Sri Lanka may consider lifting the import ban of motor vehicles next year as the country’s economic situation is improving with foreign reserves almost reaching USD 5 billion, said Chief of Staff to the President, Sagala Ratnayake.
“As the country’s economic landscape has improved, the ‘would be’ import bill for motor vehicles is not a big amount that the country should worry about. “But our concern is the protection of the local motor industry which is now making great progress.”
He told a press conference on Wednesday, that the Government may give preference towards the import of Green vehicles. “However, the local infrastructure should be developed first, as one doesn’t see many charging stations in and outside Colombo.”
He said that in Singapore there is a permit system and when a vehicle is over ten years old it is re-exported which ensures that a new vehicle fleet remains in the country. “Sri Lanka too has to follow a similar model for the motor industry.”
Ratnayake said that the high earning tourism industry is given all the assistance as it is being identified as an industry that could take the country to the next level.
The Government has already given permission to import 750 vans and 250 buses to be used for the tourism industry.
Similarly, the maritime sector too has been identified as a key area and this is the reason the Government is investing millions of dollars to upgrade and expand them. “The current geo-politics involving the Red Sea has already given the Port more business and revenue.”
He said that the proposed bridge between India and Sri Lanka too would be a major game changer for Sri Lanka’s economy as it will create more commodities to flow between the two countries.
“This will certainly help reduce some of the food prices in Sri Lanka and create more employment opportunities.”
Ratnayake said that the tax revenue collection is on track and the Government may soon explore the possibility of increasing the Rs. 100,000 tax threshold to a higher level.
