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LSSP claims NPP/JVP policies not left-oriented as promised

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Tissa

Former Minister of Science and Technology and senior LSSP leader Prof. Tissa Vitarana has criticised the economic and policy direction of the current NPP/JVP government, claiming that despite its electoral mandate as a left-leaning, pro-people front, the administration has failed to implement the progressive reforms it promised.

In a detailed statement, Prof. Vitarana said the LSSP had refrained from publicly criticising the new government during its first year in office to allow time for the coalition to begin implementing what it described as a left-oriented programme. However, he noted that independent assessments indicated that only around 10 percent of the promised agenda had been achieved by that time.

A key concern raised by the former minister was the government’s tax policy. He argued that the continuation of indirect taxes such as VAT places a disproportionate burden on low-income and lower-middle-income families, contradicting traditional leftist principles. Drawing comparisons with the economic approach of former LSSP leader and Finance Minister Dr. N.M. Perera, he noted that the 1970–75 administration avoided indirect taxes and instead imposed steeply progressive taxes on high-income earners—rising up to 70 percent.

According to Prof. Vitarana, Dr. Perera’s policies helped Sri Lanka withstand a series of major shocks in the early 1970s, including a global over-production crisis, a seven-fold rise in oil prices with the establishment of OPEC, and sharp increases in food import costs. He argued that the economy had stabilised by 1975, attracting interest from foreign investors, though political developments later stalled these opportunities.

Prof. Vitarana also highlighted several achievements of past LSSP ministers, including the nationalisation of plantations under Dr. Colvin R. de Silva, the creation of the Ceylon Transport Board under Leslie Goonewardene, and the development of value-added industries.

Reflecting on his own tenure as Science and Technology Minister, he pointed to the establishment of 341 Vidatha Resource Centres, which helped around 35,000 small-scale entrepreneurs create employment in their communities. Over 1,000 of these businesses are now exporting sustainably, he said, though he lamented that the programme has suffered in recent years due to inadequate funding and bureaucratic delays. According to him, the current government has shown no signs of reviving it.

On food security and public health, Prof. Vitarana warned of worsening conditions, citing research indicating that 63 percent of rural families were living below the poverty line two years ago, with chronic malnutrition at 14.3 percent. He also expressed concern over the unavailability of more than 40 percent of essential medicines in state hospitals, forcing patients to seek expensive alternatives in the private sector.

While commending the government’s anti-corruption efforts, he called for stronger measures to reduce inefficiency and revive cooperative structures that historically kept prices of essential goods affordable.

Prof. Vitarana also cautioned against deepening military ties with the United States and India, claiming these could undermine Sri Lanka’s sovereignty and neutrality. He warned that agreements such as SOFA and MCC could draw the country into geopolitical conflicts and strain relations with nations such as China, Vietnam and Cuba. Instead, he advocated for a strengthened South Asian regional alliance based on equality.

He concluded by urging vigilance to protect Sri Lanka from becoming entangled in global power politics, stressing the importance of preserving the independence gained through decades of political struggle.



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Sri Lanka, India caught in US-Iran ship crisis

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By Shamindra Ferdinando

Iran has sought the Indian intervention, at the highest level, to provide lifesaving support to the crews of empty Iranian vessels stranded just outside Sri Lanka’s 12-nautical mile territorial waters off Galle.

Sources familiar with the issue said that Iran had brought the developing situation to the attention of New Delhi as the crews of almost 20 vessels, included Indian nationals. Sources stressed that the group of vessels that unloaded crude oil a couple of months back were now stranded within Sri Lanka’s Exclusive Economic Zone (EEZ).

The US Navy torpedoed an unarmed Iran frigate, returning from India, on 04 March, 2026, about 19 nautical miles off the Galle coast. The unprovoked attack killed nearly 100 Iranians.

The Iranian Embassy in Colombo has inquired from the Indian High Commission of their response to the situation, sources said. The US has issued a global warning against providing food, water, medicine and other services to the Iranian vessels. The outcome of Iran-India talks on the issue at hand was not known, though sources asserted India may not throw its weight behind Iranian efforts to address the issue.

Responding to The Island queries, sources said both Sri Lanka and India were in a dilemma due to the US warning. India couldn’t ignore the plight of the Indian crew members and the Iranian vessels in its backyard.

The Sri Lankan government remains tight-lipped about the vessels stranded in its EEZ. Our efforts to elicit a response from relevant authorities were in vain. In addition to Indians, there are Bangladeshis among the crew members. Iran has explicitly stated the responsibilities of the countries concerned to provide assistance in terms of international law.

The Iranian position was articulated by its Ambassador to Sri Lanka, Dr.Alireza Delkhosh, recently. In a special statement, Ambassador Delkhosh emphasised that in terms of the Convention on the Law of the Sea (Article 98) as well as SOLAS and SAR

Conventions, Sri Lanka couldn’t refrain from providing the needs of the Iranian vessels stranded in its EEZ.

SLMC leader Rauff Hakeem lambasted the NPP government in Parliament for failing to provide assistance to the Iranian ships. The former Minister alleged that the government was simply carrying out dictates of the US. He strongly criticised the way Foreign Minister Vijitha Herath was handling the issue.

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Namal further remanded

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MP Namal Rajapaksa being brought to the Colombo Magistrate’s Court yesterday. Pic by Nishan S Priyantha

MP Namal Rajapaksa, who is in remand custody over the controversial Airbus deal, was further remanded until October 27 by the Colombo Magistrate’s Court yesterday (13).

Colombo Chief Magistrate Asanga S. Bodaragama made the order after considering submissions by officers of the Commission to Investigate Allegations of Bribery or Corruption and lawyers representing Rajapaksa.

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IMF projects Lankan economic growth to moderate amidst mounting global uncertainties

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Sri Lanka’s economy is expected to sustain its recovery over the next two years, although growth is projected to moderate amid mounting global uncertainties, according to the International Monetary Fund’s (IMF) latest World Economic Outlook.

In its World Economic Outlook 2026: Resilience Under Strain, Urgent Choices, the IMF projects Sri Lanka’s economy to expand by 4% in 2026, slowing to 3.7% in 2027, following estimated growth of 5% in 2025.

Inflation, meanwhile, is forecast to rise to 5.3% in 2026 and 5.4% in 2027, reversing the average deflation rate of 0.5% recorded in 2025.

Unemployment is expected to remain steady at 3.9% throughout the forecast period.

The projections come amid growing pressure on the global economy from the ongoing conflict in the Middle East, elevated energy prices, geopolitical tensions and trade disruptions.

Sri Lanka’s external position is also expected to weaken, with the current account balance projected to shift from a surplus of 1.6% of gross domestic product (GDP) in 2025 to deficits of 0.5% in 2026 and 0.3% in 2027.

The IMF’s outlook points to continued economic expansion in Sri Lanka, but with slower growth, rising inflation and a narrowing external surplus giving way to current account deficits over the forecast period.

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