It gives me great pleasure to say a few words about the Rehabilitation and Development Framework for Mannar and Vavuniya Districts, two of the five Districts that comprise the Northern Province. According to the 2001 Population Census, there are approximately 2.5 million people living in the conflict-affected areas, who comprise about 13 percent of the total population. Most of us present here have seen with our own eyes the extent of suffering and deprivation undergone by the people of the North and East, especially the internally displaced persons. It is hence a major challenge for the Government to rebuild their lives and provide them with adequate employment opportunities as well as basic economic and social services in partnership with the donor community, the private sector, and civil society.

The populations of Mannar and Vavuniya Districts, which are adjacent to one another, are roughly the same. So are their land areas. It is interesting to note that between 1981 and 2001, the population of Mannar increased from 106,000 to 150,000, while that of Vavuniya increased from 95,000 to 150,000. The combined population of Mannar and Vavuniya has therefore grown by around 50%, which is partly due to the fact that a significant proportion of IDPs in Mannar and Vavuniya are from other areas, such as Jaffna and the Vanni. The majority of displaced families are living in abject poverty and deserve a better deal in life, considering all the hardship and suffering they have undergone over the past two decades. It is encouraging to note that the resettlement of IDPs, including those living in welfare centers, has received close attention in the Mannar and Vavuniya Rehabilitation and Development Plans. Let us hope that before the end of this decade, there will be no more welfare centers and that most, if not all of the IDPs will have been successfully resettled and rehabilitated.

The development plans on the whole are very impressive as they cut across all the key sectors and maintain a fine balance between rehabilitation and development. Also implied in the plans are some important crosscutting themes and issues. It is interesting to compare the 2 Districts in terms of resource allocation, bearing in mind that they have roughly the same population and the same land area as well, that is, around 1,800 square kilometers. The grand total investment in Mannar is Rs. 31.5 billion while the corresponding figure for Vavuniya is Rs. 19.4 billion over the short, medium and long term. The level of planned investment in Mannar is therefore about 62% higher than in Vavuniya.

In both districts, the highest priority is given to economic infrastructure, comprising roads, bridges, transportation, power supply and water supply. I believe that in terms of development strategy, this makes eminent sense as the economic infrastructure, especially in the rural areas, has been devastated by war and is in urgent need of repair and rehabilitation. In Sri Lanka, the relationship between infrastructure development and economic development is very clear. The most prosperous regions are those with the best infrastructure. To develop the rural areas of Mannar and Vavuniya, we must equip them with basic infrastructure, including roads, power, water supply, and telecommunications.

In Mannar, which is located on the coast, irrigation, agriculture and related sectors, including fisheries, are the second highest investment priority, whereas in Vavuniya, they are the third highest. Health and education are the third highest investment priority in Mannar, but in Vavuniya, they are the second highest. The distribution of investment by sector (in relative terms) is also different in Mannar as compared to Vavuniya. No doubt these differences reflect differences in priorities, resource endowments, institutional capacity, and the way in which the conflict has affected the two districts. It will be most interesting to see which District is likely to grow faster and which is likely to have a greater impact on poverty.

Mannar, of course, has a head start as it will be receiving a much larger share of public investment than Vavuniya. But the volume of investment is not the only factor influencing growth. Perhaps the important question is how effectively these resources are going to be utilized by the two Districts. In assessing project performance, we need to look at efficiency as well as efficacy. I hope the implementing agencies will come up with a set of core indicators for tracking project performance and assessing project impact. I am pleased to note in this regard that some monitoring indicators have been identified in the planning matrix. But these need further development and refinement.

Be that as it may, I would like to congratulate the Ministry of RRR, GTZ, and other agencies involved with this exercise for preparing two very good planning documents, which are going to be of immense value to all stakeholders involved in the rehabilitation, reconstruction and development of Mannar and Vavuniya Districts, including the Central and Provincial Governments, the donor community, the private sector, and civil society. The donors, especially, will now have a clear idea of the priority areas for investment as well as the corresponding time frames, and be able to program their funds accordingly. Since the Peace Secretariat has a mandate to promote increased private sector participation in the development of the North and East, the wealth of information contained in these two documents will be of considerable benefit to us as well.

This is indeed a very good starting point. But now begins the difficult and complex task of implementation and of removing policy constraints and implementation bottlenecks that stand in the way of project success.

In this regard, I would like to point out that there are several policy and implementation issues embedded in the two rehabilitation and development plans. The implementing agencies must flesh them out and take concrete steps to address them. The critical shortage of health and education personnel is one example. The lack of adequate extension staff and marketing facilities is another. The absence of an effective mechanism for settling property disputes is yet another. The lack of proper inter-ministerial coordination is also a major problem for donor-funded projects and programs. Needless to say, these critical policy issues and constraints must be resolved quickly and effectively if the public investment programs for Mannar and Vavuniya are to be successfully implemented.

We also cannot ignore the political realities. I would imagine that parallel efforts in the area of reconciliation would be required to create an enabling environment for sustainable, pro-poor development. I hope that all stakeholders engaged in rehabilitation, reconstruction and reconciliation activities, including the development partners, the chambers, the NGOs, the universities, and the research institutes, will fully support the Government in its efforts to enhance the social and economic dividends of peace and to promote national harmony and unity in Sri Lanka.


Seneka Abeyratne
Director- Economic Affairs
Secretariat for Coordinating the Peace Process (SCOPP)