Features
Assuming office as Finance Minister while being a relative newcomer to politics
“Historically the rise and the growth of the Parliamentary system can be traced to Finance”
— Dr. N.M. Perera
On April 6, 2004 I was appointed the Minister of Finance of the UPFA government by President CBK. It was a singular honour for a MP who had not spent many years in Parliament unlike the “seniors” who usually lay claim to such positions. It was even more of a responsibility when considering that my predecessors were outstanding political figures such as JR Jayewardene, MDH Jayawardene, NM Perera and Ronnie de Mel.
In fact one of the first to congratulate me was Ronnie de Mel who in his beautiful handwriting expressed happiness [or was it relief ?] that a (onetime member of the Ceylon Civil Service) was chosen to be at the helm of the Finance Ministry. After Premadasa there was a tendency for Presidents and Prime Ministers to also hold that office and thereby emasculate the Finance Ministry which common sense suggested should have a full time worker in the engine room of the government. This habit was initially followed by CBK as well.
But after she was abandoned by her two deputies in the Finance Ministry – GL and SB Dissanayake, she may have decided to appointed me particularly because I had intervened regularly in Parliament on financial issues. She sent AS Jayawardene and PB Jayasundera to my home to brief me on UNP Budgets so that I could speak on behalf of the party. Further I had been a member of her “Kitchen Cabinet” and was not affiliated to any special party clique. So there was no opposition to my appointment.
But the beginning was traumatic. Almost soon after taking oaths I had to leave for South Korea where the Asian Development Bank was meeting in Jeju island. Sujatha Cooray, the Director of the Foreign Resources division, was already there and Ambassador Wijesiri was in Seoul ready to accompany me to Jeju. Before leaving I announced that we will be reducing the price of fertilizer by Rs. 200 a cwt as we had promised during the election campaign. I did so particularly because the JVP was getting ready to unilaterally make such an announcement.
This was known to Mano Tittawella who may have briefed CBK about it. PB Jayasundera had reacted badly to my initiative and had complained to CBK and sought a transfer to another Ministry. He was used to working directly with CBK which was one reason that GL and SB as deputies in the Treasury had decided to leave the government. CBK had approached my friend Nigel Hatch and asked him to inform me to make up with PBJ and in any case come back forthwith before a crisis broke out because the media was speculating that Mangala and I were likely to exchange portfolios.
I met CBK on my return and assured her that I will sort it out with PB. She went into a long explanation about PB’s SLFP sympathies and I knew that this perhaps was the reason for the alienation of many SLFP ministers from her (In parenthesis this problem cropped up again during Gotabaya’s presidency. PB was foisted on Gota by Mahinda and Basil. Soon the new President’s men were complaining that they could not get on with PB. Finally he was removed but it was too late). Anyway PB and I had a long discussion and decided to bury the hatchet.
During my absence PB had obtained CBK’s approval to move out several officials from the Treasury on the grounds that they were UNP supporters and he could not work with them. Now that the deed was done there was no big issue with me and PB was able to get Abeysinghe from the SLAS and Attygalle and several of his supporters from the Central Bank to move over to the Treasury. I must say in fairness that the new appointees were very competent and were willing to work as a team. Cliqueism had been the bane of the Finance Ministry during the Choksy regime. From now on all of us worked well together through many challenges and our 2005 Budget was acclaimed by many. This solidarity became a great asset when we had to confront the fall out from the Tsunami of December the same year. It was an unprecedented calamity and we had to bear the brunt of obtaining funding for recovery and rehabilitation. At the same time the Customs department and Banks which were supervised by our Ministry, had to service “ad hoc” donations big and small that flooded the country. We worked as a team and perhaps PB was justified in insisting on a reliable support staff.
The War
After the recapture of Jaffna by our armed services the LTTE retreated to its base in the Wanni and with its network of “sleepers” in the south unleashed mayhem including an attack on Katunayake in which several of the new jet aircraft of Sri Lankan airways were blown up. The Dalada Maligawa which is the most sacred site of the Buddhists was attacked and Anuruddha Ratwatte, who had earlier officiated as its lay guardian, had to offer his symbolic resignation. Tragedy reached the Cabinet itself when a senior Minister CV Gooneratne, who had excused himself half way through a Cabinet meeting to attend a political event , was blown to bits while leading a procession of his voters. It was particularly poignant for me because CV had stood next to me a few hours before at a flag hoisting ceremony at the Presidential Secretariat.
Ranil’s administration in the 2001-2004 period had managed a recovery of the economy but again the demands of the armed services had to be given priority cutting into the space for fiscal consolidation. It seemed a cruel irony that CBK, who was intent on a negotiated settlement of the ethnic problem, should bear the brunt of Prabhakaran’s attacks. On one occasion when Katunayake airport was under attack and UL planes were being blown up, the Cabinet which was sitting in President’s House was given a ball by ball description over the phone by Jeyaraj Fernandopulle who had been intercepted while traveling to Colombo and taken to Katunayake.
Our exchange earners like tourism, remittances and traditional exports had all declined. All her attempts at restructuring the economy had not yielded the desired results and it was left to the UNP regime to bring the economy into positive territory. Our aim was to improve on that and bring our growth rate to 5.5 percent of GDP.
2005 Budget
We decided to consult all economic sectors in formulating the 2005 Budget. There were about seven clusters based on shared economic activities whose requests were closely examined by the Treasury staff. In addition all the trade chambers discussed their problems with us. In both cases their requests were mainly related to tax concessions. But we were conscious of the need to enhance revenue in the light of demands by the military and the need to commit more funds as capital expenditure. We aimed at a significant increase of revenue. Capital expenditure was enhanced and the outlays on education, health and employment creation were increased.
The budgetary deficit was contained at seven percent of GDP which was an improvement on previous targets. [1998 – 9.2%, 1999 – 7.5%, 2000 – 9.9%, 2001 – 10.8%, 2002 – 10.8%, 2003 – 8.9% and 2004-8.0%]. Following the earlier CBK budgets every attempt was made to rationalize government expenditure by restructuring loss making state enterprises. An outstanding success was the establishment of the Sri Lanka Telecom as a joint venture with NTT of Japan. With the assistance of the ADB we planned to “unbundle” the Ceylon Electricity Board [CEB] which was a drain on the national coffers. High cost of energy was a significant factor in our inability to attract foreign investment.
Since the Minister concerned – Susil Premajayantha – was lukewarm regarding this reform agenda, CBK was even contemplating taking over the Ministry herself. But by then Susil had won over Prime Minster Mahinda Rajapaksa to his cause. So we had to postpone restructuring the CEB and await the passage of the Appropriations Bill till we moved again in this matter. The JVP was also opposed to such reform. I invited their leaders and PB to my home to explain the advantages of restructuring the CEB. But they were adamant in opposing change. This presaged the difficulties we were to face with the JVP on the economic front later.
In retrospect we can now see how damaging to the country such resistance to reform has been. ‘That was the main reason for our later bankruptcy. I have no regrets for calling those inefficient Corporations the “Five Monsters” who had to be tamed if the country’s economy was to be rehabilitated. Even CBK jokingly told me that I had gone too far in calling them “Kalakannis“. As to be expected the CEB workers went on strike asking me to withdraw my statement. I did no such thing and the strikers went back to work.
The Budget for 2005 was presented by me in Parliament with due ceremony. The general reaction was that it was a popular Budget. The backbenchers led by Wimal Weerawansa and Dilan Perera came in a delegation to express their satisfaction and as one MP said, “We clapped so much at the announcement of different concessions that our hands hurt”. In my presentation to the Development Forum I set out a summary of our budget objectives as follows:
“The new development strategy is premised on pro-poor, pro-growth income improvement and redistribution policies with complementary participation of a socially responsible private sector and a strong public sector. What then are the goals that we want to achieve? A sustainable six to eight percent growth in real income is targeted for the next five years. This requires raising investment to around 30 percent of GDP. Such investments include domestic and foreign investments as well as public investment. The ultimate objective is to ensure that Sri Lanka steadily progresses towards an upper middle income country within the next 10 years. Despite the oil hike and prolonged drought the Sri Lankan economy registered a 5.4 percent growth last year and reached a per capita income level of US Dollars 1,030 in 2004”.
The Government Parliamentary group passed a resolution thanking me and CBK for giving relief to the “poor man”. The UNP was out flanked and the “piece de resistance” was that Bogollagama, an influential UNP MP who sat next to Ranil at the beginning of the proceedings, crossed over to our side while the Budget speech was being delivered. It was a well choreographed Parliamentary drama which was carried live on TV. It embarrassed the UNP leadership no end. Bogollagama was made Minister of Rural Banking – a subject as we saw earlier, was close to PBJ’s heart. CBK’s letter of commendation to me on the success of our presentation came with a case of champagne which I shared with the senior staff of the Treasury.
(Excerpted from Vol. 3 of the Sarath Amunugama autobiography)
Features
Viktor Orban, Benjamin Netanyahu and Donald Trump: The Terrible Threes of the 21st Century
In the autumn of 1956, Hungary staged the first uprising against the 20th century Soviet behemoth. Seventy years later, in the spring of 2026 Hungary has delivered the first electoral thrashing against 21st century right wing populism in Europe. The 1956 uprising was crushed after seven days. But the opposition scored a landslide victory in Hungary’s parliamentary election held on Sunday, April 12 and. Viktor Orban, Prime Minister since 2010 and the architect of what he proudly called “the illiberal state”, was resoundingly defeated. Orban who has been a pain in the neck for the European Union was a close ally of US President Donald Trump and Israeli Prime Minister Benjamin Netanyahu.
Trump even dispatched his Vice President JD Vance to Budapest to campaign for Orban. After Orban’s defeat, Trump and his MAGA followers may be having nightmares about the US midterm elections in November. Similarly, Orban’s defeat has reportedly caused “great concern in the halls of power in Jerusalem.” Netanyahu has lost his only ally in the European Union and the opposition victory in Hungary does not augur well for his own electoral prospects in the Israeli elections due in October.
Ceasefire Hopes
Trump and Netanyahu have bigger things to worry about in the Middle East and among their own political bases. Trump is going bonkers, blasphemously imitating Christ and badmouthing the Pope, launching a blockade in the Strait of Hormuz and strong arming more talks in Islamabad. Netanyahu has been forced to sit on his hands, pausing his fight against Iran while pursuing peace talks with Lebanon. The leaders and diplomats from Pakistan, Egypt and Turkey are shuttling around drumming up support for another round of talks in Islamabad and a prolonged extension of the ceasefire.
Further talks in Islamabad and potential extension of the ceasefire received a new boost by Trump’s announcement of a new 10-day ceasefire between Israel and Lebanon. The background to this development appears to be Iran’s insistence on having this secondary ceasefire, and Trump insisting on ceasefire abidance by Hezbollah in return for his ordering Netanyahu to stop his brutal ‘lawn mowing’ in Lebanon. All of this might seem to augur well for a potential extension of the primary ceasefire between the US and Iran. There are also reports of the narrowing of gap between the two parties – involving a potential moratorium on Iran’s uranium enrichment, the opening of the Strait of Hormuz, and Iran’s access to its frozen assets estimated to be $100 billion.
Meanwhile the IMF has released its latest World Economic Outlook with a grim forecast. “Once again, says the report, “the global economy is threatened with being thrown off the course – this time by the outbreak of war in the Middle East.” Before the war, the IMF was expected to upgrade its growth forecasts for the global economy. Now it is going to be weaker growth and higher inflation with oil price optimistically stabilizing around $100 a barrel in 2026 and $75 a barrel in 2027. In a worst case scenario, if the oil prices were to hit $110 in 2026 and $125 in 2027, growth everywhere will further weaken and inflation will go further up in countries big and small.
In a joint statement on the Middle East, the Finance Ministers of the United Kingdom, Australia, Japan, Sweden, Netherlands, Finland, Spain, Norway, Republic of Ireland, Poland and New Zealand have called on the IMF and World Bank “to provide a coordinated emergency support offer for countries in need, tailored to country circumstances and drawing on the full range and flexibility of their tool kits.” They have also welcomed “advice on domestic responses that are temporary, targeted, and effective, and encourage work to identify steps needed to protect long-term growth.”
Subversion from the Right
The two men, Trump and Netanyahu, who started the war and precipitated the current crisis are not being held accountable by anyone and they are still free to do what they want and as they please. The third man, Victor Orban, who did not have anything to do with the war but extended wholehearted ideological and political support as a faithful apprentice to the two older sorcerers, has been democratically defeated. Together, they formed the terrible threes of the 21st century, spearheading a subversion from the right of the emerging liberal status quo of the post Cold War world. Orban’s defeat is a significant setback to the illiberal right, but it is not the end of it.
The three emerged in the specific historical contexts of their own polities that are both vastly different and yet share powerful ingredients that have proved to be politically potent. The broader context has been the end of the Cold War and the removal of the perceived external threat which opened up the domestic political space in the US, for locking horns over primarily cultural standpoints and climate politics. This era began with the Clinton presidency in 1992 and the election of Barack Obama 16 years later, in 2008, created the illusion of a post-racial America.
In reality, the right was able to push back – first with the younger Bush presidency (2000-2008) pursuing compassionate conservatism, and later with the foray of Trump (2016-2020) threatening to end what he called the “American Carnage.” Of the 32 years since the election of Bill Clinton, Democrats have controlled the White House for 20 years over five presidential terms (Clinton – two, Obama – two, and Biden -one), while the Republicans won three terms (Bush – two, Trump – one) spanning 12 years.
Trump has since won a second term for another four years, but already in his five+ years in office he has issued executive orders to roll back almost all of the liberal advancements in the realms of civil rights, equality, diversity and inclusion. All that the celebrated acronym DEI (Diversity, Equality and Inclusion) stands for has been executively ordered to be banished from the state, its agencies and its programs.
In Europe, the European Union became the champion and bulwark of liberalism and subsidiarity, which in turn provoked the rise of right wing populism in every member country. Brexit was the loudest manifestation against what was considered to be EU’s overreach, but after Britain’s bitter Brexit experience the populists in the European countries gave up on demanding their own exit and limited themselves to fighting the EU from their national bases.
Viktor Orban became the face and voice of anti-EU nationalists. But he and his political party, the Christian Nationalist Fidesz – Hungarian Civic Alliance, are not the only one. Nigel Farage’s Reform UK in Britain and Marine Le Pen’s National Rally Party in France are becoming real electoral contenders, while right wing presidents have been elected in Argentina and Chile.
The rise and fall of Viktor Orban
Of the three terribles, Orban is the youngest but with the longest involvement in politics. Born in 1963, Viktor Orban became a political activist as a 15-year old high schooler, becoming secretary of a Young Communist League local. He continued his activism while studying law in Budapest, visiting Poland and writing his thesis on the Polish Solidarity movement, giving lectures in West Germany and the US as a potential future Hungarian leader, and undertaking research on European civil society at Pembroke College, Oxford.
At the age of 26, Orban gained national prominence with a speech he delivered on June 16, 1989 in Budapest’s Heroes’ Square to mark the reburial of Imre Nagy and other Hungarians killed in the 1956 uprising. Imre Nagy was the leader of the 1956 Hungarian uprising against the puppet Soviet Union outpost in Budapest.
To digress and make a local connection – the pages of Sri Lanka’s parliamentary Hansard of 1956, contain an impressive record of the political debate in Sri Lanka over the events in Hungary. The LSSP’s Colvin R de Silva eloquently led the Trotskyite prosecution of the Soviet invasion of Hungary and the suppression of its freedoms. Pieter Keuneman of the Communist Party used his wit and debating skills to defend the indefensible. GG Ponnambalam, the unrepentant anti-communist, used the opportunity to take swipes on both sides. Finally, for the government, Prime Minister SWRD Bandaranaike deployed his own oratorical skills to empathize with the uprising without condemning the USSR. The four men were Sri Lanka’s foremost verbal gladiators and they used the occasion to put on quite a display of their talents.
Back to Hungary, where Orban began his political vocation identifying himself with Imre Nagy and demanding the withdrawal of the Soviet army from Hungary and calling for free elections in that country to elect a new government. That same year in 1989, Fidesz was recognized as a political party; Orban became its leader four years later in 1993 and led the party and its allies to their first victory and formed a new government in 1998. At age 35 Orban became the second youngest Prime Minister in Hungary’s history.
During his first term, Orban started well on the economy, reducing inflation and the budget deficit, was welcomed to the White House by President George W. Bush, and led Hungary to join NATO overruling Russian objections. But the slide into authoritarianism and corruption was just as quick, including the attempt to replace the two-thirds parliamentary majority requirement by a simple majority. By the end of the term the ruling coalition disintegrated and Orban lost the 2002 election and became the leader of the opposition over the next two terms till 2010.
Orban returned to power with a two-thirds majority in 2010 and immediately introduced a new constitution that set the stage for ushering in the illiberal state. What had been previously a communist state now became a Christian state where ‘traditional values’ of gender rights, sexuality, and exclusive nationalism were constitutionally enshrined. The electoral system was changed reducing the number parliamentarians from 386 to 199 – with 103 of them directly elected and 93 assigned proportionately. Orban went on to win three more elections over 16 years – in 2014, 2018 and 2022 – each with a two-thirds majority, and used the time and power to transform Hungary into a conservative fortress in Europe.
The new constitution and its frequent amendments were used to centralize legislative and executive power, curb civil liberties, restrict freedom of speech and the media, and to weaken the constitutional court and judiciary. It was his opposition to non-white immigration that made him “the talisman of Europe’s mainstream right”. He described immigration as the West’s answer to its declining population and flatly rejected it as a solution for Hungary. Instead, he told his compatriots, “we need Hungarian children.” His ‘Orbanomics’ policies restricted abortion and encouraged family formation – forgiving student debt for female students having or adopting children, life-long tax holiday for women with four or more children, and sponsoring fixed-rate mortgages for married couples.
Orban wanted to make Hungary an “ideological center for … an international conservative movement”. Orban heaped praise on Jair Bolsonaro for making Brazil the best example of a “modern Christian democracy.” He endorsed Trump in every one of Trump’s three presidential elections, the only European leader to do so. In return, Orban has been described by US MAGA ideologue Steve Bannon as “Trump before Trump.” Orban’s attack on universities for being the citadels of liberalism have found their echoes in Trump’s America and Modi’s India.
For all his efforts in making Hungary a conservative ideological centre, Viktor Orban’s undoing came about because of Hungary’s growing economic crises and the depth of corruption and systemic nepotism that engulfed the government. The economy has tanked over the last three years with rising prices and the national debt reaching 75% of the GDP – the highest among East European countries. Orban’s critics have exposed and the people have experienced systemic corruption that enabled the siphoning of public wealth into private accounts, the creation of a ‘neo-feudal capitalist class’, and the enrichment of family and friends. Orban’s corruption became the central plank of the opposition platform that Peter Magyar and his Tisza Party presented to the voters and caused his ouster after 16 years.
The Prime Minister elect is not a dyed in the wool liberal, but a member of a conservative Budapest family, and a politician cut from the old Orban cloth. Magyar (literally meaning “Hungarian”) was once a “powerful insider” in the Fidesz government – notably active in foreign affairs, while his ex-wife was once the Minister of Justice in Orban’s cabinet. Mr. Magyar may not fully roll back all of Orban’s illiberalism, but he has committed himself to eliminating corruption, increasing social welfare spending, limiting the prime ministerial tenure to two terms, and being more pro-European, EU and NATO.
EU and European leaders have openly welcomed the change in Hungary, and may be looking for the new government to change Orban’s vetoing of a number of EU initiatives, especially those involving assistance to Ukraine. In return, the new government in Hungary will be expecting the unfreezing of as much as $33 billion funds that the EU extraordinarily chose to freeze as punishment for Orban’s illiberal initiatives in Hungary. For Trump and Netanyahu, the defeat of Viktor Orban removes their only ally and supporter in all of Europe.
by Rajan Philips
Features
ICONS:A Dialogue Across Centuries
Sky Gallery of the Fareed Uduman Art Forum is dedicated to bringing audiences, cultures, and time periods together through meaningful and accessible art experiences to create the closest possible encounters with the world’s greatest paintings. Previous exhibitions include, Gustav Klimt, Frida Kahlo, Paul Gauguin, Vincent Van Gogh, Salvador Dali.
ICONS is conceived as “a dialogue across centuries” bringing together over a dozen artistic geniuses whose works span the Renaissance to the modern era. These works at their original scales of creation changes the conversation. You can finally stand in front of a life-size Vermeer or a monumental Monet and feel the dialogue between artists who never met but shaped each other across time. Each exhibit is meticulously presented on canvas, hand-framed, and finished at the exact dimensions of the original masterpieces, preserving the integrity of composition, texture, brushwork, color and scale.
At the heart of the exhibition is Jan van Eyck’s ‘Arnolfini Portrait’, a work that epitomizes the detail, symbolism, and human intimacy that have inspired generations of artists. Alongside it, visitors will encounter paintings that shaped the renaissance, impressionism, modernism, and the evolution of visual storytelling by Munch, Matisse, Monet, Degas, Da Vinci, Renoir, Vermeer, Rembrandt, Cézanne, Caravaggio, and more. The exhibition invites audiences to experience a rare conversation across centuries of artistic brilliance.
By bringing together works that are geographically and historically dispersed, ICONS creates a compelling space for comparison, reflection, and discovery. Visitors are invited to move beyond passive viewing into a more engaged encounter—tracing artistic influence, identifying stylistic shifts, and uncovering unexpected connections between artists who never shared the same physical space, yet remain deeply interconnected across time.
Designed and curated for both seasoned art enthusiasts and first-time visitors, ICONS offers an experience that is at once educational, immersive, and accessible—removing many of the traditional barriers associated with global museum-going.
Exhibition Details:
Dates: April 24 – May 3
Time: 10:00 AM – 5:00 PM (Monday – Sunday)
Venue: Sky Gallery Colombo 5
Features
Our Teardrop
BOOK REVIEW
Ranoukh Wijesinha (2026)
Published by Jam Fruit Tree Publications.
82 pages. Softcover. ISBN 978-624-6633-81-3
The author is a graduate teacher at St. Thomas’ College, Mount Lavinia; his alma mater. On leaving school he read for a Bachelor of Arts Degree in English Language and English Literature at the University of Nottingham (Malaysia). On graduating, in 2024, he went back to his old school to teach these same disciplines. There seems to be a historic logic to this as his grandfather, a notable Thomian of his day, also started his working career as a teacher at the College before moving on to the world of publishing; as a newspaper journalist and sub-editor.
On his maternal side, Wijesinha’s grandfather was an accomplished journalist, thespian and playwright of his day, and his mother is also a much sought after teacher of English and English Literature and, as acknowledged by him, his first, and foremost, English teacher.
Though there are some well-written, almost lyrical, pieces of prose in this publication, it is the poetry that dominates. Written with a sensitivity to people and events he has either observed himself, or as described to him by those who did, it also encompasses all genres of poetic verse, from the classical to the modern, including sonnets, acrostics, haiku to free and blank verse, the latter more in vogue today. All in all, it presents as a celebration of English poetry and its ability to, sometimes, express depth of thought and feeling far better than prose.
Dedicated to his mentor at St. Thomas’, his Drama and Singing Master had been a great influence on Wijesinha His sudden, premature, death understandably came as a shock to the still developing student under his tutelage. The poems “The Man who Made Me” and “The Curtain Called” best demonstrate this. In addition, it is apparent that Wijesinha has endured much mental trauma in his young life. Spending much time on his own, the questions these moments have raised are expressed in “When No One is Listening”, “There was a Time”, “Midnight Walks” and the prose “A Ramble through Colombo”.
However, the majority of the poems concern ‘Our Teardrop’, Sri Lanka, for whom the writer has a great love. He explores its history, its natural wonders, its people, its tragedies, its corruption and the hope that things will get better for all its people. “Bala’ and “Dicky” address a time of violence from days gone by when there were few glories, just victims. “Easter Sunday” brings this almost to the present time.
There also is humour. “Ado, Machang, Bro, Dude” celebrates his friends and friendships in a way that will reverberate with all the present and previous generations of those who are, or were once, in their late teens and early twenties.
There is little to criticise in this first of the writer’s forays into published works except, as referred to previously, to re-state that the prose quails in the face of the power of the poetry. It is all well written, filled with passion and compassion, and gives comfort that there still are young Sri Lankan writers who can be this brave, and write so powerfully, and profoundly, in English. It is hoped that this is just the first of many from the pen of this young writer.
L S M Pillai
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