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Indian support has made ‘world of difference’ to Lanka – FM Peiris
‘Unresolved conflict over fishing rights is a constant irritant in bilateral relations’
India’s support has made a ‘world of difference’ to Sri Lanka’s economic situation, said Sri Lankan Foreign Minister G.L. Peiris, on his first visit to India since he was appointed last year, making it clear that the flurry of agreements announced in recent weeks have allowed the neighbours to move on from the problems of the “immediate past”.
In an interview with The Hindu, Prof. Peiris cautioned, however, that the unresolved conflict over fishing rights WAS a ‘constant irritant’ in bilateral relations, and the recent clashes between Indian and Sri Lankan fishermen that led to the death of two Sri Lankans, was a ‘flashpoint’ in ties that he hopes to resolve through talks.
“There’s no doubt whatsoever that Indian support at this critical juncture has made a world of difference. It has helped us to tide over the immediate difficulties which were obviously acute,” Mr. Peiris told The Hindu, referring to a series of announcements, including one billion dollars in various lines of credit, a currency swap arrangement of $400 million and a debt deferral of $515 million for two months from India.
In addition, India and Sri Lanka concluded a long pending agreement to jointly develop the oil tank facilities in Trincomalee, and have planned a number of infrastructure projects involving the private sector, which will be further discussed when Finance Minister Basil Rajapaksa visits Delhi in the next few weeks. Sri Lanka has also invited Prime Minister Narendra Modi to attend the BIMSTEC summit in Colombo on March 30, and hold “substantive” bilateral talks.
“All of this has engendered a degree of confidence which we didn’t see in the immediate past. And it has brought into being very special relation… there is a feeling that India has always stepped in when Sri Lanka needed it,” Mr. Peiris added.
Ties between India and Sri Lanka plummeted in February 2021 over the Rajapaksa government’s decision to cancel an MoU with India and Japan for Colombo’s East Coast Terminal project, which it later cleared for a Chinese company. Several other projects involving India had also been delayed for what Mr. Peiris called “logistical issues and bureaucratic reasons”. Subsequently, Sri Lanka awarded the West Coast Terminal project to the Adani group, and after a number of rounds of talks, including calls between PM and President Gotabaya, as well as three meetings between the foreign ministers on the sidelines of events in New York, Dhaka and Abu Dhabi, relations have seen a “new enthusiasm and a fresh energy”, he said.
Peiris met External Affairs Minister S. Jaishankar and Foreign Secretary Harsh Shringla on Monday, as a part of his three-day visit. In a tweet, Mr. Jaishankar said they held “productive talks,” which included discussions on economic cooperation, energy security, pending agreements on infrastructural projects, and agreed to schedule bilateral mechanism talks on the fishing rights issue at an “early” date.
Peiris said in the interview that he also hoped to consult India and other BIMSTEC members, including Bangladesh, Bhutan, Nepal and Thailand about the best way to tackle the “problem” of whether to invite Myanmar to the summit, or to follow the ASEAN grouping decision to exclude the military regime that took power in a coup last year.
Peiris also said apprehensions in India over Sri Lanka’s close ties with China were not “logical”, and the relationship with China was not at the “expense of India”.
“We are part of the Belt and Road Initiative. China has played a significant role with regard to the development of our ports and harbours and infrastructure of which we are appreciative,” he said, adding that Colombo hoped that China will soon restructure Sri Lanka’s debt, given its economic problems, a request made to Chinese Foreign Minister Wang Yi during his visit to the island last month.
When asked about the issue of Tamil reconciliation and devolution of power to the North and East, that India has consistently pushed for, Mr. Peiris said a committee of experts would submit a draft on the issue within two months to the President’s Council, but added that no decision can be implemented unless there is “sufficient consensus” from the Sri Lanka’s Sinhala majority. In January, several legislators from the North and East wrote a letter directly to Prime Minister Modi, seeking India’s intervention in ensuring the Sri Lanka government keeps its commitment to the process.
Days after India announced a slew of measures to help Sri Lanka during its economic crisis, and the ExIm bank signed an agreement to provide a Line of Credit of $500 million, Sri Lankan Foreign Minister G.L. Peiris arrived in Delhi for a meeting with External Affairs Minister S. Jaishankar, his first visit to India since he was appointed Foreign Minister last August. In an interview to The Hindu he spoke of plans to take bilateral ties to a new level, even as he cautioned that clashes over fishing rights had become a “flashpoint” in the relationship
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Courtesy call by the Heads of Mission- Designate on Prime Minister
The heads of mission designate to Sri Lanka paid a courtesy call on Prime Minister Dr. Harini Amarasuriya on 26th of March at the Prime Minister’s office.
The delegation comprised Dharshana M. Perera, High Commissioner – designate of Sri Lanka to Malaysia, Ms. Dayani Mendis, Ambassador and PRUN – designate of Sri Lanka to Austria, Ms. N.I.D. Paranavitana, Ambassador – designate of Sri Lanka to Ethiopia & African Union, Prof. (Ms.) M.I. Fazeeha Azmi,Ambassador – designate of Sri Lanka to Iran, Saman Kumara Chandrasiri, Ambassador – designate of Sri Lanka to Israel, and M. Farook M. Fawzer, Representative – designate of Sri Lanka to Palestine.
The Prime Minister, Dr. Harini Amarasuriya, extended her best wishes to the Heads of Mission–designate and underscored the importance of their forthcoming assignments in advancing Sri Lanka’s national interests emphasizing their collective role in contributing towards the socio-economic upliftment of Sri Lanka.
The Prime Minister further highlighted the importance of projecting a positive and credible image of Sri Lanka internationally, through consistent, professional, and strategic engagement in their respective host countries and multilateral platforms.
She encouraged the Heads of Mission to actively identify and facilitate high-quality investment opportunities, particularly in sectors aligned with Sri Lanka’s development priorities, with a focus on sustainability, innovation, and long-term value addition.
Particular emphasis was placed on the promotion and diversification of Sri Lanka’s exports, including the exploration of new markets and strengthening trade linkages.
The meeting was attended by the Secretary to the Prime Minister, Additional Secretary to the Prime Minister Ms. Sagarika Bogahawatta and heads of mission-designate.
[Prime Minister’s Media Division]
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SC finds Keheliya, others, guilty of violating FRs of public through corrupt drug procurement deal
The Supreme Court yesterday held former Health Minister Keheliya Rambukwella and several senior health officials liable for violating the fundamental rights of the public over a controversial drug procurement carried out under the 2022 Indian Credit Line.
Delivering the judgment, a three-judge bench, headed by Chief Justice Preethi Padman Surasena, and comprising Justice Kumudini Wickremasinghe and Justice Janak de Silva, found that the procurement of medical supplies from an unregistered company, in breach of established procedures, had resulted in a serious infringement of public rights.
The Court ruled that the granting of a Waiver of Registration by the authorities was “wrongful, arbitrary and capricious,” and held that the direct procurement carried out on an unsolicited basis was unlawful. The transaction was accordingly declared null and void.
In a significant order, the Court directed Rambukwella to pay Rs. 75 million in compensation to the State from his personal funds.
The then Health Ministry Secretary Janaka Chandragupta and former Chairman of the National Medicines Regulatory Authority (NMRA), Prof. S. D. Jayaratne, were each ordered to pay Rs. 50 million.
The Court further directed NMRA Chief Executive Officer Dr. Wijith Gunasekara and former Director of the Medical Supplies Division Dr. Thusitha Sudarshana to pay Rs. 50 million each as compensation.
The ruling followed the hearing of a fundamental rights petition filed by Transparency International Sri Lanka and two other parties.
The Court also instructed the Commission to Investigate Allegations of Bribery or Corruption to initiate appropriate action under the Anti-Corruption Act against those found responsible.
Senior Counsel Senany Dayaratne, with Nishadi Wickramasinghe, Lasanthika Hettiarachchi, Janani Abeywickrema and Maheshika Bandara, appeared for the petitioners.
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Sajith nudges govt. to follow India’s example in giving relief to consumers by slashing taxes on fuel
Opposition and SJB Leader Sajith Premadasa yesterday urged President Anura Kumara Dissanayake to reduce taxes on fuel, just as the Indian government has done.
He said in a post on X that “Modi government has decided to reduce the Special Additional Excise Duty on petrol and completely remove it for diesel in order to cushion the hardship on the Indian consumer. High time for Anura Kumara Dissanayake to keep up to his election promise and follow suit.”
Meanwhile foreign media reported that India has slashed excise duties on petrol and diesel to protect consumers and rein in a potential spike in inflation, while imposing windfall taxes on aviation fuel and diesel exports, amid volatile global oil markets, as a result of the Iran war.
Global oil prices have surged past $100 per barrel after the near closure of the Strait of Hormuz, which serves as a conduit for 40% of India’s crude oil imports, since the US and Israel first struck Iran on February 28.
In a government order, released late on Thursday, India’s Finance Ministry reduced the special excise duty on petrol to three Indian rupees ($0.0318) per litre from 13 Indian rupees earlier. It also cut the duty on diesel to zero from INR 10 rupees per litre.
The government did not say how much the duty cuts would cost. The move comes ahead of elections next month in four Indian states and one federal territory, with Indian voters known to be extremely sensitive to higher prices.
“Government has taken a huge hit on its taxation revenues to ensure very high losses of oil companies, approximately 24 rupees a litre for petrol and 30 rupees a litre for diesel, at this time of sky high international prices, are reduced,” Indian Oil Minister Hardeep Singh Puri said in a post on X.
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