Cabinet approval to teach economics to politicos and bureaucrats

• President instructs to draft bill for the establishment of Sri Lanka Institution of Economics and Trade
• Move aimed at avoiding another economic disaster through poor public finance mgt.

The Cabinet nod has been granted to establish ‘Sri Lanka Institution of Economics and Trade Institute’ to educate policymakers and public officials on economic and trade activities in order to avert another economic crisis fueled by fiscal instability. 
President Ranil Wickremesinghe on Monday sought the approval of the Cabinet of Ministers to instruct the Legal Draftsman to draft a bill for the establishment of Sri Lanka Institution of Economics and Trade.

The Cabinet Spokesperson and Minister of Transport and Highways and Minister of Mass Media Bandula Gunawardana yesterday blamed the lack of sound economic knowledge for poor public finance management, which has ultimately led to the current economic crisis.

He pointed out that policymakers continuously failed to consider the repercussions when formulating and implementing fiscal policies. 
Although, the Fiscal Management Responsibility Act (FMRA) came into effect in 2003, he pointed out that successive governments failed to comply with the key fiscal rules while amending the Act three times after failing to meet fiscal rules.

As parliament has full control over public finances, he stressed that it is essential for policymakers and public officers to get training on economic and trade activities so that entering into decisions with understanding is possible when formulating national policies and implementing them.