{"id":155843,"date":"2026-04-23T15:03:26","date_gmt":"2026-04-23T22:03:26","guid":{"rendered":"https:\/\/www.lankaweb.com\/news\/items\/?p=155843"},"modified":"2026-04-23T15:03:26","modified_gmt":"2026-04-23T22:03:26","slug":"what-are-the-lessons-we-can-learn-from-china-and-vietnam-being-communist-one-party-ruling-parties-running-those-countries-and-how-they-develop-quasi-capitalist-base-for-development-and-growth","status":"publish","type":"post","link":"https:\/\/www.lankaweb.com\/news\/items\/2026\/04\/23\/what-are-the-lessons-we-can-learn-from-china-and-vietnam-being-communist-one-party-ruling-parties-running-those-countries-and-how-they-develop-quasi-capitalist-base-for-development-and-growth\/","title":{"rendered":"What are the lessons we can learn from China and Vietnam being communist one party ruling parties \u00a0running those countries and how they develop quasi capitalist base for development and growth ?"},"content":{"rendered":"

Dr Sarath Obeysekera<\/em><\/span><\/h2>\n\n\n

What are the lessons we can learn in Sri Lanka now run by a extreme ex communist party <\/p>\n\n\n\n

It\u2019s tempting to think the secret\u201d is simply one-party rule, but that\u2019s not what made China and Vietnam grow so fast. Many countries have had centralized political systems without achieving anything close to their economic transformation. The real lessons are more practical\u2014and frankly, less ideological.<\/p>\n\n\n\n

1. Ideology was bent to suit reality<\/p>\n\n\n\n

Both China (since Deng Xiaoping\u2019s reforms) and Vietnam (through \u0110\u1ed5i M\u1edbi) quietly abandoned rigid state control of the economy while keeping political control intact.<\/p>\n\n\n\n

They allowed:<\/p>\n\n\n\n

    \n
  • Private enterprise<\/li>\n\n\n\n
  • Foreign investment<\/li>\n\n\n\n
  • Export-driven manufacturing<\/li>\n<\/ul>\n\n\n\n

    Lesson for Sri Lanka: Economic pragmatism must override political dogma. Whether a party is left\u201d or right\u201d matters less than whether it allows business to function efficiently.<\/p>\n\n\n\n

    2. Strong state, but not suffocating state<\/p>\n\n\n\n

    China and Vietnam didn\u2019t disappear from the economy\u2014they guided it strategically:<\/p>\n\n\n\n

      \n
    • Built infrastructure ahead of demand<\/li>\n\n\n\n
    • Directed credit to priority sectors<\/li>\n\n\n\n
    • Created export zones with fewer restrictions<\/li>\n<\/ul>\n\n\n\n

      But they did not micromanage every enterprise.<\/p>\n\n\n\n

      Lesson: Sri Lanka doesn\u2019t need a weak state\u2014it needs a competent, disciplined state that sets direction but doesn\u2019t choke private initiative.<\/p>\n\n\n\n

      3. Ruthless focus on production, not consumption<\/p>\n\n\n\n

      Both countries emphasized:<\/p>\n\n\n\n

        \n
      • Manufacturing<\/li>\n\n\n\n
      • Exports<\/li>\n\n\n\n
      • Industrial zones and promoting FDI<\/li>\n<\/ul>\n\n\n\n

        They avoided the trap Sri Lanka often falls into: over-reliance on imports, services, and consumption-led growth.<\/p>\n\n\n\n

        Lesson: Without a strong production base (industry, logistics, energy), growth will always be fragile.<\/p>\n\n\n\n

        4. Policy consistency over decades<\/p>\n\n\n\n

        China and Vietnam maintained long-term economic direction regardless of internal political shifts.<\/p>\n\n\n\n

        Sri Lanka, by contrast, frequently changes:<\/p>\n\n\n\n

          \n
        • Tax regimes<\/li>\n\n\n\n
        • Investment rules<\/li>\n\n\n\n
        • Trade policies<\/li>\n<\/ul>\n\n\n\n

          Lesson: Investors value predictability more than incentives. Stability is more powerful than slogans.<\/p>\n\n\n\n

          5. Meritocratic (though not perfect) administration<\/p>\n\n\n\n

          Both systems promoted technocrats who could deliver results\u2014especially in economic zones and infrastructure.<\/p>\n\n\n\n

          Lesson: Party  loyalty alone cannot run an economy. Sri Lanka must:<\/p>\n\n\n\n

            \n
          • Strengthen institutions<\/li>\n\n\n\n
          • Appoint competent professionals<\/li>\n\n\n\n
          • Reduce politicization of state enterprises<\/li>\n<\/ul>\n\n\n\n

            6. Openness to global capital\u2014on their own terms<\/p>\n\n\n\n

            China and Vietnam invited foreign investors but:<\/p>\n\n\n\n

              \n
            • Negotiated hard<\/li>\n\n\n\n
            • Forced technology transfer<\/li>\n\n\n\n
            • Linked FDI to exports<\/li>\n<\/ul>\n\n\n\n

              Lesson: Sri Lanka often swings between over-dependence and over-suspicion. A balanced approach is needed\u2014strategic openness with clear national benefit.<\/p>\n\n\n\n

              7. Discipline and accountability<\/p>\n\n\n\n

              This is uncomfortable but important:<\/p>\n\n\n\n

                \n
              • Corruption exists in both countries<\/li>\n\n\n\n
              • But large-scale economic sabotage is punished swiftly<\/li>\n<\/ul>\n\n\n\n

                Lesson: Enforcement matters. Rules without consequences are meaningless.<\/p>\n\n\n\n

                Where the comparison can mislead<\/p>\n\n\n\n

                Sri Lanka is not China or Vietnam:<\/p>\n\n\n\n

                  \n
                • Smaller market<\/li>\n\n\n\n
                • Democratic system<\/li>\n\n\n\n
                • Different geopolitical position<\/li>\n\n\n\n
                • Higher social expectations<\/li>\n<\/ul>\n\n\n\n

                  Trying to copy their political model would likely backfire. But adapting their economic discipline is entirely possible.<\/p>\n\n\n\n

                  About extreme ex-communist\u201d governance in Sri Lanka<\/p>\n\n\n\n

                  If a government comes from a leftist background, the real test is this:<\/p>\n\n\n\n

                  Can it transition from ideological purity to economic delivery?<\/p>\n\n\n\n

                  China and Vietnam succeeded because they abandoned economic rigidity, not because they enforced it.<\/p>\n\n\n\n

                  If Sri Lanka goes the opposite way\u2014more control, more suspicion of private capital, more policy unpredictability\u2014it will stall regardless of ideology.<\/p>\n\n\n\n

                  Bottom line<\/p>\n\n\n\n

                  The lesson is not:<\/p>\n\n\n\n

                  One-party rule creates growth.\u201d<\/p>\n\n\n\n

                  The real lesson is:<\/p>\n\n\n\n

                  Consistent, pragmatic, production-focused economic management\u2014backed by a capable state\u2014creates growth.<\/p>\n\n\n\n

                  Regards

                  Dr Sarath Obeysekera<\/p>\n\n\n\n

                  <\/p>\n","protected":false},"excerpt":{"rendered":"

                  Dr Sarath Obeysekera What are the lessons we can learn in Sri Lanka now run by a extreme ex communist party  It\u2019s tempting to think the secret\u201d is simply one-party rule, but that\u2019s not what made China and Vietnam grow so fast. Many countries have had centralized political systems without achieving anything close to their […]<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"open","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[116],"tags":[],"class_list":["post-155843","post","type-post","status-publish","format-standard","hentry","category-dr-sarath-obeysekera"],"_links":{"self":[{"href":"https:\/\/www.lankaweb.com\/news\/items\/wp-json\/wp\/v2\/posts\/155843","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.lankaweb.com\/news\/items\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.lankaweb.com\/news\/items\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.lankaweb.com\/news\/items\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/www.lankaweb.com\/news\/items\/wp-json\/wp\/v2\/comments?post=155843"}],"version-history":[{"count":1,"href":"https:\/\/www.lankaweb.com\/news\/items\/wp-json\/wp\/v2\/posts\/155843\/revisions"}],"predecessor-version":[{"id":155844,"href":"https:\/\/www.lankaweb.com\/news\/items\/wp-json\/wp\/v2\/posts\/155843\/revisions\/155844"}],"wp:attachment":[{"href":"https:\/\/www.lankaweb.com\/news\/items\/wp-json\/wp\/v2\/media?parent=155843"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.lankaweb.com\/news\/items\/wp-json\/wp\/v2\/categories?post=155843"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.lankaweb.com\/news\/items\/wp-json\/wp\/v2\/tags?post=155843"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}