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Editorial

The deadlock continues

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The Galle Face protesters remain firmly rooted to their cause after 16 days on the green. The Rajapaksa establishment has conceded some ground of which the most significant is omitting two brothers and a son from the new smaller – but not small enough – cabinet. But the major demand that aiya (Mahinda) and malli (Gota) go home, apart from side issues like returning their loot, have not received any consideration whatever. Heels have obviously been dug in and there are no signs of either side relenting. The regime’s wish and hope that exhausted protesters will run out of steam has not come to pass and to all intents and purposes will not happen, certainly not in the short term. Big business, in the shape of a statement by JKH, the country’s biggest listed conglomerate, has also thrown its weight behind the agitation.

Meanwhile there is every likelihood that incidents such as last week’s at Rambukkana, where one young man lost his life in a police shooting, will repeat themselves. Clearly two processes, one political and the other of people power are now ongoing. The first of these enacted principally in Parliament, and the other on Galle Face green have almost nothing to do with each other. What’s happening in Parliament is both a numbers and constitutional game. Mr. Sajith Premadasa and his Samagi Jana Balavegaya (SJB) continue canvassing signatures with the magic figure of 113 votes hanging tantalizingly over them. But the government still seems to be holding a razor’s edge majority with enough fence sitters to tilt the balance either way though SJB stalwarts have claimed they will have the numbers when the time is right.

Which way will the papadam crumble? That is the billion dollar question – we’re now long past the million dollar cliche – hanging over the country. Mahinda has gone public with the view that he favours a return to 19A, albeit with some amendments. That’s a self-serving stance because it will enable trimming Gota’s wings to the benefit of the prime minister; and the obvious signal right now is that the brothers are not marching to the beat of a single drum. This is not likely to cut any ice on Galle Face green. The protester demand is that the Rajapaksas – the whole kit and caboodle of them – depart; and there is no compromising on that. No room for constitutional niceties or give and take there. In any case who is there to negotiate with? The protest is an amorphous, leaderless movement that has thankfully remained apolitical and violence free. It is not restricted to the seafront promenade beloved of generations of Lankans ever since it was opened in 1859 by British Governor, Sir. Henry George Ward, “for the benefit of the ladies and children of Colombo.”

The JVP/NPP made a not insignificant wave last week with a massive demonstration that walked for three days from Beruwala to Colombo. Wisely it confined itself to the Town Hall without attempting to swell the Galle Face numbers. As always the march was well organized and indicated that the rathu sahodarayas command a much greater following than their three-member presence in Parliament suggests. The party certainly harbors ambitions of being a new government and whether it will join an effort to establish an interim setup is yet an open question. Kumar David (KD), our regular columnist who was on their National List for Parliament at the last election, but was omitted with Dr. Harini Amarasuriya preferred, has as trenchantly as is his wont, said that comrades have at last woken up. Does this suggest, as KD seems to believe, that a trade union element is about to enter the struggle, first with a token strike and then with a general strike to follow? We must wait and see with the full knowledge that this near bankrupt country of ours is at the end of its tether and cannot afford to take any more economic blows.

We run in this issue today an analytical piece by Anila Bandaranaike, a former Assistant Governor of the Central Bank, and Colombo University Law Professor Sharya de Soysa on what the country must look at doing once the present deadlock ends and the business of everyday living resumes. This is a matter spoken about but very little has been done apart from the political changes (new Central Bank Governor, Finance Minister and Treasury Secretary) now on pilgrimage to the IMF in Washington and essential price revisions like that of fuel that has sent particularly the poor reeling. The next mol gas (pestle) blow is not far away with power and perhaps water prices steeply increased. The people well know what is coming and the political establishment, apart from a token cut in numbers in cabinet and changes of old faces with new, did not do what may well had been a cosmetic. but useful, gesture of announcing that the privileges of the political class will be pared to the bone.

Our front page story of what Viyath Maga has done over the appointment of a new Vice Chancellor to the University of Colombo, along with its other shenanigans like the chemical fertilizer import ban does not improve the pubic perception of the ruling clan. Jaliya Wickremasuriya is awaiting sentence in the US. Nothing has been heard from the rulers of the attempts to make this presidential cousin High Commissioner to Canada after he was discovered robbing in Washington and returned the stolen money to boot! Whom to tell or kaata kiyannada in more evocative Sinhala.



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Editorial

Cushioning tariff shock

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Thursday 10th April, 2025

President Anura Kumara Dissanayake’s letter to US President Donald Trump over the US tariff hikes has received much publicity. The NPP government is reportedly sanguine about a positive response from Washington to its request for lower tariff on Sri Lanka’s exports, especially apparels. Hope is said to spring eternal, and there is nothing wrong with being optimistic, but it behoves Sri Lanka to prepare for the worst-case scenario. President Trump’s mind is so elusive that it is not possible to predict his moves, much less guess what he expects the smaller economies to do if they are to qualify for US tariff reductions, if any. He is eyeing mineral resources in Ukraine in return for US military aid to that war-torn nation. Sri Lanka has no such resources to offer. Is the Trump administration trying to pressure it into going out of its way to help further Washington’s geostrategic interests in this part of the world?

China has retaliated by increasing tariffs on imports from the US thereby aggravating global economic uncertainty. Washington says its tariff increases are reciprocal, and therefore the countries affected by them may think they can gain relief by reducing duties on US exports. But the question is whether such action will help the US rectify its massive trade imbalance significantly. The demand for American exports will not increase substantially even if countries like Sri Lanka lower duties thereon, for factors such as cost and quality basically drive demand. Imports from the West, especially input materials, are not in high demand in the developing world because of the availability of cost-effective alternatives.

So, the Trump administration is likely to insist that apparel producing nations like Sri Lanka import commodities such as cotton fabric from the US so as to give a fillip to the American industries. This is what US Ambassador Julie Chung told former Minister Mano Ganeshan at a recent meeting, according to a report we published on 27 March. Such a move is bound to increase the cost of Sri Lankan apparels because US products are very expensive and will adversely affect the competitiveness of Sri Lanka’s apparels in the global market.

President Trump is hopeful that ‘jobs and factories will come roaring back’ because of the tariff hikes at issue, but he does not seem to have factored in the high cost of production in the US and increases in the prices of imports due to high tariff hikes. Tech analysts have pointed out that Apple iPhone prices would soar if they were to be made in the US, and even if the existing supply chains are maintained, their prices will increase substantially. The same may hold true for other commodities, whose prices remain low in the US at present owing to cheap labour and lax environmental laws in the other countries where they are produced.

The countries hit by the US tariff increases have adopted different strategies to cushion the blow from the drastic US action, which has led to a global stock market rout, and sparked protests in the US itself. India is seeking to strike more trade deals with other nations, according to Indian Finance Minister Nirmala Sitharaman, who says such measures have become necessary in view of prevailing global uncertainty. Sri Lanka can learn from how India is trying to mitigate the impact of the US tariff hikes.

Prof. C. A. Saliya, a senior banker turned academic, has pointed out in his latest column, Out of the Box, in this newspaper that if the emerging economies get their act together, they may be able to turn disruptions caused by the isolationist, protectionist, and coercive US trade practices into an opportunity to diversify their exports and trade relations, invest in technology and undertake structural reforms to ensure their economic resilience.

Meanwhile, the formulation of Sri Lanka’s strategy to navigate the new US tariff regime should arise from a tripartite effort if it is to be effective. The government, industrialists and workers should be represented in discussions on the issue. It is high time trade unions shifted their focus from their demand-oriented activism to the pressing need to play a crucial role in protecting the domestic industrial sector. The government should do everything in its power to help industrialists keep costs manageable, ensuring the competitiveness of their products in the global market, and the captains of industry must carry out their export operations in a transparent manner without resorting to sordid practices such as parking most of their export proceeds overseas.

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Editorial

Lies, damned lies, and political claims

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Wednesday 9th April, 2025

Hardly a day passes in Sri Lanka without the government and the Opposition locking horns and trading allegations of deception, lying and corruption. Deputy Minister of Vocational Education Nalin Hewage, who is at the forefront of the government’s propaganda campaign against the ruling NPP’s political rivals, has caused quite a stir by making a false claim about Sri Lanka’s economic recovery process.

Politicians as well as their mistruths, half-truths and blatant lies are rarely, if ever, out of the news in this country. Politics is generally thought to be a web of deceit, intrigue and lies due to manipulation, horse dealing, dishonesty, power struggles, scandals, corruption and other negative factors it is often associated with.

It may not be fair to paint all politicians with the same brush and label them as liars; there are honourable men and women in politics. However, the general perception is that only the politicians following Machiavelli, who has argued that rulers sometimes have to resort to deception and lying, achieve success in Sri Lanka. This view is not without some merit if our experience with politicians’ claims is anything to go by.

Most Opposition politicians who were lucky enough to survive last year’s Maroon Wave, which swept the NPP to power with a steamroller majority, are lying through their teeth. Denying allegations of corruption against them, they make themselves out to be paragons of virtue, but they won’t account for their wealth. It has now been revealed that the SLPP politicians who lost some of their properties due to mob violence in 2022 falsified the estimates of their losses and obtained compensation far exceeding the actual damages. They also have the audacity to make absurd claims and insult the intelligence of the public. Prior to the 2019 presidential election, the SLPP propagandists claimed that a huge cobra had emerged from the Kelani Ganga and it was a miracle signalling the rise of their candidate to the presidency. When the first Treasury bond scam was committed in early 2015, most UNP parliamentary group members, some of whom are in the SJB at present, told blatant lies in a bid to cover it up.

Deputy Minister Hewage has come under a social media piranha attack, as it were, over his claim at a recent NPP local government election rally in Galle that when the NPP took over the reins of government, last year, Sri Lanka’s foreign reserves had plummeted to USD 20 million, and under the incumbent government they had increased to USD 6.1 billion. Interestingly, disappointed that his claim had not elicited a rapturous applause, Hewage faulted his audience!

Hewage is not alone in claiming that it is the incumbent government that put the economy back on an even keel. Almost all NPP leaders make that claim at political rallies. Besides, they have sought to grab the credit for the completion of some projects previous governments launched, such as the restoration of the Elephant Pass salt factory and the construction of a cold storage facility in Dambulla. What takes the cake is the NPP’s claim that the country has gained nothing since Independence.

It will be interesting to see the NPP’s reaction to Hewage’s claim, which continues to draw heavy criticism on social media. The CID is conducting a probe into SLPP National Organiser and MP Namal Rajapaksa’s law exam results. Going by the absurd claims made by the ruling party politicians, it looks as if the NPP government had to order an investigation into the educational qualifications of some of its own parliamentary group members, especially those who claim to be economic experts.

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Editorial

Who will guard the guards?

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Tuesday 8th April, 2025

The Opposition has been protesting against what it describes as a veiled threat issued by President Anura Kumara Dissanayake, at a recent NPP Local Government (LG) election rally. The United Republican Front led by former Minister Champika Ranawaka has complained to the Election Commission (EC) that President Dissanayake has made a statement, implying that his government will make financial allocations expeditiously only to the local councils the NPP will win in the upcoming LG polls, and others will find it difficult to obtain state funds.

One can argue that it is not legally possible for a government to deprive the local councils controlled by the Opposition of funds, but threats of fund cuts or restrictions, made by the President himself, could demoralise the people who intend to vote for parties other than the NPP in next month’s LG polls. Political power takes precedence over the law, ethics and morals, in this country, and therefore anything is possible.

In politics, words can be as impactful as actions, shaping public opinion and influencing decisions. One may recall that in 2015, the then President Maithripala Sirisena, as the SLFP leader, queered the pitch for his bete noire, former President Mahinda Rajapaksa, who was contesting that year’s general election as the prime ministerial candidate of the SLFP-led UPFA. In the run-up to that crucial election, Sirisena said in a television interview something to the effect that Rajapaksa would not be appointed Prime Minister even if the UPFA won enough seats to form a government. His statement had a devastating impact on the morale of UPFA supporters who wanted to make Rajapaksa Prime Minister. The rest is history. Besides, former Minister S. B. Dissanayake was sentenced to prison for contempt of the Supreme Court over a derogatory remark he made, at a public rally in 2003, about the judiciary and its rulings.

Meanwhile, there are numerous questionable practices pertaining to Sri Lankan elections. Political leaders in power, such as the President, the Prime Minister and Ministers, conduct election campaigns at a substantial cost to the state coffers, as we have argued over the past so many years. When the Presidents and other government leaders stump for their parties, across the country, the public has to bear the cost of their travel, security, etc. The Presidents and Prime Ministers even travelled in the Air Force helicopters for campaign purposes. The state-owned media outfits are misused as propaganda organs of the party in power although they belong to the people who hold diverse political views. A large number of meetings of state officials are held on some pretext or another, ahead of elections, to give a boost to the ruling party’s campaign. These practices are not only unethical but also tantamount to violations of the election laws, as they place the ruling party at an advantage at the expense of its rivals in elections. All Presidents, namely J. R. Jayewardene, R. Premadasa, D. B. Wijetunga, Chandrika Bandaranaike Kumaratunga, Mahinda Rajapaksa, Maithripala Sirisena, Gotabaya Rajapaksa and Ranil Wickremesinghe unflinchingly used state resources for election campaigns. The public expected a radical departure from the past when they voted the JVP-led NPP into office last year. But what is unfolding on the political front does not offer much hope.

As for presidential statements, it was while speaking at a temple ceremony in the South in 1989 that the then President Premadasa announced his decision to ask India to withdraw the IPKF (Indian Peacekeeping Force) from Sri Lanka. Thus, the Executive Presidents’ statements should not be taken lightly, no matter where they are made.

How can a level playing field be ensured in the upcoming LG polls when the incumbent President himself goes around, issuing a veiled threat that the local councils will face fund cuts or restrictions unless they are controlled by his party––the NPP? It has been revealed in Parliament that at the height of a rice shortage, a few months ago, the NPP government did not supply some popular varieties of rice to the cooperative societies won by its rivals. Such action amounts to collective punishment meted out to the public for defeating the NPP in elections. So, the presidential threat in question, albeit veiled, cannot be dismissed as mere platform rhetoric. The JVP has demonstrated that it is capable of far worse things than fund cuts. The EC therefore must act on the complaints the Opposition has lodged in respect of the presidential statement if it is to arrest the erosion of public trust and confidence in the electoral process. That is also the only way the EC can prevent the public from thinking less of it.

As for President Dissanayake’s statement at issue and the EC’s alleged lukewarm response thereto, Juvenal’s famous question comes to mind: Quis custodiet ipsos custodes? — Who will guard the guards themselves?

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