The government will present a new poverty reduction strategy based on accelerating rural growth and export oriented market strategies to donors by the end of the year. The Finance Ministry and a USAID sponsored expert are working on the document, which will replace the UNF’s Regaining Sri Lanka poverty reduction strategy.
The Treasury Secretary said the government plans to start talking to the World Bank and IMF about lending based on the document next year.
The Treasury Secretary said the background for the talks with the fund and bank will be laid with the budget presentation.
"The principle objective is to increase the income of the poor," said P.
B. Jayasundera, Treasury Secretary.
"The growth is necessary but it has not been sufficient for a substantial reduction in poverty given the last 20 years of experience, which we are now putting together in the strategy," he said.
"Pro-growth is to be pro-poor. It must create enough productive activities for the poor to get involved.