Rupee appreciated due to contraction of economy: AKD

Claiming that the country could not be developed only through the appreciation of the rupee against the US Dollar, National People's Power MP Anura Kumara Dissanayake said yesterday an overall transformation was needed to develop the country.

Speaking at a rally in Gampaha, he said the rupee appreciated just because the demand for the US Dollar has reduced due to the contraction of the economy, ban on imports and not because the Dollar supply has gone up.

"The value of the rupee against the US Dollar is decided based on the demand and supply for the US Dollar. The rupee has appreciated not because the Dollar supply has gone up but because the demand for Dollar has gone down due to import ban and contraction of the economy. The export revenue in January 2023 has reduced to USD 978 million when compared to USD 1102 million in January 2022. However, the imports have reduced to USD 1387 million in January 2023 when compared to USD 1959 million in January 2022," he said.

Dissanayake said the economy should be developed to suit the transformation and added that export revenue should be increased, new markets should be identified and export of value added goods should be promoted instead of exporting raw materials to achieve the expected targets.

He said rulers have hoodwinked the people over the years where Mahinda Rajapaksa claimed the country would be developed after finishing the war and then Maithripala Sirisena claimed that he would develop the country after eradicating drug menace, Gotabaya Rajapaksa claimed to develop the country after eradicating Covid pandemic and now people are thinking that Ranil Wickremesinghe will develop the country after appreciating the rupee against the US Dollar. The country could not be developed by improving one aspect but reform in all sectors was required for that," he said.

Dissanayake said new and broad transformation in all the sectors were required to develop the country and added that the NPP was ready to work towards that end.

He said a governance free of fraud and corruption, efficient state service, law and order, international recognition and national harmony were key aspects to develop the country and added that the NPP government would create such an environment in the country to take the country towards development.(Ajith Siriwardana)