Features
SRI LANKA’S ECONOMIC QUAGMIRE AND HOW MARGRET THATCHER SMASHED THE KEYNESIAN CONSENSUS
By Sanjeewa Jayaweera
For quite some time, experts in economics and finance not associated with any political party have been raising the red flag about the severe economic challenges that our country was facing. Unfortunately, the politicians have consistently ignored these challenges. Many in the
private sector believed that commonsense would prevail and necessary course correction will occur, and the ship will sail smoothly.
I recently reminded a few of my former colleagues about how some of them rebuked me (in a friendly manner) five years ago when I asked the regional team of a large multinational bank, “Will Sri Lanka default on foreign debt like Greece?” My colleagues felt that I was unnecessarily pessimistic, although I thought I was a realist. Fortunately for me, one of the regional team members came to my defence and said that the scenario was not so outrageous as “Sri
Lanka was not out of the woods.” That was five years ago.
Since then, a debilitating pandemic, along with a decision to reduce government revenue by around Rs. 600 billion due to various tax cuts has severely depleted government coffers. Moreover, the loss of foreign exchange earnings due to the country being closed for tourism
has been a body blow. I, however, contend that our inability, or should I say struggle to meet the repayment of foreign debt, was always ever-present. The pandemic has just fast-forwarded it. The challenge for a country with an annual deficit of around USD 8 billion in merchandise trade having to repay USD 23 billion between 2021-2025 was always tricky. Moreover, our ability to raise additional foreign currency debt has been severely constrained as international rating agencies have continuously downgraded our ability to repay the debt.
Many have spoken and written articles recommending that the Government (GOSL) seek assistance from the International Monetary Fund (IMF). To many, other than rabid socialists, it is the most sensible of options, not that there are too many available. The GOSL, on the other hand, has articulated to neither the public, the private sector or the international creditors how they intend to avoid a possible sovereign default immediately as well as going up to 2025 whilst also ensuring that there is sufficient foreign exchange to facilitate imports.
Keynesian economics
One can only assume that those reposed with economic strategy and management under President Gotabaya Rajapaksa are disciples of Keynesian economic theory. Keynesian economic theory was developed by the British economist John Maynard Keynes during the
1930s. Keynes advocated increased government expenditures and lower taxes to stimulate demand and pull the global economy out of the depression.
Keynes argued that during periods of economic woe, the government should undertake deficit spending to make up for the decline in investment and boost consumer spending to stabilize aggregate demand. He rejected the idea that the economy would return to a natural state of equilibrium if left to market forces. Instead, he proposed that the government spend more money and cut taxes to turn a budget deficit, which would increase consumer demand, viz overall economic activity, and reduce unemployment. Thus, he believed the government was better positioned than market forces when creating a robust economy.
The critics of deficit spending say that if left unchecked, it could threaten economic growth. Too much debt could cause a government to raise taxes and even default on its debt. What’s more, the sale of government bonds could crowd out corporate and other private issuers, which might distort prices and interest rates in capital markets. Many who oppose Keynesian theories will now use Sri Lanka to illustrate how continuous deficit spending and funding with mountains
of debt will ultimately lead to economic disaster.
Modern Monetary Theory
A new school of economic thought called Modern Monetary Theory (MMT) has taken up the fight on behalf of Keynesian deficit spending. It is gaining influence, particularly on the left of the political spectrum. Proponents of MMT argue that as long as inflation is contained, a country with its own currency doesn’t need to worry about accumulating too much debt through deficit spending because it can always print more money to pay for it. This is precisely what our
Central Bank has been doing, one presumes at the behest of the GOSL.
How Margeret Thatcher smashed the Keynesian consensus
To understand what Margeret Thacher (MT) achieved in upending the Keynesian theory, one needs to understand the decade and a half before that. The 1960s and 70s was a time of unrivalled sociopolitical activism. In the USA, which had established itself as the leading superpower both from an economic and a military perspective, there were protests against the war in Vietnam whilst the civil rights movement gained significant traction after the death of Martin Luther King. Elsewhere particularly in western Europe, pop music, recreational drugs, a liberal view towards sex and the gay community gained wide acceptance. As a result, the 1960s is fondly referred to by many as the “swinging sixties!’
In the political arena, across the world, many socialist governments were voted into power. For example, in both the UK and West Germany, socialist governments held power for most of the 1960s and 1970s. These governments underpinned their political philosophy with the concept of the social welfare state and that capitalism was not desirable. However, the aftermath of the 1973 war between Israel and several middle eastern countries caused significant economic upheaval in many countries. The oil price increased by 400 per cent, and supply was constrained due to an embargo impacting the USA and Western European countries.
In the UK, a full-scale energy crisis loomed due to a combination of a limited supply of oil and an overtime ban by the coal miners to support a significant pay increase. As a result, the government declared a state of emergency. To conserve energy, industries were told to work only three days a week, and all national television stations were switched off at 10.30 p.m. In addition, students had to do their homework in the evenings by candlelight. The following year the conservative government paid the ultimate price by being rejected by the voters.
Emboldened trade unions resorting to industrial action caused many headaches to the government and a great deal of inconvenience to the public. In addition, due to rising inflation which peaked at 26 per cent, the unions demanded higher wages, resulting in higher unemployment as many companies were unable to afford such increases. It was indeed a vicious circle.
The despondency amongst the British public due to the poor economy and the actions of the militant trade unions is aptly summed up by the comments made by the then minister James
Callaghan. He warned his fellow Cabinet members in 1974 of the possibility of “a breakdown of democracy”, telling them: “If I were a young man, I would emigrate.” Ironically. he subsequently succeeded Harold Wilson as the Labour prime minister after the latter’s surprise resignation in April 1976.
The Labour government faced continuing economic difficulties with rising inflation, a balance of payments deficit arising from significant oil price increases, and a series of industrial disputes. Events came to a head in 1976 when markets began to lose confidence in the sterling. In September 1976, the government approached the IMF for a loan of US$3.9 billion, the largest ever requested from the fund. The IMF demanded significant cuts in public expenditure as a condition for the loan, which the government accepted.
But life in the UK got worse a few years later when, in 1978, a wage dispute between Labour Prime Minister James Callaghan and the trade unions culminated in the Winter of discontent. Streets were lined with litter, some dead went unburied, and parents rushed to
feed their ill children in hospital as everyone from rubbish collectors to gravediggers and nurses went out on strike.
In May 1979, the public, fed up with the inability of the Labour government to curb the militant trade unions and bring down inflation, voted in the conservative party led by Margaret Thatcher (MT), with a parliamentary majority of 43 seats.
MT brought about many radical changes to British economic policy. The pillars on which she built her economic policies were:
* Reduce inflation through reduced money supply growth
*Reduce the budget deficit by initially increasing taxes and reducing public expenditure
*Privatize state-owned enterprises
*Deregulate the financial industry
*Bust the trade unions.
There is no doubt that she did achieve her objectives. She remained the PM for 12 years, and the conservative party was the ruling party for 17 long years. However, the initial years under MT were extremely tough for the British people. There was significant unemployment as her policy of increasing interest rates meant that many companies went into liquidation. I recall watching the one-minute segment on national TV every evening where the number of closed companies and how many were made redundant along with cumulative figures were announced.
In March 1981, as many as 364 eminent British economists published a letter condemning her plans to hike taxes even as her monetarist attack on inflation plunged the economy ever deeper into recession. However, MT stood firm. She famously said, “The lady’s not for turning ” in her speech to the Conservative Party Conference on 10 October 1980. It is considered a defining speech in Thatcher’s political development. As a result, she gained the nickname “Iron Lady”,
and it was widely believed that she had more “balls” than any of her male colleagues in the cabinet!
There is no doubt that her economic policies upended the Keynesian theory of governments spending money and lowering taxes to increase aggregate demand. Along with Ronald Regan, the President of the USA, she led a renaissance of conservative politics that relegated socialist parties for nearly two decades.
Space constraints prevent me from going into details of the main initiatives that underpinned her economic policies. However, I wish to share two of them as I believe these are imperatives for Sri Lanka in the current context.
Privatization of State-Owned
Enterprises
Under MT, the government aggressively sold off key industries that the British government had owned. Early in her term, she sold off British Aerospace and Cable & Wireless, followed later on by British Telecom, Britoil, British Gas, and Jaguar. In her third term, British Airways, British Petroleum (or BP), British Steel, Rolls Royce, and electric and water companies were privatized as well.
Many of those companies have gone on to be successful private firms. In addition, fans of the effort note that it freed up a great deal of money in the 1980s, preventing further spending cuts or tax increases and creating competitive telecommunications and fuel sectors.
Union busting
One of MT’s most heated political battles came in 1984 when the miner’s union struck work. Earlier in Thatcher’s term, in 1981, the miners almost struck, but the government immediately gave in and offered concessions. Thatcher spent the ensuing years plotting to make sure
that this never happened again by changing trade union laws, stockpiling coal to blunt the impact of a strike on consumers and even having MI5 agents infiltrate the miner’s unions.
So when the miners struck in 1984, she was ready. After nearly a year, the miners returned to work without any concessions from the government. As a result, the National Union of Miners, which just 10 years earlier had toppled the Conservative government of Edward Heath, was permanently weakened. Smashing the unions meant more when they dominated every facet of economic and political life.
Will Sri Lanka adopt Margret Thatcher’s prescription?
I lived in the UK from 1975 onwards and experienced first-hand most of what I described in the preceding paragraphs. In 1979 when MT was elected to power, I was 20-years old and very much a committed socialist. I was, in fact, the General Secretary of the Student Union
for two years. However, I took to heart the famous quote, “Not to be a socialist at twenty is proof of want of heart; to be one at thirty is proof that you have no head.”
In my opinion, there is no doubt that if we genuinely want to come out of the economic quagmire that we are in, we all will need to undergo significant hardships and sacrifices. Unfortunately, that is the price we will have to pay for the extravagant lifestyle the country has enjoyed for several decades.
The pain would have been far less had corrective decisions been taken several years ago. However, we have elected successive governments who have failed to take tough decisions as
appeasing the public, trade unions, and other vested parties have taken precedence.
An example that I wish to cite in support of my above comment is that we have hardly been subjected to any power cuts in the last two decades. Whenever there was insufficient hydropower or the coal power plant broke down, the government got the CEB to generate
expensive thermal power. This was done to prevent any inconvenience to the public but at a significant cost. The CEB did not even levy a special surcharge to recover part of the additional cost. I am pretty confident that electricity prices have not been increased for the last five years.
About a decade ago, I regularly travelled to India as the company I worked for established a subsidiary company in New Delhi. It was difficult for the accountant of that company and me to go through the financial records on the system as every few minutes; there was a power outage
or a power cut. There were long power cuts during the summer months in India and Pakistan, lasting more than six hours a day. However, in Sri Lanka, despite the perilous state of the economy, we enjoyed uninterrupted power.
About 80 per cent of government revenue is spent on paying public sector salaries. In 2015 the Yahapalana government granted salary increments of Rs. 10,000 per month to public servants. The present government gave 100,000 jobs to unemployed graduates, and the state also employed a further 35,000 who had not passed ordinary level exams. Just imagine the cost being borne by taxpayers to fund a bloated and highly inefficient public sector.
I wish to share a couple of examples with the readers so that they can understand my frustration with the public sector.
In 2002 or 2003, when as the Chief Financial Officer, I offered permanent employment at the largest conglomerate in the country to a trainee graduate working under the “Tharuna Aruna” scheme, he told me “, Sir, I prefer to work as a government teacher in Mahiyangana as there is no work pressure and also, I am guaranteed a pension!” Unfortunately, that was the limit of his ambitions which successive governments have inculcated in our people.
In 1984, I went to the Inland Revenue to represent the company I was working for an enquiry. When I approached the officer concerned, I realized that she had forgotten that an enquiry had been scheduled. I was asked to sit while she desperately rang the bell for the peon to bring the file. The guy was seated only 50 feet away but pretended not to hear! The lady was embarrassed and asked me whether I could go and find the file. I lost my temper and
told her that she’d better find the file herself. Finally, she said she would re-fix the hearing, but we had still not heard from her one year later when I went back to the UK.
That we need to restructure and privatize most state enterprises that are losing significant amounts of money as was done by MT in the UK is a given. To do that, the government needs to “bust” the trade unions. The public will need to undergo certain hardships as industrial action will disrupt our life. But, in my opinion, the sacrifice will be well worth it. At least we will leave a better place for our children.
The industrial action resorted to by health workers as well as the principals and teachers is absolutely deplorable. Furthermore, the cancellation of the East Container Terminal to be awarded to India and Japan and the reported grant of salary increments amounting to Rs. 9 billion for a year to CEB staff reflect how the GOSL is caving in to unreasonable demands made by trade unions.
Margaret Thatcher, from 1979 onwards, showcased to the British people and the world at large what can be achieved by strong, determined and courageous leadership. A quote of hers that our political leaders will do well to remember “If you set out to be liked, you would be prepared to compromise on anything at any time, and you would achieve nothing.”
Features
West Asian conflict undergoing manifold complications
Israeli Prime Minister Benjamin Netanyahu’s message to Israel’s enemies was blunt and stark.‘We’re going to win; we have no choice.’ He said so while the majority of attendees at a recent UN General Assembly session walked out of the conference hall when the Israeli Prime Minister took the podium; many of them booing in derision.
Those commentators who have been studying Israel’s handling of her enemy states over the decades are unlikely to dismiss the entirety of Netanyahu’s address as rhetoric. The general pattern has been for the Israeli state to stand up firmly against its enemies in the battle field. On most occasions, these adversaries have been beaten back.
It is also little realized in particularly the Southern hemisphere that Israel, for the most part, could defend herself without much US assistance. The history of the conflict bears this out.
However, from the viewpoint of working towards a just and equitable peace in the Middle East the Israeli hard line stance has proved and will prove incalculably detrimental. The sworn enemies of Israel are not going to be in any way deterred by Netanyahu’s stark warnings. On the other hand, they would be only further provoked into taking on Israel by conventional or unconventional military means and seek its destruction.
The recent aborted mid-air hijacking of a Flydubai flight, consisting mainly of Israeli passengers, by an Omani extremist drives home the point. Israel’s enemies are bound to redouble their efforts to annihilate Israel rather than be deterred by the latter’s warnings about standing firm against them. This too history has proved.
It would be in the fitness of things at this juncture to pay a tribute to the professionalism, courage and humanity of the relevant airline pilot, Captain Machchhar, whose timely action proved decisive in botching the hijack attempt. His intervention averted what could very well have been another 9/11 type tragedy. History is not going to forget his daring and resourcefulness.
Meanwhile, the ground realities in West Asia are undergoing further complications that portend increasing regional instability. For example at the time of writing Turkiye, Pakistan and Saudi Arabia have agreed under the recently established ‘Mecca Alliance for Defence’ to deploy ‘deterrence measures’ collectively in the event of any member of the alliance coming under military strikes from a non-member state.
The agreement is modeled on the NATO collective defence pact and should help in defusing any threat perceptions experienced by the alliance members in the short term. However, the group would need to be cognizant of the major and potentially divisive role Iran could play in the interstate politics of the Middle East region going forward.
Iran’s reported support, for example, for Yemen’s Houthi rebels, who are engaged in attacking Saudi national assets, could at some point in time compel the alliance, under the terms of the pact, to initiate deterrent military measures against Iran.
The implications for regional peace from such a turn of events hardly require elaboration. A full blown regional war emerges as a distinct possibility if Iran sees itself as being excessively antagonized by the alliance. A further complication is that antagonistic sectarian identities of an Islamic kind could come to play hugely divisive roles in it. Shiite Islamic states would be inclined to back Iran while those countries seen as Sunni Islamic in orientation are bound to support Saudi Arabia.
Accordingly, West Asia is a region rife with manifold aggravated insecurities. If the latter are not defused dexterously they could escalate into a conflict of extra regional dimensions. The latter development would render the world a collective loser.
Unfortunately, no constructive help could be expected from the US at this juncture by way of working towards regional and international peace even of short durance. Its war against Iran has only aggravated the world’s current insecurities.
For example, the world has been compelled to face the possibility of compounded economic woes as a consequence of the Hormuz crisis remaining unresolved. The world is currently experiencing what could be seen as a ‘winter of economic discontent’ of unprecedented proportions.
Unfortunately, the international community is to all intents and purposes helpless in the face of this multifaceted crisis. Substantial intervention is expected of the UN but since it has failed to reform itself over the years it is compelled to stand idly by while the world’s insecurities heighten and multiply.
Yet, it is the seemingly paralyzed UN system that has some potential to contain the current tide of international disorder to even a small measure. Given the persisting divergent and conflicting interests among the world’s principal power blocs, the G7 and BRICS for instance, it is mainly the UN and its principal agencies that could carry some credibility as peace brokers and mediators.
However, as an initial step towards bringing the principal protagonists to the negotiating table the UN would need to convince the principal powers of the UN Security Council of the need for a substantive broad-basing of the membership of the Council so as to reflect more accurately the current global political and economic realities. Such reforms would render the Council more representative and help in strengthening its credibility and effectiveness.
The above reforms call for years of dynamism, hard work and resourcefulness on the part of the international community, read the UN. Yet the aims are not impossible to achieve if strong leadership is brought to bear by the UN.
Meanwhile, the UN agencies and allied organizations need to pay stepped-up attention to the West Asian theatre and its wasting conflicts and wars. Here too there is immense hard work to be put in.
There is, for instance, identity politics and its issues that need to be managed urgently. While internal political matters of countries could not be addressed directly by UN agencies, awareness-raising programs and projects could be energetically carried out by them to blunt the appeal of identity-based slogans, relating to, for instance, religion and race.
Besides, values at the heart of democratic politics need to be freshly and enthusiastically propagated. Vast reserves of energy and resources are needed, to be sure, to consistently champion and implement these crucial projects but they need to be pursued single-mindedly if even a dent is to be made in the current runaway global disorder.
The aborted hijacking of the Flydubai flight pointed to the dehumanizing impact of identity politics on the human consciousness. It was also an indication that those sections endowed with humanity cannot stand idly by while identity politics continues to destroy civilizational values. The time to act is ‘now’.
Features
Future of Sri Lanka’s state university system: Should it be shut down and reopened?
by Professor Ranjith Bandara
Emeritus Professor of Economics, University of Colombo
My life has been closely connected with Sri Lanka’s state university system for more than four decades. Its doors opened to me first as a student and later as an academic. The system gave me knowledge, opportunities and a life. Therefore, when I speak about its future, I do so not as an outsider, but as someone who owes much to it and genuinely wishes to see it become better.
Over the years, our university system has expanded significantly. New institutions, faculties, degree programmes and opportunities for students have been created. For 2024, the government expected to admit 43,204 students to national universities. By the time the relevant report was prepared, 42,282 students had been admitted through the general admission process, which had not yet been completed. This is an achievement that should not be dismissed.
However, expanding the system does not necessarily mean that its quality has improved. The real question is not simply how many students we have allowed through the doors, but what kind of education they receive after entering. (Source: Ministry of Education Annual Performance Report 2024.)
We often proudly declare that “our university is number one.” Yet a university does not become number one through publicity. Its true standing depends on the quality of its teaching, the strength of its research and the contribution it makes to society. A vice-chancellor writing about the institution’s, or his or her own, achievements on Facebook does not improve the quality of a university. What matters is good teaching, an education that encourages students to think, credible research and new knowledge that benefits society. A reputation must be earned through meaningful work, not through self-promotion.
The fundamental purpose of a university is clear: to create knowledge, to teach it and to train students to examine and understand it critically. To fulfil this purpose, academics need freedom, responsibility and time. Students must be free to ask questions, disagree and develop their own views based on evidence. Without such an environment, a university may award degrees, but it cannot fulfil the true purpose of university education.
The most serious danger I see is the growing tendency for political activity to take precedence over the academic mission of universities. Over the past five decades, this problem has gradually become more serious. In some universities today, it has become difficult even to hold or express an opinion that differs from the dominant political view.
Members of a university community have every right to hold political views and express them peacefully. A university should not be a place inhabited by silent people. However, when political loyalties, power blocs and struggles for positions become more important than research, teaching and learning, the university moves away from its true purpose. When the political camp to which an academic belongs matters more than the value of that academic’s ideas, the respect that should belong to knowledge is transferred to power.
These criticisms are not ideas I have borrowed from books. They are based on experiences from my own professional life. One such experience was the manner in which I had to leave the university nearly twenty years ago. In my view, the improper exercise of political power within the administration of the University of Colombo at that time, and the strong desire to retain that power, had a serious effect on my professional life. Although this was a personal experience, I mention it with regret because it reveals a deeper institutional problem.
The lesson I learned from that experience is not merely about one person or one incident. When there are no strong institutional safeguards to ensure that power is exercised fairly and individuals are protected, even an academic may be forced to leave an institution he deeply loves.
To those who criticise my later decision to enter national politics, my answer is this: when the university’s institutional system failed to provide me with fairness and professional protection in the face of the injustice I experienced, I had to choose another path through which I could use my knowledge and experience in the service of the country.
This does not mean that all vice-chancellors, academics or students behave in the same way. I personally know many people who, despite difficult circumstances, have taught with dedication, undertaken meaningful research and transformed the lives of their students. Scholars such as Professor W. D. Lakshman, Professor Arjuna Aluwihare and Professor Lakshman Jayatilake may be recognised among the distinguished vice-chancellors in the history of Sri Lanka’s university system. Their service deserves our respect and appreciation.
Nevertheless, the presence of a few good and committed individuals cannot, by itself, strengthen a weak institutional system. We must also create an institutional environment in which such people can work independently, fairly and effectively.
First, university leaders must be selected through a process based on clearly defined qualifications, transparent evaluation and accountability. Once a vice-chancellor has been appointed, his or her performance should be assessed according to the support provided for research, the quality of teaching, student welfare, the institution’s financial discipline and the fairness of its decisions. Personal loyalties and publicity skills cannot replace these measures of performance.
Second, academics must be given the time and space required to carry out their core responsibilities. It is meaningless to demand “world-class universities” without providing adequate time, facilities and reasonable funding for research. Teaching, too, should not be treated merely as delivering lectures. Students must be trained to reason, write, investigate and apply their knowledge to real-world problems. The quality of a degree programme should be measured not by its title, but by the capabilities of the graduates it produces.
Third, universities must establish an honest connection with the needs of the country. The problems confronting our economy, schools, healthcare system, agriculture, environment and wider society are all legitimate subjects for research. Seeking answers to these problems does not diminish the dignity of a university; it increases its value to society.
At the same time, research must not be controlled by short-term political demands. Knowledge can serve the country only when researchers are free to communicate what they discover. Sri Lanka’s World Bank-supported AHEAD higher education programme similarly connected the expansion of enrolment in priority disciplines with improving the quality of degree programmes and promoting research and innovation. These goals were linked because meaningful expansion cannot be separated from educational quality. (Source: World Bank overview of the AHEAD programme.
Fourth, the responsibilities of students must be clearly emphasised. The duty to protect the academic environment of a university cannot be placed solely on administrators and academics. Every student has a fundamental responsibility to give priority to his or her education, respect the right of other students to learn and allow the free exchange of ideas.
Student activities, social debate and political engagement all have an important place in university life. However, none of them should be allowed to disrupt education or prevent other students from learning.
When students abandon their primary purpose of learning and create an environment that obstructs education, the university system cannot fulfil one of its most important functions: producing knowledgeable and responsible graduates. A university may continue to award degree certificates, but if lectures, research, open discussion and intellectual inquiry do not receive sufficient attention, it risks producing graduates who lack depth of knowledge, critical thinking and professional competence.
The result may be the emergence of a group of “half-educated” graduates, individuals who possess certificates but have not received a complete intellectual education. Therefore, just as we discuss student rights, we must also have an honest and open discussion about student responsibilities within the university system.
My position on the current professional struggle of university academics is also clear. If they are demanding fair conditions of employment, those demands should be discussed seriously. If their struggle is also intended to free universities from political interference and restore research, teaching and learning to the centre of university life, I stand with them.
The rights of academics and the educational rights of students should not be presented as opposing interests. Both can be protected and respected only within a well-functioning university.
When I say that “the state university system should be shut down and reopened,” I do not mean that we should close the door on the future of our students. I mean that we must close the door on systems in which power matters more than knowledge.
Students have the right to hold political views and participate actively in debates on national issues. A university needs a student community that thinks about the country’s problems and speaks out against injustice. However, student politics should not shut down the university, deprive other students of their education or become a means of displaying organisational power. The right to fight for one’s beliefs comes with the responsibility to respect another person’s right to an education.
Simply attempting to establish another 50 universities will not solve these problems. Sri Lanka needs a higher education system that brings together the contributions of state, state-affiliated and private institutions while applying clear standards and responsibilities to all of them.
Strict discipline within such a system should not mean suppressing freedom of thought. It should mean ensuring that everyone fulfils their responsibilities in relation to teaching, research, examinations, institutional governance and student welfare. A degree certificate will then have value not merely because of the name of the institution that issued it, but because the knowledge and capabilities of the person who earned it can be trusted.
We should learn from advanced higher education systems, but we should not simply copy them. We must develop institutional autonomy, reliable quality-assurance mechanisms and publicly accountable governance in ways that suit our own needs. What we owe future generations is not merely a country with a larger number of universities, but a country in which people can trust the education those universities provide.
What we must close down, therefore, is not the universities themselves, but the outdated system that closes the door on knowledge, freedom and responsibility. What we must reopen is a genuine university system devoted to learning, inquiry, research and the creation of new knowledge in the service of the country.
Features
The Sri Lankan who made Scottish history
From beauty pageants and medical science to challenging British immigration policy and making political history in Scotland, yes, that’s Sri Lankan Deena Tissera, born into privilege, in Chilaw, but exposed to poverty and the realities of war.
Now, after 15 years in British politics, she tells Ivan Alvis why she is no longer interested in fitting anyone else’s image of a leader.
She was educated at The British school in Colombo and her father was a doctor-entrepreneur-philanthropist, and mother a former beauty queen and movie star.
She studied Medical Science, moved into Global Health and began a PhD in Public Health, competed in Miss Sri Lanka for Miss World, and, in 2022, made history as the first woman of colour elected to Aberdeen City Council; the first politician of Sri Lankan descent elected in Scotland.
The moment that set it all in motion came during the worst period of her life. Her father had died. She was 24 and missed her university examinations to attend his funeral.
“My father’s greatest wish for me was that I completed my education. However, I was being told that my education would be delayed because I had missed examinations to attend his funeral.”
She refused to accept it. She challenged the university, protested, went before its board and represented herself — and won.
“I went from fighting for myself to realising there were thousands of students who sometimes needed somebody to fight with them.”
She was elected Students’ Union Vice President. Soon her campaigning grew larger. As an international student she had experienced Britain’s immigration system, first-hand, and helped build a UK-wide movement, campaigning for international student rights, and contributing to campaigns that helped achieve changes to immigration rules.
“That taught me one of the most important lessons of my life. Politics isn’t about having a title. Politics is understanding where power sits, organising the people who don’t have it and knowing how to make the people who do have it, listen.”

Deena: Beauty pageant
contestant
The instinct to challenge inequality began earlier. Though born to privilege, her father took her into communities affected by the war through his philanthropic work.
“I grew up with opportunities, but I was surrounded by poverty. That contradiction affected me enormously. My father taught me that privilege isn’t something you should feel guilty about. But you should understand the responsibility that comes with it.”
If her father gave her a sense of service, her mother gave her confidence. Inspired by her, Deena took to modelling … and the Miss Sri Lanka pageant.
“People sometimes expect serious women to edit the glamorous parts out of their history. I can, and have been in a beauty pageant, and still understand economic policy.”
Her academic background continues to shape her politics: “Medical science teaches you evidence. Global health teaches you systems. Public health teaches you that someone’s health can be determined by poverty, housing, education and employment long before they reach a hospital.”
While at the University of Aberdeen she joined Labour Students, later becoming Vice-Chair of her Constituency Labour Party. What followed was more than a decade of door-knocking, organising, strategising, winning and losing.
The overnight success took 15 years. In 2022 she won Hilton, Woodside and Stockethill in Aberdeen.
The historic label came with a complicated reality. She remembers entering rooms with qualifications, campaign experience and leadership credentials — and still sensing she was not the person others imagined as leader.
“There have been tables where I have looked around and known I may be the most accomplished person sitting there, but I wasn’t necessarily the person people saw as the leader. And that’s because I didn’t fit the look.”
Her answer was to work harder — another qualification, another campaign. Then she realised the flaw in that strategy.
“If you wait for everybody else to decide you’re good enough, you can spend your entire life auditioning for a position you’re already qualified to occupy. I owned my identity and started leading with the confidence of my competence.”
At 39, successful and unmarried, she speaks with unusual candour. “Being unmarried is a marital status. It isn’t a performance review.”
Her message to young Sri Lankan and migrant women is direct: “Do not shrink your ambition to make yourself easier for somebody else to digest.”
Her blog series ‘Taboo Tuesdays’ — with titles like “Politics Is a Blood Sport – And We Pretend It Isn’t” — examines ambition, envy, ego and power from inside the room.
Since her election, she has led on anti-poverty and inequality, served as Labour’s Energy Spokesperson for Aberdeen covering net zero, environment and transport, and served as Chief Whip of the Labour group.
She was adviser to former Prime Minister Gordon Brown on his Our Scottish Future commission, took part in the Jo Cox Women in Leadership programme, and served as Scottish executive representative for the northeast, Highlands and Islands at her party’s top table.
Recognition has followed — 35 Under 35 Scotland’s rising political stars, Exceptional Achiever of the Year, Politician of the Year nomination, and Outstanding Woman in Governance and Public Policy by Women in Management UK.
As Energy Spokesperson for Aberdeen, one of Europe’s key energy cities, she sits at the centre of Britain’s energy debate. She supports transition but warns: “A just transition cannot mean asking one community to carry the economic cost of everybody else’s environmental ambition.”
Ask her if she wants more power and her answer is simple: “Yes. I am ambitious. But power without purpose is just status.”
Perhaps her most personal answer is about representation: “The first Sri Lankan elected in Scotland means something to me because it means the next Sri Lankan isn’t the first.
“I didn’t have to become less Sri Lankan to become Scottish. I didn’t have to become less feminine to become politically serious. And I didn’t have to look like somebody else’s idea of leadership before I was allowed to lead.”
In conclusion, Deena Tissera had this to say: “There was a time when I wanted to prove I deserved a seat at the table. Now I walk in knowing I do.”
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