Editorial
The axe falls

The signs have been ominous for the past several weeks and finally the axe has fallen. Plagued by both mismanagement and bad governance by the ruling Rajapaksas, aggravated by an ineffective opposition, the bad news is now very much here and the people have to face the harsh reality. Last week’s sharp devaluation of the rupee against the dollar, long resisted by the Central Bank and its Governor, has been forced upon the Sri Lanka economy and a population that moved from gas queues to milk powder queues and then to long lines to refuel their vehicles interspersed by blackouts and power outages countrywide will, hopefully, be spared such torment in the near term. But at a price and a very heavy price at that, that most people would not be able to afford. But for how long? We can only hope that a benevolent deity will smile down on this tormented land.
The economic indicators are grim. The foreign exchange liabilities of the Central Bank exceeded its reserve assets by Rs. 662 billion (USD 3.29 bn.) in January this year, up from Rs. 386 billion (USD 1.9 bn.) a month earlier. The situation today must necessarily be worse with the country struggling to repay debt and being compelled to utilize reserves to pay for vital imports. We have been printing money as though there is no tomorrow and this has been going on for a long time. Cash savings of people have been wiped out in value terms in a country that had long been advocating savings as a means of strengthening the economy. Those who held what funds they had in fixed income instruments like fixed deposits have taken a heavy blow while those who invested in real assets like land and property or even a vehicle have been relatively unscathed. However, it is still too early to say whether capital appreciation of real estate in the current scenario will continue as in the past.
Government leaders have been urging patience on a population that is running out of that, or more correctly, already run out of it. No less than the president assured that the power problem will be over by March 5. But that was not to be. Ministers Lokuge and Gammanpila kept making contradictory statement with the ground situation proving Gammanpila right. The Lanka Indian Oil Company (LIOC), the Indian player in Sri Lanka’s oil import and distribution market, raised prices four times since Dec. 21 last year. The Ceylon Petroleum Corporation (CPC) which controls the larger market share did not follow suit though both players have been stridently claiming that they are selling below procurement cost. The obvious result of LIOC fuel, both petrol and diesel, being much more expensive than CPC’s, consumers tanked-up at CPC filling stations unless they were forced to do otherwise. The net result is that already high CPC losses swelled further.
The grim reality is that CPC must raise its prices sooner than later. The government, obviously, is all too aware of the ramifications of a fuel price increase which is all encompassing. Public transport fares must go up; so also the price of produce that must be moved to markets. The implications are far and wide but the evil day will soon be with us. The CPC, initially, would hike prices to be on par with LIOC, and thereafter both companies needing to match their sale prices with the cost of procuring supplies will demand further price increases. These no doubt will be granted. There is a Tamil proverb that the man who is already wet does not feel the rain. People hit with price rises for all essentials, leave apart the few luxuries that makes life tolerant, may (hopefully from the rulers’ viewpoint) like the man who got wet in the rain not feel the effect of this one too badly. We need not labour the fact that the impact of the devaluation will be all pervading.
There have been indication that the hard line resistance towards going to the IMF for assistance is weakening. A structural adjustment facility (SAF) from the Fund in 1978 greatly assisted President J.R. Jayewardene’s big bold stroke of freeing the economy shackled for decades by state controls. There were conditions for that including a sharp depreciation of the rupee from then prevailing exchange rates. Older readers may remember that the National Savings Bank (NSB) at that time paid as much as 22% for one-year fixed deposits. There was a surge in imports and demand pent-up over several years was satisfied. So much so that Mr. Lalith Athulathmudali, then minister of trade and shipping, once declared that people may tolerate high prices up to a point, but never again scarcities. Fifty years later they have been forced to tolerate both.
The IMF has warned that the Central Bank may lose control of money and the economy could implode unless money printing was stopped. There are signs that this advice is now being taken, although late. It said in a statement that Sri Lanka’s public debt, including Central Bank liabilities, has risen to 119 percent of gross domestic product (GDP). The bank is yet carrying debts to the tune of USD 1.2 billion to the IMF from previous currency crises. The president will chair an All Party Conference, something it was hitherto reluctant to do, within the next few days. As SJB front-liner Harsha de Silva, a knowledgeable economist recently said, “We’re all in this together.” Now is not the time for the cheap politics that has long plagued this country. The right thing must be done. But do we have the leaders to do it? That is the question.
Editorial
Dalada Vandana

Friday 25th April, 2025
Hundreds of thousands of Buddhist devotees have realised their dream of viewing the sacred tooth relic up close and paying homage to it during the past several days at the ongoing Dalada Vandana exhibition in Kandy. They have expressed their gratitude to the organisers of the holy event––and rightly so.
Government propagandists have sought to help the ruling NPP coalition gain political mileage from the relic exposition in the run-up to the local government elections. President Anura Kumara Dissanayake, who, during his Opposition days, used to condemn political leaders for visiting holy shrines, such as the Dalada Maligawa, with television crews in tow, opened Dalada Vandana, and received much publicity.
The government categorically stated that there would be no VIP queues for Dalada Vandana, and no devotee would be given preferential treatment, unlike in the past. But complaints abound that many influential people were granted privileged access to the Dalada Maligawa, while ordinary devotees were languishing in long queues for days.
The situation in Kandy has taken a turn that the government, municipal officials, health authorities and the police apparently did not bargain for. The Hill Capital is groaning, overwhelmed by the sheer number of visitors flocking there. Devotees are complaining of the lack of food, water and sanitary facilities in Kandy, which, according to media reports, is strewn with garbage, and has toilets overflowing in some areas. The government and Kandy municipal officials should have had plans ready to face such an eventuality. It is hoped that public health officials will go all out to prevent disease outbreaks.
The availability of free food and sanitary facilities, temporarily sheltered walkways, etc., for pilgrims in Kandy received wide publicity on the first day of Dalada Vandana, and it is only natural that so many people converged to the sacred city, expecting a comfortable stay there. Yesterday, the police and state officials had to urge devotees to stop travelling to Kandy, which is heavily congested and cannot take any more visitors, and those who are already there will have to spend about two days to enter the Dalada Maligawa.
The police have taken action to prevent buses, etc., carrying devotees from entering the Kandy city, we are told. That is the only way they can prevent the city from becoming even more congested and chaotic. But it has not been possible to stop people from reaching the city, and one can only hope that the police and the armed forces will succeed in carrying out crowd control effectively, and there will be no stampede in the city.
Hundreds of thousands of people have been waiting in several queues stretching for about 10 km each for the past three days or so to get a close glimpse of the sacred tooth relic and pay homage to it. Chances are that not all of them will be lucky enough to do so, and how people will react in the case of being turned away remains to be seen. Sri Lankans tend to turn aggressive at the drop of a hat, and this is something the police and the security forces will have to take cognisance of.
A mega event like a relic exposition that attracts huge crowds requires several months of planning. But the government wanted Dalada Vandana held fast for obvious reasons, and the Kandy has been plunged into chaos.
Meanwhile, there has been a proposal to hold Dalada Vandana annually. While this idea may resonate deeply with Buddhist devotees, the question remains whether the government, the custodians of the Sri Dalada Maligawa, the Kandy municipal authorities and the police are up to the gargantuan task—especially given their responsibility for organising the annual Dalada Perahera. Crucial factors such as costs and the need for extraordinary security arrangements must also be taken into consideration.
Editorial
Good governance: Pie in the sky?

Thursday 24th April, 2025
The NPP government is coming under increasing pressure to disclose the contents of the MoUs it signed with India during Indian Prime Minister Narendra Modi’s recent Sri Lanka visit. But it keeps them under wraps, trotting out various excuses and exuding hubris. Minister of Foreign Affairs Vijitha Herath as well as Cabinet Spokesman and Minister Dr. Nalinda Jayatissa has said anyone can invoke the Right to Information (RTI) laws and obtain information about the MoUs in question. Curiously, Dr. Jayatissa has reportedly said that some information about the MoUs cannot be revealed to the public without India’s consent! So, the question is whether he and Herath think Sri Lanka’s RTI Act will compel India to consent to reveal the contents of the controversial MoUs to the Sri Lankan public.
The NPP government never misses an opportunity to flaunt its popular mandate and brag that it has been elected by as many as 6.8 million people. But it does not respect their right to know the contents of the agreements/MoUs it has entered into with another country. Those people voted for the NPP in the hope that it would fulfil its pledge to usher in good governance.
Claiming that all its predecessors had only paid lip service to good governance, the NPP sought a mandate to make a difference. But there has been no radical break with the past under the current dispensation, as evident from the manner in which the NPP is conducting its first election campaign after being ensconced in power. It has adopted the same modus operandi as its predecessors in a bid to win the upcoming Local Government (LG) polls. State workers have been given pay hikes; government politicians are issuing threats to impose fund restrictions on the local councils to be won by parties other than the NPP; President Anura Kumara Dissanayake, who is also the leader of the JVP and the NPP, has promised to expand the Aswesuma social welfare scheme to include 400,000 more families; the government tried to distribute dry rations about two weeks ago to muster favour with the public, and it has pledged to recruit 35,000 more individuals into the state service, which is already bursting at the seams.
The JVP/NPP has made a mockery of its much-advertised commitment to good governance by refusing to ensure transparency regarding the aforementioned MoUs with India, especially the one on defence cooperation. The UN has defined good governance as the transparent, accountable, inclusive, and efficient management of public affairs and resources. Good governance cannot exist in a political environment devoid of transparency and accountability.
The JVP/NPP leaders vehemently protested when the previous government dragged its feet on presenting its agreement with the IMF to Parliament. Today, they are practising exactly the opposite of what it asked its predecessors to do. They insist that their MoUs with India do not contain anything detrimental to Sri Lanka’s interests. If so, they should have made the contents thereof readily accessible to the public of its own volition.
The JVP-led government has rightly undertaken to ensure that justice will be served to the victims of the Easter Sunday terror attacks expeditiously. It must go all out to fulfil that pledge. However, first of all, it ought to tender an unqualified apology to the public for its reign of terror, which destroyed thousands of lives and state assets worth billions of rupees in the late 1980s, when it campaigned against the Indo-Lanka Accord, claiming that it had been thrust on Sri Lanka. It sought to justify its mindless terror by claiming that violence was the only means it was left with in its efforts to defeat what it described as Indian expansionism, but today it has no qualms about signing MoUs/agreements with India on the sly. It is only fuelling speculation that it is doing its damnedest to prevent the ill-effects of its deals with India from becoming public in the run-up to the upcoming LG polls.
Editorial
Waiting for Godot?

Wednesday 23rd April, 2025
A four-member committee has been appointed to study the report of the Presidential Commission of Inquiry (PCoI) that probed the Easter Sunday terrorist bombings (2019). It comprises a Senior Deputy Inspector General (Chairman), the DIG of the CID, Director of the CID and the Director of the Terrorism Investigation Division. It is reported to have set up several subcommittees. Based on new evidence that may emerge, fresh investigations will be launched, the Police Media Spokesman has said.
Thus, the NPP government, too, has chosen to kick the can down the road, so to speak. All signs are that the committee and its subcommittees will take a month of Sundays to study the PCoI report, and fresh investigations to get underway on the basis of their findings and observations could go on until the cows come home.
What impact will the PCoI report have on the police investigations that have been going on into the Easter Sunday carnage for years? If the police have not already drawn on the PCoI findings and observations in probing the terror attacks, their investigations are likely to be delayed further until the conclusion of the perusal of the document.
One may recall that in August 2021, the Catholic Church demanded credible answers, within one month, to questions regarding the Easter Sunday tragedy. Its ultimatum, given in a 20-page letter, prompted the Gotabaya Rajapaksa government to have the then IGP C. D. Wickramaratne issue a special statement explaining why the probe into the Easter Sunday terror attacks had been delayed. He found fault with those who had handled the police investigations previously.
Wickramaratne’s statement, which shed light on the sorry state of affairs in the CID and other investigative branches of the police, warrants the attention of those who seek justice for the Easter Sunday carnage victims expeditiously. Wickramaratne said the police probes into the terror attacks had been riddled with flaws. Investigators had been in an inordinate hurry to make the bombings out to be the work of a handful of extremists with links to ISIS, and no serious attempt had been made to get to the bottom of the carnage, he said, claiming that they had also taken great pains to prove that all those involved in the terror attacks had been either killed or arrested. Some police officers handling investigations had acted irresponsibly, said Wickramaratne, noting that certain ego-driven investigators had tried to conclude the probes fast, and claim the credit for that; their approach had adversely impacted the criminal investigations.
The PCoI report had been referred to the Attorney General for necessary action, Wickramaratne noted, claiming that the previous investigations had been characterised by a total lack of coordination among the investigation teams, who worked in water-tight compartments. That fact had become evident from the way some incidents had been probed before the Easter Sunday bombings, IGP Wickramaratne said, pointing out that their interconnectedness had gone unnoticed.
Some other factors IGP Wickramaratne adduced to explain the delays in the police investigations in question were the process of ascertaining information from the countries where some suspects were living, and the gathering of evidence pertaining to telephone conversations from 24 June 2014 and analysing them to determine when the dissemination of extremist ideas began in this country and how extremism developed. Among those who aided and abetted the perpetrators of the Easter Sunday attacks were some educated persons and professionals, and given their calibre and social standing, investigations had to be carried out thoroughly if they were to be successfully prosecuted, Wickramaratne said, claiming that it had taken four years to bring those responsible for the bomb attack on the Dalada Maligawa in 1998 to justice, and investigations into the suicide bomb attacks on a religious ceremony held by a mosque at Akuressa in 2009 had taken seven years. The police had been able to carry out those investigations free from pressure, he said.
Cabinet Spokesman Dr. Nalinda Jayatissa has gone on record as saying that the task of disclosing the masterminds behind the Easter Sunday terror attacks should be left to the CID and the judiciary. The government, which promised to name the terror masterminds itself, has made another about-turn! With the investigative process marked by delaying tactics, inaction and deflection, it may not be unreasonable to say that at this rate, justice for the victims of Easter Sunday carnage may be galactic years away.
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