“We must give due respect to the fact that the economy has performed at 8% growth, which is not easy in today’s global economic scenario,” he says.

While national confidence abounds, the government is monitoring events around the world. However, there are no expectations of a serious impact on the economy due to further global recession thanks to a diversified exports base.

Dr. Jayasundera elaborates: “Our core investments address an increasing demand for expansion. Public investments during the past five years have begun to pay dividends and the economy has lurched forward very rapidly.” However, as Sri Lanka aims to maintain its impressive growth, there is still room for accelerated investment flows.

Greater participation by institutional and foreign investors will further add maturity and depth to the domestic stock exchange. Key points addressed by the budget include: creating a conducive climate for private investments; boosting rural infrastructure development; fulfilling demand for skilled labor; and re-oriented education to move hand-in-hand with demand-driven sectors.