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Tomorrow’s International Order will be decided in Sri Lanka’s immediate neighborhood: German Ambassador

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Affirms Brexit won’t change an iota of EU’s firm commitment to Sri Lanka

‘It may not be easy to attract German investors. However, it’s certainly worth the effort because once committed to a country, they stay. Besides, German investors not only bring capital, they also share know-how which adds sustainability to the partner country’s development’

BY SANATH NANAYAKKARE

At a time both India and Japan – members of the informal Quad grouping – which includes the U.S. and Australia is seen as a counter to Beijing’s influence in the Indo-Pacific region, the German Government decided on new ‘Policy Guidelines for the Indo-Pacific’, in September 2020, The Island recently interviewed senior diplomat Holger Seubert, the Ambassador of the Federal Republic of Germany to Sri Lanka; he threw more light on why Germany made this key decision as well as the long-standing relations between Sri Lanka and Germany. Excerpts of the interview:

 

How do you view the trade between Sri Lanka and Germany?

The balance of trade between our two countries has always favored Sri Lanka – in other words – there’s a significant export surplus for Sri Lanka. In recent months, Germany’s exports to Sri Lanka plummeted by an excruciating 50% year-on-year. Given the fact that overall German exports to the Asia Pacific region declined by only 11% in the same period of time, this is alarmingly above-average. It is obvious that Sri Lanka’s import restrictions played an important role here. On the other hand, Sri Lankan exports to Germany fell by only 10% which can be explained by the pandemic. The bilateral trade balance has thus further deteriorated from Germany’s point of view. Germany currently imports goods and services of more than double the value from Sri Lanka than it exports to it. Bilateral trade between our two countries is becoming more and more of a one-sided affair which of course is of concern to the disadvantaged German side.

 

How do you asses German assistance to Sri Lanka all these years?

Technical and financial cooperation between Germany and Sri Lanka has a long history, going back to the year of 1956. Currently there are bilateral programs in the fields of vocational training, promotion of small and medium enterprises (SME), biodiversity, renewable energies and national reconciliation.

Support in the vocational training sector has for long been the flagship of our bilateral cooperation. The Ceylon-German Technical Training Institute in Moratuwa, which was established in 1959, is a well-known example for successful cooperation in this area. Based on the experiences of vocational education in Germany, we support vocational schools in implementing demand-driven training programs in close cooperation with the private sector. In the wake of the Covid-19 pandemic, the project is working with private sector partners to develop an innovative e-learning platform that will improve accessibility to ICT-related training courses. By 2024, a total of 45 million Euros will have been invested by the German Government in this sector, including major projects like the Sri Lankan German Training Institute in Kilinochchi and the planned establishment of the Sri Lankan German Training Institute in Matara.

Regarding the development of the SME sector, we put strong emphasis on improving business development services for SMEs through digitalization. In the period 2020-2022, a total of 3.5 million Euros will be allocated to this program, plus an additional 1.7 million Euros for immediate COVID-19 response. Our joint efforts include facilitation of export processes and micro insurances for SMEs as well as the establishment of crisis resistant business plans leading to better market access for SMEs in the agricultural and tourism sectors.

We also cooperate with our Sri Lankan partners in promoting renewable energies and in increasing energy efficiency. The “Green Energy Champion” campaign has just concluded its third competition round. It is showcasing innovative ideas (government, private sector and civil society) and enabling the winners to realize their vision. Up to now, a total of 600,000 Euros has been invested and we are looking forward to continuing the initiative in close cooperation with the Sri Lankan government.

 

How have relations between the European Union (EU) and Sri Lanka evolved economically?

With 27 Member States and 450 million customers with high income, the EU is the largest market in the world. Over the last 25 years, the EU has become Sri Lanka’s second largest export market (behind the US). Trade with the EU significantly benefits Sri Lanka that has a trade surplus with the EU of over 1 billion Euros. Sri Lanka’s top export goods to the EU are, in this order, garments, rubber, vegetables, machinery, tea and fish.

Since the opening of the EU Delegation in the country in 1995, the EU taxpayers have provided roughly one billion Euros in development assistance, the environment, human rights and academic exchanges being main contents. Furthermore, the EU is assisting low-income communities in Sri Lanka, for instance by making sure that farmers get adequate prices for their products in the EU.

Through its preferential tariff system GSP+ (Generalized System of Preferences), the EU has granted duty free access to about 7,000 Sri Lankan products. In my view, GSP+ has worked very well for Sri Lanka although its full potential has not been used yet. Exports to the EU have increased by more than 25% under GSP+. Fish exports have even doubled; other notable growth sectors include clothing, tea, tyres, gems and motor vehicle parts. It is a fact that Sri Lanka, being a “lower middle-income country”, benefits significantly from the EU’s GSP+ scheme.

 

How do you view German Investment, doing business, regulatory framework?

German investors have a strong reputation of being faithful, albeit demanding partners. Faithful because a German investor’s decision is always based on long-term considerations, i.e. on plans to uphold and extend investment for a long period of time; rarely will you see a German investor to withdraw, once engaged in the country he is most likely to stay there for decades. On the other side, German investors tend to be quite demanding, before going ahead with an investment they undertake a thorough check of the business environment in the future partner country. They are doing so to make sure that their investment will not just be temporary but sustainable. To recap, it may not be easy to attract German investors. However, it’s certainly worth the effort because once committed they stay. Further to this, German investors not only bring capital, they also share know-how which adds sustainability to the partner country’s development.

Sri Lanka has a number of strengths making the country an attractive destination for German investment. The Island’s geographical position is perfect for doing business in the Asia Pacific region. Sri Lanka has the chance to further develop its position as a regional trading hub and major trans-shipment centre. Furthermore, education in Sri Lanka is generally good, the quality of locally produced goods is high, environmental standards are in place and observed.

However, not everything is perfect, of course. A look into the World Bank’s latest Doing Business Report shows Sri Lanka ranking number 99 (out of 190) with a pronounced weakness in the field of “enforcing contracts”. When I talk to German entrepreneurs, they tell me that reliability has to be considered key to any investment. Hence, if the World Bank’s assessment is accurate, Sri Lanka might wish to work on this weakness as it might then be able to attract more foreign investment.

From a German investor’s perspective, there is room for improvement in other areas as well. Over-protecting local industries does not add to an investment destination’s attractiveness. Closing borders to imports cannot be considered conducive to this objective, either. What German investors expect is the establishment and protection of a level playing field for foreigners (i.e. no discrimination against local companies), a consistent tax policy and reliable application of international rules and regulations.

To give you an example for the latter: German investors are currently concerned about the application of rules known as UCP 600. This Uniform Customs & Practice for Documentary Credits (UCP 600) is a set of rules that apply to finance institutions which issue letters of credit, i.e. financial instruments helping companies to finance trade. These rules and regulations aim at standardizing international trade, thus reducing risks of trading goods and services. German investors would like to see UCP 600 strictly applied in Sri Lanka.

 

How does Germany view Sri Lanka’s relationship with China as an Indian Ocean nation?

As a diplomat, I cannot comment on other countries’ relations.

However, I am in a position to inform you about Germany’s relations to the Indo-Pacific Region. In this regard, there is news to tell: Just recently (September 2020), the German Government decided on new German “Policy Guidelines for the Indo-Pacific“. The motivation for these guidelines lies in two indisputable facts: Asia’s growing importance – economically as well as politically – and an increasing strategic rivalry between the US and China. Germany is convinced that the shape of tomorrow’s international order will be decided in the Indo-Pacific, thus in Sri Lanka’s immediate neighborhood.

As an internationally active trading nation, Germany cannot content itself with remaining on the sidelines of these dynamic developments. Consequently, in its Policy Guidelines for the Indo-Pacific, Germany defines its main interests in the region as follows:

* Open shipping routes: A disruption to the maritime routes would have serious consequences for the prosperity for all countries in the world.

* Open markets and free trade: Germany firmly believes that rules-based free trade enhances freedom and prosperity on all sides.

* Protecting our planet: In the interest of future generations, the aim must be to ensure that growth in the Indo-Pacific region is environmentally friendly. Germany is ready to engage with partners to manage natural resources, to preserve biodiversity and to use energy efficiently.

* No hegemony: Germany firmly believes that no country should – as in the time of the Cold War – be forced to choose between sides. Every country should be free to choose membership in economic and security structures.

In its policy guidelines, the German Government underlines its commitment to intensify dialogue with BIMSTEC (Bay of Bengal Initiative for Multi-Sectoral Technical and Economic Cooperation). By doing so, Germany will build on already existing projects such as the one on maritime governance with Sri Lanka. This project, implemented by the renowned German Max Planck Foundation, provides expert advice to Sri Lanka with regard to the implementation of UNCLOS (United Nationals Convention on the Law of the Sea) which Sri Lanka joined in 1994.

 

How will a potential Brexit deal affect Sri Lanka?

I am not in a position to comment on how relations between the United Kingdom and Sri Lanka may be influenced by Brexit. However, there is one thing I am absolutely sure about: Brexit will not change an iota of EU’s firm commitment to Sri Lanka. The EU will definitely continue to be a close partner and a friend – as will Germany as one of the EU’s major players. This is what I will be primarily working on during my tenure as German Ambassador to Sri Lanka.



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Features

Rebuilding the country requires consultation

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A positive feature of the government that is emerging is its responsiveness to public opinion. The manner in which it has been responding to the furore over the Grade 6 English Reader, in which a weblink to a gay dating site was inserted, has been constructive. Government leaders have taken pains to explain the mishap and reassure everyone concerned that it was not meant to be there and would be removed. They have been meeting religious prelates, educationists and community leaders. In a context where public trust in institutions has been badly eroded over many years, such responsiveness matters. It signals that the government sees itself as accountable to society, including to parents, teachers, and those concerned about the values transmitted through the school system.

This incident also appears to have strengthened unity within the government. The attempt by some opposition politicians and gender misogynists to pin responsibility for this lapse on Prime Minister Dr Harini Amarasuriya, who is also the Minister of Education, has prompted other senior members of the government to come to her defence. This is contrary to speculation that the powerful JVP component of the government is unhappy with the prime minister. More importantly, it demonstrates an understanding within the government that individual ministers should not be scapegoated for systemic shortcomings. Effective governance depends on collective responsibility and solidarity within the leadership, especially during moments of public controversy.

The continuing important role of the prime minister in the government is evident in her meetings with international dignitaries and also in addressing the general public. Last week she chaired the inaugural meeting of the Presidential Task Force to Rebuild Sri Lanka in the aftermath of Cyclone Ditwah. The composition of the task force once again reflects the responsiveness of the government to public opinion. Unlike previous mechanisms set up by governments, which were either all male or without ethnic minority representation, this one includes both, and also includes civil society representation. Decision-making bodies in which there is diversity are more likely to command public legitimacy.

Task Force

The Presidential Task Force to Rebuild Sri Lanka overlooks eight committees to manage different aspects of the recovery, each headed by a sector minister. These committees will focus on Needs Assessment, Restoration of Public Infrastructure, Housing, Local Economies and Livelihoods, Social Infrastructure, Finance and Funding, Data and Information Systems, and Public Communication. This structure appears comprehensive and well designed. However, experience from post-disaster reconstruction in countries such as Indonesia and Sri Lanka after the 2004 tsunami suggests that institutional design alone does not guarantee success. What matters equally is how far these committees engage with those on the ground and remain open to feedback that may complicate, slow down, or even challenge initial plans.

An option that the task force might wish to consider is to develop a linkage with civil society groups with expertise in the areas that the task force is expected to work. The CSO Collective for Emergency Relief has set up several committees that could be linked to the committees supervised by the task force. Such linkages would not weaken the government’s authority but strengthen it by grounding policy in lived realities. Recent findings emphasise the idea of “co-production”, where state and society jointly shape solutions in which sustainable outcomes often emerge when communities are treated not as passive beneficiaries but as partners in problem-solving.

Cyclone Ditwah destroyed more than physical infrastructure. It also destroyed communities. Some were swallowed by landslides and floods, while many others will need to be moved from their homes as they live in areas vulnerable to future disasters. The trauma of displacement is not merely material but social and psychological. Moving communities to new locations requires careful planning. It is not simply a matter of providing people with houses. They need to be relocated to locations and in a manner that permits communities to live together and to have livelihoods. This will require consultation with those who are displaced. Post-disaster evaluations have acknowledged that relocation schemes imposed without community consent often fail, leading to abandonment of new settlements or the emergence of new forms of marginalisation. Even today, abandoned tsunami housing is to be seen in various places that were affected by the 2004 tsunami.

Malaiyaha Tamils

The large-scale reconstruction that needs to take place in parts of the country most severely affected by Cyclone Ditwah also brings an opportunity to deal with the special problems of the Malaiyaha Tamil population. These are people of recent Indian origin who were unjustly treated at the time of Independence and denied rights of citizenship such as land ownership and the vote. This has been a festering problem and a blot on the conscience of the country. The need to resettle people living in those parts of the hill country which are vulnerable to landslides is an opportunity to do justice by the Malaiyaha Tamil community. Technocratic solutions such as high-rise apartments or English-style townhouses that have or are being contemplated may be cost-effective, but may also be culturally inappropriate and socially disruptive. The task is not simply to build houses but to rebuild communities.

The resettlement of people who have lost their homes and communities requires consultation with them. In the same manner, the education reform programme, of which the textbook controversy is only a small part, too needs to be discussed with concerned stakeholders including school teachers and university faculty. Opening up for discussion does not mean giving up one’s own position or values. Rather, it means recognising that better solutions emerge when different perspectives are heard and negotiated. Consultation takes time and can be frustrating, particularly in contexts of crisis where pressure for quick results is intense. However, solutions developed with stakeholder participation are more resilient and less costly in the long run.

Rebuilding after Cyclone Ditwah, addressing historical injustices faced by the Malaiyaha Tamil community, advancing education reform, changing the electoral system to hold provincial elections without further delay and other challenges facing the government, including national reconciliation, all require dialogue across differences and patience with disagreement. Opening up for discussion is not to give up on one’s own position or values, but to listen, to learn, and to arrive at solutions that have wider acceptance. Consultation needs to be treated as an investment in sustainability and legitimacy and not as an obstacle to rapid decisionmaking. Addressing the problems together, especially engagement with affected parties and those who work with them, offers the best chance of rebuilding not only physical infrastructure but also trust between the government and people in the year ahead.

 

by Jehan Perera

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PSTA: Terrorism without terror continues

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When the government appointed a committee, led by Rienzie Arsekularatne, Senior President’s Counsel, to draft a new law to replace the Prevention of Terrorism Act (PTA), as promised by the ruling NPP, the writer, in an article published in this journal in July 2025, expressed optimism that, given Arsekularatne’s experience in criminal justice, he would be able to address issues from the perspectives of the State, criminal justice, human rights, suspects, accused, activists, and victims. The draft Protection of the State from Terrorism Act (PSTA), produced by the Committee, has been sharply criticised by individuals and organisations who expected a better outcome that aligns with modern criminal justice and human rights principles.

This article is limited to a discussion of the definition of terrorism. As the writer explained previously, the dangers of an overly broad definition go beyond conviction and increased punishment. Special laws on terrorism allow deviations from standard laws in areas such as preventive detention, arrest, administrative detention, restrictions on judicial decisions regarding bail, lengthy pre-trial detention, the use of confessions, superadded punishments, such as confiscation of property and cancellation of professional licences, banning organisations, and restrictions on publications, among others. The misuse of such laws is not uncommon. Drastic legislation, such as the PTA and emergency regulations, although intended to be used to curb intense violence and deal with emergencies, has been exploited to suppress political opposition.

 

International Standards

The writer’s basic premise is that, for an act to come within the definition of terrorism, it must either involve “terror” or a “state of intense or overwhelming fear” or be committed to achieve an objective of an individual or organisation that uses “terror” or a “state of intense or overwhelming fear” to realise its aims. The UN General Assembly has accepted that the threshold for a possible general offence of terrorism is the provocation of “a state of terror” (Resolution 60/43). The Parliamentary Assembly of the Council of Europe has taken a similar view, using the phrase “to create a climate of terror.”

In his 2023 report on the implementation of the UN Global Counter-Terrorism Strategy, the Secretary-General warned that vague and overly broad definitions of terrorism in domestic law, often lacking adequate safeguards, violate the principle of legality under international human rights law. He noted that such laws lead to heavy-handed, ineffective, and counterproductive counter-terrorism practices and are frequently misused to target civil society actors and human rights defenders by labelling them as terrorists to obstruct their work.

The United Nations Office on Drugs and Crime (UNODC) has stressed in its Handbook on Criminal Justice Responses to Terrorism that definitions of terrorist acts must use precise and unambiguous language, narrowly define punishable conduct and clearly distinguish it from non-punishable behaviour or offences subject to other penalties. The handbook was developed over several months by a team of international experts, including the writer, and was finalised at a workshop in Vienna.

 

Anti-Terrorism Bill, 2023

A five-member Bench of the Supreme Court that examined the Anti-Terrorism Bill, 2023, agreed with the petitioners that the definition of terrorism in the Bill was too broad and infringed Article 12(1) of the Constitution, and recommended that an exemption (“carve out”) similar to that used in New Zealand under which “the fact that a person engages in any protest, advocacy, or dissent, or engages in any strike, lockout, or other industrial action, is not, by itself, a sufficient basis for inferring that the person” committed the wrongful acts that would otherwise constitute terrorism.

While recognising the Court’s finding that the definition was too broad, the writer argued, in his previous article, that the political, administrative, and law enforcement cultures of the country concerned are crucial factors to consider. Countries such as New Zealand are well ahead of developing nations, where the risk of misuse is higher, and, therefore, definitions should be narrower, with broader and more precise exemptions. How such a “carve out” would play out in practice is uncertain.

In the Supreme Court, it was submitted that for an act to constitute an offence, under a special law on terrorism, there must be terror unleashed in the commission of the act, or it must be carried out in pursuance of the object of an organisation that uses terror to achieve its objectives. In general, only acts that aim at creating “terror” or a “state of intense or overwhelming fear” should come under the definition of terrorism. There can be terrorism-related acts without violence, for example, when a member of an extremist organisation remotely sabotages an electronic, automated or computerised system in pursuance of the organisation’s goal. But when the same act is committed by, say, a whizz-kid without such a connection, that would be illegal and should be punished, but not under a special law on terrorism. In its determination of the Bill, the Court did not address this submission.

 

PSTA Proposal

Proposed section 3(1) of the PSTA reads:

Any person who, intentionally or knowingly, commits any act which causes a consequence specified in subsection (2), for the purpose of-

(a) provoking a state of terror;

(b) intimidating the public or any section of the public;

(c) compelling the Government of Sri Lanka, or any other Government, or an international organisation, to do or to abstain from doing any act; or

(d) propagating war, or violating territorial integrity or infringing the sovereignty of Sri Lanka or any other sovereign country, commits the offence of terrorism.

The consequences listed in sub-section (2) include: death; hurt; hostage-taking; abduction or kidnapping; serious damage to any place of public use, any public property, any public or private transportation system or any infrastructure facility or environment; robbery, extortion or theft of public or private property; serious risk to the health and safety of the public or a section of the public; serious obstruction or damage to, or interference with, any electronic or automated or computerised system or network or cyber environment of domains assigned to, or websites registered with such domains assigned to Sri Lanka; destruction of, or serious damage to, religious or cultural property; serious obstruction or damage to, or interference with any electronic, analogue, digital or other wire-linked or wireless transmission system, including signal transmission and any other frequency-based transmission system; without lawful authority, importing, exporting, manufacturing, collecting, obtaining, supplying, trafficking, possessing or using firearms, offensive weapons, ammunition, explosives, articles or things used in the manufacture of explosives or combustible or corrosive substances and biological, chemical, electric, electronic or nuclear weapons, other nuclear explosive devices, nuclear material, radioactive substances, or radiation-emitting devices.

Under section 3(5), “any person who commits an act which constitutes an offence under the nine international treaties on terrorism, ratified by Sri Lanka, also commits the offence of terrorism.” No one would contest that.

The New Zealand “carve-out” is found in sub-section (4): “The fact that a person engages in any protest, advocacy or dissent or engages in any strike, lockout or other industrial action, is not by itself a sufficient basis for inferring that such person (a) commits or attempts, abets, conspires, or prepares to commit the act with the intention or knowledge specified in subsection (1); or (b) is intending to cause or knowingly causes an outcome specified in subsection (2).”

While the Arsekularatne Committee has proposed, including the New Zealand “carve out”, it has ignored a crucial qualification in section 5(2) of that country’s Terrorism Suppression Act, that for an act to be considered a terrorist act, it must be carried out for one or more purposes that are or include advancing “an ideological, political, or religious cause”, with the intention of either intimidating a population or coercing or forcing a government or an international organisation to do or abstain from doing any act.

When the Committee was appointed, the Human Rights Commission of Sri Lanka opined that any new offence with respect to “terrorism” should contain a specific and narrow definition of terrorism, such as the following: “Any person who by the use of force or violence unlawfully targets the civilian population or a segment of the civilian population with the intent to spread fear among such population or segment thereof in furtherance of a political, ideological, or religious cause commits the offence of terrorism”.

The writer submits that, rather than bringing in the requirement of “a political, ideological, or religious cause”, it would be prudent to qualify proposed section 3(1) by the requirement that only acts that aim at creating “terror” or a “state of intense or overwhelming fear” or are carried out to achieve a goal of an individual or organisation that employs “terror” or a “state of intense or overwhelming fear” to attain its objectives should come under the definition of terrorism. Such a threshold is recognised internationally; no “carve out” is then needed, and the concerns of the Human Rights Commission would also be addressed.

 

by Dr. Jayampathy Wickramaratne
President’s Counsel

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ROCK meets REGGAE 2026

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JAYASRI: From Vienna, Austria

We generally have in our midst the famous JAYASRI twins, Rohitha and Rohan, who are based in Austria but make it a point to entertain their fans in Sri Lanka on a regular basis.

Well, rock and reggae fans get ready for a major happening on 28th February (Oops, a special day where I’m concerned!) as the much-awaited ROCK meets REGGAE event booms into action at the Nelum Pokuna outdoor theatre.

It was seven years ago, in 2019, that the last ROCK meets REGGAE concert was held in Colombo, and then the Covid scene cropped up.

Chitral Somapala with BLACK MAJESTY

This year’s event will feature our rock star Chitral Somapala with the Australian Rock+Metal band BLACK MAJESTY, and the reggae twins Rohitha and Rohan Jayalath with the original JAYASRI – the full band, with seven members from Vienna, Austria.

According to Rohitha, the JAYASRI outfit is enthusiastically looking forward to entertaining music lovers here with their brand of music.

Their playlist for 28th February will consist of the songs they do at festivals in Europe, as well as originals, and also English and Sinhala hits, and selected covers.

Says Rohitha: “We have put up a great team, here in Sri Lanka, to give this event an international setting and maintain high standards, and this will be a great experience for our Sri Lankan music lovers … not only for Rock and Reggae fans. Yes, there will be some opening acts, and many surprises, as well.”

Rohitha, Chitral and Rohan: Big scene at ROCK meets REGGAE

Rohitha and Rohan also conveyed their love and festive blessings to everyone in Sri Lanka, stating “This Christmas was different as our country faced a catastrophic situation and, indeed, it’s a great time to help and share the real love of Jesus Christ by helping the poor, the needy and the homeless people. Let’s RISE UP as a great nation in 2026.”

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