Prez. should explain the rationale of selling profit making SOEs: Sumathipala

• Says selling SLT and the SLIC poses a direct threat to national security

By Sandun A. Jayasekera

President Ranil Wickremesinghe and other key players of the government must explain the rationale of selling the strategically vital and profit making State Owned Enterprises (SOEs) to the country before going ahead with the restructuring programme dictated by the IMF, the SLFP said. 

The vice president of the SLFP and former deputy speaker, Thilanga Sumathipala told the media at the party office that putting on sale of SOEs like Sri Lanka Telecom, Sri Lanka Insurance and the national carrier, SriLankan Airlines under the whatever nom de guerre of restructuring, diversification, privatisation or public-private partnerships.   

“The SLT, as the national ICT solutions provider has the commitment to safeguard the privacy of users of the platform and website. What will happen if and when the SLT was sold to a private party in or out of Sri Lanka? Besides, the SLT and its subsidiaries had recorded a turnover of Rs. 102.3 billion marking a topline growth of 12.35% last year. The SLT’s ‘Profit After Tax’ (PAT) stood at a healthy Rs. 12.2 billion in 2021, a growth of 54.3% compared to 2020. Group’s profits were propelled forward by robust performance by multiple business segments. I would like to ask the government whether it is prudent or helpful to the national economy to sell the SLT, the cash cow of the state” Mr. Sumathipala who once served as the chairman of the SLT questioned.   

The country’s leading social security provider, Sri Lanka Insurance (SLIC) has recorded a Profit Before Tax (PBT) of Rs. 11.7 billion in 2021, with a strong improvement in combined Gross Written Premium (GWP) of Rs. 43.2 billion, a growth of 9.7%.