Features
Educational reforms Sri Lanka demands today for a brighter tomorrow
As a Sri Lankan who benefitted from free education, I feel honoured and privileged to deliver this Dr. C.W.W. Kannangara Memorial Oration, the 32nd in the lecture series inaugurated in 1988 on the twentieth anniversary of his demise.
I am well aware of the gravity of this task, particularly when considering the impressive stature of previous orators, often beneficiaries of free education themselves. The current economic, political and social crisis adds a further layer of complexity to the context in which this oration is delivered today. Within that backdrop, and with a keen awareness of the responsibility placed on my shoulders, I shall humbly endeavour to do justice to this task.
I am a medical practitioner by profession; however, I have spent most of my life sharing knowledge with friends, colleagues and students, as a teacher. This student-teacher reincarnation has been the focus and foundation of my entire life. Taking on the task of teaching arithmetic to my elder sister at the age of fifteen was my first venture into teaching. While waiting for entrance to the Medical Faculty, during the five years of university and well after that, I spent a considerable proportion of my time as a teacher. I had supported a number of students to pass their examinations for free, and as word spread of my skill in getting students through examinations, so many requests came in that I ended up establishing and running a private education institute named ‘Vidya Nadi’. This was more because I could not avoid the responsibility than for economic reasons. Most of those students are very prominent members of society today. The life lessons I obtained from being a teacher were significant and serve me to this day. Since then, I spent most of my life teaching and carrying out research in local and foreign universities, so much so that I would like to note that I have spent more time as a teacher and a researcher than as a doctor.
Within the same time frame, as a socially sensitive and politically informed person, as well as a medical student, I was also an activist who fought to defend free education, which gave me a different perspective on education. The complex and challenging context of today forces me to revisit this past and to re-examine the path we took in our younger days.
Against this complex background, my approach to this lecture today is based on two contrasting viewpoints Sri Lankan society holds on free education and the Kannangara legacy. Professor Narada Warnasuriya, who is a dear and well-respected teacher to me, during his Kannangara Memorial Lecture delivered in 2008, explained these two viewpoints as follows:
One group sees the Kannangara legacy in a single dimension, as a valuable basis for further expanding access to education, which also helps preserve fairness and social justice. They see it as a keystone of a just and conflict-free sustainable society.
The second group acknowledges that the Kannangara reforms had a major impact on bringing about a positive societal, and social transformation, but considers such changes irrelevant in the present context of a globalized free market economy. Professor Warnasuriya states that this group sees the Kannangara reforms as ‘a sacred cow, an archaic barrier to development, which stands in the way of building a successful knowledge-based economy’.
As an individual examining the status of education with an analytical mind, I do not wish to align myself with either of these groups exclusively, and decided to deliver this lecture from a neutral position, considering the positive and negative aspects of both viewpoints. This oration is therefore entitled Educational reforms Sri Lanka demands today for a brighter tomorrow and I plan to expand the discussion on Kannangara Legacy
I should also like to clarify that I prefer to refer to this as ‘our lecture’ rather than ‘my lecture’, because this lecture necessarily contains the views of a large group of like-minded people who work together with me as a team, on educational reforms.
Most of the facts forming the basis of this lecture are extracted from the recently published thirty-ninth (one-hundred page) special issue of the trilingual journal ‘Gaveshana’, entitled: ‘Educational reforms the country demands to create a productive citizen adaptable to the modern world’. This edition of Gaveshana is particularly significant in that it was published in the form of a research publication based on original data, and secondly, since a cross-section of educationists and officials from the Education sector who are directly involved with Sri Lankan educational reforms contributed to this publication, as did external experts who brought in a broader, societal viewpoint.
As someone who strongly believes that ‘a person alone cannot win a battle against the deep seas’, I would like to note that we are in an era in which not one but thousands of Dr. C.W.W. Kannanagaras are needed. Furthermore, it is important to note that educational reforms should not take a top-down approach but aim to incorporate the requirements and viewpoints of the beneficiaries of such reforms as honoured stakeholders: the knowledgeable student community, teachers and the general public. Such reforms should be informed by a regular feed-back loop, follow-up and grass-roots research. Educational reforms must be a dynamic process, not a static one, and follow-up research should be used to change not only the direction, but also the content of the reforms, if and when necessary.
This is the responsibility history vests on our shoulders, and in order to do justice to this obligation, I am deeply grateful to the Director General of the National Institute of Education and the staff of its Research and Planning Department for giving me this opportunity.
I was influenced early in life to believe the Stalinist concept of It is not heroes that make history, but history that makes heroes. But today, I am of the firm opinion that there are individuals who make constructive (or destructive) contributions to history. Dr. C.W.W. Kannangara is undoubtedly such a person who has left a lasting and positive contribution a hero that did change history, and it is therefore necessary to study not only the history he bequeathed but the person himself.
Who is Dr C.W.W Kannangara?
Dr. Christopher William Wijekoon Kannangara was born on October 13, 1884, at Randombe village, Ambalangoda. The third child in his family, he lost his mother early in life when his mother died giving birth to a younger brother. His father had five children from his first marriage and four from his second marriage. Although he was well looked after by his stepmother, he had faced the sad fate of losing his mother early in life. His father was a Buddhist, but his mother was a devotee of the Church of England. Christopher William Wijekoon was therefore baptized as a Christian although he formally converted to Buddhism as an adult in 1917. It was, as many of his closest Christian friends said, an act of wisdom and not a political act. Moreover, he learned Sinhala and Pali languages ??as well as Buddhism from his locality and environment.
He was a bright student, initially at Ambalangoda Wesleyan College. At its triennial prize-giving ceremony, he received the attention of accomplished mathematics teacher and the then Headmaster of Richmond College, Galle, Father D.H. Darrell.
Father Darrell had graduated from the Cambridge University, England with a first-class degree in mathematics. It is documented that Father Darrell had said to young Kannangara you will have to bring a heavy cart to take home the prizes you have won’. Father Darrell had then asked the Principal of Wesleyan College to prepare young Kannangara for the open scholarship examination at Richmond College. It is evident that it was this meeting with Father Darrell, the Headmaster of Richmond College at the age of 14 years, that turned out to be the pivotal point of Dr. Kannangara’s life.
Young student Kannangara subsequently won this scholarship, enabling him to attend Richmond College with free tuition, room and board. My belief is that this full scholarship established the foundation for the gift of free education that he later bequeathed to the nation.
He had to face further adversity in his life when his father lost his job and his pension after thirty years of service, leading to significant financial difficulty for his family. I would like to emphasise on, particularly to the young generation of today, the importance of recognising how his life was not cushioned in comfort, but was one of achieving greatness despite hardship and difficulty.
He was a bright student who excelled not only in studies but also in sports. He passed the Cambridge Junior Examination with honours and came first in the country and in the British Empire in Arithmetic. He was the captain of the cricket team, played in the football team and was a member of the debating team. He was also the lead actor in the school’s production of The Merchant of Venice. He was not a ‘bookworm’, but also excelled in extracurricular activities. Sadly, it is necessary to note the significant difference between the life of Dr. Kannangara as a student and the lives of the majority of children today.
At the time, the only option available for studying abroad was a government scholarship. Twelve Richmondites sat this examination, but he was unable to secure a scholarship, thus losing the opportunity to study at a foreign university. He chose instead to study law at the Sri Lanka Law College. Father Darrell, his mentor, however, requested young Kannangara to stay on at the school as the mathematics teacher and senior housemaster of the student hostel. He accepted and fulfilled this responsibility until the untimely death of Father Darrell, after which he moved to Colombo and embarked on his legal education. During this period, he also worked as a part-time teacher at Prince of Wales College, Wesley College and Methodist College.
By 1910, he had qualified as a lawyer and returned to Galle to start his legal career. He focused on civil law, carried on social service activities simultaneously and entered formal politics in 1911, supporting Mr. Ponnambalam Ramanathan. He actively campaigned for Mr. Ramanathan when he successfully contested in the 1917 elections for the Legislative Assembly, and the two ended up establishing a close friendship thereafter. He was an eloquent speaker at the establishment of the Ceylon National Council in 1919, expounding on its objectives to direct the country and the people towards a life of political freedom with equal rights and independence.
The pivotal moment of his political life came about when he was elected to the Legislative Assembly in 1923, representing the Southern Province. He was then elected as the President of the Ceylon National Congress in 1930 and in 1931, he became Sri Lankas first Minister of Education, after being elected to the State Council of Ceylon from the Galle district. He was elected the first chairman of the Executive Committee for Education with an overwhelming majority. He was re-elected to the same position in 1936 and held that position for 16 years.
The extent of the struggles and sacrifices Dr. Kannangara underwent to achieve free education should also be evaluated in the context of the political environment of the time. He entered politics at the time of Sri Lanka achieving universal franchise. The State Council at the time had 46 members and seven ministerial portfolios were available for elected members, one of these was the education portfolio.

Prof Athula Sumathipala delivering the Kannangara memorial lecture
He was conferred an honorary doctorate in law at the first convocation of the University of Ceylon under the auspices of the Vice-Chancellor Sir Ivor Jennings in 1942. It was in 1945 that he managed to finally achieve the passage of parliamentary bill to establish free education in the country. And yet, Dr. Kannangara, who was venerated as the Father of Free Education, was defeated at the first national parliamentary elections held in 1947. It is time to question if this defeat was a personal one or if it was a defeat of the entire Sri Lankan nation. He lost the election to a Mr. Wilmot. A. Perera, who was backed by wealthy individuals in the United National Party and with the support of the socialist camp as well. Even the Communist Party of Sri Lanka worked against Dr. Kannangara’s election campaign.
Time does not permit an in-depth discussion of the factors leading to the election defeat of a person who achieved societal change at such a significant scale, however, I do consider this one of the greatest ironies in Sri Lankan political history.
He was re-elected as a member of parliament in 1952, and was offered the Local Government portfolio. He was however denied the education portfolio, likely due to the influence of powers that be who wished to prevent further educational reforms by Dr. Kannangara. He retired from politics in 1956 when he turned seventy-two, but served as a member of the National Education Commission, indicating his commitment towards the education of the nation, which was beyond politics.
At the time of his entry into politics, Dr. Kannangara was quite prosperous economically, having started his career as a lawyer in 1923. Twenty years of holding a ministerial role, and forty years of public service, which is indeed the basis of politics, had led to a loss of financial stability by the time he retired. He showed by example that politics should not be a money-making mechanism. The Sri Lankan government offered him a one-time stipend of Rs. Ten thousand in 1963, a substantial amount of money at the time. Considering his health needs, he was offered a monthly living allowance of Rs.500/- in 1965, and this was subsequently increased to Rs.1000/- per month.
This great son of Sri Lanka, considered the Father of Free Education, passed away on 29th September 1969 without receiving much attention from the nation.
I think it is important to highlight a factor pointed out by Senior Professor Sujeewa Amarasena when he delivered the 28th Kannangara Memorial Oration. Professor Amarasena is a proponent of the second viewpoint Professor Warnasuriya mentions, i.e., those who acknowledge that the Kannangara reforms had a major impact on bringing about a positive societal, and social transformation, but consider such changes irrelevant in the present context of a globalized free market economy.
Senior Professor Sujeewa Amarasena said, today every political party, every organization connected to education, every trade union in the government or private sector and every individual who has had some education would come forward to protect free education as a social welfare intervention. The entire country and political parties with allied student movements are in a vociferous dialogue always talking about free education without really giving the legend Dr. CWW Kannangara his due place in this dialogue. I have not seen or heard a single University or a student organization in this country commemorating Dr. CWW Kannangara on his birthday though all of them are vociferous fighters to protect free education. Hence today late Dr. CWW Kannangara is a forgotten person as stated by Mr. KHM Sumathipala in his book titled History of Education in Sri Lanka 1796 to 1965. I would like to add to that and say that not only he is a forgotten person today, but even his vision has been misinterpreted, misdirected, distorted and partly destroyed by some people who benefitted from free education.
The irony of history extends further: at a time when school education was unavailable to the entire generation of children in Sri Lanka during the Covid-19 pandemic, many teachers were committed to providing an education to children via distance / online education, as it was the only viable option, albeit flawed in some ways. Some union leaders, in the guise of so-called trade union action, worked to obstruct such teachers from providing online education. Given that all trade union leaders are beneficiaries of free education, it has to be questioned if it is not the worst mockery in the history of free education that teachers rights were considered a priority, over the right of students to obtain an education. This tragedy raises multiple questions: has the expectation that widening access to education would create selfless citizens who think beyond personal gain and fulfil their responsibilities to the nation not been realised? Did the generation who benefited from the Kannangara reforms shirk their responsibilities in the post-Kannangara era? Or is it simply that the agenda for national benefit has been rendered secondary to narrow political gains?
Features
Sri Lanka’s vanishing wetlands put elusive otter under growing threat
The world marked World Otter Day 2026 recently. Conservationists are warning that Sri Lanka’s rapidly disappearing wetlands, polluted waterways and unplanned development are placing increasing pressure on one of the island’s most elusive freshwater predators, the Eurasian otter (Lutra lutra).
The species, locally known as “Diya Balla”, is the only otter found in Sri Lanka and is regarded as a key indicator of healthy freshwater ecosystems. Yet despite its ecological importance, experts say the animal remains poorly studied and largely overlooked in national conservation planning.
Naturalist and conservationist Chaminda Jayasekara, who has spent years documenting otters in Sri Lanka, said the species is facing mounting environmental pressures across the island.
Speaking to The Island, Jayasekara said habitat destruction, chemical pollution, road kills, sand mining, and increasing human disturbance are fragmenting the waterways on which otters depend.
“Otters are extremely sensitive animals. When wetlands are degraded or rivers become polluted, they disappear very quickly. Their survival is directly linked to the health of freshwater ecosystems,” he said.
Jayasekara, who specialised in MSc Environmental Management at the University of Hertfordshire, noted that while the species has been recorded across Sri Lanka’s wet zone, dry zone and coastal wetlands, scientific data on population numbers and distribution remain limited.
According to him, the decline of wetlands has become one of the most serious environmental issues facing Sri Lanka. Marshes, mangroves, irrigation tanks and riverine habitats are increasingly being altered by urban expansion, tourism infrastructure, encroachment and agricultural runoff.
He warns that the loss of these habitats not only threatens otters, but also weakens flood control systems, freshwater security and biodiversity resilience at a time when climate-related disasters are becoming more frequent.
Jayasekara said otters play a vital ecological role by helping maintain balanced fish populations and healthy aquatic ecosystems.
“When otters thrive, it tells us the river system is functioning properly. Their presence is a sign that water quality, fish diversity and habitat conditions remain healthy,” he explained.
One of the best-known locations for otter sightings in Sri Lanka is Aranga Pond, within the Horton Plains National Park, where the species has adapted to the island’s cold montane ecosystem.
However, conservationists stress that even protected areas are not immune to broader environmental degradation occurring outside park boundaries.
Jayasekara’s own work on otters gained prominence through long-term conservation efforts at Jetwing Vil Uyana, where a former degraded chena landscape was restored into a functioning wetland ecosystem.
The restored habitat eventually attracted Eurasian otters, fishing cats, grey slender lorises and numerous wetland bird species.
Over 14 years, Jayasekara carried out field observations, camera trapping and awareness programmes involving hotel staff, surrounding schools and local communities.
“What happened at Vil Uyana clearly showed that habitat restoration works. If degraded ecosystems are given time to recover, wildlife can return naturally,” he said.
He added that wetland restoration should become a central component of Sri Lanka’s environmental policy, particularly as climate change intensifies droughts, floods and biodiversity loss.

Chaminda collecting scat for research purposes in Sigiriya
He says wetlands are among the planet’s most productive ecosystems, functioning as natural water filters and carbon sinks while providing breeding grounds for fish, amphibians and aquatic mammals.
Yet globally, wetlands are disappearing at an alarming rate, and Sri Lanka is no exception.
Conservation groups have repeatedly warned that illegal waste disposal, pesticide contamination and poorly planned infrastructure projects are severely affecting freshwater ecosystems throughout the country.
Jayasekara also highlighted the importance of stronger environmental education and community participation in conservation.
“Awareness is still very limited. Many people living close to wetlands do not realise the ecological importance of otters or the threats they face,” he said.
According to him, involving local communities in conservation monitoring is essential if Sri Lanka hopes to safeguard the species in the long term.
He also pointed to the growing international interest in otter conservation.
In November 2025, Jayasekara represented Sri Lanka at the International Eurasian Otter Conservation Workshop held at Colchester Zoo and organised by the International Otter Survival Fund.
The workshop brought together nearly 100 researchers, conservationists and wildlife experts from 33 countries to discuss emerging threats facing Eurasian otter populations.
Jayasekara presented Sri Lanka’s experience under the theme Rewilding Through Hospitality, focusing on how habitat restoration and sustainable tourism practices at Vil Uyana contributed to otter conservation.
“The international response was extremely encouraging. Many delegates were surprised that a tourism property in Sri Lanka had quietly carried out wetland conservation work for more than a decade,” he said.
Discussions at the workshop also examined wider environmental concerns including river pollution, declining fish stocks, illegal killings and habitat fragmentation affecting otter populations across Europe and Asia.
New conservation technologies such as AI-assisted wildlife tracking and environmental DNA surveys were also highlighted as emerging tools for monitoring elusive species.
Jayasekara said Sri Lanka urgently requires more scientific surveys, stronger environmental law enforcement and greater investment in freshwater conservation research.
He warned that unless wetlands and waterways are protected, several lesser-known freshwater species could face severe decline in the coming decades.
Environmentalists say otter conservation should not be viewed in isolation but as part of a broader effort to protect entire freshwater ecosystems that millions of Sri Lankans depend on for drinking water, irrigation and livelihoods.
He further noted that healthy wetlands also strengthen climate resilience by absorbing floodwaters, reducing soil erosion and supporting groundwater recharge.
As Sri Lanka experiences increasingly erratic weather patterns linked to climate change, conservationists argue that protecting wetlands is becoming both an ecological and economic necessity.
Jayasekara believes Sri Lanka still has an opportunity to become a regional example in balancing tourism, biodiversity conservation and habitat restoration.
“The otter teaches us an important lesson,” he said. “If rivers are protected and wetlands are respected, nature has an incredible ability to recover.”
This year’s observance of World Otter Day 2026 is, therefore, serving not only as a celebration of one of the world’s most charismatic mammals, but also as a reminder of the urgent need to conserve the fragile freshwater ecosystems upon which both wildlife and human communities ultimately depend.

Eurasian otter
By Ifham Nizam
Features
Malaiyaha Tamil people: Healing the Oldest Wound of Independence
In their Vesak messages this year, President Anura Kumara Dissanayake and Prime Minister Harini Amarasuriya highlighted the values of reconciliation, coexistence and justice as essential to Sri Lanka’s future. President Dissanayake emphasised that Buddhism’s teachings remain deeply relevant to contemporary society and described Vesak as a symbol of “mutual understanding, unity and coexistence among all communities” and of reconciliation itself. Prime Minister Amarasuriya similarly called for the building of a society in which justice is assured to all irrespective of caste, race or religion. These messages were not merely religious aspirations, they were a direct challenge to the most serious failures in Sri Lanka’s post-independence history. These include the three-decade-long war, its human rights violations and the inability to implement a political solution.
These have been and continue to be the challenges that have prevented Sri Lanka from reaching its full potential. Added to this have been the persistence of social and economic inequalities that continue to marginalise communities at the bottom of the social hierarchy. One of the most enduring examples of such injustice is the experience of the Malaiyaha Tamil community. The scale of the original exclusion is worth understanding clearly. According to the 1946 Census, the Malaiyaha Tamil community numbered approximately 780,600 persons and constituted 11.73 percent of the country’s population making them the second largest ethnic community, larger than the Sri Lankan Tamil community who numbered 733,700 or 11.02 percent of the population at the time
The denial of citizenship and voting rights to the Malaiyaha Tamil community was the first major injustice inflicted on an ethnic minority in post-independence Sri Lanka. The consequences were devastating and long-lasting. A community that had contributed enormously to the country’s economy through its labour on the plantations was excluded from political participation and denied basic rights. This was a political and moral failure that cast a long shadow over the country’s post-independence history. Responsibility for that injustice needs to be shared widely. Political leaders across ethnic lines failed to resist it. The result was the marginalisation of a community whose contribution to national prosperity far exceeded the recognition it received. Today, nearly eight decades later, Sri Lanka has an opportunity to correct that historic wrong but only if economic reform is matched by genuine social inclusion.
Longstanding Grievances
The NPP government has repeatedly acknowledged the need to address the longstanding grievances of the Malaiyaha Tamil people. In its election manifesto, the NPP pledged to improve living conditions in plantation areas, strengthen land and housing rights, ensure equal access to education and public services, and integrate plantation communities more fully into national development. The NPP’s Nuwara Eliya Declaration of 2023 similarly recognised that the plantation community had suffered generations of exclusion and promised measures to address disparities in housing, land ownership, infrastructure, education and economic opportunity. The need for such action is plain to see. While citizenship issues have largely been resolved over time, the socio-economic consequences of decades of exclusion remain deeply entrenched and continue to shape daily life in plantation communities. A conference organised by the Institute of Social Development to mark International Tea Day on May 21 at the BMICH brought out this and many other salient issues. Headed by P Muthulingam the organisation has advocated for the rights of the Malaiyaha Tamil people for the past 35 years to be equal citizens who enjoy social and economic justice.
The central problem facing many plantation workers is the low level of income they receive. Daily wages remain among the lowest in the country relative to the difficulty and intensity of the work. Plantation labour continues to depend heavily on methods that have changed little over generations. Productivity remains low compared to competing tea-producing countries — not because workers lack capability, but because sustained investment in their welfare, skills and economic mobility has been withheld. Workers consequently remain trapped in a cycle of low wages and limited economic mobility. Their housing situation compounds these difficulties. Many plantation families continue to live in housing owned either by plantation companies or the state. Lack of secure ownership limits their ability to accumulate assets, access credit or make independent decisions regarding their future. When Cyclone Ditwah damaged plantation housing, it exposed the inability of those living in that housing to access state compensation as they did not own the housing in which they lived.
The problems extend beyond the central highlands. Plantation workers living in private estates and smallholdings in other parts of the country face similar challenges. A recent Amnesty International report documented serious abuses affecting Malaiyaha Tamil workers in private tea estates in the Southern Province. These include wage withholding, debt dependency, restrictions on movement and intimidation and practices the report argued correspond to internationally recognised indicators of forced labour. These findings are not peripheral. They reveal that the structural exclusion of the Malaiyaha Tamil community is not a relic of the past but an active, ongoing condition. Economic vulnerability and social marginalisation continue to leave many plantation workers without effective protection or access to justice. It is against this backdrop that the government’s recent plantation reform initiative assumes special significance.
Second Phase
The government has announced the second phase of a programme to make underutilised plantation lands and assets available for investment. The objective is to transform underperforming assets into productive enterprises capable of generating employment, attracting investment and revitalising regional economies. The programme seeks to modernise the plantation sector, improve productivity and create new opportunities in tourism, renewable energy and export-oriented industries. These objectives are necessary and welcome. However, economic reform alone will not be sufficient and Sri Lanka’s own history provides the warning. Previous rounds of plantation modernisation pursued productivity gains without addressing the structural disempowerment of the people at the centre of the industry. The result was investment that generated wealth without distributing it. The workers who produced the wealth were once again treated as labour inputs rather than as beneficiaries. If the current reform follows the same logic, it risks reproducing the same failure.
For reform to succeed, plantation workers must be recognised not merely as a labour force but as stakeholders with rights, aspirations and a legitimate claim to share in the benefits of development. Housing ownership, secure land tenure, quality education, vocational training and entrepreneurship need to be built into the reform process from the outset. The government’s commitments to the Malaiyaha Tamil community therefore need to be incorporated into every stage of the reform process. On the contentious question of land, the government should consider establishing an independent national land commission. Such a body should include respected government officials, professionals and representatives from all ethnic and religious communities. It should review land policy comprehensively, develop transparent principles for allocation and use, ensure fairness in decision making and provide a trusted mechanism for resolving disputes. A credible land commission would help build public confidence that land reforms are being undertaken in the national interest rather than for the benefit of particular groups.
The correction of historic injustices should not be viewed as a concession to one community. It should be understood as an investment in national unity, because societies do not become stronger by maintaining the exclusion of those they have wronged. On the contrary, they become stronger by ending it. The first great injustice committed against an ethnic minority after independence cannot be undone. But its consequences can be addressed, and doing so would strengthen reconciliation, enhance social cohesion and bring Sri Lanka closer to the vision of a country in which all communities live with equal dignity and equal hope. This is what the Vesak messages of the President and Prime Minister promised. The plantation reform now underway is the moment to make good on that promise not in words alone, but in sustained policy that endures beyond any single government and reaches the people who have waited longest for it.
by Jehan Perera
Features
IMF relief is not economic recovery: Sri Lanka’s real test begins now
The IMF’s latest decision to release approximately US$695 million to Sri Lanka provides an important measure of financial relief, but it should not be mistaken for full economic recovery. While the approval reflects progress in stabilisation, fiscal discipline, and reform implementation, the country still faces deep structural weaknesses, social pressures, and external risks. The real test begins now: whether Sri Lanka can convert this temporary breathing space into lasting reform, productive growth, stronger institutions, and national resilience. This moment should not be used for political celebration, but for serious national reflection and responsible action. Sri Lanka must now resolve to support a clear policy direction, a practical reform programme, and a long-term national development path — not merely an individual, a party, or a political camp.
1. IMF Relief: A Necessary Step, but Not a Final Solution
The IMF Executive Board recently completed the combined Fifth and Sixth Reviews under Sri Lanka’s Extended Fund Facility, allowing the country immediate access to SDR 508 million, approximately US$695 million. This decision represents an important step in Sri Lanka’s ongoing economic recovery process following the severe crisis that led to sovereign debt default, shortages of essential goods, high inflation, and the collapse of foreign reserves in 2022.
However, this decision must be understood with great sensitivity. IMF relief is not the same as full economic recovery. It gives Sri Lanka temporary breathing space, helps rebuild a certain level of international confidence, and supports the continuation of the reform programme. However, this relief is not a magic solution that can automatically resolve the country’s deep-rooted economic problems. Fundamental challenges such as the debt burden, weak productive capacity, low export earnings, poor public revenue performance, weak fiscal management, excessive dependence on imports, corruption, and inefficient state-owned enterprises still remain unresolved. Addressing these challenges requires domestic reforms, disciplined policies, stronger production and export capacity, and a long-term national development programme. Therefore, the IMF decision should not be treated as a political victory or as proof of complete economic success. Rather, it should be seen as a reminder that Sri Lanka still has a long and difficult journey ahead.
2. Sri Lanka’s Progress Recognised by the IMF and Its Limits
The IMF’s approval indicates that Sri Lanka has made progress in several important areas. Inflation has been brought under control compared to the extreme levels experienced during the crisis. Foreign reserves have improved, the exchange rate has shown greater stability, and fiscal management has become more disciplined. The government has also continued to implement reforms in taxation, public finance, energy pricing, and debt restructuring.
According to the IMF assessment, performance under the programme has generally been strong. Several quantitative performance targets have been met, while many structural benchmarks have either been achieved or implemented with some delay. This shows that Sri Lanka has remained broadly committed to the reform path agreed under the IMF-supported programme.
Yet this progress remains fragile. Stability achieved through external support must now be converted into genuine economic strength.
3. Conditions and Responsibilities Attached to the IMF Programme
IMF support does not come merely as financial relief; it comes with a set of important reform conditions and responsibilities that Sri Lanka must fulfil. Key among them are maintaining fiscal discipline, improving government revenue, continuing cost-reflective pricing for fuel and electricity, strengthening public financial management, restructuring state-owned enterprises, protecting institutional independence, and preventing the accumulation of new external payment arrears.
The main objective of these conditions is to restore macroeconomic stability, strengthen fiscal credibility, and rebuild international confidence in Sri Lanka. However, these reforms also carry social and political consequences. Higher taxes, market-based utility pricing, and strict expenditure controls can place a heavy burden on ordinary citizens, especially low-income families, small businesses, pensioners, and salaried workers. Therefore, in implementing reforms, economic discipline alone is not enough. Fairness, transparency, and social sensitivity towards vulnerable groups must also be treated as essential priorities.
4.The Impact of IMF Conditions on People and the Economy
One major social consequence of the IMF programme is the increased pressure it can place on household incomes and living standards. When electricity, fuel, and other essential services are priced on a cost-recovery basis, people may have to face a higher cost of living. Although such reforms are necessary to reduce the losses of state-owned enterprises and maintain fiscal discipline, they can weaken the purchasing power of ordinary citizens if strong social protection programmes are not in place.
Another important consequence is the pressure placed on the operating costs and stability of small and medium-sized enterprises. Higher taxes, increased utility costs, fuel and electricity expenses, and the rising cost of borrowing can affect business survival, job creation, and new investment decisions. If reforms are implemented without sufficient attention to production, exports, and small businesses, the country may achieve short-term fiscal stability, but long-term economic growth could remain weak.
There is also a political risk that cannot be ignored. If people feel that the burden of reform is not being shared fairly, reform fatigue and public frustration may emerge. If ordinary citizens are expected to make sacrifices while corruption, waste, and political privileges continue, public confidence in the reform process will decline. Therefore, for IMF-supported reforms to succeed, fairness, transparency, and social sensitivity must be firmly ensured alongside economic discipline.
5. The Real Test Before Sri Lanka
Sri Lanka’s real test begins now. Beyond temporary financial relief, the country must now prove that it can build a strong economy that generates income and can withstand external shocks. Therefore, our objective should not be limited to securing the next IMF tranche. While an IMF tranche may provide short-term breathing space, it does not guarantee long-term economic independence or stability. The real objective should be to create an economy that does not have to return to the IMF repeatedly during every crisis, but can stand on its own productive strength, export earnings, and fiscal discipline.
This requires fiscal discipline. However, discipline alone is not enough; economic growth is also necessary. Taxation is necessary. But increasing taxes alone is not a solution; production, investment, and exports must also be expanded. Debt restructuring is necessary. But beyond reducing the debt burden, Sri Lanka must also build an economic foundation that does not depend excessively on borrowing in the future. Sacrifices may be asked of the people. But for those sacrifices to be fair, accountability, transparency, and exemplary conduct from leaders are also essential.
Economic recovery cannot be sustained in the long term through financial assistance alone. Such support can provide breathing space during a crisis, but a country is rebuilt on the strength of its own institutions, productive capacity, export competitiveness, and public trust. Therefore, what Sri Lanka needs today is strong institutions, income-generating industries, a broader export base, food security, energy security, and a system of governance that people can trust.
6. Policy Priorities for Sustainable Recovery
Sri Lanka must now move from crisis management to national transformation. First, fiscal discipline should continue, but it must be fair. Revenue mobilisation should not rely only on increasing taxes on the same groups of people. The tax base must be broadened, tax administration must be improved, and tax evasion must be reduced.
Second, social protection must be strengthened. The most vulnerable groups should be protected through well-targeted assistance. Reforms will be more acceptable if people feel that the poor, elderly, disabled, and low-income families are not abandoned.
Third, state-owned enterprise reform should be carried out with transparency and public accountability. The objective should not merely be privatisation, but efficiency, professionalism, financial discipline, and better service delivery.
Fourth, Sri Lanka must prioritise export-led growth. The country cannot build a stable future by depending mainly on borrowing, remittances, and consumption. Agriculture, tourism, manufacturing, IT services, logistics, education, and value-added exports must become central pillars of national development.
Fifth, governance reform is essential. Without reducing corruption, political interference, wasteful expenditure, and weak implementation, no IMF programme can create lasting recovery. Economic reform and governance reform must move together.
7. From Temporary Relief to Lasting Recovery
The IMF decision gives Sri Lanka an important opportunity. It provides the country with space to strengthen economic stability, rebuild international confidence, and move forward with essential reforms. However, it is not a guarantee of success. It is only a step that gives the country some breathing space. It is now Sri Lanka’s responsibility to use that space wisely, with discipline and accountability to the people.
The country must now decide whether it will continue the old cycle of crises, debt, temporary relief, and political blame, or whether it will build a new national programme based on discipline, productive capacity, fairness, and accountability.
At this moment, true success cannot be measured by the amount of money received. It must be measured by whether Sri Lanka can build an economy that produces more, exports more, saves more, is governed better, and protects its people more effectively. The real victory is not receiving IMF relief, but building a strong national economy that will not depend excessively on such relief in the future.
Public Appeal: Let Us Choose a Programme, Not a Personality
This US$695 million will not solve every problem in our country. It may provide temporary financial relief and support the continuation of reforms, but it cannot replace the hard work required to build a productive, disciplined, inclusive, and self-reliant economy.
Therefore, this is the right time for all Sri Lankans to rise above narrow political loyalties and support a clear policy direction, a practical reform programme, and a long-term national development agenda — not merely an individual, a party, or a political camp. What Sri Lanka needs today is not the victory of a personality, but the victory of a responsible national programme that can restore confidence, protect the vulnerable, promote production, strengthen exports, ensure accountability, and secure a better future for the next generation. The question before us is simple but decisive: are we ready to make that choice?
by Prof. Ranjith Bandara,
PhD (Qld.,)
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