Govt’s borrowing only within approved limits, reassessment planned after polls - Dr. Nalinda Jayathissa

Dr. Nalinda Jayathissa, an executive member of the National People’s Power (NPP), emphasized that the recent loans obtained by the government have been strictly within the limits approved by Parliament. 

Addressing concerns over the rising national debt, Dr. Jayathissa highlighted that any borrowing has complied with these legislative restrictions.

He further stated the need for reassessment in the next parliament, hinting at plans to revise the borrowing limits to facilitate better debt management. When questioned about the government’s ability to reduce taxes without increasing debt, Dr. Jayathissa explained that effective debt management could prevent excessive borrowing. 

Citing recent data, Dr. Jayathissa noted that since the current President took office, Rs 697 billion have been borrowed through five treasury issues and two bond issues. He acknowledged the challenge of managing both domestic and foreign debt but maintained that, by adhering to Parliament-approved limits, debt does not become a financial burden. 

Dr. Jayatissa assured that in the upcoming sessions, Parliament would explore ways to lower these borrowing limits, emphasizing a commitment to responsible fiscal policies.