Opposition Leader Sajith Premadasa has called for the government to temporarily suspend the operation of the parate law in Sri Lanka for several months. Premadasa made the call in Parliament on Monday, December 11, 2023, in response to the challenges faced by Small and medium-scale enterprises (SMEs) in the country
SMEs contribute over 50% of Sri Lanka’s gross domestic product (GDP), making them a critical part of the economy. However, the pandemic, the Easter Sunday attacks, and the country’s economic struggles have put a significant strain on these businesses
Premadasa noted that the parate law is being used to seize the properties of SMEs, even though they are struggling to recover from these challenges. He also pointed out that there is a privileged group of individuals who can evade repaying their debts to financial institutions, while SMEs are being targeted by the law.
The opposition leader called on the government to present a list of private individuals and companies who have defaulted on significant loans obtained from the Bank of Ceylon and People’s Bank before the end of the parliamentary term. He also expressed his opposition to the implementation of the parate law for micro, small, and medium-scale businessmen, arguing that it should be focused on large-scale businesses that have defaulted on loans.