Annual Report 2010 - Ministry of Finance and Planning

1 | DEVELOPMENT PERSPECTIVESEnding of conflict which reopenedthe opportunities to make use of thefull potential of tourism and ease ofdoing business in the country wasalso a reason in declining poverty inthe country. It opened new avenues inthe construction industry, expandedthe transport and communicationand generated a significant numberof direct and indirect employments.The value added growth agriculturesector and the significant increase infish production in 2010 has enhancedthe number of job opportunities in theinformal sector, finally resulting in theimprovement of living standards. Theenhanced number of job opportunitiesin the informal sector due to thevalue added growth in the agriculturesector and significant increase in fishproduction in 2010 also contributed tothe decline in poverty.Successfully carried out deminingoperations and resettlement taskalso largely contributed to this sharpdecline in poverty. The resettlementeffort was mainly carried out bytwo line ministries i.e., Ministry ofResettlement and Ministry of EconomicDevelopment with the generoussupport of many internationalagencies. In 2010, 53,159 families whowere resided in 04 relief villagerswere resettled in their originalplaces. The immediate relief andrehabilitation including the provisionof family allowance and dry rationsfor each resettled families empoweredthem to develop their own housingarrangement as well as livelihooddevelopment programmes. The costincurred for this attempt in 2010with the assistance of UNHCR was1.9 billion.Improved Health and NutritionImproved health and nutrition status ofthe population in 2010 also led to theincreased living standard of populationin the country.The provision of fresh milk worthRs.200 per month for children agedbetween 2 to 5 years and nutritionalfood package worth Rs 500 per monthfor expectant mothers in order toaddress the nutritional deficienciesintroduced in 2006 continued in 2010benefitting around 112,000 pregnantmothers and children. Over 275,000mothers benefitted through the“Thriposha” programme at a cost ofaround Rs 870 million in 2010. “MathataThitha” awareness campaign has helpedto reduce consumption of alcohol thuspromoting a healthier and productiveworkforce in addition to increaseAs a consequence of all thesemeasures the unemployment of thecountry fell to 4.9 percent in 2011 from7.5 percent in 2005.Enhanced Support and WelfareProgrammesThe government incomesupplementary programme and inkindsupport has also provided anadditional support to the vulnerablegroups to overcome their level ofpoverty. Welfare payments to supportthe vulnerable groups in societycontinued in 2010 with an enhancedcost. Under the Samurdhi Socialsecurity programme which is targetedto protect the poor families affectedfrom unexpected incidents, risks orprevention from drug abuse, around1.6 million families were benefited.In addition, the enhanced publicexpenditure to promote a caringsociety for elderly, handicappedand victims of terrorisms has alsocontributed to reduce their griefenabling them to escape from poverty.In 2010, around Rs. 67 billion was spentin providing public assistance, food,shelter, and physical aid componentsfor this segment.Table 1.64 > Combined Livelihood Initiatives 2010ProgrammeExpenditure Rs. MnAgricultureDry zone Livelihood Support Project 576Api Wawamu Rata Nagamu Programme 455Economic DevelopmentSamurdhi and Gamanaguma Livelihood Development913ProgrammeFisheriesFisheries Community Strengthening 50Post Tsunami Livelihood Support Programme 655LivestockKirigammana Programme 83Livelihood and basic facilityImprovement in rural areas 191Small scale dairy farming improvement 804Traditional IndustriesCottage Industry Development 34Small Industrialist Development Programme 17IndustriesKantha Diriya Programme 12Source: Department of National Budget116