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Continuity and consistency of government policy with regard to all investment in general is of vital importance to ensure steady investment and a stable export environment, said Prof. G. L. Peiris - Minister of Enterprise Development, Industrial Policy and Investment Promotion, and Constitutional Affairs, addressing a gathering at the 23rd anniversary of the Sri Lanka Export Credit Insurance Corporation (SLECIC) as chief guest on this occasion.

"In the recent past, decisions have been made in ad-hoc manner, which was indeed a disincentive to investors. Investors who come in to Sri Lanka on pre-designed projects after a while would find rather dramatic shifts in government policy e.g. tariff policy, etc. The need for consistency and continuity of government policy on the basis of solemn assurances given to prospective investors by the government, is very intensely felt today for sound investment and stimulation of steady export growth," said the minister.

SLECIC, coming under this ministry, is a member of the International Union of Credit and Investment Insurers (Berne Union) on the way towards servicing medium and long-term exports with foreign investments made overseas. It boasts of 4,472 guarantees to the value of Rs. 6,961 million issued and Rs. 180 million paid as claims under both insurance policies and guarantee schemes, with 1,110 policies to the value of 6,506 million issued to exporters to face strong competition in the world markets.

Speaking further the minister stated, "The fundamental problem of public policy is that it has not been formulated to interact the functions of Ministries and statutory corporations. All government institutions are doing very valuable work but with no proper linkage for collective output. The problem to be addressed is policy has to be formulated and implemented in each of these sectors to function in the spirit of harmony and complementarity. Together with proper fiscal and monetary policies, this would definitely contribute immensely towards creating a proper and conducive macro-economic environment for exports as well.

For proper collaboration and cooperation between and among ministries, restructuring of institutions should take place from time to time. The Prime Minister's concept to overcome all shortcomings and drawbacks arising out of bottlenecks and red tape is to develop a sectoral approach. For this purpose there will be five economic and industrial zones for Sri Lanka with the objective of stimulating export promotion. This approach gives over powers to regional entities, with a Zonal Commission monitoring and integrating activities. By this it is hoped to identify the priorities to serve the rural and make opportune changes from time to time.

In view of the poor conditions and inadequate remunerations, once again the need is for a proper set of policies. We have to concentrate on new technology and the general upgrading of quality. It is a fact that the strength of a country depends on its human resources. This has to be done bearing in mind mainly the apparel sector which contributes 53% of the total export earnings. We have to have quality human resources. We have to upgrade our skills in all the sectors for the well-being of our exports and the well-being of our economy. We have to ultimately compete on our own merits. We could do this only by a properly structured programme of training.

The most important development that is taking place at the moment is the prospect of peace, tranquillity and harmony in the country, without which nothing can go on. For smooth resolution of the ethnic conflict the government is working round the clock.

Considerable progress has been achieved with regard to formulation of terms and conditions which are to be incorporated in the final peace agreement. The chances of success I would say, is greater than in the recent past.

Already there is an upsurge of economic activity in and around the North-East area. After years the Vavuniya/Trincomalee road will be opened, Vavuniya/Mannar highway will be opened and the Kandy/Jaffna road too will be opened up to a certain point, subject to security conditions. Our work has resulted in tremendous hope where one of the most heartening sights was the army and the LTTE together working on de-mining in the Omanthai area.

All in all, a deep sense of commitment on the part of all political parties is needed to address together the task of building up the nation and placing it in a coherent environment." 

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