The tusker from 5th lane

by Maheen Senanayake

Continued from last week

What is your advice to someone who is interested in joining a party as old as the UNP, whose members have to take forward its history and carry the burdens of its past?

You join a party to see what they offer at the present. That is all. Nothing more. History is something else. This is history (pointing to the poster above him on the wall, the first election poster printed in Sri Lanka -in this case by the UNP for D.S. Senanayake).

I don’t know about that but today I feel that people join a party to see what they can get out of it?

That is also there. What I am saying is that there are people who are against us in one election and join us at the following election. History is not an issue.

It is rather like a man giving a bribe. These people don’t mind as long as the job gets done?

I am not talking about that. I am talking about people on political view points. There are for instance MPs who are against us in one election and with us in another.

In order to advance their electoral prospects!

Some do. Some don’t. For instance people supported us in 1977 because we represented change; not that they expected everything. Some elections you keep promising. That is why Lee Kwan Yu said we are auctioning non existent resources.

(A discussion on the UNPs 1977 landslide ensues and Wickremesinghe is told that the then United Front’s 1970 landslide, like the UNP’s 1977 success, resulted in tyrannies of absolute majorities. 1970 – 77 were periods of the worst hardships endured during the country’s contemporary history. Also the JVP, as a result of the way the 1971 insurrection was suppressed, had a hand in Mrs. Bandaranaike’s rout in 1977.)

Everyone agrees. But I would say not only because of political positions but also for economic reasons, etc. We were not sure of the two thirds (majority). About four or five days before the election, the last time I came to Colombo (I was staying in Biyagama) I met President Jayewardene and had a chat with him. He asked me ‘ What do you think?’ I said we will make it this time but will we get two thirds? He said ‘I am not sure Ranil, we are somewhere there but I hope we can get two thirds. Then he asked me ‘what do you think of Biyagama?’’ I said according to the last survey It looks as if I can win by a majority of about 1,500, so I think I will make it. (RW laughs reminiscing and says my majority was 6,500 and we had five sixth of the House. It came to a point where we were telling each other ‘ when someone said so and so had won’, “are you sure?”, because we had expected him to lose.)

If we look at the economy today what are your thoughts given that in any entity there is revenue and there is expenditure and everything happens in between. We have raised capital through a variety of debt instruments and payment continues to pile up as our own revenue does not increase. What would be the UNPs approach to managing the economy and steering it in a positive direction?

Look, in 2001 when I took over it (the picture) was negative. You remember we had problems with the LTTE. In 2015 debt was the biggest problem. Much bigger than we thought. So I spent most of my time looking at the larger picture. We worked with the IMF. We had to put down the VAT and in 2017 we had a primary budget surplus meaning that we could pay for all our expenditure except debt servicing. So we have to increase the surplus. The other problem was the Balance of Payments. We had a big gap there. That you couldn’t do overnight. For that we had to bring in investment and to bring in genuine Foreign Direct Investment we had to change macro economic policy here.

So it was only around 2017-2018 that people (investors) began to look at us. While they were looking came the 52 days (with two prime ministers in the country) and then the Easter bombings. But it (fundamentals) were there.

This government did not carry that on. A lot of the businessmen told them to cut taxes. Even in the first quarter of 2020 before Covid hit, us our performance was coming out (advancing). So again we have to do this and this time it will take longer. We must also have an economic framework that will attract people to come and invest here. To do that you need support. I told them to go to the IMF because they are the only people who may do this and a lot of countries have given them the authority to do so including China. But they said ‘No’ and said they will get it from elsewhere. Where can they get it from?

In 1977-78 and again in the 1990-91 period we see a new baseline for both the GDP and GDP growth for Sri Lanka. So much so that the people expect some magic from the UNP every time they are in government. However, the last time you were in power this was not the case. What do you think happened? What was missing? Was it talent? Young blood? What was it?

No, no, no. We handled the economy. Our first objective was getting a primary surplus. After Sir. John, no one has been able to achieve this. Not even President Jayewardene. We were able to stabilize the economy. The situation that prevailed between 2010 and 2015 was an artificial one.

In 1991 the JVP problems were over and there was a boost as we opened the country up. I did the negotiations with the IMF on that occasion. 2001 was a different situation getting it back to a positive. And if you ask the people or look at the number of vehicles that were coming in 2017-18 they were much better off than in 2010-2015.

If you have a primary budget surplus you have to be well off. Then what is it that you are looking at?

Debt too has to be serviced?

Within those five years, the middle class expanded in this country. We had put the debt on a sound footing. Money had to come in. We lost billions of dollars, 500 million on the East Container Terminal 400 million on the MCC and the other three LNG plants including one from China. We had also lost the money on the Trincomalee development. So we may have lost about four billion which would have given us a boost. And another billion would have come in with the start of the port city.

How would you describe the demonization of the MCC by the opposition and, since you appear to stand by it, what do you think went wrong?

Well it was a public offer and they turned it down. Now they are paying the consequences. Just like in 1970 When Mr. Dudley Senanayake wanted to build a highway to Katunayake, they all objected and they stopped it. It took another 20 years. There are so many things that we had started that they stopped. And they can’t show any other results.

What is your position on India, China, the USA and Europe in terms of interactions with them?

We will deal with everyone. We must know how to not align ourselves with anyone.

Are we still non-aligned?

Well we are not aligned with anyone, but I think we have lost the balance in our international relations. On the one hand we have antagonized India, Japan, the USA. We are fighting with the EU, Britain and the UK on the Human Rights issue. Now we are fighting with China on the fertilizer issue. As you know they have black listed the People’s Bank and we are fighting that. We deserve to go into the Guinness Book of Records because this is the only country in the world which has fought with all the big forces – anyone who matters.

What is your position on the global vaccination program? I am not referring to the roll out. I am asking you this from a fundamental perspective.

I am for vaccination. Unless you can be exempted medically I think from 12-years upwards, (12-18) you need parental consent). Remember vaccines are a way of controlling. They are not the solution. To get a drug out it can take five to 10 years. In this case instead of 50,000 guinea pigs you have now about three or four billion. But there has been so-called Vaccine Nationalism where the bigger countries had not given (vaccines to) the smaller ones in need. Delivery systems have also broken down and they – the G20, haven’t come out with an answer to that. It would have been good if China and the other countries – the QUAD – had worked together in the delivery and roll out of vaccines globally.

How do you see government information. I suspect that there is somewhat of a loss of confidence where this is concerned. As a citizen what is your view?

People have lost it (confidence). Also the government is not anxious in implementing freedom of information. We have the oversight committee which they want to scrap. In different ways they are trying to hinder progress on that front. Even in the case of central bank data, it is suspect.

What can parliament do to improve this situation and or at least bring in some form of due diligence?

We had it. In this parliament it is difficult. We have to now think of what the people want. Digitalization for instance will make information more accessible. Information will be more accessible if we go for a full digitalization programme.

When Arjuna Mahendran was selected as the Governor of the Central Bank, my first question was how could he champion the interests of the people of this country while he held dual citizenship – a question I raised with him when I interviewed him at the time. In light of the fact that the Central Bank at the time of your last government came under the purview of the Prime Minister, what are your thoughts on this?

I think as far as a country is concerned, we must get the best and the best systems. For instance the UK went through the difficult times with Mark Carney as their Central Banker. He was a Canadian. So there are instances when a country should get people down. Similarly Singapore went up when Dr Albert Winsemius (a Dutchman who was economic adviser to the Singapore government from 1961-84) was advisor. But my view is that elected members cannot have two citizenships, whether it is the president or members of parliament. Another is the Judiciary. The rest of it does not matter. Also dual citizenship is becoming a common thing. Another point is we have now removed restrictions on dual citizenship.

What would your advice be to youth in Sri Lanka within the framework of bringing in change to this country? What would your call to action be to those who will probably cast their first votes next year?

I don’t think that going to another country is the solution. Because those countries also are having economic problems during and post Covid. Also they will not welcome everyone. So going out is not an option. I can only think of giving them the same advice I gave myself in 1972. Stay, fight, change the system. But at the same time the political parties also have a duty to change themselves so that they respect the views of the young people.

As far as the UNP is concerned, we have opened up and at the moment we have about 10 new leaders who will be presented to the public soon. It will up to them to effect the change and hopefully by about next year you should see the change. We are working silently in changing the party to reflect the views of the young people.

In terms of campaign funding where are we headed and what is your position on capping campaign financing?

Well we have to take from those donors who give us (money). But it is not a satisfactory position. First we must cut down expensive elections. We must move towards a middle system. Parties will give (candidates) a percentage with restrictions on spending. Till 1977 we had restrictions on spending. Then President Jayewardene brought in the Proportional Representative (PR) system. Then it was not an individual candidate (but a list) and this law became irrelevant because now we were dealing with a list. The party then had to fund an entire campaign. After we took the law away we went and amended it to have the preferential system and that has led to a lot of corruption with people sometimes spending 50 million on a campaign. So I think that we should go back to a system of mixed (representation) with restricted spending. Media makes a lot of money (during elections) through advertising.

The Election Commission will have to control all this. And finally I am for state funding for political parties and election campaigns in the German style where you are responsible to the Elections Commission and the people. Anyone can go to courts against you. There are so many actions that have to be carried out including holding your branch elections annually. It is a very comprehensive system where even members have to disclose their income etc. because it is an exhaustive law. What I am saying is that we need not take the whole thing but we can certainly consider what is relevant to us and even add to it. And I must say it will require a year or two of discussion before we can do it. Then the parties have to act within democratic principles.

For instance there is now an inquiry in England against an MP where she had served cake to those in attendance (at an event) without declaring it. And this is in England where the laws are not so tough.

On the subject of Education, What do you – not as a politician but as ‘citizen’ Ranil Wickremesinghe feel or believes is the purpose of education?

One is the value system that is needed to be inculcated. Secondly you have to be prepared for the future for the country to develop economically and socially.

Do you believe in democracy? Do you think its relevant and do you think we are democratic and if not can we be democratic again?

We should be democratic. We shall be democratic. As Churchill said it’s the best of bad systems.

(End note by interviewer: Mr. Wickremesinghe is a knowledgeable man who carries with him years of experience. He was suave during the conversation and remained convinced on certain matters. I understood why he may have difficulty relinquishing power to another, who I think still does not exist, who can carry the mantle of party leader. President Jayewardene had successors. As for us citizens searching for turmeric, sugar, cooking gas, price hikes tantamount to hyperinflation and the possibility of a fuel shortage and consequently power cuts, we now understand The Time has Come. Cometh the man?)