Analysts have raised alarm bells that Sri Lanka’s economy appears to be stuck in the so called $4,000 GDP trap. However they also point out that it is all too easy for the current rut to be easily addressed. All it needs they say, is a commitment to rid the country of corruption and deal making in favour of the people or country.
As our table displays, in 2013 the per capita GDP was USD 3,660. in 2017 it was 4,060 – this indicates an annual growth rate of a little over USD 150 Internationally accepted yardsticks indicates that USD 12,640 is the value of GDP neccessary to describe a country as a ”Developed Nation”.
Participating at the Sri Lanka Singapore business forum jointly organized by the Singapore Trade and Industry Ministry and the Singapore business forum, Prime Minister Ranil Wickremesinghe stressed that Sri Lanka had realized the significance of it’s geographical location and has decided the long term goal was to develop sri lanka as an economic, financial and social hub. The fact that Sri Lanka must have known of its geographically important location as way back as in 1948 at independence and acted pro- actively appears to have missed the Prime Ministers attention.
Prime Minister Ranil Wickremesinghe said that Sri Lanka strives to achieve ”Developed Nation” status by 2050.
Analysts point out that judging by Per Capita GDP growth rates of USD 150 the country will take atleast 75 years to achieve its target.
Experts opine that for Sri Lanka to achieve ”Developed Nation” status with a per capita GDP with atleast USD 12,640, the government will have to promote a variety of sectors including exports, infrastucture development, Foreign Direct Investment [ FDI ] and generally create an ambiance condusive to investors from international markets.
