brand logo
Power devolution & development: Key to overcoming Jaffna’s challenges

Power devolution & development: Key to overcoming Jaffna’s challenges

16 Sep 2024


  • The President promises a new phase of development for Jaffna and the country

President Ranil Wickremesinghe emphasised that political power alone is not enough to resolve the issues faced by the people of Jaffna, and that development in the area must be an essential part of the solution. 

He noted that, while other provinces have seen development, Jaffna has lagged behind. He expressed his determination to change this situation and lead both Jaffna and the country into a new phase of development. The President made these remarks during a meeting with professionals from Jaffna at the Valampuri Hotel on Saturday (14). The event was organised in support of ensuring his victory in the upcoming Presidential Election. During the meeting, the President provided thoughtful responses to the questions raised by the professionals in attendance. 

Following is the address delivered by President Wickremesinghe;

“I have come here regarding the upcoming Presidential Election. Two years ago, I stepped in when no one was available or willing to lead the country. Now, there are 38 candidates. I wish they had been there at that time, so I wouldn't have needed to get involved. I was the only one who had to step forward. What we have achieved so far needs to be consolidated. We've stabilised the country, but now we need to ensure a permanent system is in place with a new economy.  We have to build on the stabilisation we've achieved. The difficult decisions I made, like refraining from printing money or borrowing excessively, were necessary. The IMF advised against it, and we implemented a higher VAT rate to boost revenue. As a result, the rupee strengthened, reaching 300 against the dollar, and prices dropped by 10 to 40%. 

But this is not enough, and I understand that many still feel the impact. Next year, I want to lighten the cost of living further, which will happen as the rupee continues to strengthen. We must ensure we don't slip back, as noted in the IMF communiqué. We need to carry on with the agreement we've made with the IMF. They suggest lowering taxes, and while I would like to, we can't do that today without risking economic instability. If we make poor decisions now, we risk a situation like Greece, where the VAT rate increased from 13% to 23%, and government workers' salaries were halved. Some even lost their jobs. I have tried to avoid job cuts and income reductions while making tough choices. We can't have an import-dependent economy with insufficient foreign exchange. Like a household, we can't keep borrowing indefinitely. That's why we need to transition to an export-oriented economy.  As part of this, we aim to double the number of tourists, increasing per capita spending from $150 to $400. Jaffna, along with Mannar, is one of the regions marked for this development, especially with the potential for sea tourism. Former LTT boat operators, such as the Sea Tigers, have experience that could be utilised for cruise tourism.  Agriculture modernization in Jaffna is another priority, particularly for exports. As the global population increases, particularly in Africa and Asia, we should capitalise on this by expanding agricultural exports. Additionally, we are focusing on developing a digital economy and establishing new investment zones in the north. Renewable energy will also play a key role, especially solar and wind power. 

We are addressing Jaffna's political issues, but development cannot be confined to devolution alone. Every other province has seen development, but Jaffna has not. Before the war, Jaffna was the third or fourth largest city in the country, along with Colombo, Kandy, and Galle. Today, Galle and Batticaloa are larger than Jaffna. We must now move into a new phase of development for both Jaffna and the country. I am here today to ask for your vote. Two years ago, I stepped in when no one else was willing to run the country. On 21 September, I ask you to vote, or else, remember, no gas!

Several professionals questioned the President regarding issues affecting the people of the North, to which President Wickremesinghe responded.

In the past decades, several government factories in the Northern Province have been closed, leading to massive job losses. Will your government address this issue? 

Many factories have been closed over the past decades, some due to the war, like the cement factory in Paranthan, which became a non-performer. However, we are now using Kankesanthurai for a new investment zone. The first block is in Kankesanthurai, the second is Paranthan, and the third will be at Mankulam – totaling a thousand acres. We are also encouraging the creation of a digital zone, and tourism will be part of this plan. 

My primary focus is on modernising agriculture in the north to reach international competitive standards. Fishing will also play a role, but solar and wind power will be the real money earners in the north.

Dr. Selva, an ICT professional, and I have worked on preparing this five-year plan, which includes modern technology applications, particularly in agriculture, and how AI can be implemented in this sector. Regarding the National AI Centre, we have received the report and are waiting for the new law to be passed. Once the centre is established, it will coordinate these efforts. Minister Kanaka Herath and the Secretary are currently reviewing the details.” 

A large number of professionals from various fields in the Jaffna region, as well as religious leaders, attended the event, the Presidential Media Division stated..



More News..