Connect with us

News

Is Dr.N.M.Perera’s Solution of the 1970-75 Economic Crisis the Answer To Today’s Crisis ?

Published

5 years ago

on

Commemoration of Dr.N.M.Perera’s 42nd Death Anniversary.

Sri Lanka’s economy is facing a deep economic crisis. But it is not alone in this situation. The whole world is in crisis. It is a systemic crisis that affects every country periodically, to a greater or lesser extent, at intervals of eight to ten years. These have led to much suffering to the people and the process of emerging from them has been very slow and painful. This is an inherent feature of the capitalist economic system.

Capitalism developed in the womb of feudalism in Europe leading to revolutionary upheavals like those of the French Revolution and the Cromwellian Revolution in England. But in the countries of the Third World like Sri Lanka or India capitalism did not arise from within, but were introduced from capitalist countries like Britain to exploit our human and material resources and markets, using the local (comprador) capitalist class, led by parties like the UNP in Sri Lanka.

Dr. N M Perera and emerging young intellectuals like Colvin R de Silva, Leslie Goonewardena, Philip Gunawardene and Dr. S A Wickremasinghe, when they were abroad recognized that this colonial subjugation would lead to perpetual poverty for the vast majority of the Sri Lankan people. A true understanding of the nature of capitalism and imperialism was achieved through a study of Marxism. They became Marxist revolutionaries committed to the defeat of capitalism and its replacement by socialism globally and thereby in Sri Lanka.

Dr N.M. Perera obtained a BSc, PhD and DSc from the prestigious London School of Economics of the London University. He was a favourite pupil of the legendary Prof. Harold J. Laski, who was also an advisor to the Labour Party, who said that NM had all the qualities needed to be an English Chancellor of the Exchequer (a Finance Minister). Following NMs return to Sri Lanka and his performance here, Sir Ivor Jennings who was then the Vice Chancellor of the only University of Ceylon, said that he had all the qualities required of a Labour Prime Minister in Britain. Instead of rising to great heights serving the British Empire that ruled the world, NM chose to serve the people of Sri Lanka by fighting to win independence from the British.

When NM and these Left leaders returned to Sri Lanka (Ceylon) they helped form the Suriyamal Movement to save the people whom the British rulers allowed to suffer from malaria without medicine and food. Dr. N.M. was referred to as “parippu mahattaya”, as he supplied these needs climbing steep hills by foot despite the presence of leeches and snakes, as there were few roads. In 1935 they (NM, Colvin, Philip, SA and Leslie) formed the Lanka Sama Samaja Party( LSSP). They devoted all their energy and income, day and night, to fight for the rights of our people against the British rulers and their local agents. Their main objective was winning complete independence (unlike the Dominion status that was given by the British to D.S. Senanayake and the UNP in 1948 to continue their exploitation here). Complete independence was finally achieved in 1972, overcoming UNP resistance, through the Republican Constitution drafted by Colvin as Minister of Constitutional Affairs in the Coalition Government led by Sirimavo Bandaranaike. This was 22 years after India as UNP and TNA resistance had to be overcome.

The second objective was to overcome poverty and injustice and narrow the rich minority /poor majority gap, by establishing a society with social equity , a “sama samajaya”. In Sri Lanka, like in the whole world , the rich poor gap is widening and society is becoming more unstable. With the global capitalist crisis, and the fall of the US and western economies and the rise of China purely by trade (without any imperialist conquests) the USA is now gearing for war to lift its economy which depends on arms sales, as it produces 60% of global supply. The aim is also to achieve regime change in China.

The LSSP also fought for 22 other demands and won many of them – free education, free health, the eight hour working day, overtime payment, pension, EPF and other rights. While doing all this, NM found time to attain many achievements; MP for Ruwanwella and Yatiyantota, Leader of the Opposition, Minister of Finance, a co-convenor of the global Group of 77 Ministers of Economics, the Mayor of Colombo and Leader of the LSSP from its inception upto his death. As an economist and political scientist he wrote copiously and was a popular speaker, in Parliament, and at public meetings; he went to all parts of the country and the world. He was a good sportsman and captained Ananda College at cricket.

But among his many achievements perhaps the most valuable is his overcoming the 1970/75 economic crisis in Sri Lanka. The crisis was a result of the adverse trade balance due to the policies of the 1965/70 UNP Government that wasted our limited forex on import of luxury goods as well as local products , hitting our farmers and SMEs. On top of this he was faced with the global capitalist downturn, the rise in the price of fossil fuels by seven times due to action by OPEC. Fertilizer prices rose by 422% in 1974. The world faced the worst drought for about 30 years during this period and food prices soared, with thousands dying in various parts of the world from starvation but no one died in Sri Lanka. The price of rice rose by 60% ( from 35 to 56 pounds per ton), flour by 65%, sugar by 323%.

The prices of food items have not gone up internationally on a similar scale today. It is far lower. The local market price has gone up due to massive profiteering by middlemen in Sri Lanka, specially millers and traders. Further the farmers are in the grip of money lenders as they are in a state of chronic debt. NM took measures to relieve rural debt. All essentials were supplied through a ration card at low prices through the Cooperative system that was functioning well. Producer and Consumer Cooperatives dealt with each other, getting rid of profiteering by middlemen (traders, millers etc.) in the process. We can gain by following NMs policies to tide over the present crisis.

( Prof. Tissa Vitarana)


Related Topics:
Continue Reading
Advertisement
Click to comment

Leave a Reply

Your email address will not be published. Required fields are marked *

News

22A: Exclusion of 8 petitions questioned, action filed against SC Registrar, others

Published

4 hours ago

on

2026/09/8

By

The Supreme Court has been petitioned seeking an explanation as to how eight petitions filed against the 22nd Amendment to the Constitution were not listed for hearing . Two of the petitioners, namely Dias Bandaralage Ajith Shantha Kumara Jayathilaka and Gunathilakage Dakum Dulara Gunathilaka, have requested an opportunity to examine the official Registry and parliamentary records so that all material facts may be objectively established. They said that their petitions that had been registered by the Supreme Court should have been heard along with other petitions.

The Registrar of the Supreme Court, Secretary General of Parliament, Speaker and the Attorney General have been named as the respondents.

The five-member bench that heard the petitions consisted of Chief Justice P. Padman Surasena, Achala Wengappuli, J, Arjuna Obeyesekere, J, Sampath B. Abayakoon, J and K.M.G.H. Kulatunga, J.

The petitioners sought the explanation in the absence of any judicial order dismissing, rejecting, striking out, terminating or otherwise disposing the said petitions. They have requested the disclosure of the complete procedural history of the unlisted cases.

The second petitioner Gunathilaka has referred to a speech by Jaffna District Independent MP Ramanathan Archuna in Parliament, on 21 August, 2026, regarding X-Press Pearl, a container carrier that sank off the port of Colombo, and related matters.

They have sought leave to proceed under Articles 17 and 126 of the Constitution and asked for a full Bench of the Supreme Court, or the widest Bench, constitutionally permissible.

They also requested that the Chief Justice and Achala Wengappuli refrain from participating in the hearing and determination of their application, having regard to the objective-appearance issue arising from their prior constitutional and judicial participation in matters forming part of the factual subject matter now requiring examination.

Meanwhile, General Secretary of Vinivida Foundation, Nagananda Kodituwakku, has requested the Supreme Court Registrar not to proceed with the determination of 22nd Amendment process, pending the hearing of fundamental rights petition filed by Chairman of the Vinivida Foundation lawyer, Sugandhika Fernando, seeking a full bench, excluding Chief Justice Preethi Padman Surasena, to hear the petitions challenging the 22nd Amendment Bill. She also requested that the hearing be suspended immediately until the matter was fully heard and determined.

Among the respondents are Chief Justice Surasena, the first respondent, and Attorney General Parinda Ranasinghe. Justices Yasantha Kodagoda, Shiran Gooneratne, Achala Wengappuli and Priyantha Fernando.

(SF)

Continue Reading

News

Thailand shuts door on undesirables from Sri Lanka

Published

4 hours ago

on

2026/09/8

By

Sri Lankan passport holders travelling to Thailand wouldn’t be eligible for visa-free entry from 15 September, 2026, according to a new visa notice issued by the Royal Thai Embassy in Colombo.

Under the new measures, all Sri Lankan travellers will be required to obtain a Thai visa before departing for Thailand. Visa applications must be submitted online through Thailand’s official e-Visa system.

The Royal Thai Embassy in Colombo has also clarified that it will not accept visa applications submitted in person or in physical form.

According to the Embassy, tourist visa applications submitted by Sri Lankan passport holders are expected to take approximately 3–7 working days, calculated from the date on which all required documents have been duly completed and submitted.

Processing times for Non-Immigrant Visa and DTV (Destination Thailand Visa) applications may take longer.

Foreign nationals residing in Sri Lanka or the Maldives who hold valid work or residence permits may also require additional processing time.

The Embassy has cautioned applicants that it reserves the right to request additional documents or information when necessary. Applicants may also be asked to attend a visa interview on a case-by-case basis.

The new requirement represents a significant change for Sri Lankan travellers, who will need to complete the visa process before travelling to Thailand from September 15 onward.

The Embassy has urged applicants to rely only on its official communication channels for the latest visa requirements, procedures and updates.

Continue Reading

News

Expertise France and the EU launch media project to strengthen environmental journalism in Sri Lanka

Published

4 hours ago

on

2026/09/8

By

Representatives from Expertise France and CFI mark the signing of the partnership agreement at the Expertise France headquarters in Paris to implement the EU-funded Media Capacity Building Programme in Sri Lanka. From left: Mariam Gbané, Louis Bonneau, Florence Minery from CFI; alongside representatives from Expertise France Anna Krainc, Cynthia Anno, and Laura Cavert

A comprehensive new media initiative is officially underway in Sri Lanka following the official signing of agreements with the French media development agency, Canal France International (CFI), and the Sri Lanka Press Institute (SLPI) yesterday. Backed by the European Union-funded Green Recovery Facility programme, the “Media Capacity Building Programme for the Promotion of the Green Transition” aims to strengthen the reporting of environmental, climate, and economic stories across the country.

Environmental journalism in Sri Lanka has traditionally given significant attention to natural disasters and their impacts. This initiative provides an opportunity for journalists to broaden this coverage by exploring a wider range of environmental issues, including climate finance, green investment, sustainable development, biodiversity, and the policy and economic dimensions of the green transition.

The programme will support journalists in strengthening their technical and investigative skills to explore these issues in greater depth and produce sustained, evidence-based reporting. Participants will be equipped with tools to analyse complex climate finance issues, examine public policies, and follow the flow and impact of green investments.

For Sri Lanka, ‘green transition’ is not an abstract concept; it is a pathway to urgently needed macroeconomic stability and sustainable growth. However, for this transition to succeed, the public must be well-informed, and institutions must be held accountable.

By empowering reporters to translate highly technical financial and governance concepts into accessible public-interest narratives, this project ensures that everyday citizens understand how green policies impact their livelihoods, energy prices, and communities. Crucially, it aims to mainstream the lens of ‘just transition’ and gender equity by encouraging the voices and perspectives of women and vulnerable populations to be heard, considered, and taken into account in the national environmental discourse.

The programme is designed to deliver high-impact, nationwide action. Implemented by Expertise France (EF), in partnership with Canal France International (CFI), the Sri Lanka Press Institute (SLPI), and the Ministry of Mass Media as the primary institutional beneficiary, it moves beyond traditional classroom-based learning.

Key highlights of the initiative include:

Trilingual Foundation Training: Intensive capacity building for 60 journalists across Sinhala, Tamil, and English media to ensure nationwide reach and inclusivity.

Mentored “Story Labs”: The rollout of six intensive Story Labs where journalists will receive direct editorial mentoring to investigate, produce, and publish high-quality, data-driven green transition stories

Youth Outreach: Engaging journalism students and young media practitioners through university and youth activities to develop stories on green transition and public policy issues.

Learning and Sharing Networking Event: Bringing together journalists, experts, policymakers, and key stakeholders to share learning, showcase stories produced through the programme, reflect on knowledge gained, and develop future story ideas on green transition issues.

Continue Reading

Trending