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State Priorities
National Interests
New Economic Leap
Among the Top 50 in Social Progression
Environmental Sustainability
Innovation
Public Sector Optimisation
Transformation of the Agriculture Sector
Manufacturing Sector Value Creation
Innovation in the Service Sector
Investment
Capital for Entrepreneurs
Human Resource Enrichment
Research for Commercial Value
Investment in Infrastructure
Freedom
Expanding Economic Freedom
Protecting Political Freedom
Caring for Cultural Freedom
Respecting Religious Freedom
State Priorities 1. State Priorities

1.1 National Interests


Sri Lanka is a Free, Sovereign and Independent Democratic Socialist Republic. In other words, the sovereignty of the state lies with its people.

Whether you are a Sinhala, Tamil, Muslim, Malay, Burgher, or Vedi, every citizen of the republic shares equal ownership and right to rule this state.

We strongly believe that all development plans and programmes must necessarily aim to protect the national interests of the republic.

Protection of the Unitary State
During the Mahinda Chinthana Decade, separatist terrorism was defeated, and the age-old unitary state of the republic was preserved. However, there are still some separatist political groups acting against the republic. As it has always been, our main policy is to protect the republic from such dangers by implementing all necessary security measures.
Equally friendly yet Non-aligned Foreign Policy
Located at a strategically important position along the naval and air routes connecting the global East and West, foreign states have always affected our country in many ways. And as a relatively small economy exposed to the global economy, we are also affected by the international market dynamics. As always, our policy will be to stand independent without aligning ourselves with any foreign state or global camp but keep equally friendly international relations with all states. Any attempt by any foreign state to intervene in our internal affairs will be promptly prevented thereby preserving our independence.
Protecting the Constitutional Rights
The Constitution is the social contract which enforces the sovereignty of the people, including human rights. Therefore, we are all bound to protect the Constitution. Any person or group that has been found guilty of violating constitutional rights will be brought to justice by upholding the rule of law.
A life without fear
As much as we secure the republic, we must also ensure the internal security of the state. Our policy is to take all necessary measures to protect the people so that they can live without fear. All state intelligence and security forces will undergo a complete review, and any weaknesses identified will be promptly resolved. Suitable personnel will be appointed to relevant positions and the safety of the citizens as well as the foreigners in Sri Lanka will be assured. We will strictly not allow any form of suppression, humiliation or violence against any ethnic, religious, or political groups. All possible actions will be taken to prevent violence against women or children, while the law will be upheld strictly and promptly in all such cases. Zero tolerance policy will be applied in the events of terrorism, the underworld and narcotics.
Protecting Representative Democracy
The equal sovereignty held by the citizens of the republic is practically realised through Representative Democracy. It is done by electing representatives to the legislature and the executive institutions in free and fair elections. The culture of election corruption and post-election violence which existed before 2005 was brought to an end during the Mahinda Chinthana Decade, thereby protecting the franchise of the citizens. Our policy is to strengthen that freedom even more.
Protecting and nurturing the Buddha Sasana
Our civilisation which has a historical development of over two and a half millennia was founded upon the principles of Buddha Dharma. Noble values such as equal kindness to all animals, tolerance in both happiness and sadness, truthfulness in all cases and even the principles of governance such as “Dasa Raja Dharma” are all imparted to us through Buddha Sasana. The historical heritage that marvels the visitors and the philosophical knowledge base of the Theravada tradition was gifted to the world through the Buddha Sasana. We shall respect the freedom to hold any religious belief by any citizen not just as a constitutional clause but also by the Bauddha principle. We are bound to protect the religious freedom of all citizens. To protect and nurture the Buddha Sasana, we plan to enrich the young monks with Bauddha Philosophy and proficiency in English, French, German, Korean, and Italian languages in addition to the oriental languages as well as with information and communications technology. We believe that this is the way to take the Buddha Dharma to the future world. We plan to train 5,AA192A monks in the first phase. Every temple will be completed with the essential facilities while a special medical insurance scheme has been planned for the elderly monks who have dedicated their lives to the Sasana. There will also be a special programme to support the parents of the monks. Efforts will be made to control the threats to the Tripitaka Dharma and protect the scripture of Sri Saddharma for future generations.
1.2 New Economic Leap


Below are our policy targets to stabilise the economy and bring about long-term economic growth during the next decade.

GDP Target
Our target for the next decade is to raise Sri Lanka’s Gross Domestic Product to over US$ 180 billion. Accordingly, the Per Capita GDP is expected to cross the US$ 8,000 boundary. The agriculture sector contribution to the GDP will be increased to 10%, while we expect the manufacturing sector contribution to move to 25%. The largest contribution to the GDP of 65% is planned from the services sector in the next decade. This is the three-pronged economic growth we envision.
Strong Foreign Reserves
We will raise the currently depleted foreign reserves to be sufficient for more than six months of imports to maintain a stable economy and to face future emergencies.
National Emergency Fund
A permanent Rupee Savings Reserve will be built to face events of national emergencies. A certain percentage of the annual income will be allocated to this fund.
Stable Rupee
Our policy is to maintain the rupee at a stable value against the dollar through the growth of GDP, remittances, and tourism earnings along with effective management of the trade balance and foreign debt.
Inflation at lower single digit
The YoY economic growth rate will be maintained at an average of 7%, while a comprehensive strategic action plan will be implemented to reduce the increase in cost of living.
Achieving Positive Trade Balance
The difference between the export income and the import expenditure has not been positive under any government since 1977. Our policy aims to bring it to a positive value within the next decade.
Government Revenue Up - Expenditure Controlled
Our policies are to maintain financial discipline to cover the annual deficit between the government income and expenditure and reduce wastage while transparently managing the budget approved at the beginning of the year. While meeting state revenue targets we will gradually revise the indirect taxes on consumer goods and taxes on wages to provide relief to the people. While increasing the number of individuals and businesses paying income tax, the existing number of different types of taxes will be reduced and a much simpler tax system will be introduced. Government expenditures will be made public transparently and will act to maximise efficiency from every rupee spent.
Debt-servicing Economy
Our policy target is to gradually reduce public debt to 80% of GDP by building an economy capable of repaying all types of loans as quickly as possible. A country with a small economy like ours has to borrow in a planned manner for development activities that the people expect. However, such developments should essentially accrue benefits to the people. People have already received significant benefits from the infrastructure built during the Mahinda Chinthana Decade. Our policy is to continuously develop those assets and generate benefits more effectively.
Solution to Unemployment
The sustainable solution to the economic crisis is to provide high-paying job opportunities to our workforce. The lowest unemployment rate in our history (4%) was recorded during the Mahinda Chinthana Decade. Job creation and workforce training is one of our key economic policies for the next decade. Priority will be given to provide jobs in highly demanded sectors such as but not limited to Health, Construction, Education and Training, Software Engineering, Data Analytics, Cyber ​​Security, e-commerce, Product Design, Digital Design Marketing, and to provide tax concessions and investment facilities for job-creating businesses and relevant training institutions. Our target is to reduce the number of unemployed people in the labour force to less than 2%, while not letting the underemployed rate reach higher than a low single digit. Arrangements will be made to provide job opportunities to all the graduates. Since one of our priorities is to increase the remittance income and to give Sri Lankan workers the global experience, we will prioritise directing them to high-level foreign jobs. Also, arrangements will be made for internationally recognised skills certifications necessary for local jobseekers to secure jobs abroad.
Policy Rates at single digit
Our policy target is to maintain interest rates at a single-digit value through budget deficit management and the growth of GDP.
1.3 Among the Top 50 in Social Progression


The internationally recognised method to measure the social development of a country is the United Nations, Human Development Index (HDI).

HDI is based on three key social aspects namely, Health, Education and Standard of Living. Sri Lanka has always been ahead in terms of social development because of the free health and free education policies supplemented by wide social security programmes.

Sri Lanka is currently ranked 78th out of 193 countries and belongs to the “high” human development category in the world. The highest growth in this regard occurred during the Mahinda Chinthana Decade.

Our policy target is to enter the “Very High” category and be among the first 50 countries in the next decade. Our main social development policy targets are as follows:

Healthy and Safe Lives
A high value of life expectancy at birth, which is the main measure of people's health, shows that a country's health policy and its standards are at a high level. The main reasons for the already high life expectancy in Sri Lanka are free health services, balanced work-life and the natural environment which is less polluted than many other countries. It is our main policy to develop targeted public healthcare facilities in such a way that the life expectancy in Sri Lanka will grow from 74 to 76 years for men and 80 to 82 years for women in the next decade.
Decent Living Standard
The third aspect of social development is the standard of living of the people. Access to clean and nutritious food, health, liveable housing, decent job opportunities, entertainment and security are the hallmarks of a high standard of living. The higher the per capita Gross National Income, the higher the standard of living of the people. Therefore, in the next decade, efforts will be made to raise the per capita gross national income to the level of a developed country. This correlates with the above economic growth targets.
New Age Education
Proper education is essential for the development of a society. The ethical thinking required for a civilised society and the scientific knowledge, and technical skills required for economic growth are acquired through formal education and applied learning. It is our main policy to update and expand opportunities for formal education by innovating syllabi, teaching methods and teaching media to achieve these objectives. To achieve the HDI target we will work to increase the average time spent in formal education in school as well as after leaving school. This does not mean that the time spent in school will be extended. This means increasing the total time spent in formal education even after leaving school and while working. The more time spent in formal education, the more successful individuals become.
1.4 Environmental Sustainability
The environment, including clean air, lush greenery, clean water, fertile soil and wildlife, is the beating heart of any country. Therefore, the environment should be protected and enhanced, while limiting pollution.

Just as human activities have negative effects on the environment, those effects will in turn have negative effects on humans.

Emissions from the burning of fossil fuels to generate energy for industry and transportation have increased the global temperature and drastically changed the climate. This is the reason for the irregularity of the natural rains. It has already caused major issues for traditional farming and people's everyday lives.

Therefore, economic growth and social development should be done while minimising the damage to ecological sustainability. If not, all development will be in vain like the house that you built getting swept away by the flood.

Optimising Natural Resources
With a relatively small land area, Sri Lanka has limited natural resources. We so far haven’t found any fossil fuels like coal, crude oil or gas. Therefore, it is our main policy to make more use of our natural resources such as water, sunlight and wind to generate the necessary energy to achieve the above economic and social development goals. This will gradually reduce our dependence on fossil fuel imports. The soil is becoming barren in some areas due to over-cultivation for a long time. It is our policy to constantly maintain soil fertility to increase agricultural output essential for the above economic and social development goals. Many farmers did not approve of the measures taken to prevent the use of synthetic fertiliser and agrochemicals that contain toxins harmful to the human body. We have also stated above that agricultural production will be increased for economic growth targets. Therefore, it may not be possible to prevent the use of synthetic chemicals at present. There is a risk of rapid depletion of underground mineral resources such as gems, graphite, quartz, mineral sand, limestone, phosphate, and sea sand. Steps will be taken to carry out mining industries in a more formal and environmentally friendly manner so that these resources can be maintained over a long period. One of the most valuable natural resources on the surface of Sri Lanka is our forest cover. It is one of the reasons for the high health status of the people as it contributes to the clean air which we all breathe. Therefore, our policy is to optimise the already used lands more efficiently without clearing more forests simply for the sake of economic growth.
Animal Welfare
Animals also share the same Earth that humans live in. So, we recognise their right to the natural environment and will guarantee their rights. It is our policy to protect endangered animals. Wildlife is a major tourist attraction in Sri Lanka. Therefore, economic and social activity will be done in such a way as not to harm the natural environment where those animals live. Instead of putting animals' lives at risk, investments will be made in innovations that can solve the issue of crop damage from wild animals. A joint mechanism with anti-cruelty organisations will be set up for the protection of free-living, abandoned and injured animals.
Carbon Credit
Compared to some other countries, Sri Lanka has a low carbon footprint. We believe that Sri Lanka deserves specific benefits from the big polluters of the world. A special mechanism will be implemented in this regard at the diplomatic level.
Minimal Environmental Damage
We have stated above that industrial production will be increased as per the economic growth targets. This will increase the production of industrial waste which will pollute the environment even more. Therefore, investment priority will be given to innovations that can minimise the solid, liquid and gaseous waste emitted by industries. Due to plastic waste, the rivers, canals, dams, and oceans around the country have been heavily polluted. As a result, the water has become unsuitable not only for human consumption but also for marine animals. As a result, tourism attraction is also lost, adversely affecting the economy. Therefore, investments will be made in innovative enterprises that can produce environmentally friendly substitutes for plastics, and in innovative waste management and recycling businesses.
Approvals for Development
Investment-led development projects need to be implemented in the country for the economic growth expected by the people. Often the obstacle in such cases is the time and cost of environmental reports and approvals. Therefore, relevant government services will be integrated using ICT in such a way that environmental standards and recommendations that can be practically met by investors are designed and made available in advance, which will then be checked and approved rapidly.