Colombo:
A pro-LTTE political party in Sri Lanka has protested the ongoing military operations in the north, even as the government hiked defence spending to a record USD 1.6 billion to fund the campaign against the Tigers.
The pro-Tiger Tamil National Alliance (TNA) stayed away from the budget presentation as a mark of protest against the military campaign in the north, as President Mahinda Rajapaksa warned the LTTE to surrender or face defeat.
The TNA, which staged a walk out, has 22 representatives in the 225 member Sri Lankan Parliament. Besides announcing plans to raise defence spending by seven per cent to a record figure of USD 1.6 billion in 2009, Rajapaksa, in his capacity as the finance minister, also proposed to spend Rs 3000 million (Sri Lankan rupees) to rehabilitate LTTE members joining the democratic stream.
He also announced a one per cent tax on most goods and services to ",rebuild communities and infrastructure facilities affected by terrorism,", while downgrading the economic growth of the country reeling under a double-digit inflation.
",My earnest plea to the the rebels is to give up arms and join the democratic process, even at this late stage.
If not, they will be militarily defeated,", said Rajapaksa, who also spoke in Tamil on two occasions, amidst applause.
The hike in defence budget accompanies an estimated budget deficit of over USD 3 billion or 6.5 per cent of the GDP. Earlier TNA Parliamentary Group Leader R Sampanthan in his statement said his party members would boycott the budget speech to protest the military offensive against the LTTE.
Rajapaksa also devalued the growth rate for 2008 by 0.5 per cent to 6.5 per cent for the economy which grew by 6.8 per cent in 2007.
The inflation had risen to a massive 23.4 per cent at the end of last month. In his budget speech last evening, Rajapaksa applauded security forces for the headways made by them in the Tiger strongholds of the north, commending them for ",rescuing a vast area in the Kilinochchi and Mullaitivu Districts",.
",I am glad to note that at the moment the Budget is being presented, our hopes are advancing their operations having rescued a vast area in the Kilinochchi and Mullaitivu Districts,", he said.
The government is fighting the LTTE, who have been trying to carve out a homeland for minority Tamils, in a conflict that has claimed tens of thousands of lives on both sides since 1972.
The pro-Tiger Tamil National Alliance (TNA) stayed away from the budget presentation as a mark of protest against the military campaign in the north, as President Mahinda Rajapaksa warned the LTTE to surrender or face defeat.
The TNA, which staged a walk out, has 22 representatives in the 225 member Sri Lankan Parliament. Besides announcing plans to raise defence spending by seven per cent to a record figure of USD 1.6 billion in 2009, Rajapaksa, in his capacity as the finance minister, also proposed to spend Rs 3000 million (Sri Lankan rupees) to rehabilitate LTTE members joining the democratic stream.
He also announced a one per cent tax on most goods and services to ",rebuild communities and infrastructure facilities affected by terrorism,", while downgrading the economic growth of the country reeling under a double-digit inflation.
",My earnest plea to the the rebels is to give up arms and join the democratic process, even at this late stage.
If not, they will be militarily defeated,", said Rajapaksa, who also spoke in Tamil on two occasions, amidst applause.
The hike in defence budget accompanies an estimated budget deficit of over USD 3 billion or 6.5 per cent of the GDP. Earlier TNA Parliamentary Group Leader R Sampanthan in his statement said his party members would boycott the budget speech to protest the military offensive against the LTTE.
Rajapaksa also devalued the growth rate for 2008 by 0.5 per cent to 6.5 per cent for the economy which grew by 6.8 per cent in 2007.
The inflation had risen to a massive 23.4 per cent at the end of last month. In his budget speech last evening, Rajapaksa applauded security forces for the headways made by them in the Tiger strongholds of the north, commending them for ",rescuing a vast area in the Kilinochchi and Mullaitivu Districts",.
",I am glad to note that at the moment the Budget is being presented, our hopes are advancing their operations having rescued a vast area in the Kilinochchi and Mullaitivu Districts,", he said.
The government is fighting the LTTE, who have been trying to carve out a homeland for minority Tamils, in a conflict that has claimed tens of thousands of lives on both sides since 1972.
