SINHALA REGIME FACING BANKRUPTCY!!! BUT WANT TO CONTINUE GENOCIDAL WAR!!!

Govt. facing bankruptcy: UNP

By Yohan Perera

The main opposition UNP yesterday charged the government had admitted that Sri Lanka’s economy was badly hit by the global economic recession and that was why the proposed financial Bills including the Nation Building Tax Bill and the Default Taxes Special Provisions Bill were introduced.

UNP front-liner Ravi Karunanayake told a news conference the government members of the Parliamentary Consultative Committee on Finance had expressed these views at the committee meeting held yesterday.

He charged that the anticipated revenue from the new Nation Building Tax amounting to Rs.34 billion was to be credited to the consolidated fund to be used for the day-to-day state expenditure and not for development purposes.

“Therefore it is clear the government is facing a financial crisis and lacks funds for day-to-day expenses,” he said.

Mr. Karunanayake said Central Bank Governor Ajith Niward Cabral was summoned to the consultative committee meeting yesterday and when questioned by the UNP denied making a statement that Sri Lanka would not be affected by the global economic crisis.

He charged that there was a move to seek parliament approval for further loans of up to Rs.150 billion shortly from various sources in addition to the US$1.9 billion stand by facility sought from the IMF.

Mr. Karunanayake challenged the government to publicize the IMF conditions for the loan and said the rupee devaluation had already taken place with the US$ which was at Rs.110 ten days ago had risen to Rs.116 today.

“It seems the government has silently heeded the IMF request to devalue the rupee,” he claimed.

With regard to the Default Taxes Special Provisions Bill Mr. Karunanayake said the government was doing the same thing which the UNP did through the Tax Amnesty Bill though the party was criticized by those governing the country today.

He said the Bill had been introduced by the government to write off tax arrears of more than 30 government institutions.
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