The 15th World Socialism Forum under the theme ‘At the Crossroads of World History: The Choice of All Nations’ was held in Beijing last week & was attended by approx 100 foreign participants.

At a time the world is witnessing increased acts of protectionism, unilateralism & geopolitical tensions, Socialist China’s path along the Belt & Road Initiative (BRI) which some compare to the economics endorsed in Buddhist philosophy has helped the weak to be strong. The International Monetary Fund (IMF) indicates that China has supported approx 30% of the global stabilization efforts in the recent years. The 1997 Asian financial crisis & the 2008 global financial crisis are two notable instances where China protected small nations.

Reliable but Risky

Some who struggled to attract foreign direct investments (FDIs) to Sri Lanka since 1948 might say that relying on communism or socialism is high risk. There may be others who think that the curse is over & the country is blessed. However, all who wish economic prosperity may study Socialist China as it’s the best example at present to prove the effectiveness of Socialism. It is the only country where all industries of the United Nations industrial classification function profitably within its industrial ecosystem. Those industries weren’t affected even during the COVID pandemic & were life savers to all including some EU states such as France & Germany with the support extended via the ‘Metal Camels’ of the BRI (Ref. Media). Some Sri Lankans including some socialists saw the BRI as a debt trap & it’s indeed a positive move to see them realizing the truth with examples like the progress ushered by socialist leaders in Laos & Vietnam etc.

Investing in Sri Lanka shouldn’t be a gamble

Socialist China's FDI magnet is powered by many factors including its disciplined workforce, consistent policies, mega consumer markets & the commitment to institutional opening up. The survey among member of the US - China business council has indicated approx 90% of the surveyed US companies view businesses in China important for global competitiveness.  The survey also indicates the hard data on efficiency, innovation & consumer demand quoted by the respondents (Ref. Media). These are lessons for Sri Lankans determined to develop the economy using socialism. It will be good if Sri Lankans can attract the trained eyes of seasoned investors who look for growth but gamble using the 2026 budget.

Socialist China which recognizes its diverse cultural base is keeping more than 30,000 rural towns & more than 500,000 villages as one big FDI magnet to fuel the world’s 2^nd largest economy.  It won’t be tough for Sri Lankans to use the intelligence of the 2024 voters to develop the economy learning from success stories if they are sincere. It may be worth learning the Hainan Free Trade Port Law developed by the Chinese who studied Greater Colombo Economic Commission Act of 1977 developed by Sri Lankans including former Minister of Trade & Shipping Lalith Athulathmudali.

A task for the politically educated

• Some who attended the famous 5 classes may think that ‘Capitalism’ (economic& political system in which property, business & industry are controlled by private owners with the purpose of making a profit - Ref. Cambridge) is a curse.
• Another who knows ‘Communism’ (a societywithout different social classes in which the methods of production are owned & controlled by all its members & everyone works as much as they can & receives what they need - Ref. Cambridge) might say Sri Lankans tried it from 1970 to 1977 but failed.
• A third, updated with the developments along the BRI etc. may say that ‘Socialism’ (set of beliefsthat states that all people are equal & should share equally in a country's money or the political systems - Cambridge) can be used to resolve resistance for development.

The challenge is to know the right mix to reap best from 2026 budget. The fast growing Indian economy is an opportunity with the BRI to benefit using the 2026 budget. The Delhi metro blast & the unofficial news on Indian plans to establish more military bases around Bangladesh may be indicating that Sri Lankans who stopped learning conflict prevention 2009 should resume studies.

Views expressed are personal. Photo source www