News
Ex-CBSL Chief backs IMF conditions for resumption of bailout process
… asks for early cross-party consensus
By Shamindra Ferdinando
Former Governor of the Central Bank Dr. Indrajith Coomaraswamy yesterday (11) threw his weight behind the International Monetary Fund’s (IMF) call for far reaching measures meant to stabilize the economy. The Washington headquartered lending agency recently suspended the US 2.9 bn bailout package, pending an agreement on 16 specific recommendations.
Dr. Coomaraswamy said: “There is a strong case for tabling the IMF’s GDA (Governance Diagnostic Assessment) in Parliament with a view to obtaining cross-party consensus on implementing the recommendations contained therein, in accordance with the laws of the country.” The economist said so in response to The Island query whether the Wickremesinghe-Rajapaksa government should heed the IMF advice in this regard.
Dr. Coomaraswamy said: “The relevant Parliamentary Committees can then have oversight of the implementation of the process. Civil society and business associations should also play an active role in advocating implementation and then monitoring its progress.”
Dr. Coomaraswamy served as the Central Bank Governor since July 2016 till Gotabaya Rajapaksa assumed the presidency in November 2019. He was brought in place of Arjuna Mahendran who was denied an extension in the wake of Treasury bond scams perpetrated in February 2015 and March 2019.
Top SJB spokesperson Dr. Harsha de Silva said that the IMF report is nothing but an indictment on Sri Lanka at every level and the most significant roadblock to financial recovery lies in the country’s persistent failure to address its deep-rooted corruption.
Dr. de Silva emphasised that the country wouldn’t get another opportunity to resume the recovery process if the government sought to avoid the IMF’s recommendations by taking cover behind technical issues.
The following are the IMF’s demands (1) Establishment of an Advisory Committee by November 2023 to nominate commissioners for the Commission to Investigate Allegations of Bribery or Corruption (CIABOC), (2)
Disclosure of asset declarations of senior officials by July 2024, (3) Enactment of proceeds of crime legislation by April 2024, (4) Amendment of the National Audit Act, (5) Finalization of implementation of regulations for beneficial ownership information and creating a public registry by April 2024, (6) Enactment of Public Procurement Law by December 2024, (7) Publishing reports on increasing competitive tendered procurement contracts, targeting agencies with low levels of competition, (8) Requiring the publication of all public procurement contracts above LKRs 1 billion, (9) Implementing the State-Owned Enterprise Reform
Policy to ensure ethical management, (10) Abolishing or suspending the Strategic Development Projects Office Act until a transparent process for evaluating pro-posals is established, (11) Amending tax legislation to prevent unilateral tax changes without parliamentary approval, (12) Implementing short-term anti-corruption measures within revenue departments to enhance oversight and sanctions, (13) Exploring options for new management arrangements for the Employees Provident Fund to avoid conflicts of interest, (14) Revising legislation, regulations, and processes for stronger oversight in the banking sector, (15) Establishing an online digital land registry and ensuring progress in registering/titling-state land and, (16) Expanding the resources and skills available to the Judicial Service Commission to strengthen justice.
Asked whether he had the blessings of the SJB parliamentary group in this regard, Dr. de Silva said that his declaration of support for the IMF’s proposals in Parliament was done with the backing of his party. A long delay in reaching consensus on this matter could be catastrophic, the Colombo District lawmaker warned no one should seek political mileage out of the continuing political, economic and social crisis.
SLPP National List member Prof. Ranjith Bandara, Chairman of the parliamentary watchdog committee COPE said that actually Sri Lanka should have adopted these measures years ago. The academic said that there couldn’t be any dispute over the need to implement IMF proposals meant to stabilize the situation. It would be a grave mistake on our part to believe the IMF’s proposals were the panacea for all our ills but proper implementation would definitely improve setup thereby providing the powers that be the time and space to undertake long term solutions.
Dr. Bandara found fault with the political party setup that conveniently failed to address the impending crisis years ago. Responding to another query, Dr. Bandara said that Sri Lanka should implement IMF proposals because they should have been carried out anyway.
Latest News
486 dead, 341 missing, 171,778 displaced as at 0600hrs today [05]
The situation report issued by the Disaster Management Center at 0600hrs today [5th December] confirms that 486 persons have died and another 341 persons are missing after the devastating weather conditions in the past week.
171,778 persons have been displaced and have taken refuge at 1,231 safety centers established by the government.

News
Media slams govt.’s bid to use Emergency to silence critics
Media organisations have denounced Deputy Minister of Public Security and Parliamentary Affairs Sunil Watagala after he urged law enforcement authorities to use emergency regulations to take action against those posting allegedly defamatory content about the President and senior ministers on social media.
The Sri Lanka Working Journalists Association (SLWJA) yesterday issued a strongly worded statement condemning Watagala’s remarks, warning that they posed a direct threat to freedom of expression and media rights, particularly at a time when the country is struggling through a national disaster.
Watagala made the controversial comments on 2 December during a meeting at the Malabe Divisional Secretariat attended by government officials and Deputy Media Minister Dr. Kaushalya Ariyarathna. During the discussion, the Deputy Minister claimed that a coordinated effort was underway to spread distorted or false information about the disaster situation through physical means, social media, and even AI-generated content. He also alleged that individuals based overseas were contributing to such activity.
According to the SLWJA, Watagala went further, directing police officers present at the meeting to treat those posting such content “not merely as suspects but as offenders” and to take action against them under emergency regulations currently in force.
The SLWJA accused the government of abandoning the democratic principles it once campaigned on, noting that individuals who publicly championed free speech in the past were now attempting to clamp down on it. The association said this was not an isolated incident but part of a pattern of growing state pressure on journalists and media platforms over the past year.
It warned that attempts to criminalise commentary through emergency powers especially during a disaster constituted a grave violation of constitutional rights. The union urged the government to respect democratic freedoms and refrain from using disaster-related powers to silence criticism.
In a separate statement, Internet Media Action (IMA) also expressed “strong objection” to Watagala’s comments, describing them as a “serious threat to freedom of expression”, which it said is a fundamental right guaranteed to all Sri Lankan citizens.
The IMA said Watagala’s assertion that “malicious character assassination attacks” were being carried out against the President and others through social media or other media channels, and that such acts should attract severe punishment under emergency law, represented “an abuse of power”. The organisation also criticised the Deputy Minister’s claim that false opinions or misrepresentations whether physical, online, or generated by AI could not be permitted.
Using emergency regulations imposed for disaster management to suppress political criticism amounted to “theft of fundamental rights”, the statement said, adding that the move was aimed at deliberately restricting dissent and instilling fear among social media users.
“Criticism is not a crime,” the IMA said, warning that such rhetoric could lead to widespread intimidation and self-censorship among digital activists and ordinary citizens.
The group demanded that Watagala withdraw his statement unconditionally and insisted that freedom of expression cannot be curtailed under emergency laws or any other legal framework. It also called on the government to clarify its stance on the protection of fundamental rights amid increasing concerns from civil society.
News
Cardinal calls for compassionate Christmas amid crisis
Archbishop of Colombo, Cardinal Malcolm Ranjith, has called on Sri Lankans to observe this Christmas with compassion and restraint, as the nation continues to recover from one of its worst natural disasters in recent memory.
In his message, the Colombo Archbishop has highlighted the scale of the crisis, noting that more than 1.5 million people have been displaced, while an “uncounted number” remain buried under debris in the hill country following landslides and severe flooding.
“It is a most painful situation,”
he has written acknowledging the difficulty of celebrating a season traditionally associated with joy while thousands are mourning lost loved ones, living in refugee centres, or left with nothing but the clothes they were wearing.
The Cardinal has urged the faithful to temper excessive celebrations and extravagance, instead focusing on helping those affected. “Celebrate, by all means, yes, but make it a moment of spiritual happiness and concern for the needs of those who suffer,” he said. “Assist as much as possible those who lost their loved ones, their homes, and their belongings.”
He has called for a Christmas marked by love, sharing, and solidarity, describing it as an opportunity to make the season “a deeply spiritual and joyful experience.”
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