News
NPP’s Strategy: Securing better deal with IMF, but no exit – AKD
By Rathindra Kuruwita
The National People’s Power (NPP) intended to secure a better deal with the International Monetary Fund (IMF) regarding the debt sustainability analyses (DSAs). However, if the renegotiation process dragged on or proved costly, the party would adhere to the existing DSA, NPP presidential candidate Anura Kumara Dissanayake said on Monday (16) during an Ada Derana political programme.
Dissanayake highlighted three salient points the NPP was planning to address. The first concern was increasing spending on social welfare. The IMF had set several parameters for Sri Lanka to achieve such as raising tax revenue to 15 percent of GDP, maintaining a primary surplus of 2.3 percent of GDP from 2025, and reducing the public debt-to-GDP ratio to below 95 percent by 2032.
“We are not opposed to economic targets,” Dissanayake said. “But while striving to meet these objectives, our small and medium enterprises collapsed, and living standards declined. We must consider the social impact of pursuing economic goals. We need to engage the IMF about social spending.”
He emphasised that only the NPP had openly declared that participation in rallies or canvassing for the party did not qualify one for government jobs or state subsidies. “We can say this because those working with us are motivated by social objectives rather than personal gain. When I mentioned tax cuts, many asked, ‘Can we afford this?’
People are no longer seeking subsidies; they want meaningful change,” he added.
The second issue the NPP seeks to discuss with the IMF, according to Dissanayake, is the proposed mechanisms to combat bribery and corruption. “We want to explain that laws and mechanisms alone are insufficient. Practical measures are needed to enforce these regulations, and we will require IMF assistance for that,” Dissanayake noted.
The NPP intended to negotiate with the IMF debt optimisation, questioning whether reducing the public debt-to-GDP ratio to below 95 percent by 2032 is an ideal target. “In Greece, this figure was adjusted after discussions with the IMF, and it’s crucial as debt restructuring negotiations rely on it. These are the three areas we are planning to discuss with the IMF,” he said.
Dissanayake also remarked that the DSA was formulated with inputs from Sri Lanka and questioned the accuracy of those contributions. He mentioned that Sri Lanka had already conducted negotiations with bilateral and commercial creditors based on the current DSA, setting the projected debt-to-GDP ratio at 95 percent by 2032. Agreements have been made with the Paris Club and Exim Bank.
“Some people wonder whether we would have to start from scratch if an alternative DSA is negotiated. We have an agreement on the policy framework with bilateral creditors, though not a final one. We believe there’s still room for quick negotiation, as there’s no final deal with ISB holders either,” Dissanayake explained.
He stressed that the IMF was concerned not only with Sri Lanka meeting set targets but also with achieving overall debt sustainability. “We are not coming into power to destabilise the country, but to develop it. If renegotiations with the IMF take too long and agreements fall through, we may have to stick to the current programme. Our approach is to work with the IMF to secure a better deal, not to withdraw from it,” he clarified.
The NPP will have to govern a country that had entered into an agreement with the IMF, Dissanayake said, adding that there are no alternative routes for debt restructuring. “We have put all our eggs in the IMF basket, and discarding it would be irresponsible. We must try, and I believe we can renegotiate. However, if the costs and time required are too high, we will stick with the current programme,” he stated.
News
Washout against Afghanistan sends India into semi-finals
India are through to the semi-finals of the Asian Games men’s tournament, with persistent rain and a damp outfield in Nisshin forcing the abandonment of their quarter-final against Afghanistan 16 minutes before the scheduled toss. India’s higher seeding – determined by the ICC T20I team rankings – ensured they went through at Afghanistan’s expense.
India will next face the winners of Tuesday’s quarter-final between Nepal and Sri Lanka in Thursday’s second semi-final. As one of the four seeded teams – India, Pakistan and Bangladesh are the others – to qualify directly for the quarter-finals, Sri Lanka will progress to the semi-finals if their match against Nepal is washed out too.
News
Sajith rejects Jt. Opp. protest sabotage claim; SJB TU chief demands remedial action
By Shamindra Ferdinando
Alleging that the Samagi Jana Balawegaya (SJB) had betrayed the joint protest campaign, planned on 24 Sept., at Polduwa junction, against the enactment of the 22nd Amendment without securing public approval at a referendum, SJB trade union leader Ananda Palitha emphasised that SJB and Opposition Leader Sajith Premadasa should take remedial measures to restore the alliance against the NPP government.
Responding to The Island queries, the trade union activist said that he spoke on behalf of the vast majority of the SJBers who felt betrayed by the sudden declaration made by Colombo District SJB lawmaker S.M. Marikkar that they didn’t expect Opposition political parties’ participation, except that of the UNP.
Pointing out that at the behest of Premadasa, MP Marikkar belittled those who had pledged on 17 Sept. to join the SJB-led protest, Palitha emphasised the Opposition leader should be held responsible for restoring the shattered alliance. Palitha warned that the NPP, which was rapidly moving on a dictatorial path, would be the beneficiary of such treacherous actions.
When The Island raised the allegations pertaining to the 24 Sept. protest, Colombo District MP Premadasa said there was no basis for such claims. MP Premadasa called the accusations directed at him ‘rubbish.’
Palitha said that the pathetic failure on the part of the Opposition to genuinely challenge the authoritarian NPP should be examined, taking into consideration the government following an agenda almost 100 percent against the election pledges. Except the much touted anti-corruption campaign, the NPP reneged on all its election promises.
Recalling massive rice imports after having promised to stop the same in the run up to the national elections in 2024, Palitha alleged that the utterly corrupt NPP created an artificial shortage to enable import of large stocks of salt for their benefit. Massive earnings were made through commissions, Palitha said, urging the SJB to reiterate its commitment to the 17 Sept. pledge. According to him, the SJB’s irresponsible action sabotaged the joint Opposition agreement reached on the eve of President Anura Kumara Dissanayake completing two years in Office.
Palitha said that the disruption of a genuinely joint protest, at the last moment, caused irreparable harm to the Opposition. The unexpected eleventh hour declaration made by the SJB upset their efforts to organise a large scale two-day protest on 24 and 25 Sept. Palitha emphasised the responsibility on the part of the SJB leadership and its top management to spearhead an all-out campaign against the government. The former petroleum sector employee said that a strong and transparent campaign could undermine the NPP within as a section of its parliamentary group was deeply dismayed by the current policies and strategies.
Palitha, in his capacity as the trade union leader, invited the Bar Association of Sri Lanka (BASL) to join the trade unions’ protest on 25 Sept. to intensify pressure on the government. BASL President Rajeev Amarasuriya told The Island that they didn’t accept that invitation.
Former SLPP Kalutara District MP Sanjeewa Edirimanna said that the SJB was far more keen to organise a large-scale protest to counter the SLPP’s highly successful Anuradhapura rally held on 12 September than a genuine joint protest against the 22nd Amendment or the government. Edirimanna said that they realised that the SJB would probably join a joint protest campaign only after organising a gathering to counter the SLPP. According to him, the SJB hadn’t been honestly interested in a joint protest campaign. Instead, it sought to resist possible challenges from rival political parties, he said.
An aide to UNP leader and former President Ranil Wickremesinghe said that though the SJB announced they were welcome to join the 24 Sept. protest, the party never received an invitation. The official said that some UNPers joined the protest on their own though the party neither directed supporters to join or boycott the event. As the Janathawadi Joint Opposition decided against participating for want of formal invitations, the UNP, as part of that group, decided not to join the 24 Sept. protest.
News
Police remove Thileepan statue in Jaffna
By Norman Palihawadane
Police have removed a memorial statue of former LTTE member Rasaiah Parthipan, alias Thileepan, from the Thileepan Memorial Square in Nallur, Jaffna, following the conclusion of commemorative events, marking the 39th anniversary of his death.
The statue was removed in the early hours of yesterday (27), a day after the final day of the commemoration was held at the site.
CCTV footage from the memorial reportedly shows police officers removing the statue and taking it away in a vehicle.
Tamil National People’s Front (TNPF) Secretary and MP Selvarasa Gajendran alleged that more than 15 police officers arrived at the site, without prior notice, entered the premises wearing footwear, and forcibly removed the statue.
The reason for the removal and the legal basis for the police action had not been officially announced as of yesterday.
Thileepan, a former political wing leader of the LTTE, died in September 1987, after undertaking a hunger strike in Nallur, while making several demands of the Indian Government.
The memorial events, marking the 39th anniversary of his death, were held at the site on Saturday (26). A statue had been erected at the location in connection with the commemoration.
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