Promotion of private sector investment in urban centres as a strategy for economic development of the Mahaweli region

Abstract

The Mahaweli Ganga Multi-purpose Development scheme is the biggest public investment programme ever conceived and executed in this country. Sri Lanka had to undertake this challenge immediately as a possible alternative, left-over against the imperative issues of keeping the nation fed, the collossal annual drain of foreign exchange stemming from the need to import food and oil-fed energy, acute unemployment and to establish human settlements in the Dry zone to accommodate land less people and to reduce the congestion of densly populated areas in the Wet zone. Thus the vision to re-create a fldurishing modern civilisation comprising all aspects, economic, social, physical and environmental. The achievement of most of the above targets are now being causing the reality in the Mahaweli areas to take place-as scheduled. Of all the planning and development of in irrigation systems, based of settlements, urban centres Systems, and the Hamlets at context public investment has Human settlements on the suggested stand at the top the lowest level. been allocated in continuing hierarchy level in In this two segment viz; (a) agricultural settlement development and (b) service based urban c~ntre development. Though the initial by the government in urban centres it private investment. investment have been to provide necessary appears to be less made available infrastructure attractive for Further, compared to traditional urban centres outside the Mahaweli area it seems that less contr ibut ion of private sector investment takes place in the economic development of the Mahaweli region.