I am also close to the President

PB tells Minister Weerawansa:

by Zacki Jabbar-March 1, 2013

Treasury Secretary Dr. P. B. Jayasundera, who has incurred the wrath of Minister Wimal Weerawansa over alleged fund cuts fired a salvo against the latter.

"I am also close to the President," the Treasury Chief shot back when asked why Minister Wimal Weerawansa kept on blaming him for the state of the economy.

Jayasundera’s comments came during an interaction with the Foreign Correspondents Association in Colombo earlier this week.

"To begin with, I am not under fire as claimed in certain quarters," he said adding "I am confidently commanding my job."

When pointed out that the Minister, who was criticising him, was a confidante of President Mahinda Rajapaksa, the Treasury Secretary replied "I am also close to the President". Asked why he had been singled out for blame, Dr. Jayasundare said with a shrug, "That is politics."

However, Jayasundera admitted that as a person who had been involved in the preparation of budgets for around 20 years, he had to take part of the responsibility.

The government was committed to maintaining the budget deficit at 5.8 per cent of GDP this year. The economy was expected to grow at nearly 7.5 percent while inflation would reach eight per cent on improving food supplies, the Treasury Chief claimed, noting that the trade deficit could be kept at manageable levels with US$ 6 billion expected in foreign remittances and US$ 3 billion in tourist sector earnings

Ruling out further high interest foreign commercial borrowing, the Treasury Secretary said that local banks should be encouraged to generate their own funds.

Critical reforms were required in the state enterprises, encompassing procurement, human resources, management and pricing. By addressing the problems faced by the Ceylon Electricity Board and Ceylon Petroleum Corporation, the State Banks could be strengthened, he noted.

NFF asks logic of those who criticised economy to now defend Dr. PB

by Shamindra Ferdinando -March 1, 2013

The National Freedom Front (NFF) yesterday charged that those who had been severely critical of the economy were now spearheading the defense of Treasury Secretary Dr. P. B. Jayasundera.

Addressing the media at the party headquarters, politburo member Piyasiri Wijenayake pointed out the absurdity of those, critical of the situation on the economic front, coming to the rescue of the very person whom they held responsible for the crisis. Former Cultural Affairs Minister of the PA-JVP ‘parivasa’ government said that UNP economic experts and the likes of the JVP MP Sunil Handunetti had become the staunchest supporters of Dr. Jayasundera.

Wijenayake reiterated NFF leader Wimal Weerawansa’s allegation that Dr. Jayasundera was the cause of the deepening economic crisis. An irate Wijenayake alleged that a section of the print media had been prevented from publishing interviews given by Minister Weerawansa. The public had a right to know what was going on in the country, Wijenayake said, alleging that the media couldn’t even publish an interview given by a minister.

Although the need to obtain foreign loans couldn’t be disputed it was the responsibility on the part of the government to utilize them prudently, Wijenayake said. Unfortunately as much as 75 per cent of loans obtained by the government had been used on infrastructure development projects and only a fraction spent to increase Gross Domestic Product, he said.Wijenayake alleged that the debt ridden CEB and CPC were heavy burdens on the two major state banks. Warning that the government no longer could turn a blind eye to the deepening crisis, Wijenayake urged the President to take remedial action without further delay.

The former JVPer called on the media to take up the issue and expose those conspiring to undermine post-war economic and political stability.

Commenting on the Global Tamil Front (GTF) reiterating its call for an international war crimes inquiry, at a conference held in the British parliament on February 27, Wijenayake said that the LTTE and its western backers had failed to bring Sri Lankan leaders to their knees. But the failure on the part of President Rajapaksa to intervene to change the direction of the post-war economy could lead to chaos, he said.

Wijenayake explained the circumstances under which Dr. Jayasundera was continuing as Treasury Chief in spite of being faulted by the Supreme Court in a controversial case. The NFF official said that the country could still be ruined, though the LTTE was defeated. The sacrifices made by security forces would be in vain, he said.