Colombo District Member of Parliament, Patali Champika Ranawaka, voiced serious apprehensions during a parliamentary session, revealing that the Inland Revenue Department (IRD) has fallen short in tax collection, leaving nearly one trillion rupees uncollected. Ranawaka highlighted that only 50 percent of the anticipated tax revenue has been secured, shedding light on the gravity of the fiscal situation.
Addressing the debate on the second reading of the budget, Ranawaka emphasized the social ramifications of increasing taxes without effectively collecting them, cautioning against major infrastructure projects due to financial constraints. He underscored the impending necessity of a $1.65 billion loan and stressed the importance of completing the Financial Fund to secure these funds. Highlighting the absence of the September loan installment and the urgency to restructure foreign debt, Ranawaka painted a stark picture of the economic challenges facing the nation.
Expressing concern over the migration of skilled professionals like teachers and doctors, Ranawaka emphasized the exodus of human capital from the country, leading to detrimental consequences. He called for a comprehensive recovery program implemented at the grassroots level to avert potential future crises, warning of imminent difficulties for the common man if urgent measures are not taken.