There is a strong consensus that entrepreneurship is crucial for driving the innovation and change that is essential for successful development in a highly competitive global economy. It is particularly so for small economies that are more reliant on external demand (exports) to achieve high growth on a sustained basis. Entrepreneurial success is also an important means of achieving equitable and regionally balanced development as it is an important determinant of spreading the benefits of growth to women, youth and other groups who have difficulty in starting and growing businesses.

The US Federal Reserve Bank (Fed) announced a tapering of its bond buying program (QE3) following a meeting of its Federal Open Markets Committee (FOMC) last week. Its purchase of US bonds ($40 billion) and mortgage-backed securities ($35 billion) has been reduced by $10 billion from $85 billion to $75 billion a month. The announcement, while anticipated in the near future by markets, came earlier than expected. Only 37% of economists polled by Bloomberg expected the Fed to announce the commencement of its tapering program at its December 2013 FOMC meeting.

Doha Round Impasse

Two years ago, it was officially announced that the Doha Round had reached an impasse after 10 years of negotiations. Pascal Lamy, who was then Director-General of the WTO, admitted this publicly.

The Budget Speech has become a major landmark in the nation’s calendar. It is much more than the government’s income and expenditure statement for the forthcoming fiscal year. It is much more important as an indication of the direction and priorities of government economic policy.

Sri Lanka is in the midst of hosting the Commonwealth Heads of Government Meeting (CHOGM) and H.E. President Mahinda Rajapaksa is about to assume the position of Chair-in-Office for the next two years. It is, therefore, timely, to consider how best Sri Lanka can leverage its position as one of the founder members of the association for the benefit of the people of this country.

It has been widely reported that Sri Lanka has come down in the latest World Bank Doing Business Index (DBI) from the position of 81 to 85 among 189 countries in the world.

Rising Life Expectancy

Life expectancy has reached 74.9 years in Sri Lanka today. This reflects the considerable successes the country has achieved in its social development during the post – independence era.

Pathfinder Economic Flash

From Underutilized Asset to Economic Blessing

Utilizing land for wealth and job creation

Any grossly underutilized factor of production, whether it be land, labour or capital is equivalent to an economic crime as it deprives people from opportunities for wealth creation and gainful employment.

Pathfinder Economic Flash

Export Expansion and Diversification in Sri Lanka: Towards a New Paradigm?

Missed Opportunities.  

After the disastrous consequences of the anti-export bias and import substitution polices, Sri Lanka, since 1978, has implemented many strategies and programmes to promote export oriented industries and agriculture.

Pathfinder Economic Flash

African Renaissance: Opportunities for Sri Lankan Companies

Africa’s Economic Revival

Sub-Saharan Africa has become one of the fastest growing regions in the world. The 1990’s was seen as the “lost decade” for the continent and Africa was written off as a basket case.