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Expert advisor, sustainable farming and the rice farmer

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by M. P. Dhanapala,

Retired Director, Rice Research and Development, Batalagoda

Email: ,maddumadhanapala@yahoo.com

Tel: 071 8412444

The two critical facts relevant to rice farming in Ceylon/Sri Lanka that one might consider seriously when dealing with farmers are as follows:

1. Rice cultivation is the least remunerative of all occupations and that the farmers grow rice mainly because of the social dignity attached to it (Bevan, 1914),

2. And that farming is an independent profession that cannot be governed by rules and regulations.

Now we can witness that both the above aspects are being overlooked. Farmers come out with slogans demanding fertilizer because they know that the little profit they had in rice farming is denuded by the unfamiliar organic manure based sustainable rice cultivation. And now they are adamant that they would not cultivate rice if inorganic fertilizers and other agro-chemicals are not allowed. No rules or regulations can force them to cultivate their lands, unless they do it voluntarily. You may intimidate them by threatening to confiscate the land, but this may worsen the situation.

They humiliate policy makers, because right now they are the most affected by this abrupt change in the policy. You may interpret this as a politically motivated issue and take the least resistant path, but this is real. This is the situation we witness almost daily from the news telecasts in TV, radio and news papers; the farmers are almost on the verge of losing the only opportunity for their hand to mouth existence. They have families to look after, children to educate and meet the basic requirements of food and clothing, even if the shelter and health facilities are available. You need not have a sixth sense, but just common sense to predict this situation.

One of the farmers on a hunger strike at Elahera, demanding fertilizer and agro chemicals, was quoted on TV responding to a Div. Secretary who told him to “use the liquid nano urea and see “, by saying, ” Madam, you get a salary at the end of each month for sure, but we get nothing and cannot afford to wait six months to see the results of this experiment as we do not know what will happen. Let them do it and show us”. So the writing is on the wall and we are set to get a double punch, Covid and Famine.

I worked in paddy fields of the RRDI, Batalagoda for 31 long years; drinking the so called contaminated water from wells adjoining paddy fields manured with inorganic fertilizers and breathing polluted air of “Wasa Visa” generated by herbicides and pesticides. So did the work force and other field staff (skilled and unskilled). We never had bottled water for drinking or air conditioned rooms for working in or salubrious conditions outside in the field, but never complained. I hope my kidneys are functional at this age; also my four children did not end up in cancer hospital. And we never had any incidences of kidney failures other than occasional stones in the urinary system, probably due to drinking hard water and inadquate intake of clean water. Now, we know chronic kidney disease of unidentified etiology (CKDu) is confined to one region, but the use of fertilizer and other agrochemicals is well distributed throughout the country.

There is enough scientific evidence published and communicated through media, regarding the root causes of CKDu, but our educated advisors do not respond or are reluctant to accept this insisting that the disease is caused by inorganic fertilizers and other agro-chemicals. Also, they brand the scientific informants as recepients of rewards from chemical companies for promoting their products. I have never received any reward from any company.

When it comes to fertilizer and other agro-chemicals, the most sensitive group is a handful of medical professionals. They have inculcated misconceptions in the minds of policy makers and the general public that cannot be easily got rid of. However, we are grateful to them for their great concern for our health. Now, let me ask who introduced Chlorinated Hydro Carbon, DDT, to control the malaria mosquito domestically? Was it the Department of Agriculture (DOA) or the Rice Research and Development Institute (RRDI)? During my childhood, I had seen DDT spraying of such a heavy density in one shot, almost “white washing” the walls and the cadjan roof of our homes at least once a year with DDT.

This is the first insecticide introduced to Ceylon/Sri Lanka. If I ask medical opinion on this, someone might say casually, the risk of malaria (certain death then) is much higher than that of carrying a small quantum of DDT in the liver. Fair-enough. Some medical professionals are crazy, highlighting that the modern rice varieties are hybrids or genetically transformed entities. They do not know that they do not know, same as we do not know many things in the medical field. We don’t have any genetically transformed rice varieties or hybrid varieties in Sri Lanka, except Bg 407, the seeds of which are not being produced (Govikam Sangarawa, Page 11-17, 2020). If I turn back and ask, what is Humulin administered to manage diabetes or what are those vaccines like, Astra-Zeneca, Pfizer, Sputnik, Moderna, Sinopharm etc. administered to protect from COVID 19, the answer may be that ” they are non-virulent or mild products (DNA/RNA) to build up the immune system by antibody formation or by cross-protection”.

Aren’t they genetically modified material ? We have nothing against them, but aren’t they products of multinational companies? I do not want to ask the second question about the rewards because I respect the medical profession. Why then the diabolical standards of medical professionals (not all) that are not in favor of agriculture, on which they also depend for their own needs of food for existence. The recommended usage of agro-chemicals, approved by the Registrar of Pesticides, is within the safe limits as any of the medical prescriptions are, to patients. No casualties were reported so far due to eating rice of modern varieties produced using agrochemicals. Those claims on the spread of non-communicable diseases are based on incomplete scientific evidence.

There are procedures to circumvent these incidences if needed (Govikam Sangarawa, Page 11-17, 2020). We have well defined Good Agricultural Practices (GAP) as recommendations, but no trained extension staff at ground level to excute them; this important fact was deliberately ignored with provincialization. But, now that is history.

The expert advisors, like some of us, are from the same school of thought though our teachers and the thinking processes are different. We cannot rule out the generation gap or the possibility of emerging outliers though the school is the same. I am from the old generation when we had only one School of Agriculture (Department of Agriculture) and one Faculty of Agriculture (University of Ceylon). Both of these were located at Peradeniya. Like the first generation of fertilizer, urea for example, I also learnt from the first generation of teachers in the Faculty of Agriculture; some of them were teachers of the school of Agriculture earlier.

I was totally confused when the farmers were told that urea will be replaced with “liquid nitrogen”. No fool would believe it if he knew the status of liquid nitrogen in storage and the temperature at which nitrogen will remain in the liquid state. And also argue why the gaseous nitrogen cannot enter the plant system through stomata and perform its function within the plant the way that carbon dioxide or oxygen in the atmosphere does. We have nitrogen, more than any other gas in the atmosphere. Please excuse me as I am from the old school and unfamiliar with the so=called nano-technology.

Now the farmers are more confused when we were talking of third or fourth generation of nano-urea formulation as the source of nitrogen. Earlier we were talking of organic nitrogen extracts from seaweeds. The so-called nano-urea may be different from first generation urea, which is not considered organic in organic farming. The nano-urea cargo received from India is within the country and being distributed among the rice farmers. Also, this is described as very efficient; four times as efficient when compared to first generation urea as a fertilizer, but comes as a solution and has to be applied through foliar means to be absorbed through stomata, hydathodes etc. on the leaf surface. As it appears, I do not smell anything wrong other than that stomata are concentrated on the lower surface of the leaf; it may work much better than urea applied to the root zone soil, if everything goes according to the expectations, in spite of the fact that the source of nitrogen is the so called prohibitive urea.

My first concern is, have this product/technology being field tested in scientifically designed experiments? Whether this technology is appropriate; feasible, sustainable, economically viable and as effective as or better than the soil application of urea? Also, can this nano-urea look after the peak requirements of nitrogen at different growth stages of the rice plant?; that is, timely applications at different growth stages of the plant is needed or not.

Rice, being a grass, has a fibrous root system. Anyone who has done basic botany would know that absorption of water and nutrients is the major function of the root system, beside anchorage of the plant. Water ascends through vessels (xylem) by the evapo-transpirational pull, but the nutrient elements need energy to travel up against the osmotic gradient. Similarly, the shoot system of the rice plants has distinct functions. Evapo-transpiration, gaseous exchange (CO2 and O2), in addition to trapping solar radiation for hydrolysis of water to generate energy for different physiological processes within the plant, are the primary functions of the shoot system. Apart from performing these functions, the shoot system of the rice plant is not naturally or evolutionarily designed to absorb water or nutrients, the functions performed primarily by the root system. This may not be so in epiphytes and xerophytes, however. To my mind, therefore, foliar feeding of the rice plant appears similar to feeding someone from the distal/wrong end of the alimentary canal; besides, nitrogen is not a micro element but a major nutrient required in large quantities. Therefore, efficacy of foliar absorption of nutrients in rice is needed to be determined prior to the recommendation of the intended technology.

Now, we are going to replace a technology (soil application of urea) which is appropriate and well established, with an alternative technology based on inconclusive evidence of expert advisors, but unfamiliar to the rice farmer. This is ready for implementation. These expert advisors therefore can come out from their hiding places to demonstrate this technological package for rice farmers of different agro-ecological regions to convince them. We should not blame the staff of rice research for the failure to implement this innovative and valuable technological package in the field. It is the responsibility of the advisors to promote the package by demonstrating it to the farmers and establish their recognition in the minds of the public. They fail in their duty if this new technology is not demonstrated to the new generation of rice farmers they intend to bring up in the country and help the government to alleviate the farmer unrest.

I have all the rights to demand the expert advisors to demonstrate their “Technological Package” as I was recognized in 2014 by the President’s Award (His Excellency President Mahinda Rajapaksa) for development of modern rice varieties and spearheading the development of a technological package to acheive self-sufficiency in rice.



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The Paradox of Coercion: US strategy and the global re-emergence of Iran

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Iranians vowing resistance at a mass funeral of the victims of US-Israeli airstrikes

(A sequel to the two-part article, War with Iran and unravelling of the global order, published in The Island on April 8 and 9.)

The unfolding developments in the US-Israeli coordinated military attack against Iran reveal a striking paradox at contemporary geopolitics: efforts to weaken a state through coercion may, under certain conditions, contribute to its structural elevation within the international system. What appears as short-term tactical success can generate long-term strategic consequences that are neither anticipated nor easily reversible. In this context, the policies associated with Donald Trump and Benjamin Netanyahu, marked by unilateralism and the willingness to use force, risk producing precisely such an unintended outcome. Rather than marginalising Iran, their actions may be accelerating its re-emergence, not merely as a regional actor in the Middle East, but as a consequential player in the global geopolitics and the wider architecture of international supply chains of energy economy.

Iran not merely a state

Iran is not merely a state, but a civilisation with a distinctive political trajectory. At the heart of the present transformation lies its asymmetric strategy, rooted in the strategic exploitation of geography. Few states possess the capacity to shape the global system through geography alone. Iran’s proximity to the Strait of Hormuz, a narrow maritime passage through which a substantial share of the world’s oil and liquefied natural gas flows, endows it with a latent structural power that transcends conventional measures of national capability.

In periods of stability, this position translates into economic opportunity; in moments of crisis, it becomes a lever of systemic disruption. Recent tensions have demonstrated that even limited instability in this corridor can reverberate across global markets, triggering sharp increases in energy prices, disrupting supply chains, and amplifying inflationary pressures worldwide. Should Iran consolidate its capacity to influence or control this chokepoint, whether through military deterrence, asymmetric instruments, or diplomatic maneuvering, it would shift from being a participant in global energy markets to a pivotal arbiter of their functioning.

Energy-embedded global economy

The contemporary global economy is not merely energy-dependent; it is deeply energy-embedded. Hydrocarbons underpin not only transportation and electricity generation but also the production of petrochemicals, fertilisers, and a wide range of industrial inputs essential to modern manufacturing and food systems. Disruptions linked to Iran have already illustrated how shocks in the energy sector cascade through interconnected supply chains, affecting everything from agricultural output to high-technology industries. In this sense, Iran’s leverage is no longer confined to the traditional realm of resource geopolitics. It increasingly operates within a networked global system in which control over a single critical node can generate disproportionate influence across multiple sectors. This form of power, diffuse, indirect, and systemic, marks a departure from the more linear dynamics of twentieth-century oil politics.

The implications of such a shift are profound for the structure of the international order. For decades, the global system has been underpinned by a set of institutions, norms, and economic arrangements often described as the so-called liberal international order. Sanctions, financial controls, and diplomatic isolation have been key instruments through which dominant powers have sought to discipline states that challenge this order. However, Iran’s prolonged exposure to sanctions has compelled it to develop adaptive strategies: alternative trade networks, informal financial channels, and closer ties with non-Western partners. A crisis-induced re-entry into global markets would therefore not signify reintegration into the existing order, but rather the expansion of parallel systems that operate alongside, and sometimes in opposition to, it. In this context, Iran’s rise would contribute to the gradual fragmentation of the global economy, accelerating trends toward decoupling, regionalization, and the erosion of established institutional authority.

Decline of global order based on US hegemony

This process of fragmentation is closely linked to declining global order based on U.S. hegemony. A more globally consequential Iran would inevitably become a focal point in the strategic player in emerging multipolar world. For China, whose economic growth remains heavily dependent on secure energy supplies, deeper engagement with Iran would serve both economic and geopolitical objectives, reinforcing its presence in the broader Middle East and insulating it from vulnerabilities associated with maritime chokepoints. Russia, already positioned as a major energy exporter and a challenger to Western dominance, may find in Iran a complementary partner in reshaping global energy markets and contesting sanctions regimes. Meanwhile, countries across the Global South, including major importers such as India, would face a more complex strategic environment, characterized by heightened exposure to supply disruptions and increased pressure to navigate between competing power centers. In this emerging landscape, Iran would function less as an isolated actor and more as a pivotal node within a reconfigured network of global alignments.

Dynamics enhancing Iran’s strategic importance

Paradoxically, the very dynamics that enhance Iran’s strategic importance may also accelerate efforts to reduce dependence on the conditions that enable its influence. Recurrent energy shocks tend to catalyze policy responses aimed at diversification and resilience. States are likely to expand strategic reserves, invest in alternative supply routes, and accelerate transitions toward renewable energy and nuclear power. Over the longer term, such measures could diminish the centrality of fossil fuel chokepoints, thereby constraining Iran’s leverage. However, this transition will be uneven and contested. Advanced economies may possess the resources to adapt more rapidly, while developing countries remain structurally dependent on affordable hydrocarbons. In the interim, the global system may experience a prolonged period in which dependence on Iranian-linked energy flows coexists with attempts to transcend it—a duality that adds further complexity to the evolving geopolitical landscape.

Beyond material considerations, Iran’s potential re-emergence also signals a deeper transformation of the existing global order. Traditional metrics—military strength, economic size, technological capacity—remain somewhat important, but they are increasingly complemented by the ability to influence critical nodes within global networks. The capacity to disrupt, delay, or redirect flows of energy, goods, and capital can generate strategic effects that rival, or even surpass, those achieved through direct military confrontation. In this sense, Iran exemplifies a broader shift from territorial geopolitics to what might be termed network geopolitics. Control over chokepoints, supply chains, and infrastructural linkages become a central determinant of influence, enabling states with relatively limited ‘conventional’ capabilities to exert outsized impact on the international system.

Iran’s trajectory may be understood as a transition through several distinct phases: from a regional challenger seeking to assert influence within the Middle East, to a strategic disruptor capable of unsettling global markets, and ultimately to a systemic actor whose decisions carry worldwide consequences. This evolution is neither inevitable nor linear; it depends on a complex interplay of domestic resilience, external pressures, and the responses of other global actors. Nevertheless, the possibility itself underscores the unintended consequences of policies that prioritize short-term coercion over long-term strategic foresight.

Transition shaped by paradoxes

In historical perspective, moments of systemic transition are often shaped by such paradoxes. Actions taken to preserve an existing order can, under certain conditions, accelerate its transformation. The current crisis involving Iran may represent one such moment. By elevating the strategic significance of energy chokepoints, exposing the vulnerabilities of interconnected supply chains, and encouraging the development of alternative economic networks, it contributes to a broader reconfiguration of global power. In this emerging context, Iran’s re-emergence as a global actor would not simply reflect its own capabilities or ambitions; it would also embody the structural shifts reshaping the international system itself. What began as an effort to constrain Iran may ultimately facilitate its transformation into a decisive player in the global energy economy and supply chain architecture. The implications of this shift extend far beyond the Middle East, touching upon the stability of markets, the cohesion of international institutions, and the evolving nature of power in the twenty-first century.

The war with Iran is best understood not as a discrete regional conflict, but as a structural moment in the transformation of the international system. It reveals a growing disjuncture between the continued reliance on coercive statecraft and the realities of an interdependent global order in which power increasingly derives from control over critical economic and infrastructural nodes. Rather than achieving strategic containment, the conflict has underscored the capacity of a relatively constrained actor to generate systemic effects through geoeconomic leverage. In doing so, it highlights a broader shift from military-centric conceptions of power toward forms of influence embedded in networks of energy, trade, and supply chains.

This is not merely a redistribution of power, but a redefinition of how power operates. At the systemic level, the war accelerates the erosion of the post-Cold War order, reinforcing tendencies toward fragmentation, parallel economic arrangements, and multipolar competition. Iran’s potential re-emergence as a global actor should therefore be seen less as an isolated outcome than as a manifestation of these deeper structural changes. In this sense, the strategic significance of the war lies in its unintended consequences: it exposes the limits of coercive hegemony while simultaneously amplifying the importance of those actors positioned to exploit the vulnerabilities of an interconnected world.

by Gamini Keerawella ✍️

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The dawn of smart help for little ones

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How Artificial Intelligence is breaking barriers in Autism Diagnosis and Care

For any parent, the early years are a most valuable countdown of “firsts” of his or her precious child: the first step, the first clear word, the first beautiful smile, and quite a few other firsts as well. Yet for all that, for some families, that joy is overshadowed by a growing, quiet, but disturbing intuition that something is even a little bit different. Perhaps a child is not responding to his or her name, or the little one seems to be more interested in the spinning wheels of a toy than a game of peek-a-boo, or even avoids normal social responses.

In many countries, especially in the developing world, the road from that first “gut feeling” that there is something wrong, to a formal diagnosis of Autism Spectrum Disorder (ASD) is often a long and exhausting journey. While doctors can often identify autism in children as young as 12 to 18 months, the average age of diagnosis in our communities still hovers around four years. In these critical years, when a child’s brain is most like a machine ready to learn and adapt, time is of the essence and is the most valuable resource a family has.

Today, a new “algorithmic dawn” is offering a shortcut to really cut that delay. Artificial Intelligence (AI), the very same smart technology that helps us navigate traffic, suggest a new song, or help people with ChatGPT, is moving out of the lab and into the children’s nursery. By acting as a digital “magnifying glass”, specifically designed AI tools can now spot subtle patterns in a child’s gaze, some little quirks in the rhythm of their babbling, or the way they move, often much faster than the human eye can. Then the machine can issue a warning signal and indicate that further action and a proper evaluation are necessary. This is most certainly not about replacing the brain, the heart and the expertise of a paediatrician; it is about providing “Smart Help” that can be accessed from a smartphone in a family living room. For millions of “little ones on the spectrum”, most notably in the developing world, this technology is turning a journey once defined by waiting, uncertainty and even tears, into one of proactive care and even brighter horizons. The time gained is most certainly a very valuable window of opportunity.

What is the “Spectrum,” and Why Does Time Matter?

Autism is described as a “spectrum” because it affects many children somewhat differently and to varying degrees. Some children may have advanced technical skills but struggle to hold a conversation; others may be non-verbal or have intense sensory sensitivities. It can be very mild or very severe, and perhaps everywhere in between as well.

The common thread is that the brain develops differently in these affected children. This is why Early Intervention is the gold-standard goal. During the toddler years, a child’s brain is incredibly “plastic”, meaning that it is a highly adaptable and ready to learn type of organ. Starting therapy and management strategies during this valuable period of opportunity can fundamentally change a child’s future life path.

The problem, to a certain extent, is that traditional diagnosis of ASD is a slow, manual process. It requires intensively trained experts to watch a child play for hours and fill out complex checklists. In many countries, including Sri Lanka, where there is a massive shortage of these highly qualified specialists, the waiting list for a consultation alone can take months or even years. These doyens are rather thin on the ground and even when available, are heavily overworked.

Enter the AI Revolution: Seeing the Unseen

AI certainly does NOT replace doctors, but it acts like a high-powered magnifying glass. By using “Machine Learning”, computers can analyse massive amounts of data to find tiny patterns that the human eye might miss. Here is how it is changing the game:

1. Tracking Gaze and Smiles

One of the earliest signs of autism is how a child looks at the world. AI “Computer Vision” can analyse a simple video of a child playing. It can track exactly where the child is looking. Does the child look at a person’s eyes when they speak, or are they drawn to the spinning wheels of a toy in the corner? AI can quantify these “social attention” patterns in seconds and add them to a cache of things that ring warning bells.

2. The Sound of a Voice

Did you know that the “music” of a child’s speech can hold clues? AI can listen to the pitch and rhythm (called prosody) of a child’s voice. Children on the spectrum sometimes have a “flat” or monotonic way of speaking. AI algorithms can measure these vocal biomarkers with incredible precision, helping to flag concerns long before a child is old enough for a full conversation.

3. Movement and Play

Repetitive behaviour, like hand-flapping or rocking, are core traits of ASD. Sensors in smartphones or simple video analysis can now categorise these movements objectively. Instead of a parent trying to describe how often a behaviour happens, the application or ‘app’ provides a clear, data-driven report for the doctor.

Innovation at Home: India’s Digital Solutions

The most exciting part of this technology is that it does not require a million-dollar lab. In India, where smartphone use is booming, several “homegrown” apps are bringing specialist-level screening to rural and urban homes alike.

Apps like CogniAble, which give parents a step-by-step intervention plan based on the child’s specific needs, or START, a tablet-based tool used by local health workers in areas like Delhi slums to spot risks via simple games, or LEEZA.APP, which offers free AI screening to remove the “money barrier” that keeps many families from seeking help, or AutismBASICS, which provides thousands of activities and a milestone tracker to help parents manage daily therapy at home, are just a few of the programs in use at present. These tools are “democratising” healthcare. A mother in a remote village with a basic smartphone can now access the same level of screening logic that was once only available in a major city hospital.

Beyond the Diagnosis: A Robot Tutor?

The role of AI does not stop once a diagnosis is made. It is also becoming a tireless “co-therapist.”

For many children with autism, the human world can be unpredictable and overwhelming. AI-powered “Social Robots” or interactive apps provide a safe, predictable environment. These “Robo-Therapists” do not get tired, they do not get frustrated, and they can repeat a social lesson even 100 times until the child feels comfortable.

Furthermore, for children who are nonverbal, AI-powered communication apps serve as a “voice”. These apps use smart technology to predict what a child wants to say, allowing and facilitating them to express their needs and feelings to their parents, even for the very first time.

The Human Element: Proceed with Care

As bright as this dawn is, experts warn that we must move forward carefully and most intelligently.

= Privacy: Because these apps collect sensitive videos and data about children, keeping that information secure is a top priority.

= Cultural Differences: An AI trained on children in the US or Europe might not perfectly understand a child in Sri Lanka. We need “diverse local data” to ensure the algorithms understand our local languages, gestures, and social norms. Many of these programs need to be home-grown or baked at home in Sri Lanka.

= The Human Touch: Most importantly, we need to always remember that AI is a tool, not a replacement. A computer can spot a pattern, but it cannot give a hug, provide emotional support to a struggling parent, or celebrate a breakthrough with the same joy as a human therapist.

A Brighter Future

We are moving toward a world where “waiting and seeing” is no longer, and quite definitely, not the only option for parents. By combining the heart of a parent and the expertise of a doctor with the speed of an algorithm, we can ensure that no child is left behind because of where they live or how much money they have.

The “Algorithmic Dawn” is not just about code and data. It is about giving every child the best possible start in life. It is the main principle on which Hippocrates, the Father of Medicine, all those centuries ago, based all his postulations on how physicians should work.

 The “Red Flag” Checklist: 18 to 24 Months

The American Academy of Pediatrics recommends screening all children at 18 and 24 months. If you notice several of these signs, it is time to use an AI screening app or consult your paediatrician.

Communication and Social Cues

= The Name Test: Does your child consistently fail to turn around or look at you when you call his or her name?

= The Pointing Test: By 18 months, most toddlers point at things they want (like a biscuit) or things they find interesting (like a dog). Is your child using your hand as a “tool” to get things instead of pointing?

= The Eye Contact Test: Does your child avoid looking at your face during social interactions or during play or when being fed?

= The Shared Smile: Does your child rarely smile back when you smile at him or her?

Behaviour and Play

= The Toy Test: Does your child play with toys in “unusual” ways? (e.g., instead of rolling a car, they spend 20 minutes just spinning one wheel or lining them up in a perfect, rigid line).

= The Routine Rule: Do they have an extreme “meltdown” over tiny changes, like taking a different route to the park or using a different coloured cup?

= Repetitive Motions: Do you notice frequent hand-flapping, rocking, or spinning in circles, especially when they are excited or upset?

The “Golden Rule” of Regression

Finally, an extremely important rule for concerned parents to follow.

If your little one had words (like “Mama” or “Dada” or “Amma” or “Thaththa” or Thaii/Amma or Appa) or social skills (like waving “Bye-Bye”) and a beautiful social smile etc, and then SUDDENLY STOPS USING THEM, that could be a most significant red flag. In such situations, the standard advice would be: Please consult a doctor immediately.

by Dr B. J. C. Perera

MBBS(Cey), DCH(Cey), DCH(Eng), MD(Paediatrics),
MRCP(UK), FRCP(Edin), FRCP(Lond), FRCPCH(UK),
FSLCPaed, FCCP, Hony. FRCPCH(UK), Hony. FCGP(SL)
Specialist Consultant Paediatrician and Honorary Senior Fellow,
Postgraduate Institute of Medicine, University of Colombo, Sri Lanka.

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Governance, growth and our regional moment:Why Sri Lanka must choose wisely

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The recent disclosure of a substantial internal fraud at National Development Bank has understandably unsettled the financial community. What began as a relatively contained incident has since been revised upwards, revealing a scheme that operated over an extended period within a specific operational area. To their credit, both the bank and the Central Bank of Sri Lanka responded with speed. Staff were suspended, arrests followed, an independent forensic review was commissioned, and clear assurances were given that customer funds remained secure. The institution’s capital and liquidity positions continue to meet regulatory requirements, and day to day operations have not been disrupted.

Yet it would be a mistake to view this as an isolated operational error at a single respected institution. When a fraud of this magnitude, equivalent to more than a year’s profit for the bank, emerges within one of our most established listed companies, the implications extend well beyond the banking sector. It prompts a necessary and uncomfortable question. Are we truly strengthening the foundations of our economy so that every part of our society can operate with the integrity and confidence that sustainable progress demands?

Banking sits at the heart of any modern economy. It channels savings into investment, supports enterprise, and underpins household security. When even a leading institution reveals weaknesses in internal controls, risk oversight or governance culture, the signal to international observers is difficult to ignore. It suggests that the financial system upon which growth depends may not yet possess the resilience we aspire to project. If institutions that have undergone significant reform since 2022 can still experience such failures, what assurance can investors reasonably expect in other sectors of our economy? At a time when Sri Lanka needs to demonstrate strength and reliability, perceptions of fragility carry a heavy cost.

This matters profoundly because a genuine window of opportunity is now opening. Geopolitical shifts in the Middle East and beyond are prompting global investors and entrepreneurs to seek stable, well governed destinations for capital and talent. Sri Lanka possesses distinct advantages. Our geographical position offers natural connectivity. We have invested in critical infrastructure, including two major ports, international airports and strategic energy reserves. In an era where businesses prioritise rule of law, institutional predictability and sound fundamentals, our potential alignment with these criteria is significant. However, high profile governance failures at this precise moment risk undermining that narrative before it can gain meaningful traction.

The stakes are equally significant for initiatives such as the Port City Colombo. With substantial projects now approved, foreign investment commitments secured and early construction underway, this endeavour is moving from concept to delivery. Yet persistent concerns about governance standards in our established companies can act as a drag on investor sentiment. The confidence required to attract high value international tenants and long- term capital depends not only on physical infrastructure but on the perceived strength of our institutions and the consistency of our regulatory environment.

For decades, Sri Lanka has experienced growth averaging around four to five per cent per year. While this is not insignificant, it falls short of our potential, particularly when measured against the progress of our regional neighbours. India, for example, has sustained growth at roughly twice our rate for more than twenty years, driven by consistent policy execution and strengthening institutional credibility. Our own trajectory has been held back not by a lack of ideas or ambition, but by recurring shortcomings in how our major institutions are governed and held to account. The result is a cycle of unrealised potential, where promising openings are not fully converted into lasting advancement.

The current situation, though challenging, can serve as a catalyst for meaningful change. Boards of listed companies must move beyond procedural compliance to foster a genuine culture of ethical leadership, proactive risk management and zero tolerance for control failures. Regulators have an opportunity to undertake a comprehensive review of fraud prevention frameworks, whistle-blower protections and monitoring standards across the financial sector, with lessons applied to other key industries. Greater transparency in reporting material incidents and more timely forensic follow through will help rebuild trust with both domestic and international stakeholders.

Crucially, the government must tread carefully as it responds. Short term fixes or reactive measures may address immediate concerns but will not deliver the enduring stability that investors seek. What is required is a coherent long-term strategy that balances the imperative for rapid economic development with the equally vital need to conserve our natural environment and strengthen regional cooperation. Our neighbours in South Asia and Southeast Asia offer not only markets for trade and investment but also partners in shared challenges such as climate resilience, sustainable infrastructure and digital connectivity. By deepening these relationships through practical collaboration, Sri Lanka can position itself as a reliable and forward-looking partner in a dynamic region.

Sri Lanka stands at a pivotal moment. Global realignments are creating rare opportunities for capital inflows, technology transfer and new economic partnerships. Yet these opportunities will flow most readily to nations that demonstrate they can protect investor interests, uphold the rule of law and operate with predictability and transparency. If we allow governance weaknesses in our flagship institutions to persist, we risk once again watching potential pass us by.

This is a defining moment, and our response must be equally purposeful. We can treat the recent events as an unfortunate but isolated incident and return to established patterns. Or we can seize this moment as a timely reminder to strengthen every pillar of our economy, with particular attention to environmental stewardship and regional collaboration. Only by getting our house in order, with patience, consistency and a clear-eyed commitment to long term goals, can we convert today’s challenges into tomorrow’s competitive advantage. The path to sustained prosperity demands nothing less.

by Professor Chanaka Jayawardhena
Professor of Marketing
University of Surrey
Chanaka.j@gmail.com

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