Governments want to be seen as doing things. A government that does things is not necessarily better than one that does little or nothing. It is important that the government takes actions that are well considered both in terms of causing the intended results and in terms of not causing unintended harm. The benefits must also be balanced against the costs of the policy action. I examine the proposal to impose a 0.
Governments want to be seen as doing things. A government that does things is not necessarily better than one that does little or nothing. It is important that the government takes actions that are well considered both in terms of causing the intended results and in terms of not causing unintended harm. The benefits must also be balanced against the costs of the policy action. I examine the proposal to impose a 0.
I have this unfortunate tendency to recognize my own writing. This is what was in an article about the tower levy in the Sunday Times, 26th of November 2017: This was another reason for the government’s action to reduce the number of towers, he said. The tower levy is unlikely to result in the quick consolidation of antennae to fewer towers because tower sharing is already happening and in most cases, mounting additional antennae on existing towers is not practically possible because of the weight they (or the underlying structures) have been designed to carry. The likely outcome is the shutting down of marginal towers, harming the quality of service in the cities and loss of service in some rural areas. This what I had written under my name in the FT this past Monday, 20th of November 2017.
Improving the quality of policy proposals in the Budget Daily FT Opinion by Rohan Samarajiva I have been immersed in discussions in various media platforms about the 2018 Sri Lanka Budget. A budget speech seeks to communicate the direction of government policy to other economic actors. While it is a coherent and forward-looking document overall, the 2018 Budget does contain some problematic proposals that will have to be walked back or quietly buried. In this op-ed published in the Financial Times, I discussed a solution: Every Budget Speech includes complex policy measures. Given the traditions associated with the Budget Speech, it is not possible to conduct public consultations on each of the measures beforehand.
I’ve been on some kind of budget binge this past week. Part of the problem with Sri Lanka public administration is that no assessment is done of the budget proposals. Last year’s budget increased the allocation for the Ministry of Telecom and Digital Infrastructure by 479 percent. What are indicators that this was a wise and useful expenditure of the people’s money? The first thing is, it’s difficult to even find out whether the money has been spent.
So the Daily Mirror, the leading English language daily, carried my comments on the illogical tax proposals. “Around 2010, the Government considered the complexity of taxes affecting the telecommunication sector and exempted telecom from the Value Added Tax. Instead a twenty percent tax was imposed for telecommunication which was remitted to the Government” said Former Director General of the Telecommunication Regulatory Commission and Telecommunication Expert Prof. Rohan Samarajeeva. “The previous Government also considered the data issue as separate from voice and value added services.
The Prime Minister of Sri Lanka is in charge of national policies and economic affairs. The Minister of Finance is in charge of finance, the money the government raises and the money it spends. As a result, the Prime Minister presents an economic policy statement before the budget is read. So it was with some surprise that I saw many policy proposals that did not have direct revenue/expenditure implications in the 2017 Budget, such as extension of the duration of visas issued to spouses of Sri Lankan citizens. The digital commerce proposal is also a policy proposal, but given the objective of ensuring the collection of relevant taxes, one could see a rationale for it being in the Budget Speech.
A Ratings Agency has put specific numbers behind the entity-based and mobiles-sector specific taxes in 2015 interim budget. Should the proposals go ahead, 2015 FFO-adjusted net leverage for Sri Lanka Telecom (SLT, BB-/Stable) and Dialog Axiata (Dialog, AAA(lka)/Stable) is likely to deteriorate to 1.8x and 2.5x, respectively (2014: 1.2x and 1.
The language on ICTs in the 2012 Sri Lanka budget (paras 50-53) is pretty vague. Basically, LKR 500 million will be added to efforts to provide IT education and all government departments and agencies will have to work with the ICT Agency when they introduce IT into their systems. And, there are plans to set up a technology city in Hambantota that will hopefully attract IT and ITES firms there. But the really good stuff is in Para 53. The Telecommunications Regulatory Commission will implement policies and strategies to encourage telecommunication companies to give priority for the development of broad-band network facilities.
Chanuka Wattegama, former Senior Research Manager and Broadband Specialist at LIRNEasia, will be one of three speakers at a pre-budget “sanvada” organized by the Pathfinder Foundation, on 14 October 2010 at the BCIS Auditorium, BMICH premises. Chanuka will make a presentation on “ICTs and Telecom: Opportunities, Challenges and Recommendations”. The sanvada will be chaired by Dr. Sirimal Abeyratne, Professor of Economics at the Universitity of Colombo. For more information on how to register (admission free), click here.
The 2009 Budget contains the following statement: Allocations were made in the 2006 Budget to connect rural villages in backward areas with the rest of the world and enable them to blend with the global community and economic trends, through Information Technology. This program has enabled online connectivity through around 500 Nana Sala Centres, between villages, schools and state and public institutions, and also facilitates to broaden the knowledge of English and Information Technology. I propose to name the year 2009 as an year dedicated to expand the knowledge of English and Information Technology and allocate Rs. 100 million to broaden the scope of this programme. The questions are: * The Budget contains no other allocations for ICT related activities, explained possibly by the existence of a USD 80 million or so e Sri Lanka program, funded primarily by a concessionary IDA credit and a Korean loan which has not been fully disbursed and is in danger of being cancelled.