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Budget approved with major changes; projects to be slashed
View(s):Despite widespread protests, Govt. gets two-thirds majority in Parliament By Damith Wickremasekara Changes in budget proposals will lead to pruning down some key projects under different ministries, Finance Minister Ravi Karunanayake warned yesterday.
The projects to be affected would be placed before the Economic Affairs Management Committee chaired by Prime Minister Ranil Wickremesinghe, he told the Sunday Times. The move came as the budget was passed with a majority of 109 votes. In favour were 160 members while 51 vote against. Thirteen MPs were absent.
Mr. Karunanayake told Parliament yesterday changes to the budget proposals would cost the Treasury Rs. 35,000 million more. One of the large slices of the expenditure would be the increase in a state sector employee’s basic salary by Rs. 2,500 from January next year. This amount will also be paid to those in the state plantations sector. During the presidential and parliamentary elections campaign an offer to increase salaries by Rs. 10,000 was made. It is the first instalment that is being paid next month.
Pending the Government’s final budgetary plans, the trade unions have put on hold their proposed trade union action until the Government implement its proposals as agreed with the unions. Trade Union leader Saman Ratnapriya said that despite the assurances given to them they would have to wait for the final implementation of the proposals before taking further action.
He said one of the demands has been that the Government should not go ahead with a new pension scheme for public sector employees who would be joining from January onwards, but so far the unions had not got a clear assurance on the demand.
Ceylon Bank Employees Union (CBEU) President S.P. Jayaratna said decisions on demands made by the union, including the lifting of the ban on banks engaging in leasing, were pending, though assurances were given during meetings with Prime Minister Ranil Wickremesinghe.