I had the privilege of attending
the 67th Annual General Meeting of the National Chamber of Commerce of Sri
Lanka, where the chief guest, the Turkish Ambassador to Sri Lanka, shared a
story that stayed with me more than any statistic or diplomatic statement. He talked
about a mongoose confronting a cobra, a small, quick creature defeating a far
bigger and more dangerous opponent through speed, precision, and instinct. It
was not just a wildlife story for entertainment; it was a lesson in strategy.
Strength, the story suggested, is not about size, but about using your unique
advantage wisely. In economic terms, this is the idea of comparative advantage.
David Ricardo explained that countries grow not by competing in everything, but
by focusing on what they do better than others.
When we look at the world, the
pattern is clear. Singapore, with very little land and few natural resources,
became a global hub for trade and finance by using its location, efficient
governance, and careful planning. Switzerland, landlocked and with limited
resources, built an economy based on precision manufacturing, finance, and
high-quality exports. New Zealand turned its traditional agriculture into a
diverse economy that includes premium dairy products, film, and digital
innovation. None of these countries relied on being big. They relied on clear
direction, disciplined institutions, and constant innovation. Their growth was
not accidental; it was strategic.
For Sri Lanka, this has important
lessons. Our location in the Indian Ocean is not just a dot on the map; it is a
strategic and economic asset. Almost half of global maritime trade passes
nearby. But comparative advantage only creates opportunities; it does not
guarantee success. Ports must work efficiently. Rules must be clear. Policies
must be steady. Singapore’s ports succeed because of speed and coordination.
For Sri Lanka, our maritime goals also need modern technology and strong
governance. Without efficiency, location alone is wasted potential.
The same applies to our
traditional exports. Sri Lanka is known worldwide for tea, cinnamon, rubber,
and apparel. But the future of small countries depends on moving up the value
chain. Exporting raw goods gives limited profit. Branding, packaging,
innovation, and niche products bring far higher value. Switzerland does not
just export cocoa; it exports high-end chocolate. The lesson is clear: adding
value must be a national goal, not just private ambition. Universities,
research institutions, and industries must work together to create unique
products, rather than just competing on cost.
Another key takeaway is the role
of innovation. Comparative advantage shows where to focus; innovation
determines how far you can go. Countries that consistently do well invest in
research, digital infrastructure, and skilled people. For Sri Lanka, this means
aligning education with future industries, logistics, maritime law, digital
services, renewable energy, and creative sectors. High literacy is good, but
economic competitiveness now depends on specialized skills and technology.
Innovation must become a real, measurable commitment, not just a slogan.
Mindset is also important. Small
nations that “punch above their weight” do not see themselves as minor. They
act with confidence. The mongoose survives not by ignoring danger, but by
understanding its capability. Sri Lanka’s recent economic challenges have
naturally focused attention on crisis management. But long-term development
requires moving from reactive thinking to proactive strategy. Instead of asking
how to survive global competition, we must ask where we can lead in specific
areas. This needs political stability, a dynamic private sector, and
partnerships based on mutual benefit, not dependency.
Strategic partnerships matter,
too. In today’s connected world, no small country grows alone. Trade deals,
joint ventures, and technology-sharing help nations multiply their strengths.
Sri Lanka should expand trade beyond traditional markets, strengthen regional
ties in South Asia, and build links with emerging economies. But partnerships
only work if domestic foundations are strong. Investors and allies look for
reliability.
In the end, what I took from the
speech was not just an economic lesson, but a development philosophy.
Comparative advantage is the compass. Innovation is the engine. Governance is
the structure. Mindset is the catalyst. When these align, size becomes less
important. Sri Lanka’s future success depends less on how much we have, and
more on how precisely we use what we have. Like the mongoose, our strength lies
in agility, clarity, and the courage to engage wisely with bigger forces. The
question is not whether we are small compared to global giants, but whether we
are ready to act with the discipline and strategic focus that small, successful
nations always show.

0 Comments