Letter To President On Strategic Development Projects
By Chandra Jayaratne -November 20, 2013 |
Chandra Jayaratne
H.E. Mahinda Rajapaksa,
The President & Hon. Minister of Finance & Planning,
Presidential Secretariat,
Janadhipathi Mawatha,
Colombo 1.
Your Excellency,
Strategic Development Projects
This intervention is made in a spirit of democratic engagement in pursuit of transparency and good governance Sri Lanka.
I write with reference to the government policy on identification of viable foreign direct investments (FDI’s) for the promotion of strategic development projects in Sri Lanka and the Cabinet’s rationale and basis for assessing the viability of such projects for the grant of tax benefits and concessions, in terms of the Strategic Development Projects Act No.14 of 2008.
Current economic models advocate the importance of a more holistic approach to FDI. It is believed that sustainable FDI can only be achieved through projects that yield profits sufficient to maintain effective corporate engagement without harming vital host country interests while producing positive net benefits for the country’s long-term development goals, all as evaluated on prioritized economic, environmental, social and governance indicators. In this context, it is considered vital to identify an effective approach to attract prospective investors and to assess a suitable methodology for seeking sustainable FDI to maximize the benefits and minimize the costs to the host country.
Additionally, it is also considered essential to ensure broad participation and transparency in selecting national and regional development priorities to evaluate an FDI which is in keeping with the government’s inclusive approach to development.
In context of the above parameters for the evaluation of FDI, it would be incumbent upon the government to provide the public with the rationale and basis for evaluation of the proposed FDI funded ‘mixed development project to set up an operate an Integrated Resort’ and a locally funded ‘ICONIC integrated resort’ referred to in the government gazettes No; 1829/24 and 1829/23 of 23rd September 2013(now withdrawn), both of which include the approval for operation of Casinos. They are identified as strategic development projects justified on the grounds of earning foreign exchange through tourism promotion.Read More
