Sri Lanka’s Sevanagala sugar company now source of income for Treasury says minister
The Morning: Lanka Sugar Company (Pvt.) Ltd. (LSCPL; better known as the Sevanagala sugar company) – which was considered a loss-making State-owned enterprise (SOE) – has now become a source of income for the country’s General Treasury on account of right decisions being taken at the right time, said Investment Promotion State Minister Dilum Amunugama.
Speaking to the media during an inspection tour of the company, the state minister said recently that the Sevanagala sugar company can be taken as one of the best examples of the Government’s success in the mechanism of converting loss-making SOEs to profit-making entities. The state minister said that it has been a model to all other catastrophic public institutions which have been a burden on the nation’s economy.
Speaking further, Amunugama said that visionary leadership and the commitment of the political authority and officials have made this task possible. He said the Sevanagala sugar company – which was once considered a fruitless SOE – is now at a level where it could generate income for the country’s economy. “There is a good story behind this success. The Government was able to make this a profit-making company within a very short period of time by taking right decisions without being hesitant.”
LSCPL is a fully Government-owned company under the Ministry of Investment Promotion.
OSL take:
The ongoing programmed to restructure state owned enterprises (SOEs) by the government of Sri Lanka is aimed at revamping SOEs while increasing the productivity in these institutions and increasing the revenue generated by them to the state coffers. The SOE restructuring programmed has also presented a host of new business/investment opportunities for foreign businesses/investors looking for opportunities on Sri Lanka. The transformation of Sevanagala sugar to a profit-making entity is also indicative of the business potential of these SOEs. Foreign businesses could also look at forming public, private partnerships (PPPs) with SOEs. With the country working towards becoming an emerging business destination in the South Asian region supported by its geographical positioning in the Indian Ocean and the many trade agreements as well as trade concessions enjoyed by the country, Sri Lanka’s economy is on a growth path. The ongoing economic activities and the growing demand have presented lucrative business/investment opportunities. Foreign businesses/investors could therefore confidently explore the expanding opportunities in Sri Lanka given the growing business potential in the country.
| Article Code : | VBS/AT/20231110/Z_3 |