By-pass operation

Sri Lanka is planning to tap international capital markets aggressively after getting a sovereign rating to support its economic recovery next year, and bypass pesky donors who demand fiscal discipline and low inflation to give cheap long-term dollars. Sri Lanka is planning to tap international capital markets aggressively after getting a sovereign rating to support its economic recovery next year, and bypass pesky donors who demand fiscal discipline and low inflation to give cheap long-term dollars. Treasury Secretary P B Jayasundera says Sri Lanka should now be able to manage its own affairs, without depending on donors, as it is a middle-income country.

"Country has to now learn to manage risk," says Jayasundera.

"There is no point Sri Lanka still going behind the donors, the way we went behind when we had US $ 400 per capita income. Middle income countries must learn how to manage risk and how to sustain their fiscal management. That is why the government has taken a bold decision that we must go beyond the traditional donors to test our balance sheet."

Jayasundera was addressing members of the Sri Lankan Economists Association. He says the private sector firms should use the rating to bring in dollars to the country. <