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Dr. Nicholas advises Lanka against swallowing IMF dope

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By Shyam Nuwan Ganewatta

The IMF in 2020 told nations around the world that they should maintain a budget deficit to tackle the effects of COVID-19, however, two years later, the IMF insists that this would lead to chaos, Dr. Howard Nicholas, senior lecturer at Erasmus University – Rotterdam, and International Institute of Social Studies – The Hague told The Island.

“Obviously, the IMF is playing a game here. If you look at the past, it is obvious that IMF recommendations have not helped countries like Sri Lanka,” Dr. Nicholas said, adding that Sri Lanka needed to seriously think about its future.

“Apart from privatising State Owned Enterprises (SOEs) the government is not doing anything. This has not helped the economic development of any country. The IMF says that Sri Lanka must reform its state administration, and there is some truth to this. However, this is no solution to the country’s economic problems,” Dr. Nicholas said.

Dr. Nicholas said that Sri Lanka must take a path of export-oriented industrialisation. He has been urging successive Sri Lankan governments to take this road for 35 years, Dr. Nicholas said.

“The main reason why Sri Lanka is in crisis is because of the chronic balance of payment issues. Import expenditure was higher than export earnings for 40 years. The trade deficit on average was about 10 percent of the Gross Domestic Product (GDP). The country scraped by with tourism earnings and remittances from workers. However, this wasn’t enough, and loans had to be drawn. As you know, whenever there is a global crisis, there is a drop in tourism and remittances,” he said.

Dr. Nicholas said Sri Lanka had been borrowing heavily from the International Sovereign Bond markets since 2007. The country borrowed over 14 billion dollars from the bond market between 2015 and 2019.

“This had a severe impact on debt sustainability, and then came COVID-19, and everything unraveled. But the root cause of the problem is trade deficits, which started 40 years ago. The problem remains,” he said.

The Gotabaya Rajapaksa administration in 2019 implemented a serious tax cut, and that was a disastrous move, Dr. Nicholas said. The Rajapaksa administration had also dramatically reduced interest rates and stopped the import of agrochemicals without a real plan to transform our agriculture, he said.

“His government made a lot of mistakes that led to the shrinking of Sri Lanka’s foreign reserves. The government, like everyone else before them, had no interest in boosting import revenue,” he said.



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Landslide Early Warnings issued to the districts of Kandy and Nuwara Eliya extended

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The landslide early warnings issued to the Districts of Kandy and Nuwara Eliya by the Landslide Early Warning Center of the National Building Research Organisation have been extended till 0600 hrs on 15th February 2026.

Accordingly,
The Level II [AMBER] warnings issued to the Divisional Secretaries Divisions and surrounding areas of Walapane and Nildandahinna in the Nuwar Eliya district and the
Level I [YELLOW] warning issued to the Divisional Secretaries Divisions and surrounding areas of Pathadumbara in the Kandy district have been extended.

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Advisory for Severe Lightning issued to the Western, Sabaragamuwa and Southern provinces and Badulla and Nuwara-Eliya districts

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Advisory for Severe Lightning Issued by the Natural Hazards Early Warning Centre at 11.30 a.m. 14 February 2026 valid for the period until 11.30 p.m. 14 February 2026

Thundershowers accompanied with severe lightning are likely to occur at some places in the Western, Sabaragamuwa and Southern provinces and in Badulla and Nuwara-Eliya districts after 1.00 p.m.  There may be temporary localized strong winds during thundershowers.

The General public is kindly requested to take adequate precautions to minimize damages caused by lightning activity.

ACTION REQUIRED:

The Department of Meteorology advises that people should:
 Seek shelter, preferably indoors and never under trees.
 Avoid open areas such as paddy fields, tea plantations and open water bodies during thunderstorms.
 Avoid using wired telephones and connected electric appliances during thunderstorms.
 Avoid using open vehicles, such as bicycles, tractors and boats etc.
 Beware of fallen trees and power lines.
 For emergency assistance contact the local disaster management authorities.

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Teacher recruitment examinations will be conducted in accordance with the relevant court decisions – PM

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Prime Minister Dr. Harini Amarasuriya stated that the forthcoming two teacher recruitment examinations will be conducted in accordance with the relevant court decisions pertaining to the ongoing legal proceedings and further noted that, taking into consideration the requests received, steps have been taken to make a request to Court’s approval to revise the conditions of the effective date of degree completion.

The Prime Minister made these remarks while addressing a meeting held at Monaragala Royal College to brief education authorities of the Monaragala District on the new education reforms.

Under the new education reforms, Smart Boards will be provided to 132 schools in the Monaragala District as part of the program to equip secondary schools with modern technology. As a symbolic step under this initiative, Smart Boards were presented to 10 secondary schools under the Prime Minister’s patronage. This program is being implemented with the intervention of the Digital Task Force operating under the Prime Minister’s Office. It was also emphasized that a new digital policy, formulated with special attention to child protection, will be introduced in April.

As part of her visit to the Monaragala District on the 13 th of February, the Prime Minister observed the implementation of the new learning methodologies introduced for Grade One under the new education reforms. She visited Kumbukkana Sri Shanmugam Tamil Maha Vidyalaya and Maduruketiya Maha Vidyalaya in Monaragala to observe the educational activities of Grade One students.

Considering the increase of student numbers and the development of infrastructure facilities, the Prime Minister also approved a proposal submitted by the School Development Society to rename Maduruketiya Maha Vidyalaya as Monaragala Dharmaraja Maha Vidyalaya.

Teachers briefed the Prime Minister that the new education system, supported by revised workbooks and activity-based learning methods, has proven to be effective, with students participating enthusiastically.

Addressing education officials further at the meeting held at Monaragala Royal College, the Prime Minister stated:

“Although this will not provide a complete solution to the existing teacher vacancies, these examinations can offer considerable relief. According to the Court’s previous determination, the effective date of degree completion had been set as 30.06.2025. However, considering numerous requests and following the cabinet approval we have sought Court’s consent to revise this date. We will act in accordance with the decision granted.

Funds allocated for school infrastructure must be utilized transparently and in line with proper planning, and progress must be reported accordingly. We cannot move forward by dividing ourselves along national, provincial, rural, or urban lines. As education authorities, you must make swift and accurate decisions based on correct data.

Further, discussions are already underway within the Piriven Committee of the Ministry of Education to develop Piriven education and to address the issues faced by Piriven teachers.”

The event was attended by the members of the Maha Sangha, Uva Province Governor Attorney-at-Law Kapila Jayasekara, Deputy Minister of Trade and Commerce R.M. Jayawardhana, Member of Parliament Ajith Agalakada, Uva Provincial Education Secretary Nihal Gunarathne, and several officials from the education sector.

[Prime Minister’s Media Division]

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