{"id":77088,"date":"2018-05-03T15:27:45","date_gmt":"2018-05-03T22:27:45","guid":{"rendered":"http:\/\/www.lankaweb.com\/news\/items\/?p=77088"},"modified":"2018-05-03T15:28:12","modified_gmt":"2018-05-03T22:28:12","slug":"cbsl-annual-report-shows-govt-has-failed-economy-lock-stock-and-barrel-cabraal","status":"publish","type":"post","link":"https:\/\/www.lankaweb.com\/news\/items\/2018\/05\/03\/cbsl-annual-report-shows-govt-has-failed-economy-lock-stock-and-barrel-cabraal\/","title":{"rendered":"Central Bank’s annual report shows govt has failed economy lock, stock and barrel: Cabraal"},"content":{"rendered":"

by Sanath Nanayakkare\u00a0Courtesy The Island<\/span><\/em><\/span><\/h2>\n

May 3, 2018, 12:00 pm<\/span><\/p>\n

Analyzing the Central Bank’s Annual report 2017 on 77 points and ratios, former Governor of the Central Bank Ajith Nivard Cabraal said yesterday that the government; especially Prime Minister Ranil Wickremasinghe who spearheads the economy, has failed the national economy lock, stock and barrel since the last government passed the baton to the coalition government in January 2015.<\/p>\n

\"article_image\"<\/p>\n

Ajith Nivard Cabraal \u2013 Pic – : Kamal Bogoda<\/p>\n

“The increase in the debt stock in the past three years by Rs. 2,922 billion has been the highest ever debt increase in the history of the country, but the government has almost nothing to show for it in terms of tangible assets such development projects or progressive social indicators,” he claimed.<\/p>\n

The data-points and ratios brought about by former CB Governor along with Dr. Nalaka Godahewa, former chairman of the Securities and Exchange Commission (SEC) at the media briefing held in Colombo yesterday, even questioned the honesty and integrity of key economic indicators including the GDP Deflator, GDP per capita and unemployment rate.<\/p>\n

“It stands to reason that if for some reason the GDP Deflator needed to be adjusted, the same reason would have been applicable for a revision or adjustment in the Colombo Consumer Price Index (CCPI) as well. As no adjustment has been carried out in the CCPI , it would be very difficult to justify a huge change in the GDP Deflator unless the intention was to achieve some other ulterior purpose,” he noted.<\/p>\n

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Further speaking Cabraal said, “The impact of several ‘creative’ adjustments have had a corresponding impact on the GDP per capita as well; both in LKR and US$ terms. Accordingly, annual report 2016 , the GDP per capita had been reported at US$ 3,835 while the GDP per capita for 2015 has been revised downwards by US 81 from US$ 3,924 to US$ 3,843. As a result, the GDP per capita in US$ terms for 2014 has also been revised down by US$ 22 to read as US$ 3,821; the third occasion that the GDP per capita for 2014 has been amended in 3 years”.<\/p>\n

Dr. Nalaka Godahewa said that the authorities have executed a shocking series of ‘number massaging practices’ which now seems to be routinely implemented in order to achieve politically and\/or economically advantageous results and this has made a mockery of the computation of GDP in Sri Lanka since they are not based upon the hallowed principles of credibility. He went on to say that unemployment figures have also been manipulated to show this rate remains at only 4.2% or in other words, 0.1% less than this figure in 2014.<\/p>\n

The former Governor said that the government has notably failed in containing the average inflation as per CCPI which had spiked to 6.6% in 2017 from 3.3% in 2014.<\/p>\n","protected":false},"excerpt":{"rendered":"

by Sanath Nanayakkare\u00a0Courtesy The Island May 3, 2018, 12:00 pm Analyzing the Central Bank’s Annual report 2017 on 77 points and ratios, former Governor of the Central Bank Ajith Nivard Cabraal said yesterday that the government; especially Prime Minister Ranil Wickremasinghe who spearheads the economy, has failed the national economy lock, stock and barrel since […]<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[102],"tags":[],"class_list":["post-77088","post","type-post","status-publish","format-standard","hentry","category-economy"],"_links":{"self":[{"href":"https:\/\/www.lankaweb.com\/news\/items\/wp-json\/wp\/v2\/posts\/77088","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=77088"}],"version-history":[{"count":0,"href":"https:\/\/www.lankaweb.com\/news\/items\/wp-json\/wp\/v2\/posts\/77088\/revisions"}],"wp:attachment":[{"href":"https:\/\/www.lankaweb.com\/news\/items\/wp-json\/wp\/v2\/media?parent=77088"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.lankaweb.com\/news\/items\/wp-json\/wp\/v2\/categories?post=77088"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.lankaweb.com\/news\/items\/wp-json\/wp\/v2\/tags?post=77088"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}