public and private sector leaders including Finance Minister Ravi Karunanayake and Labour Minister John Seneviratne, the Forum dealt with broader reform sectors such as Agriculture, Trade, Services and Industry - Ease of Doing Business, Financial Services, Labour and HR; and Public Sector/Public Enterprise.
DFCC Bank was the strategic partner for the Forum.
The veteran Minister Dr.Amunugama insisted that Sri Lanka also needed to develop its ports and airports as a way to connect itself to the rest of the world and make use of development taking place in neighbouring countries.
“Nearly all economies are facing challenging times. During the last decade Asia led global growth, largely due to growth in China and India as well as a few other countries such as Vietnam, Singapore and even Sri Lanka. One main factor of this growth is the fact that these countries could identify their comparative advantage,” he told the gathering of professionals.
Combining comparative advantage with a sound policy environment were the indispensible ingredients to a fast developing economy and these traits have been used by several other countries to leapfrog ahead, he added.
“A handful of countries in Asia, particularly East Asia understood how to maximise this advantage and use it to attract investment from around the world. China was perhaps the first country to identify their comparative advantage and connect it to a stable policy framework that resulted in massive and sustained growth.”
Having become the factory of the world China is now facing a different set of challenges to transition into sustainable growth patterns. The change has now pushed India to the forefront as the fastest growing economy in the world but thrown new problems to producing countries that depended on high commodity prices.
“We have come to the realisation that in this competitive environment it is impossible to compete on our primary exports such as rubber, tea and coconut because commodity prices have fallen. On the other hand we have industries such as tourism and IT but of all these the most obvious comparative advantage that Sri Lanka has is our geographical advantage.”
The Sri Lankan Government therefore would work to increase its advantage based on geographical location and strive to focus the economy along productive lines.
“No other country is in the middle of the Middle East and Far East. More than one third of global shipping goes by Sri Lanka. Our position is so strategic that all other major countries have a special interest in the Indian Ocean. Right next door we have the fastest growing economy in the world. To the south there is no landmass till the South Pole. We are comparatively good candidates for economic growth based on our geostrategic advantage. Our policies should make the best use of this undoubted advantage we have,” he insisted.
Crisis should push reforms
Expert insists SL needs trade agreements to become part of global value chains for growth
-
Labour reforms to get people out of overburdened public sector and encourage women workers
-
Calls for haemorrhaging SOEs need to be fixed, 333 people for each plane of SriLankan, losses twice that allocated to Samurdi
-
Backs Temasek model but insists it needs to be made more transparent and accountable
By Uditha Jayasinghe
Sri Lanka needs to tap into global value chains through sweeping reforms in human resources and State Owned Enterprises (SOEs) to foster strong growth at a point when the country’s demographic advantage is in decline, a tough talking expert said yesterday.
Former telecoms regulator and founding chair of LIRNEasia Professor Rohan Samarajiva delivering the keynote address at the Daily FT and Colombo MBA Alumni Association organised forum titled “Reforms: The Way forward for Sri Lanka” pointed out that Sri Lanka’s median age is at 31 years meaning “Sri Lanka is getting old before it gets rich.”
Trade agreements are a crucial facet of tying into global value chains and Sri Lanka should not risk becoming isolated in the global battle for stronger trade linkages he said, pointing out fresh deals inked by the Association of East Asian Nations and the Transpacific Partnership backed by the US, both of which Sri Lanka is not part of but its competitor Vietnam is.
“Trade agreements are something that this country needs. Detractors don’t understand that they are shooting themselves, shooting the next generation in the foot by objecting to Sri Lanka entering into what agreements we can enter into.”
However, the current economic crisis facing the country can be wrestled into producing positive results if policy makers are focused on key needs, he said pointing out how Indonesia used its financial problems to introduce reforms and spur growth. Timely reforms in the public sector, which employs nearly 2 million people, would create a labour pool for the private sector to draw from and create investment by stemming the haemorrhaging of public finance from State enterprises. Human resource reform would also encourage thousands of women to enter the formal workforce and balance out the overwhelmingly male labour component, he advocated.
“Crisis is important. Crisis should never go to waste. Other countries have dealt well with crisis. Indonesia implemented a slew of reforms in the 1990s and we could do the same. What I have to say, and I’m not in government so I don’t have to be politically correct, is that we need to open up to competition wherever possible. We have to remove barriers to entry, we have to where necessary have regulation. Privatisation is a dirty word in Sri Lanka but I’m going to use it here.”
Prof. Samarajiva demonstrated the massive losses of SriLankan Airlines as an example of public finance wastage and stressed how the cash ploughed into the national carrier could be used for sustainable development by increasing the funds available to social welfare programmes.
“The top five State Owned Enterprises made Rs. 605 billion in losses. This is 18% of Sri Lanka’s GDP and 81% of the current Budget deficit. Now we paid them money in order to accrue astronomical losses. We increased the number of people working at this airline by 30%. Currently we have 333 people per plane at SriLankan though there are airlines with just 76 people per plane. Pakistan leads South Asia as the highest number of employees per plane but we come a close second.”
“I believe that Samurdhi is an important infrastructure. I think that a country that does not look after its poor is not worth living in. In 2014 Sri Lanka spent double what it spent on Samurdhi just to cover the operational losses of SriLankan Airlines. What kind of priorities does our country have?”
Opening up loss making SOEs to private investment is just one step suggested by Prof. Samarajiva. Acknowledging that privatisation was fraught with political difficulties he also backed Government plans to establish a holding company for SOEs along the Temasek model as a “second best” solution but insisted it would have to come with stronger transparency and accountability mechanisms. Prof. Samarajiva called for a process where even the board of directors of the holding company can be held responsible for their performance and gave examples of how Singapore lists its State entities in the stock market to maximise company valuations and sustain growth.
“Failing privatisation the second best solution could be the Temasek model where commercial State enterprises are held under one holding company. I’m a bit worried about this because I have seen how the Temasek model was implemented in Bhutan and implemented badly. Just because something works in Singapore doesn’t mean it will work anywhere in the world because conditions can be different. Under this system only the purely commercial companies should be placed, where you have other social objectives don’t put them under Temasek.”
Winning with geographic vantage
Winning with geographic vantage
Comments / 813 Views / Wednesday, 18 May 2016 00:49
1 4
Minister of Special Assignments Dr. Sarath Amunugama addresses the Daily FT-Colombo University MBA Alumni organised forum “Reforms: The Way Forward” yesterday. Keynote speaker LIRNEasia Chair Prof. Rohan Samarajiva, Colombo University MBAA President Lalith Sumanasiri, Daily FT Editor Nisthar Cassim and Reforms Forum Organising Committee co-chair Sarma Mahalingam are also present - Pic by Daminda Harsha Perera
- Dr. Sarath Amunugama tells Daily FT-Colombo Uni. MBA Alumni Reforms Forum that Govt. and private sector should focus on growth strategies that will leverage on the country’s geographical position
To fine tune the next round of reforms Sri Lanka has to find its comparative advantage to narrow down its competitive edge in a tough global environment said Special Assignments Minister Dr. Sarath Amunugama yesterday.
“Failure to do so will be Sri Lanka’s misfortune,” cautioned Dr. Amunugama in his address as the Chief Guest at the Daily FT- Colombo MBA Alumini Association organised full day forum titled “Reforms: The Way forward for Sri Lanka.”
Via one hour sessions and involving around 30 public and private sector leaders including Finance Minister Ravi Karunanayake and Labour Minister John Seneviratne, the Forum dealt with broader reform sectors such as Agriculture, Trade, Services and Industry - Ease of Doing Business, Financial Services, Labour and HR; and Public Sector/Public Enterprise.
DFCC Bank was the strategic partner for the Forum.
The veteran Minister Dr. Amunugama insisted that Sri Lanka also needed to develop its ports and airports as a way to connect itself to the rest of the world and make use of development taking place in neighbouring countries.
“Nearly all economies are facing challenging times. During the last decade Asia led global growth, largely due to growth in China and India as well as a few other countries such as Vietnam, Singapore and even Sri Lanka. One main factor of this growth is the fact that these countries could identify their comparative advantage,” he told the gathering of professionals.
Combining comparative advantage with a sound policy environment were the indispensible ingredients to a fast developing economy and these traits have been used by several other countries to leapfrog ahead, he added.
“A handful of countries in Asia, particularly East Asia understood how to maximise this advantage and use it to attract investment from around the world. China was perhaps the first country to identify their comparative advantage and connect it to a stable policy framework that resulted in massive and sustained growth.”
Having become the factory of the world China is now facing a different set of challenges to transition into sustainable growth patterns. The change has now pushed India to the forefront as the fastest growing economy in the world but thrown new problems to producing countries that depended on high commodity prices.
“We have come to the realisation that in this competitive environment it is impossible to compete on our primary exports such as rubber, tea and coconut because commodity prices have fallen. On the other hand we have industries such as tourism and IT but of all these the most obvious comparative advantage that Sri Lanka has is our geographical advantage.”
The Sri Lankan Government therefore would work to increase its advantage based on geographical location and strive to focus the economy along productive lines.
“No other country is in the middle of the Middle East and Far East. More than one third of global shipping goes by Sri Lanka. Our position is so strategic that all other major countries have a special interest in the Indian Ocean. Right next door we have the fastest growing economy in the world. To the south there is no landmass till the South Pole. We are comparatively good candidates for economic growth based on our geostrategic advantage. Our policies should make the best use of this undoubted advantage we have,” he insisted.
Winning with geographic vantage
Comments / 813 Views / Wednesday, 18 May 2016 00:49
1 4
Minister of Special Assignments Dr. Sarath Amunugama addresses the Daily FT-Colombo University MBA Alumni organised forum “Reforms: The Way Forward” yesterday. Keynote speaker LIRNEasia Chair Prof. Rohan Samarajiva, Colombo University MBAA President Lalith Sumanasiri, Daily FT Editor Nisthar Cassim and Reforms Forum Organising Committee co-chair Sarma Mahalingam are also present - Pic by Daminda Harsha Perera
- Dr. Sarath Amunugama tells Daily FT-Colombo Uni. MBA Alumni Reforms Forum that Govt. and private sector should focus on growth strategies that will leverage on the country’s geographical position
To fine tune the next round of reforms Sri Lanka has to find its comparative advantage to narrow down its competitive edge in a tough global environment said Special Assignments Minister Dr. Sarath Amunugama yesterday.
“Failure to do so will be Sri Lanka’s misfortune,” cautioned Dr. Amunugama in his address as the Chief Guest at the Daily FT- Colombo MBA Alumini Association organised full day forum titled “Reforms: The Way forward for Sri Lanka.”
Via one hour sessions and involving around 30 public and private sector leaders including Finance Minister Ravi Karunanayake and Labour Minister John Seneviratne, the Forum dealt with broader reform sectors such as Agriculture, Trade, Services and Industry - Ease of Doing Business, Financial Services, Labour and HR; and Public Sector/Public Enterprise.
DFCC Bank was the strategic partner for the Forum.
The veteran Minister Dr. Amunugama insisted that Sri Lanka also needed to develop its ports and airports as a way to connect itself to the rest of the world and make use of development taking place in neighbouring countries.
“Nearly all economies are facing challenging times. During the last decade Asia led global growth, largely due to growth in China and India as well as a few other countries such as Vietnam, Singapore and even Sri Lanka. One main factor of this growth is the fact that these countries could identify their comparative advantage,” he told the gathering of professionals.
Combining comparative advantage with a sound policy environment were the indispensible ingredients to a fast developing economy and these traits have been used by several other countries to leapfrog ahead, he added.
“A handful of countries in Asia, particularly East Asia understood how to maximise this advantage and use it to attract investment from around the world. China was perhaps the first country to identify their comparative advantage and connect it to a stable policy framework that resulted in massive and sustained growth.”
Having become the factory of the world China is now facing a different set of challenges to transition into sustainable growth patterns. The change has now pushed India to the forefront as the fastest growing economy in the world but thrown new problems to producing countries that depended on high commodity prices.
“We have come to the realisation that in this competitive environment it is impossible to compete on our primary exports such as rubber, tea and coconut because commodity prices have fallen. On the other hand we have industries such as tourism and IT but of all these the most obvious comparative advantage that Sri Lanka has is our geographical advantage.”
The Sri Lankan Government therefore would work to increase its advantage based on geographical location and strive to focus the economy along productive lines.
“No other country is in the middle of the Middle East and Far East. More than one third of global shipping goes by Sri Lanka. Our position is so strategic that all other major countries have a special interest in the Indian Ocean. Right next door we have the fastest growing economy in the world. To the south there is no landmass till the South Pole. We are comparatively good candidates for economic growth based on our geostrategic advantage. Our policies should make the best use of this undoubted advantage we have,” he insisted.
Winning with geographic vantage
Comments / 813 Views / Wednesday, 18 May 2016 00:49
1 4
Minister of Special Assignments Dr. Sarath Amunugama addresses the Daily FT-Colombo University MBA Alumni organised forum “Reforms: The Way Forward” yesterday. Keynote speaker LIRNEasia Chair Prof. Rohan Samarajiva, Colombo University MBAA President Lalith Sumanasiri, Daily FT Editor Nisthar Cassim and Reforms Forum Organising Committee co-chair Sarma Mahalingam are also present - Pic by Daminda Harsha Perera
- Dr. Sarath Amunugama tells Daily FT-Colombo Uni. MBA Alumni Reforms Forum that Govt. and private sector should focus on growth strategies that will leverage on the country’s geographical position
To fine tune the next round of reforms Sri Lanka has to find its comparative advantage to narrow down its competitive edge in a tough global environment said Special Assignments Minister Dr. Sarath Amunugama yesterday.
“Failure to do so will be Sri Lanka’s misfortune,” cautioned Dr. Amunugama in his address as the Chief Guest at the Daily FT- Colombo MBA Alumini Association organised full day forum titled “Reforms: The Way forward for Sri Lanka.”
Via one hour sessions and involving around 30 public and private sector leaders including Finance Minister Ravi Karunanayake and Labour Minister John Seneviratne, the Forum dealt with broader reform sectors such as Agriculture, Trade, Services and Industry - Ease of Doing Business, Financial Services, Labour and HR; and Public Sector/Public Enterprise.
DFCC Bank was the strategic partner for the Forum.
The veteran Minister Dr. Amunugama insisted that Sri Lanka also needed to develop its ports and airports as a way to connect itself to the rest of the world and make use of development taking place in neighbouring countries.
“Nearly all economies are facing challenging times. During the last decade Asia led global growth, largely due to growth in China and India as well as a few other countries such as Vietnam, Singapore and even Sri Lanka. One main factor of this growth is the fact that these countries could identify their comparative advantage,” he told the gathering of professionals.
Combining comparative advantage with a sound policy environment were the indispensible ingredients to a fast developing economy and these traits have been used by several other countries to leapfrog ahead, he added.
“A handful of countries in Asia, particularly East Asia understood how to maximise this advantage and use it to attract investment from around the world. China was perhaps the first country to identify their comparative advantage and connect it to a stable policy framework that resulted in massive and sustained growth.”
Having become the factory of the world China is now facing a different set of challenges to transition into sustainable growth patterns. The change has now pushed India to the forefront as the fastest growing economy in the world but thrown new problems to producing countries that depended on high commodity prices.
“We have come to the realisation that in this competitive environment it is impossible to compete on our primary exports such as rubber, tea and coconut because commodity prices have fallen. On the other hand we have industries such as tourism and IT but of all these the most obvious comparative advantage that Sri Lanka has is our geographical advantage.”
The Sri Lankan Government therefore would work to increase its advantage based on geographical location and strive to focus the economy along productive lines.
“No other country is in the middle of the Middle East and Far East. More than one third of global shipping goes by Sri Lanka. Our position is so strategic that all other major countries have a special interest in the Indian Ocean. Right next door we have the fastest growing economy in the world. To the south there is no landmass till the South Pole. We are comparatively good candidates for economic growth based on our geostrategic advantage. Our policies should make the best use of this undoubted advantage we have,” he insisted.
Winning with geographic vantage
Comments / 813 Views / Wednesday, 18 May 2016 00:49
1 4
Minister of Special Assignments Dr. Sarath Amunugama addresses the Daily FT-Colombo University MBA Alumni organised forum “Reforms: The Way Forward” yesterday. Keynote speaker LIRNEasia Chair Prof. Rohan Samarajiva, Colombo University MBAA President Lalith Sumanasiri, Daily FT Editor Nisthar Cassim and Reforms Forum Organising Committee co-chair Sarma Mahalingam are also present - Pic by Daminda Harsha Perera
- Dr. Sarath Amunugama tells Daily FT-Colombo Uni. MBA Alumni Reforms Forum that Govt. and private sector should focus on growth strategies that will leverage on the country’s geographical position
To fine tune the next round of reforms Sri Lanka has to find its comparative advantage to narrow down its competitive edge in a tough global environment said Special Assignments Minister Dr. Sarath Amunugama yesterday.
“Failure to do so will be Sri Lanka’s misfortune,” cautioned Dr. Amunugama in his address as the Chief Guest at the Daily FT- Colombo MBA Alumini Association organised full day forum titled “Reforms: The Way forward for Sri Lanka.”
Via one hour sessions and involving around 30 public and private sector leaders including Finance Minister Ravi Karunanayake and Labour Minister John Seneviratne, the Forum dealt with broader reform sectors such as Agriculture, Trade, Services and Industry - Ease of Doing Business, Financial Services, Labour and HR; and Public Sector/Public Enterprise.
DFCC Bank was the strategic partner for the Forum.
The veteran Minister Dr. Amunugama insisted that Sri Lanka also needed to develop its ports and airports as a way to connect itself to the rest of the world and make use of development taking place in neighbouring countries.
“Nearly all economies are facing challenging times. During the last decade Asia led global growth, largely due to growth in China and India as well as a few other countries such as Vietnam, Singapore and even Sri Lanka. One main factor of this growth is the fact that these countries could identify their comparative advantage,” he told the gathering of professionals.
Combining comparative advantage with a sound policy environment were the indispensible ingredients to a fast developing economy and these traits have been used by several other countries to leapfrog ahead, he added.
“A handful of countries in Asia, particularly East Asia understood how to maximise this advantage and use it to attract investment from around the world. China was perhaps the first country to identify their comparative advantage and connect it to a stable policy framework that resulted in massive and sustained growth.”
Having become the factory of the world China is now facing a different set of challenges to transition into sustainable growth patterns. The change has now pushed India to the forefront as the fastest growing economy in the world but thrown new problems to producing countries that depended on high commodity prices.
“We have come to the realisation that in this competitive environment it is impossible to compete on our primary exports such as rubber, tea and coconut because commodity prices have fallen. On the other hand we have industries such as tourism and IT but of all these the most obvious comparative advantage that Sri Lanka has is our geographical advantage.”
The Sri Lankan Government therefore would work to increase its advantage based on geographical location and strive to focus the economy along productive lines.
“No other country is in the middle of the Middle East and Far East. More than one third of global shipping goes by Sri Lanka. Our position is so strategic that all other major countries have a special interest in the Indian Ocean. Right next door we have the fastest growing economy in the world. To the south there is no landmass till the South Pole. We are comparatively good candidates for economic growth based on our geostrategic advantage. Our policies should make the best use of this undoubted advantage we have,” he insisted.
Winning with geographic vantage
Comments / 813 Views / Wednesday, 18 May 2016 00:49
1 4
Minister of Special Assignments Dr. Sarath Amunugama addresses the Daily FT-Colombo University MBA Alumni organised forum “Reforms: The Way Forward” yesterday. Keynote speaker LIRNEasia Chair Prof. Rohan Samarajiva, Colombo University MBAA President Lalith Sumanasiri, Daily FT Editor Nisthar Cassim and Reforms Forum Organising Committee co-chair Sarma Mahalingam are also present - Pic by Daminda Harsha Perera
- Dr. Sarath Amunugama tells Daily FT-Colombo Uni. MBA Alumni Reforms Forum that Govt. and private sector should focus on growth strategies that will leverage on the country’s geographical position
To fine tune the next round of reforms Sri Lanka has to find its comparative advantage to narrow down its competitive edge in a tough global environment said Special Assignments Minister Dr. Sarath Amunugama yesterday.
“Failure to do so will be Sri Lanka’s misfortune,” cautioned Dr. Amunugama in his address as the Chief Guest at the Daily FT- Colombo MBA Alumini Association organised full day forum titled “Reforms: The Way forward for Sri Lanka.”
Via one hour sessions and involving around 30 public and private sector leaders including Finance Minister Ravi Karunanayake and Labour Minister John Seneviratne, the Forum dealt with broader reform sectors such as Agriculture, Trade, Services and Industry - Ease of Doing Business, Financial Services, Labour and HR; and Public Sector/Public Enterprise.
DFCC Bank was the strategic partner for the Forum.
The veteran Minister Dr. Amunugama insisted that Sri Lanka also needed to develop its ports and airports as a way to connect itself to the rest of the world and make use of development taking place in neighbouring countries.
“Nearly all economies are facing challenging times. During the last decade Asia led global growth, largely due to growth in China and India as well as a few other countries such as Vietnam, Singapore and even Sri Lanka. One main factor of this growth is the fact that these countries could identify their comparative advantage,” he told the gathering of professionals.
Combining comparative advantage with a sound policy environment were the indispensible ingredients to a fast developing economy and these traits have been used by several other countries to leapfrog ahead, he added.
“A handful of countries in Asia, particularly East Asia understood how to maximise this advantage and use it to attract investment from around the world. China was perhaps the first country to identify their comparative advantage and connect it to a stable policy framework that resulted in massive and sustained growth.”
Having become the factory of the world China is now facing a different set of challenges to transition into sustainable growth patterns. The change has now pushed India to the forefront as the fastest growing economy in the world but thrown new problems to producing countries that depended on high commodity prices.
“We have come to the realisation that in this competitive environment it is impossible to compete on our primary exports such as rubber, tea and coconut because commodity prices have fallen. On the other hand we have industries such as tourism and IT but of all these the most obvious comparative advantage that Sri Lanka has is our geographical advantage.”
The Sri Lankan Government therefore would work to increase its advantage based on geographical location and strive to focus the economy along productive lines.
“No other country is in the middle of the Middle East and Far East. More than one third of global shipping goes by Sri Lanka. Our position is so strategic that all other major countries have a special interest in the Indian Ocean. Right next door we have the fastest growing economy in the world. To the south there is no landmass till the South Pole. We are comparatively good candidates for economic growth based on our geostrategic advantage. Our policies should make the best use of this undoubted advantage we have,” he insisted.
Winning with geographic vantage
Comments / 813 Views / Wednesday, 18 May 2016 00:49
1 4
Minister of Special Assignments Dr. Sarath Amunugama addresses the Daily FT-Colombo University MBA Alumni organised forum “Reforms: The Way Forward” yesterday. Keynote speaker LIRNEasia Chair Prof. Rohan Samarajiva, Colombo University MBAA President Lalith Sumanasiri, Daily FT Editor Nisthar Cassim and Reforms Forum Organising Committee co-chair Sarma Mahalingam are also present - Pic by Daminda Harsha Perera
- Dr. Sarath Amunugama tells Daily FT-Colombo Uni. MBA Alumni Reforms Forum that Govt. and private sector should focus on growth strategies that will leverage on the country’s geographical position
To fine tune the next round of reforms Sri Lanka has to find its comparative advantage to narrow down its competitive edge in a tough global environment said Special Assignments Minister Dr. Sarath Amunugama yesterday.
“Failure to do so will be Sri Lanka’s misfortune,” cautioned Dr. Amunugama in his address as the Chief Guest at the Daily FT- Colombo MBA Alumini Association organised full day forum titled “Reforms: The Way forward for Sri Lanka.”
Via one hour sessions and involving around 30 public and private sector leaders including Finance Minister Ravi Karunanayake and Labour Minister John Seneviratne, the Forum dealt with broader reform sectors such as Agriculture, Trade, Services and Industry - Ease of Doing Business, Financial Services, Labour and HR; and Public Sector/Public Enterprise.
DFCC Bank was the strategic partner for the Forum.
The veteran Minister Dr. Amunugama insisted that Sri Lanka also needed to develop its ports and airports as a way to connect itself to the rest of the world and make use of development taking place in neighbouring countries.
“Nearly all economies are facing challenging times. During the last decade Asia led global growth, largely due to growth in China and India as well as a few other countries such as Vietnam, Singapore and even Sri Lanka. One main factor of this growth is the fact that these countries could identify their comparative advantage,” he told the gathering of professionals.
Combining comparative advantage with a sound policy environment were the indispensible ingredients to a fast developing economy and these traits have been used by several other countries to leapfrog ahead, he added.
“A handful of countries in Asia, particularly East Asia understood how to maximise this advantage and use it to attract investment from around the world. China was perhaps the first country to identify their comparative advantage and connect it to a stable policy framework that resulted in massive and sustained growth.”
Having become the factory of the world China is now facing a different set of challenges to transition into sustainable growth patterns. The change has now pushed India to the forefront as the fastest growing economy in the world but thrown new problems to producing countries that depended on high commodity prices.
“We have come to the realisation that in this competitive environment it is impossible to compete on our primary exports such as rubber, tea and coconut because commodity prices have fallen. On the other hand we have industries such as tourism and IT but of all these the most obvious comparative advantage that Sri Lanka has is our geographical advantage.”
The Sri Lankan Government therefore would work to increase its advantage based on geographical location and strive to focus the economy along productive lines.
“No other country is in the middle of the Middle East and Far East. More than one third of global shipping goes by Sri Lanka. Our position is so strategic that all other major countries have a special interest in the Indian Ocean. Right next door we have the fastest growing economy in the world. To the south there is no landmass till the South Pole. We are comparatively good candidates for economic growth based on our geostrategic advantage. Our policies should make the best use of this undoubted advantage we have,” he insisted.
gggg with geographic vantage
Comments / 813 Views / Wednesday, 18 May 2016 00:49
1 4
Minister of Special Assignments Dr. Sarath Amunugama addresses the Daily FT-Colombo University MBA Alumni organised forum “Reforms: The Way Forward” yesterday. Keynote speaker LIRNEasia Chair Prof. Rohan Samarajiva, Colombo University MBAA President Lalith Sumanasiri, Daily FT Editor Nisthar Cassim and Reforms Forum Organising Committee co-chair Sarma Mahalingam are also present - Pic by Daminda Harsha Perera
- Dr. Sarath Amunugama tells Daily FT-Colombo Uni. MBA Alumni Reforms Forum that Govt. and private sector should focus on growth strategies that will leverage on the country’s geographical position
To fine tune the next round of reforms Sri Lanka has to find its comparative advantage to narrow down its competitive edge in a tough global environment said Special Assignments Minister Dr. Sarath Amunugama yesterday.
“Failure to do so will be Sri Lanka’s misfortune,” cautioned Dr. Amunugama in his address as the Chief Guest at the Daily FT- Colombo MBA Alumini Association organised full day forum titled “Reforms: The Way forward for Sri Lanka.”
Via one hour sessions and involving around 30 public and private sector leaders including Finance Minister Ravi Karunanayake and Labour Minister John Seneviratne, the Forum dealt with broader reform sectors such as Agriculture, Trade, Services and Industry - Ease of Doing Business, Financial Services, Labour and HR; and Public Sector/Public Enterprise.
DFCC Bank was the strategic partner for the Forum.
The veteran Minister Dr. Amunugama insisted that Sri Lanka also needed to develop its ports and airports as a way to connect itself to the rest of the world and make use of development taking place in neighbouring countries.
“Nearly all economies are facing challenging times. During the last decade Asia led global growth, largely due to growth in China and India as well as a few other countries such as Vietnam, Singapore and even Sri Lanka. One main factor of this growth is the fact that these countries could identify their comparative advantage,” he told the gathering of professionals.
Combining comparative advantage with a sound policy environment were the indispensible ingredients to a fast developing economy and these traits have been used by several other countries to leapfrog ahead, he added.
“A handful of countries in Asia, particularly East Asia understood how to maximise this advantage and use it to attract investment from around the world. China was perhaps the first country to identify their comparative advantage and connect it to a stable policy framework that resulted in massive and sustained growth.”
Having become the factory of the world China is now facing a different set of challenges to transition into sustainable growth patterns. The change has now pushed India to the forefront as the fastest growing economy in the world but thrown new problems to producing countries that depended on high commodity prices.
“We have come to the realisation that in this competitive environment it is impossible to compete on our primary exports such as rubber, tea and coconut because commodity prices have fallen. On the other hand we have industries such as tourism and IT but of all these the most obvious comparative advantage that Sri Lanka has is our geographical advantage.”
The Sri Lankan Government therefore would work to increase its advantage based on geographical location and strive to focus the economy along productive lines.
“No other country is in the middle of the Middle East and Far East. More than one third of global shipping goes by Sri Lanka. Our position is so strategic that all other major countries have a special interest in the Indian Ocean. Right next door we have the fastest growing economy in the world. To the south there is no landmass till the South Pole. We are comparatively good candidates for economic growth based on our geostrategic advantage. Our policies should make the best use of this undoubted advantage we have,” he insisted.
Winning with geographic vantage
Comments / 813 Views / Wednesday, 18 May 2016 00:49
1 4
Minister of Special Assignments Dr. Sarath Amunugama addresses the Daily FT-Colombo University MBA Alumni organised forum “Reforms: The Way Forward” yesterday. Keynote speaker LIRNEasia Chair Prof. Rohan Samarajiva, Colombo University MBAA President Lalith Sumanasiri, Daily FT Editor Nisthar Cassim and Reforms Forum Organising Committee co-chair Sarma Mahalingam are also present - Pic by Daminda Harsha Perera
- Dr. Sarath Amunugama tells Daily FT-Colombo Uni. MBA Alumni Reforms Forum that Govt. and private sector should focus on growth strategies that will leverage on the country’s geographical position
To fine tune the next round of reforms Sri Lanka has to find its comparative advantage to narrow down its competitive edge in a tough global environment said Special Assignments Minister Dr. Sarath Amunugama yesterday.
“Failure to do so will be Sri Lanka’s misfortune,” cautioned Dr. Amunugama in his address as the Chief Guest at the Daily FT- Colombo MBA Alumini Association organised full day forum titled “Reforms: The Way forward for Sri Lanka.”
Via one hour sessions and involving around 30 public and private sector leaders including Finance Minister Ravi Karunanayake and Labour Minister John Seneviratne, the Forum dealt with broader reform sectors such as Agriculture, Trade, Services and Industry - Ease of Doing Business, Financial Services, Labour and HR; and Public Sector/Public Enterprise.
DFCC Bank was the strategic partner for the Forum.
The veteran Minister Dr. Amunugama insisted that Sri Lanka also needed to develop its ports and airports as a way to connect itself to the rest of the world and make use of development taking place in neighbouring countries.
“Nearly all economies are facing challenging times. During the last decade Asia led global growth, largely due to growth in China and India as well as a few other countries such as Vietnam, Singapore and even Sri Lanka. One main factor of this growth is the fact that these countries could identify their comparative advantage,” he told the gathering of professionals.
Combining comparative advantage with a sound policy environment were the indispensible ingredients to a fast developing economy and these traits have been used by several other countries to leapfrog ahead, he added.
“A handful of countries in Asia, particularly East Asia understood how to maximise this advantage and use it to attract investment from around the world. China was perhaps the first country to identify their comparative advantage and connect it to a stable policy framework that resulted in massive and sustained growth.”
Having become the factory of the world China is now facing a different set of challenges to transition into sustainable growth patterns. The change has now pushed India to the forefront as the fastest growing economy in the world but thrown new problems to producing countries that depended on high commodity prices.
“We have come to the realisation that in this competitive environment it is impossible to compete on our primary exports such as rubber, tea and coconut because commodity prices have fallen. On the other hand we have industries such as tourism and IT but of all these the most obvious comparative advantage that Sri Lanka has is our geographical advantage.”
The Sri Lankan Government therefore would work to increase its advantage based on geographical location and strive to focus the economy along productive lines.
“No other country is in the middle of the Middle East and Far East. More than one third of global shipping goes by Sri Lanka. Our position is so strategic that all other major countries have a special interest in the Indian Ocean. Right next door we have the fastest growing economy in the world. To the south there is no landmass till the South Pole. We are comparatively good candidates for economic growth based on our geostrategic advantage. Our policies should make the best use of this undoubted advantage we have,” he insisted.