Restructuring of SOEs imperative as they often drain govt resources - Sagala

The restructuring of State-owned Enterprises (SOEs) is imperative as public entities often strain government resources, National Security Advisor and President's Chief of Staff Sagala Ratnayaka said.

Noting that Litro Gas, once a financial drain, has now turned profitable, he said that as a country, we must speed up the progress and that any shortcomings must be openly addressed and rectified.

Addressing the inauguration ceremony of Litro’s new gas filling station in Mabima, Kaduwela, yesterday (08), Ratnayaka observed that under the leadership of President Ranil Wickremesinghe, the country has stabilized economically over the past two years, despite the challenges faced.

Speaking further, he said;

"Two years ago, the idea of Litro Company constructing a state-of-the-art facility seemed incredible. Litro faced adversity, with gas cylinder explosions and long queues for fuel.

At that time, our country struggled with a scarcity of foreign exchange and lacked a stable currency. It was an unprecedented period of challenge. However, under the capable leadership of President Ranil Wickremesinghe, aid arrived from foreign associates.

Initially, Litro posed a burden on the government. President Wickremesinghe, upon assuming office, revamped the management of the company, leading to its current success. Thanks to Litro’s achievements, the company managed to repay an Rs.26 billion loan from the World Bank within six months. Moreover, last year, Litro contributed Rs.3 billion rupees to the government.

Today, people can obtain gas without enduring long queues. We extend our sincere gratitude to the board of directors, staff, and distributors, especially Chairman Mr. Muditha Peiris, for guiding Litro Company through a challenging period.

The restructuring of state enterprises is imperative. Public entities often strain government resources. Litro Company, once a financial drain, has now turned profitable. As a country, we must speed up progress. Economic collapse led to a surge in living expenses.

When examining the present statistics, they reveal robust economic growth for our country. Following two years of economic turmoil, the primary account balance has shifted to a surplus, and the rupee is appreciating swiftly. Stability reigns, with inflation in check. However, despite these positive indicators, challenges persist.

To strengthen foreign exchange earnings, we should raise tourism initiatives. Transforming our ports into logistical hubs holds promise for economic expansion.

Further advancements can be made by boosting our manufacturing sector, and even exploring electricity exportation. Agricultural development is another avenue ripe for exploration, with numerous opportunities waiting. Fortunately, we possess the requisite human capital to tackle these endeavours.

Litro Company appears to be embracing modernization, setting an example for other institutions to follow suit. While government initiatives are essential, collective support is imperative for success. Tough decisions were made to steer the country back on track, with everyone enduring challenges along the way. The current favourable position of the country is a testimony to confronting rather than evading issues."