DOCSLIB.ORG

WT/TPR/M/347 20 January 2017 (17-0379) Page

Total Page：16

File Type：pdf, Size：1020Kb

Download full-text PDF Read full-text
WT/TPR/M/347 20 January 2017 (17-0379) Page WT/TPR/M/347 20 January 2017 (17-0379) Page: 1/32 Trade Policy Review Body 1 and 3 November 2016 TRADE POLICY REVIEW SRI LANKA MINUTES OF THE MEETING Chairperson: Ms Irene Young (Hong Kong, China) CONTENTS 1 INTRODUCTORY REMARKS BY THE CHAIRPERSON ....................................................... 2 2 OPENING STATEMENT BY THE REPRESENTATIVE OF SRI LANKA .................................. 4 3 STATEMENT BY THE DISCUSSANT ................................................................................ 8 4 STATEMENTS BY MEMBERS ........................................................................................ 12 5 REPLIES BY THE REPRESENTATIVE OF SRI LANKA AND ADDITIONAL COMMENTS ..................................................................................................................... 29 6 CONCLUDING REMARKS BY THE CHAIRPERSON ......................................................... 32 Note: Advance written questions and additional questions by WTO Members, and the replies provided by Sri Lanka are reproduced in document WT/TPR/M/347/Add.1 and will be available online at http://www.wto.org/english/tratop_e/tpr_e/tp_rep_e.htm. WT/TPR/M/347 • Sri Lanka - 2 - 1 INTRODUCTORY REMARKS BY THE CHAIRPERSON 1.1. The fourth Trade Policy Review of Sri Lanka was held on 1 and 3 November 2016. The Chairperson, Ms. Irene Young (Hong Kong, China), welcomed the delegation of Sri Lanka headed by H.E. Mr. Rishad Bathiudeen, Minister of Industry and Commerce; the delegation from Sri Lanka; and the discussant, H.E. Ambassador Dr Stephen Ndungu Karau (Kenya). 1.2. The Chairperson recalled the purpose of the Trade Policy Reviews and the main elements of the procedures for the meeting. The report by Sri Lanka was contained in document WT/TPR/G/347 and that of the WTO Secretariat in WT/TPR/S/347. 1.3. Questions by the following delegations had been submitted in writing before the deadline: European Union; Canada; Australia; Turkey; New Zealand; Chinese Taipei; Brazil; Singapore and Republic of Korea. The following delegations submitted written questions after the deadline: China; United States and Malaysia. 1.4. Members were also pleased to have with them the United Nations Industrial Development Organization which – as agreed by Members earlier – was attending this meeting as observer on an ad hoc basis. 1.5. At the previous TPR in 2010, Members had commended Sri Lanka for its solid economic performance despite a myriad of adverse factors. During the current review period, the country's economy had shown resilience and had continued to grow at an average annual growth rate of 6%. However, the fiscal position was weak and seemed to be getting worse, with public debt rising to 76% of GDP last year. In their advance questions, the Chairperson noticed that some Members had asked how this problem was to be addressed. Members knew that the Government had started pursuing fiscal consolidation through structural reforms which, among other things, sought to increase tax revenues and improved the operations of state-owned enterprises. In fact, Members had already stressed the importance of introducing tax and SoE reforms in the last TPR. The Chairperson believed they would like to learn more about the development on these fronts. 1.6. Last time, Members saw the need for Sri Lanka to deepen its regulatory reform and improve the business environment. In this TPR, Members raised again questions about the restrictions and incentives for foreign investment. Enactment of the Underutilised Assets Act in 2011 had also prompted some Members to ask about the new expropriation policy for companies and their assets. As Sri Lanka's FDI inflow ran low and attracting foreign investment became a matter of priority, it was useful to know how the Government intended to address Members' concerns in this regard. 1.7. In 2010, noting that Sri Lanka's exports were concentrated in certain markets and products, Members encouraged the country to step up its diversification efforts. While some progress had been made, agriculture and clothing still accounted for over 70% of exports, and clothing was highly reliant on two major export markets. Given that export diversification was an area identified by Sri Lanka for Aid-for-Trade assistance, Members wished to have more information on the Government's action plan. 1.8. With regard to specific trade measures, Members were pleased to note that, since the last TPR, Sri Lanka had implemented a customs single window and had accepted the WTO Trade Facilitation Agreement. It had also reduced the number of tariff bands from four to three. However, some of the concerns that Members had raised six years ago, about Sri Lanka's tariff regime, remained unaddressed. For instance, Members still saw a large number of levies and charges in addition to the tariffs, and indeed more tariff lines where the MFN rate exceeded the bound rate. It would be useful to know how these issues would be addressed. 1.9. The previous review had also raised certain questions regarding: the use of domestic preferences in government procurement; enforcement of intellectual property rights; and adoption of competition policy legislation. Six years on, it seemed that Sri Lanka had continued to use price preferences in procurement and had not yet introduced any substantial changes to its IP and competition regimes. If there was more updated information, the Chairperson hoped it could be shared with the Members in this TPR. WT/TPR/M/347 • Sri Lanka - 3 - 1.10. The Chairperson encouraged Members to make use of this opportunity to discuss in greater detail, not only the key issues identified above, but also other issues of interest to them and of systemic importance to the multilateral trading system. WT/TPR/M/347 • Sri Lanka - 4 - 2 OPENING STATEMENT BY THE REPRESENTATIVE OF SRI LANKA (H.E. MR. RISHAD BATHIUDEEN) 2.1. At the outset, let me thank the WTO Trade Policy Review team for their comprehensive report on Sri Lanka, also to you, Madam Chair, for your introductory remarks. We appreciate the role played by His Excellency Dr. Stephen Ndungu Karau as the discussant. 2.2. My delegation wishes to thank all the Members who made written questions to us. We have received around 138 questions from 12 Member countries. We have already submitted written responses to most of the questions and the questions received late would be answered shortly. 2.3. I consider that the fourth Trade Policy Review of Sri Lanka at the WTO is taking place at a historic moment of my country mainly for two reasons. 2.4. Firstly, it takes place under the National Unity Government of Sri Lanka. The National Unity Government was established for the first time in the history in January 2015 by the coalition of the two main political parties in the country. The two main political parties have agreed to work together on a national development agenda upholding democracy and good governance, although the two parties have differences in their political ideology. The main objective in forming a National Government is to provide a common platform to deliver long term social economic solutions that can solve the key problems of the country. 2.5. The National Unity Government is in the process of introducing transformative reforms to the economy to further align it with the global economic direction while concentrating achievement of the Sustainable Development Goals declared in the agenda of the UN Sustainable Development Summit held in 2015. 2.6. Secondly, this Trade Policy Review is focusing on the developments in the country after ending prolonged civil conflict against terrorism of 30 years in 2009. During the conflict one-third of the country has not been in a position to effectively contribute to GDP growth in the country. After the defeat of terrorism from the country in June 2009, my Government encountered enormous challenges in rehabilitating, resettling and guaranteeing sustainable livelihood for the conflict affected people in the North and the East of the country. 2.7. I myself was a victim of this ruthless terrorism in the country. Although we peacefully lived in the northern part of the country, as Muslims we were given ultimatum by the terrorists to leave the Northern Province within 24 hours. We had to abandon all what we earned and the businesses that we ran for many years. We left the Northern Province with a shopping bag of material that we can carry. My family lived in many years in refugee camps and I managed to represent them to reach the Parliament as a member. 2.8. The rehabilitation and rebuilding process in my country cost the Government dearly both in capital and recurrent expenditure which have substantially increased and the Government had to rely on debts from international sources. We are thankful to all those who generously assisted Sri Lanka in this exercise. At the same time, the Government had to continue its infrastructure developments in the country to create conducive business environment. 2.9. Developing its infrastructure to increase its economic potential has resulted in Sri Lanka's reliance on foreign debt. The official estimate of what Sri Lanka currently owes its financiers is US$65 billion. The country's debt-to-GDP currently stands around 75% and significant portion of all government revenue is currently going towards debt repayment. 2.10. As a result of the above, the Government started experiencing fiscal difficulties to meet with country's both development and rehabilitating needs. The fiscal deficit to GDP has increased from 6.5% in 2011 to 7.5% in 2015. In the light of the above, the Government is making every effort to consolidate its fiscal position. 2.11. We will give priority to enabling an increase in earnings through a policy of minimizing regressive taxes, increase the ratio of direct and indirect income tax generation in the medium term from 80%: 20% to 60%: 40%, strengthening the tax management processes while removing tax holidays and benefits. WT/TPR/M/347 • Sri Lanka - 5 - 2.12.
Load more

Recommended publications
  • Remittance Economy Migration-Underdevelopment in Sri Lanka
    REMITTANCE ECONOMY MIGRATION-UNDERDEVELOPMENT IN SRI LANKA Matt Withers A thesis submitted in fulfilment of requirements for the degree of Doctor of Philosophy. Faculty of Arts and Social Sciences Department of Political Economy The University of Sydney 2017 “Ceylon ate the fruit before growing the tree” - Joan Robinson (Wilson 1977) (Parren as 2005) (Eelens and Speckmann 1992) (Aneez 2016b) (International Monetary Fund (IMF) 1993; International Monetary Fund (IMF) 2009) (Central Bank of Sri Lanka (CBSL) 2004) (United Nations Population Division 2009) Acknowledgements Thanks are due to a great number of people who have offered support and lent guidance throughout the course of my research. I would like to extend my appreciation foremost to my wonderful supervisors, Elizabeth Hill and Stuart Rosewarne, whose encouragement and criticism have been (in equal measure) invaluable in shaping this thesis. I must similarly offer heartfelt thanks to my academic mentors, Nicola Piper and Janaka Biyanwila, both of whom have unfailingly offered their time, interest and wisdom as my work has progressed. Gratitude is also reserved for my colleagues Magdalena Cubas and Rosie Hancock, who have readily guided me through the more challenging stages of thesis writing with insights and lessons from their own research. A special mention must be made for the Centre for Poverty Analysis in Colombo, without whose assistance my research would simply not have been possible. I would like to thank Priyanthi Fernando for her willingness to accommodate me, Mohamed Munas for helping to make fieldwork arrangements, and to Vagisha Gunasekara for her friendship and willingness to answer my incessant questions about Sri Lanka.
    [Show full text]
  • Public Spending on Education, Health Care and Economic Growth in Selected Countries of Asia and the Pacific
    Asia-Pacific Development Journal Vol. 19, No. 2, December 2012 PUBLIC SPENDING ON EDUCATION, HEALTH CARE AND ECONOMIC GROWTH IN SELECTED COUNTRIES OF ASIA AND THE PACIFIC Biswajit Maitra and C.K. Mukhopadhyay* In this paper the role of public spending on the education and health sectors is examined with regard to promoting the gross domestic product (GDP) of 12 countries in Asia and the Pacific over the last three decades. In six of those countries, namely Bangladesh, Kiribati, Malaysia, Maldives, the Philippines and the Republic of Korea, Johansen cointegration tests confirmed the existence of cointegrating relations. In the remaining countries, namely Fiji, Nepal, Singapore, Sri Lanka, Tonga and Vanuatu, cointegrating relations were absent. The causal impact of education and health-care spending on GDP was further examined in the study. Education spending was found to have raised GDP in Bangladesh, Fiji, Kiribati, Maldives, Nepal, Singapore, Sri Lanka, Tonga and Vanuatu. On the other hand, health-care spending contributed to GDP growth in Bangladesh, Nepal, the Philippines, Singapore and Sri Lanka. In the Philippines spending on education had a negative impact on GDP, while in Kiribati, Maldives and Vanuatu, the impact of health-care spending on GDP was found to be negative. In the case of Malaysia and the Republic of Korea, neither education spending nor health-care spending exhibited an appreciable impact on GDP. It was also found that the gestation lag of education spending was longer than that of health-care spending. JEL Classification: I25, I15. Key words: Education spending, endogenous growth theory, health-care spending, gross domestic product.
    [Show full text]
  • Srilanka (Tea Sector)
    A GLOBAL/COUNTRY STUDY AND REPORT ON SRILANKA (TEA SECTOR) Submitted to: GUJARAT TECHNOLOGICAL UNIVERSITY IN PARTIAL FULFILLMENT OF THE REQUIREMENT OF THE AWARD FOR THE DEGREE OF Masters of Business Administration UNDER THE GUIDANCE OF Ms. Shyma Gokul Assistant Professor Submitted by: Shri H.D. Gardi MBA College, Nyara, Rajkot. College Code: 780 Affiliated to Gujarat Technological University Ahmedabad May, 2012 [1] Chapter-I Introduction [2] Country Selection Sri Lanka is a neighbor country of India. Sri Lankan culture is match with Indian culture. Because of major population of Sri Lanka are Indian people. The environment of Sri Lanka is match with Indian environment. The official name of Sri Lanka is a Democratic Socialist Republic of Sri Lanka. GEOGRAPHY OF SRI LANKA [3] Area 65,610 sq. km. (25,332 sq. me.). Population 21.30 million of the Sri Lanka. Annual population growth rate 0.9% of the Sri Lanka. Cities: Capital- Colombo population 1.30 million, Sri Jaywardenepur Kotte is the officially designed capital and is the site of the parliament. Other major cities are Kandy with 1,50,000 population, Galle with 1,10,000, and Jaffna with 1,00,000. Terrain is a coastal plains in the northern side of the Sri Lanka. Hills and Mountains in southern & central Sri Lanka. It is high at 2,133 meters (7,000 ft.) Climate of Sri Lanka: Tropical, Rainy seasons light in northeast, fall and winter, with average rain fall of 50 inch. Heavy rains fall in south-west Sri Lanka i.e. average 200 inch. Religion wise division of people in Sri Lanka: Sinhalese 74% of the total population.
    [Show full text]
  • Macroeconomic and Financial Sector Comparison with SAARC and ASEAN Countries India Constitutes a Share of 81.6 Percent of the Total GDP of the SAARC Countries
    Macroeconomic and Financial Sector Comparison with SAARC and 10 ASEAN Countries Two distinct regional associations, SAARC and ASEAN, comprise over seventeen different economies of Asia. These economies differ from each other in terms of their age, size and economic performance. However, some comparisons can be drawn between these intra-regional economies on the basis of economic and financial performance for a uniform period of observation, spanning from 1990 to 2003.1 This chapter discusses the financial sector indicators of the SAARC and ASEAN countries under the framework of macroeconomic performance, with the objective of assessing the level of Pakistan’s performance in comparison with these countries. 10.1 SAARC Countries 10.1.1 A Brief Background The South-Asian Association for Regional Cooperation (SAARC) was established on December 8 1985, when its Charter was formally adopted by the Governments of Bangladesh, Bhutan, India, Maldives, Nepal, Pakistan and Sri Lanka. The SAARC region comprises of a population of about 1.43 billion, a total area of 4.1 million square kilometers, and a combined gross domestic product of US$ 4,066 billion.2 Some of the main objectives of the association as defined in the charter are: a) to accelerate economic growth, social progress and cultural development in the region and to provide all individuals the opportunity to live in dignity and to realize their full potential, and b) to promote active collaboration and mutual assistance in the economic, social, cultural, technical and scientific fields.
    [Show full text]
  • Performance of the Sri Lankan Value-Added Tea Producers: An
    Copyright is owned by the Author of the thesis. Permission is given for a copy to be downloaded by an individual for the purpose of research and private study only. The thesis may not be reproduced elsewhere without the permission of the Author. Performance of the Sri Lankan Value-Added Tea Producers: An Integration of Resource and Strategy Perspectives A thesis presented in partial fulfilment of the requirements for the degree of Doctor of Philosophy III Agribusiness at Massey University, Palmerston North, New Zealand. Anoma Ariyawardana 2001 Abstract This research examined the status of sources of competitive advantage and their influence on the performance of value-added tea producers in Sri Lanka using the strategy and resource perspectives of the competitive advantage paradigm. It aimed to extend the literature on competitive advantage by examining whether these perspectives influence firmperf ormance within an agribusiness sector of a developing country. Both strategy and resource perspectives and the relationship between them were considered in the analytical framework. Primary data came from 40 of the 47 value­ added tea producing firms registered at the Ceylon Chamber of Commerce in 1999. Initial assessment of firm characteristics revealed high heterogeneity among the firms in experience, involvement with businesses other than tea, market focus, managerial talent, involvement in the overall tea industry and branding. Multi-method, multivariate statistical techniques were performed based on the value­ added tea industry segment-specific sources of competitive advantage. Core resources based on the dimensions scale, skill, brand equity, managerial talent, experience effects and backward integration, and core strategies based on the dimensions production, marketing, promotion, product development, quality and competitive strategies were selected.
    [Show full text]
  • Globalization, Employment and Gender in the Open Economy of Sri Lanka
    Employment Sector Employment Working Paper No. 138 2013 Globalization, employment and gender in the open economy of Sri Lanka Naoko Otobe Employment Policy Department Country Employment Policy Unit Copyright © International Labour Organization 2013 First published 2013 Publications of the International Labour Office enjoy copyright under Protocol 2 of the Universal Copyright Convention. Nevertheless, short excerpts from them may be reproduced without authorization, on condition that the source is indicated. For rights of reproduction or translation, application should be made to ILO Publications (Rights and Permissions), International Labour Office, CH-1211 Geneva 22, Switzerland, or by email: [email protected]. The International Labour Office welcomes such applications. Libraries, institutions and other users registered with reproduction rights organizations may make copies in accordance with the licences issued to them for this purpose. Visit http://www.ifrro.org to find the reproduction rights organization in your country. ISSN 1999-2939 (print); ISSN 1999-2947 (web pdf) International Labour Office; Employment Sector. Otobe, Naoko Globalization, employment and gender in the open economy of Sri Lanka / Naoko Otobe ; International Labour Office, Employment Sector. - Geneva: ILO, 2013 Employment working paper, ISSN 1999-2939, 1999-2947 (web pdf), No. 138 International Labour Office; Employment Sector equal employment opportunity / gender / promotion of employment / employment policy / women workers / men workers / globalization / Sri Lanka 13.02.3 LO Cataloguing in Publication Data The designations employed in ILO publications, which are in conformity with United Nations practice, and the presentation of material therein do not imply the expression of any opinio n whatsoever on the part of the International Labour Office concerning the legal status of any country, area or territory or of its authorities, or concerning the delimitation of its frontiers.
    [Show full text]
  • The Political Economy of Post War Economic Development in Sri Lanka
    International Journal of Business and Social Research Volume 04, Issue12, 2014 The Political Economy of Post War Economic Development in Sri Lanka Prasanna Perera1 ABSTRACT Thirty years of civil war in Sri Lanka has affected economic, political, social, cultural and psychological aspects of the society significantly. This paper presents an overview of postwar development strategies in Sri Lanka and compares it with the prewar economy from a political economic perspective. The paper specifically examines the progress of the overall postwar development in the war affected Northern Province of Sri Lanka. Using mixed methodologies data was gathered on critical aspects related to political economy. According to the current study, no clear progress has been made in the areas of economic growth, FDI growth, household income, and poverty and income inequality in the postwar economy of Sri Lanka when compared with the prewar economy. Government fiscal policy targets the postwar reconstruction works while monetary policy enjoys the amalgamation of North and East provinces to country’s aggregate supply apart from introducing very few loan schemes. Security phobia of the government of Sri Lanka limits local, national, regional and international none-government organizations especially in the North and East. There is a considerable amount of progress made in the area of infrastructure development and resettlement of displaced persons. However, primary data from the study indicates these strategies lack conflict sensitivity and public trust. This study emphasizes that postwar economic development strategies should address the critical determinants of sustainable recovery, peace and development aiming at protecting human rights, ensuring rule of law, establishing efficient public service system and finally offering constitutional reforms in Sri Lanka.
    [Show full text]
  • World Bank Document
    Public Disclosure Authorized Public Disclosure Authorized Public Disclosure Authorized Public Disclosure Authorized Lf) C~~~~~~~~~~~~r ~~~ ~ r a W 0 R L D B A N K C OM PA RAT I VE MA C RO E C ON OM IC STUD IES Macroeconomic Policies,Crises, andGrowth in SriLanka, 1969-90 Macroeconomic Policies,Crises, andGrowth in SriLanka, 1969-90 P RE M A CHAND RA ATHUK O R A LA S I S I RA J AYA S U R I YA THE WORLD BANK, WASHINGTON,D.C. © 1994 The International Bank for Reconstruction and Development / The World Bank 1818 H Street, N.W., Washington, D.C. 20433 All rights reserved Manufactured in the United States of America First printing August 1994 The World Bank Comparative Macroeconomic Studies series emerges from a research project that reviewed the macroeconomic experiences of eighteen developing countries over a period roughly from 1965 to 1990. So that the studies might be published with relatively little delay, the books have been edited outside the World Bank's Office of the Publisher by the Macroeconomic Research Department. The findings, interpretations, and conclusions expressed in this publication are those of the authors and should not be attributed in any manner to the World Bank, to its affiliated organizations, or to the members of its Board of Executive Directors or the countries they represent. The material in this publication is copyrighted. Requests for permission to reproduce portions of it should be sent to the Office of the Publisher at the address shown in the copyright notice above. The World Bank encourages dissemination of its work and will normally give permission promptly and, when the reproduction is for noncommercial purposes, without asking a fee.
    [Show full text]
  • The Military Economy of Seventeenth Century Sri Lanka: Rhetoric and Authority in a Time of Conquest
    UNIVERSITY OF CALIFORNIA Los Angeles The Military Economy of Seventeenth Century Sri Lanka: Rhetoric and Authority in a Time of Conquest A dissertation submitted in partial satisfaction of the requirements for the degree Doctor of Philosophy in History by Cenan Pirani 2016 © Copyright by Cenan Pirani 2016 ABSTRACT OF THE DISSERTATION The Military Economy of Seventeenth Century Sri Lanka: Rhetoric and Authority in a Time of Conquest by Cenan Pirani Doctor of Philosophy in History University of California, Los Angeles, 2016 Professor Sanjay Subrahmanyam, Chair From the end of the sixteenth century, the overseas administrative arm of the Portuguese Crown, the Estado da Índia Oriental, sought to gain complete territorial control of the island of Sri Lanka and outlined the tenets of the military project dubbed in administrative letters, “the Conquest of the Island of Ceylon”. Such efforts however would be impeded by military rebellions (ie. mutinies and desertions) by native military personnel in Portuguese service, where a rebellion that occurred in 1630 severely weakened the Estado's position in the island from which it could not recover. The specific event, the death of a Portuguese general at the hands of his own Christianized native troop, left a deep imprint on Portuguese memory. Decades later, the chronicler Fernão de Queiroz claimed the event, which paved the way for the European's eventual removal from the island by 1658, bore testament to the unbridgeable cultural and religious schism between the Portuguese and the native Sinhala people, an established viewpoint in current historiography. This study focuses attention on the documentation in Portuguese, English, Spanish, and ii Sinhalese written during the more active moments of the conquest period (1580-1640) in order to test such well-established views.
    [Show full text]
  • Di Assessing Sri Lanka's Economic Transformation Pathways, 1977-2019
    DI ASSESSING SRI LANKA’S ECONOMIC TRANSFORMATION PATHWAYS, 1977-2019 Ganeshan Wignaraja and Angela Hüttemann Lakshman Kadirgamar Institute of International Relations and Strategic Studies October 2020 1 SRI LANKA’S ECONOMIC TRANSFORMATION PATHWAYS Acknowledgements This study was conducted by Ganeshan Wignaraja (Executive Director of the Lakshman Kadirgamar Institute of International Relations and Strategic Studies (LKI), Sri Lanka, and Senior Research Associate at ODI) and Angela Hüttemann (Research Fellow at LKI). The views expressed here are those of the authors and should not be attributed to either LKI or ODI. Thanks are owed to the Department of Census and Statistics, Sri Lanka. In particular, we would like to thank Udayakumary Maheswaran (Director) and Manjula Ekanayake (Deputy Director Statistics) for sharing useful insights and data. Important insights were also provided by attendees of a meeting on 23 January 2020. Participants included Sirimal Abeyratne, Arusha Cooray, M. Ganeshamoorthy, Dirk Willem te Velde, Alberto Lemma and Anushka Wijesinghe. We are also grateful to Dirk Willem te Velde and Alberto Lemma from ODI and Miguel Laric from The Foreign, Commonwealth and Development Office (FCDO) for comments and suggestions regarding this study. © SUPPORTING ECONOMIC TRANSFORMATION. The views presented in this publication are those of the author(s) and do not necessarily represent the views of FCDO or ODI. ii SRI LANKA’S ECONOMIC TRANSFORMATION PATHWAYS CONTENTS List of acronyms ___________________________________________________ iv Executive summary ________________________________________________ v 1. Introduction____________________________________________________ 1 2. The rise and internationalisation of garments _________________________ 4 2.1. Background ____________________________________________________________ 4 2.2. Enabling factors and challenges ____________________________________________ 5 3. Post-conflict expansion of the tourism sector _________________________ 9 3.1.
    [Show full text]
  • Foreign Direct Investment in Sri Lanka: Determinants and Impact
    Foreign Direct Investment in Sri Lanka: Determinants and Impact Konara Mudiyanselage Palitha Senarath Bandara Konara Thesis submitted for the degree of Doctor of Philosophy University of York Management September 2013 1 Abstract Sri Lanka is a relatively small sized island economy possessing significant resource and location advantages and demonstrating impressive human capital indicators, which only few countries are fortunate to have. At the same time, the country is recovering from nearly three decades of civil war, which ended in 2009. However, Sri Lanka has performed poorly in terms of attracting FDI. Research in FDI in the context of Sri Lanka is limited. Only a handful of studies (Wijeweera & Mounter, 2008; Athukorala & Jayasuriya, 2004; Athukorala, 2003; Athukorala, 1995) have looked at FDI in the context of Sri Lanka. To fill the research gap, this thesis attempts to formulate systematic and in-depth studies of FDI in Sri Lanka, investigating the determinants, impact and policy issues. First, efforts are made to provide an analytical piece that set out the environmental context of Sri Lanka before providing details focusing on FDI. This is followed by three empirical chapters on the determinants and impact of FDI in Sri Lanka. With regard to determinants of FDI, special attention is given to civil war, human capital and stock market price level. For the impact, the focus is on the impact of FDI on productivity. Civil war is a major source of political instability and is likely to discourage FDI. Based on the nearly three decades of civil war in Sri Lanka during the period of 1983-2009, the first empirical study demonstrates that presence of war can have a negative effect on incoming FDI.
    [Show full text]
  • Making Generalizations Learning the Skill If You Say, "We Have a Great Football Team," You Are Making a Generalization, Or a General Statement, About Your Team
    Name ___________________ Date ____ Class _____ South Asia Today Critical Thinking Skills Activity Making Generalizations Learning the Skill If you say, "We have a great football team," you are making a generalization, or a general statement, about your team. If you go on to say that your team was last year's top-ranked team and has not lost a game this season, you are providing evidence to support your generalization. When studying geography, it is often necessary to put together bits and pieces of information-supporting statements-to arrive at a complete picture. In some cases, authors provide only generalizations, and you need to search for the supporting statements or evidence that make the generalization logical and factual. To make valid generalizations, follow these steps: • Identify the topic or subject matter. • Gather facts and examples related to the topic. • Identify similarities or patterns among these facts. • Use these similarities or patterns to form some general ideas about the subject. fl Practicing the Skill . Directions: Read the facts below about Nepal and Bhutan. Then study the statements that follow. Circle the statements that are reason­ able generalizations about both Nepal and Bhutan. Nepal Bhutan • Population: 25.4 million people • Population: about 1 million people • Average life expectancy: 62 years • Average life expectancy: 63 years • Hindus: 81 percent of population • Muslims: 75 percent of population • Muslims: 19 percent of population • Hindus: 25 percent of population • Rural population: about 85 percent • Rural population: most of Bhutan's people • Population density: 447 persons per sq. mile • Population density: 55 persons per sq. mile • Literacy rate: 45 percent • Literacy rate: 42 percent • Annual per capita income: $1,500 • Annual per capita income: $1 AOO A.
    [Show full text]