Development projects launched with foreign or local funding Negative effects of blunders by successive govts. to be addressed

By Sandun A. Jayasekera  

The government has decided to address the negative effects of blunders and illogical decisions taken by the successive governments over the years on major development projects launched with foreign or local funding, a Minister said.  

Addressing the media at the information department auditorium, Minister Dr. Bandula Gunawardana said though massive and highly successful development projects such as the ‘Multipurpose Mahaweli Development Project’ were completed on time, a vast number of development programmes set in motion with foreign funding in the last few decades have been abandoned, neglected or remained unfinished.  “Cabinet has given the nod to a memo submitted by President Ranil Wickremesinghe to establish a ‘National Development Committee’ (NDC) chaired by Daya Liyanage, Deputy Governor – Central Bank to conduct a post analysis on development projects started with or without foreign investment and submit a report to the cabinet, Minister Dr. Gunawardana said.   The NDC chaired by Mr. Liyanage is mandated to analyze the development projects started without proper evaluation of benefits or feasibility but have exceeded the costs set by the cabinet appointed procurement committee in many instances. They are finally abandoned or shown no progress, thus losing confidence in Sri Lanka by foreign investors and donor countries and also with heavy losses to the Treasury, he added.    Another aspect of these policy blunders are the arbitrary decisions taken by past governments in highly beneficial development protects. The best example is the unilateral termination of the Light Railway Transit (LRT) project signed with Japan in March 2020 by the Sri Lanka government.