Midweek Review

US-China power struggle: Impact on Sri Lanka

Published

4 years ago

2021/01/6

Sahan Weerasooriya

2021 developments

By Shamindra Ferdinando

Former President and SLFP leader Maithripala Sirisena, MP, was a notable absentee at the Government Party Leaders’ meeting at the Presidential Secretariat, on Dec 25th. Twice President, Prime Minister Mahinda Rajapaksa presided over the meeting. President Gotabaya Rajapaksa, who hadn’t obtained the membership of the SLPP (though he was that party’s nominee for 2019 presidential poll) was present at the three-hour long discussion that dealt with the current situation.

Tackling the Covid-19 situation, both local and foreign debt obligations and restoration of financial stability are formidable challenges, the government and all other political parties represented in the parliament should be concerned about. They cannot absolve themselves of the responsibility for the current instability in every sector.

The Dec 25th discussion covered the rampaging Covid-19 pandemic, the simmering crisis over the cremation of Covid-19 Muslim victims, long-delayed Provincial Council polls, fresh threat posed by armyworm, how some officials exploited the absence of PC polls et al. Over two hours into the meeting, former CPSL General Secretary and ex-Minister D.E.W. Gunasekera sought approval from President Gotabaya Rajapaksa to speak on a couple of issues.

Gunasekera received an invitation to the important government group self-evaluation in spite of him giving up the Communist Party General Secretary post on August 30, 2020 to pave the way for Dr. G. Weerasinghe.

The veteran Communist didn’t mince his words when he drew the attention of the top government leadership to the growing danger in Western powers exploiting the cremation of all Covid-19 victims as part of their overall strategy meant to undermine Sri Lanka, the rapidly deteriorating economic situation here, and the need to take the public into confidence and what the electorate expected from the SLPP government in the wake of the sweeping 2019 presidential election victory. Gunasekera also questioned how Asanga Abeygoonasekera, a civilian attached to the Defence Ministry, took an extremely hostile stand on China in a recent article carried in the state media. Gunasekera alleged that such a hasty stand could be severely detrimental to the country against the backdrop of continuing US-China confrontation at regional and global level.

None of those present therein responded to Gunasekera’s concerns. The warning issued at the party leaders’ meeting was nothing but a stark reminder of the daunting challenges the country faced in 2021.

Gunasekera’s awakening call should jolt the government to take stock of the situation and take tangible measures to address the issues. One-time COPE (Committee on Public Enterprises) Chairman Gunasekera’s unpalatable advice to explain the dire economic situation, to the people, must have caused quite a stir among those present.

No less a person than President Gotabaya Rajapaksa, without hesitation, has acknowledged the difficulties faced by the country as a result of the Covid-19 eruption. It would be pertinent to point out that the President, on April 29, 2020, told the then Acting Ambassador and Chargé d’affaires of the Chinese Embassy, in Colombo, Hu Wei, that due to the nose-diving of the global economy Sri Lanka lost its key income generating sources, like the apparel industry and tourism. The President’s Office quoted Rajapaksa as having said that it might take a considerable time for the global economy to recover, hence the long-time impact on Sri Lanka.

At the time President Rajapaksa made that statement, the country was coping with the first Covid-19 outbreak better than most countries, due to prompt military-like reaction to it.

The situation was brought under control by June. However, former Minister Gunasekera has issued the warning at a time the country was struggling to overcome the far more deadly Covid-19 second wave. The economy is in tatters with the bankrupt Opposition seeking to exploit, even the good work being done by the government, to its advantage. Despite the national economy having suffered irreparable damage, all political parties continue to play politics with the issue at hand.

The second Covid-19 eruption happened in the first week of October 2020. The government owed an explanation to the public as to how the second outbreak happened. In the absence of proper inquiry into widespread allegations that Covid-19 eruption may have originated at Brandix apparel facility in Minuwangoda, Attorney General Dappula de Livera, PC, issued specific instructions to the then Acting IGP C.D. Wickremaratne on Oct 27, Oct 29 and Nov 05 as regards the inquiry. The President’s Counsel directed the police to investigate negligence on the part of Brandix, and government officials, in what he called the creation of the ‘Brandix cluster.’

The public is yet to be informed of the outcome, or at least progress, of the investigation. Public Security Minister, retired Rear Admiral Sarath Weerasekera should look into the status of the CID probe. A deeply concerned AG went to the extent of personally briefing the investigation team before the commencement of the inquiry. Most importantly, the AG stressed to the Acting IGP his (AG’s) legitimate duty and responsibility to issue instructions to the investigators, personally.

Against the backdrop of a much deteriorated economy, the government should establish how the second wave started. The government cannot turn a blind eye or conveniently forget the origins of the Covid-19 eruption. A really silly attempt was made by interested parties to blame the Covid-19 eruption on Ukrainian nationals. They also tried to pin the blame on members of a private airline crew who stayed at Hotel Ramada, Seeduwa, as well as group of technicians invited by the Air Force to inspect its AN 32s before them being dispatched to Ukraine for overhaul.

Let there be clarity and genuine understanding in this matter. The Opposition, the civil society and the media should push the SLPP government to bring the investigation to an early successful conclusion. The inordinate delay in finalizing the inquiry, or attempts to sweep it under the carpet, will only make matters worse.

Before we move onto other matters, the SLPP’s thinking on Provincial Council polls, too, should be examined. Several ministers, including Pavithra Wanniarachchi and Dayasiri Jayasekera, emphasized the need to conduct the much-delayed PC polls. However, some sections of the government are strongly opposed to the PC polls, in addition to the nine-member Expert Committee, headed by Romesh de Silva, PC, entrusted with the far more important and crucial task of formulating a new Constitution for the country. The proposal to conduct the PC polls under the ‘old system’ by moving an amendment in Parliament as suggested by the Chairman of the Election Commission, Nimal Punchihewa, can be quite disastrous as far as the formulation of constitutional proposals is concerned.

New Year wishes

Hiru’s main news bulletin on January 1, 2021, included statements issued by President Gotabaya Rajapaksa, PM Mahinda Rajapaksa and various others. Among them was President’s Counsel de Livera, who had followed an unprecedented path never even dreamt by any of his predecessor Attorneys General. Have you ever heard of a previous AG, on both print and electronic media, so much?

Addressing the AG Department employees, in Sinhala, De Livera said that as a functioning institution the department should definitely make a difference. But, making a difference wasn’t sufficient. The people should be able to realize and feel the difference. Livera emphasized the need to perform their duties and responsibilities in such a way, the public would know what was going on.

The New Year portends a series of challenges. The Office of the President, the Legislature and Judiciary face the daunting challenge of navigating a safer passage as the country faces both external and internal obstacles. Former Minister Gunasekera, in his own style, has reminded the powers that be of the need to identify major issues at hand and take remedial measures without delay. But, will there be political will to tackle the contentious issues?

The much-touted 20th Amendment, enacted in late Oct. 2020, hadn’t restored the desired political stability. The SLPP repeatedly assured that the 20th Amendment would be the panacea for all ills caused by the 19th Amendment, passed with an overwhelming 2/3 majority, in Parliament, on April 28, 2015. All those who had voted for the 19th Amendment, voted for the 20th Amendment whereas Maithripala Sirisena skipped the vote.

A silly strategy

Having backed the 19th Amendment to the hilt and prevailing on doubters in the UPFA to back it, Sirisena, now an ordinary lawmaker representing the Polonnaruwa District, excused himself from voting. However, 13 other SLFP lawmakers elected and appointed (Dr. Suren Raghavan) voted for the 20th Amendment. The SLFP group in the SLPP government is the second largest in the coalition. The SLFP is quite displeased over the way the SLPP managed coalition politics. As part of the SLFP strategy, the party sounded to the SLPP that it might go it alone at the next PC polls. Sirisena explained his party’s stance on several issues, including the possibility of contesting PC polls on its own devolution and the rights of the minorities, in an interview with Meera Srinivasan, The Hindu correspondent in Colombo. Even if the SLFP finally decides to go it alone, it is unlikely to pose a threat to the powerful SLPP, now in control of the vast majority of Local Government bodies, the Parliament and the Office of the President. The SLPP is unlikely to succumb to the SLFP tactics, regardless of Sirisena’s rhetoric and that of its General Secretary Dayasiri Jayasekera.

Let us reproduce the relevant section from The Hindu interview, posted on Dec 30, 2020, and updated on the following day. The Hindu Q: You recently remarked that the SLFP faced a “huge injustice” in the parliamentary elections and have hinted at possibly contesting the Provincial Council elections separately. Would you do that?

Maithripala Sirisena:

“We were treated unfairly when the candidates were picked ahead of the general elections in August 2020. Our party didn’t get a slot in either Kalutara or Nuwara-Eliya districts. In Gampaha, we were given only one. In Kurunegala, we were given only two slots. In the districts we are strong, we weren’t given a fair number of slots. We had asked for 30 candidates. Had we been given 30 slots in the last general election, we would have got at least 25 in Parliament. They [ruling party] organized political attacks on our candidates who had been nominated. So, while we still look forward to contesting the Provincial Council elections as a coalition, we insist on the fair share of seats due to us. If we get that, we will have no problem going to polls together with the government. If there is no fair treatment, our party will decide on a solo journey. We are ready for both options.”

The SLFP is in a pathetic situation. Formerly the major alternate political power, the SLFP, though being represented by 14 lawmakers in the current Parliament, is desperate. Of the 14-member group, only one is elected from the Jaffna District (Angajan Ramanathan) contested on the SLFP ticket (hand symbol). In other words, both the SLFP and the UNP, the two major political parties in the country, are reduced to one lawmaker each, elected under their own symbol. The humiliating and debilitating electoral setbacks suffered by UNP leader Ranil Wickremesinghe, and SLFP leader Maithripala Sirisena, caused permanent damage to the two parties. The emergence of the SLPP (145 elected members) and the Samagi Jana Balavegaya (SJB/54 members) should be examined against the backdrop of dilution of the UNP and the SLFP. Would it be too harsh, if one called for examination of the demise of those parties? The failure on the part of the UNP to resolve its leadership crisis, even five months after the last embarrassing defeat, is a grim reminder of its plight. The continuing disagreement on who should fill the only National List slot secured by the party at the last general election has further undermined the party. The party Constitution is silent on filling National List vacancies. In other words, if Wickremesinghe is so desired, he can keep the vacancy till the current term ends. The Expert Committee formulating the new Constitution should propose remedial measures.

The main Opposition SJB, too, is divided over policy. SJB leader Sajith Premadasa and its partner Rauff Hakeem are struggling to cope with dissidents. Over half a dozen lawmakers, elected on the SJB ticket, and one of its National List MPs Diana Gamage, voted for the 20th Amendment, much to their embarrassment.

The SLPP must realize though the disillusioned political Opposition doesn’t pose a challenge, the Covid-19 and a plethora of other issues threatened to overwhelm the administration.

Destabilized by debt

The China-US clash is perhaps one of the major issues Sri Lanka should be seriously worried about. With the growing US-India nexus entering a new phase, vis-a-vis Chinese challenge, Sri Lanka is under heavy pressure to join the US-led strategic coalition. Indo-Pacific Defense FORUM, in a recent edition, extensively dealt with the Chinese challenge and counter measures that were being taken (Volume 45, Issue 1, 2020). The edition is a must read for our decision makers and members of Parliament. Under a section titled Setbacks to OBOR (One Belt, One Road), the US Indo –Pacific Command categorized Sri Lanka and the Maldives as countries destabilized by debt.

The MOC (Memorandum of Cooperation) entered into in late May 2019 by the yahapalana administration with India and Japan on the ECT (East Container Terminal) at the Colombo harbour should be examined against the US-led global coalition built against China. Contrary to promises made in the run-up to the 2019 presidential and 2020 parliamentary polls, the SLPP is inclined to go ahead with the project. Against the backdrop of what can be certainly described as an economic downturn, even far more serious than during the height of the war, and intense pressure over the 99-year leasing of the H’tota port to China, the SLPP government may not have a way out of what can be safely called ECT imbroglio.

National Freedom Front (NFF) leader Wimal Weerawansa MP, raised the finalization of the proposed agreement on ECT at the recent government party leaders’ meet. Weerawansa strongly opposed the deal on the ECT. His erstwhile colleagues in the JVP, too, are at least ostensibly opposed to the Indian role. They have quite conveniently forgotten that the original agreement was moved by President Sirisena’s government, which the JVP helped to install in 2015 and thereafter the comrades propped up that government nicely from behind the scene. The current crop of JVP Leaders no doubt came up in the aftermath of the then UNP government and its death squads wiping out the cream of the party and its leadership barring one, who managed to escape to India at the time.

A hard hitting statement issued by the National Joint Committee (NJC), carried in the Dec 30, 2020 edition of The Island, took a pretty hard stand on the SLPP move. Finely drafted statement flayed the government, the strongest warning issued by the NJC since the last presidential election.

Regardless of the US leaving Sri Lanka out of the MCC (Millennium Challenge Corporation) Compact recently over the latter’s hesitant approach, Washington continues to eye the country firmly. The US has already finalized ACSA (Access and Cross Servicing Agreement) in August 2017 though it was not successful with SOFA (Status of Forces Agreement).

In spite of repeated assurances given by Sri Lanka, Western powers remained seriously concerned about growing Chinese presence in Sri Lanka. In addition to the H’tota port, secured during the Yahapalana administration, China runs a major operation within the Colombo harbour. Set up during the UPFA administration, Colombo International Container Terminals Ltd., (CICT) is a joint venture Company between China Merchants Port Holdings Company Limited and Sri Lanka Ports Authority (SLPA). CICT is a listed blue chip company in the Hong Kong stock exchange. While H’tota lease covers a 99-year period, CICT agreement is for a 35-year Build Operate and Transfer operation. China holds 85% of the partnership while the balance pittance of 15% is being held by SLPA.

The Geneva sessions, in late February-March, can turn nastier with Western powers stepping up pressure on Sri Lanka over her decision to quit the 2015 Geneva Resolution. It would be important to keep in mind that those countries might gang up against Sri Lanka over her relationship with China and adopt a common stand in Geneva. That is the undeniable truth. As far as Sri Lanka is concerned human rights issue is nothing but a key element in their overall strategy meant to browbeat the country.

Some key recent happenings in Europe like the departure of the UK from the EU obviously with the intention to firmly align with its colonial cousins, like the US, Australia and Canada, the determination of Europe to complete Nord Stream 2 gas pipeline with Russia despite dire warnings from Washington (once completed, it is set to significantly increase Russian gas supplies to Germany), and even the recent signing of a free trade deal by EU with China despite Trump trying to line them up against Beijing are worthy fissures that might stand in good stead for us.

The growing hostility between China and India as well as the latter joining the US project against China certainly increase pressure on Sri Lanka, now in an unenviable position. Waste, corruption and irregularities in every sector and the failure on the part of Parliament to ensure financial discipline surely weakened the country, thereby paving the way for aggressive foreign interventions.

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Midweek Review

‘Aragalaya’ could have been thwarted and GR’s presidency saved: Mahinda Siriwardana

Published

6 days ago

2025/06/11

Sahan Weerasooriya

Outgoing Secretary to the Ministry of Finance launched "Sri Lanka's Economic Revival – Reflection on the Journey from Crisis to Recovery," on April 8, 2025, at the Galle Face Hotel, Colombo. Governor of the Central Bank Dr. Nandalal Weerasinghe receiving a copy of Siriwardana's book that dealt with the 2019-early 2025 period.

Outgoing Treasury chief Mahinda Siriwardana has appealed to the public not to be deceived by various interested parties responsible for the worst post-independence economic crisis. Declaring that the country had lost its economic sovereignty, Siriwardana emphasised that the situation remained fragile as the country was moving on what he called a narrow path of recovery with very limited options available to maneuver. Warning of catastrophic consequences if the country failed to continue on the IMF track, whatever the political compulsions were, Siriwardana urged the public to support it to regain lost economic sovereignty.

There had been several books on ‘Aragalaya’ that forced President Gotabaya Rajapaksa to give up the presidency in July 2022. Prolific writer Sena Thoradeniya (Galle Face Protest: Systems Change or Anarchy?) and National Freedom Front leader Wimal Weerawansa dealt with ‘Aragalaya’ (Nine: The Hidden Story) in April and October 2023. The writers alleged an external hand in the high profile protest campaign with the focus on the US covert intervention. They portrayed US Ambassador Julie Chung as the villain and one of the major players in the conspiracy.

‘Aragalaya’ time Speaker Mahinda Abeywardena gave a new twist to the plot when he declared in Parliament direct foreign intervention in President Rajapaksa’s ouster, though the ousted leader in his memoirs ‘Conspiracy to oust me from presidency,’ refrained from making direct allegation against the US.

Having perused exposes by Thoradeniya, Weerawansa and Rajapaksa, the writer believes ‘Sri Lanka’s Economic Revival: Reflections on the Journey from Crisis to Recovery,’ authored by outgoing Secretary to the Treasury and Finance, Planning and Economic Development Ministry Mahinda Siriwardana is a must read. It will also be available in Sinhala in the near future.

Siriwardana’s narrative of the circumstances leading to the public protest campaign is explosive. The Treasury Chief built his case on the basis of a series of speeches/power-point presentations delivered during the volatile 2022 to 2025 period. The first speech was delivered on June 24, 2022 at the Royal Colombo Golf Club amidst the ‘Aragalaya’ build-up for the final push, and the final on February 25, 2025 at Shangri-La, Colombo.

In 34 speeches/power-point presentations, Siriwardana cautiously examined how the Central Bank leadership, as well as the so-called economic leadership of the Pohottuwa (Sri Lanka Podujana Peramuna) administration, during the 2019-2022 period, deliberately deceived President Gotabaya Rajapaksa. The author authoritatively asserted that ‘Aragalaya’ could have been thwarted and Gotabaya Rajapaksa’s presidency saved if not for the utterly wrong advice given to him.

The treacherous actions/failures of the Central Bank and the Monetary Board should be examined taking into consideration the massive borrowings over the past several decades and minimal taxing, ridiculously shortsighted policies, Covid-19 pandemic and the Russia-Ukraine war.

In a key note speech delivered at ‘ICC Sri Lanka workshop on trade finance’ at the Colombo Ramada, on February 17, 2024, Siriwardana dropped a bombshell. The soft spoken Finance Secretary didn’t mince his words when he declared the economy collapsed because the then President was given wrong advice on managing the economy. The author hinted at possible conspiracy at the highest level by asserting that it was not a case of providing wrong data to the President but misguiding him on the overall course of economic policy.

Siriwardana, who had been a Deputy Governor of the Central Bank at the time he first issued a warning to the Monetary Board, found fault with those who proposed home-grown solutions to the developing crisis for the eventual collapse of the economy. President Rajapaksa, according to Siriwardana, had been deprived of an opportunity to hear whatever views expressed, contrary to the home-grown solution touted as the panacea for Sri Lanka’s ills.

In the same speech, Siriwardana alleged that those who had propagated home-grown solutions at the expense of economic, political and social stability of post-war Sri Lanka, out of hand rejected assessments provided by international credit rating agencies.

In his preface, Siriwardana, without hesitation whatsoever emphasised that (1) the economic crisis was man-made (2) it could have been prevented or at least the impact mitigated (3) decision makers within the Central Bank and the government turned down timely recommendation for an early engagement with the International Monetary Fund (IMF). The Treasury chief asserted that President Gotabaya Rajapaksa hadn’t been in a position either to receive proper briefing on the developing situation and, therefore, wasn’t able to take remedial measures.

Prime Minister Mahinda Rajapaksa had served as the Finance Minister till July 2021. Basil Rajapaksa was brought in as the Finance Minister in July 2021 while Dr. P. B. Jayasundera served as Secretary to President Rajapaksa. Prof. W.D. Lakshman had been the SLPP’s choice as the Governor but was unceremoniously removed in early September 2021 and replaced with Ajith Nivaard Cabraal. At the time of the new appointment, Cabraal, who had served as Governor, Central Bank, during previous instances, was the State Finance Minister. S.R. Attygalle had been the Secretary to the Treasury.

A letter too late

Delivering the inaugural Prof. K. Dharmasena memorial lecture at the University of Kelaniya on January 30, 2024, Siriwardana explained how President Gotabaya Rajapaksa, in a letter dated March 18, 2022 sought immediate IMF engagement. However, by then the irreversible damage had been done and the The President found himself in a very dicey situation. Obviously the President felt deeply letdown by the developing situation and the realisation that his own team caused irrevocable damage to the post-war economy must have come as quite a shock to the wartime Defence Secretary.

In a no holds barred attack on the Monetary Board of the Central Bank, Siriwardana emphasised in spite of him personally briefing the Monetary Board in mid-2021 of the growing danger in allowing the government to continue on the wrong path, the powers that be disregarded the advice. Having decided not to seek IMF engagement in mid-2020, the government continued to depend on a nonexistent home-grown solution until the country ran out of foreign exchange.

By the time President Rajapaksa realised his folly, it was too late. The President had no option but to bring back retired Senior Deputy Governor Dr. Nandalal Weerasinghe as the Governor of the Central Bank and appoint Siriwardana as the Secretary to the Treasury and Finance, Planning and Economic Development Ministry. Their simultaneous appointments in early April 2022 paved the way for UNP leader Ranil Wickremesinghe’s entry as Prime Minister a couple of weeks later.

At the time of Dr. Weerasinghe’s retirement, he had been holding the position of Senior Deputy Governor which is the No 2 position in the management. Dr. Weerasinghe was supposed to retire on 18 January 2021 at the age of 60. But the top banker had stipulated three months leave and some other leave prior to retirement. Therefore, his retirement took effect at the end of September 2020. Although Deputy Governors are invited to serve until the end of retirement age by the Monetary Board, the then Monetary Board, chaired by Prof W.D. Laxman, in his capacity as the Governor of the Central Bank, ex-officio member Finance Secretary S.R. Arttygalla and appointed member Samantha Kumarasinghe had disagreed. Therefore Dr. Weerasinghe and other Deputy Governor H.A. Karunaratne wasn’t invited to serve that three-month period.

Dr. Weerasinghe and Karunaratne earned the wrath of the establishment by warning the powers that be of the government’s economic strategy. Ironically the same government had to invite Dr. Weerasinghe to take the Governor position in April 2022. But by then the national economy had suffered irreversible damage and the country was in an utterly helpless situation.

Dr. Weerasinghe and Siriwardana and Ranil Wickremesinghe as the Prime Minister (May to July 2022) and President (July 2022 to Sept 2024) spearheaded Sri Lanka’s recovery efforts. Whatever the criticism directed at Wickremesinghe over the years, resolute political leadership given by him during volatile periods should be appreciated, regardless of political differences.

The Chief Guest at Siriwardana’s April 08, 2025 book launch at the Galle Face Hotel was none other than President Anura Kumara Dissanayake, one of the two main beneficiaries of ‘Aragalaya.’ Had the Monetary Board acted on concerns raised by Dr. Weerasinghe and Siriwardana and taken remedial measures at an early stage as repeatedly stressed by the author, economic ruin could have been averted The other main beneficiary is Ranil Wickremesinghe, leader of the UNP. The truth is Wickremesinghe who had even failed to retain his Colombo district seat at the 2020 parliamentary election ended up being elected by Parliament as President in July 2022, thanks to the SLPP’s generosity.

Anura Kumara Dissanayake, leader of two registered political parties namely the JVP and NPP, received such a boost via ‘Aragalaya’ he secured a staggering 5.7 mn votes at the 2024 presidential election. At the previous presidential election conducted in 2019, Dissanayake secured a distant third position with just 418,553 votes. His percentage was pathetic. Just 3.16% whereas Gotabaya Rajapaksa obtained a staggering 6.9 mn votes which amounted to 52.25% of the total accepted votes.

Dr. Coomaraswamy’s take on developments

Both Siriwardana and Dr. Indrajith Coomaraswamy, in his incisive foreword commended successive Presidents Gotabaya Rajapaksa, Ranil Wickremesinghe and incumbent Anura Kumara Dissanayake for what they have done post- ‘Aragalaya’ period.

Both lauded President Dissanayake for continuing with the IMF-led programme, the 17th since 1965. Siriwardana earned Dr. Coomaraswamy’s appreciation for his role in spearheading the efforts to secure parliamentary approval for the Public Financial Management Act (PFMA). Dr. Coomaraswamy who received the appointment as Governor of the Central Bank in June 2016, at the height of the Treasury bond controversy, commended Dr. Weerasinghe’s role in ensuring the enactment of Central Bank of Sri Lanka Act (CBA).

Siriwardana meticulously explained the arduous road the country had to take after key economic decision makers of Pohottuwa hastily vacated their offices by late March/early April 2022.

Siriwardana lamented the absence of a mechanism in case the Central Bank and the Monetary Board disregarded well founded concerns raised by a senior officer. The Supreme Court ruling (SC FR No 195/2022) harshly dealt with the irresponsible lot. Siriwardana’s assessments are compatible with the landmark Supreme Court judgment. Against the backdrop of the politically devastating judgment, Siriwardana examined the absurdity in propagating home-grown solutions disregarding time-tested globally accepted strategies to overcome daunting economic challenges.

Perhaps political parties should make Siriwardana’s book available to at least their members in Parliament. A Sinhala version of Siriwardana’s narrative would definitely help to educate the members of the legislature as part of the overall efforts to educate the Parliament of the dangers on the economic front.

Siriwardana dealt with a number of contentious issues that had been raised by various interested parties seeking to exploit the situation to their advantage. One such issue had been the declaration of debt standstill in April 2022 by Dr. Weerasinghe.

Some of those responsible for the worst post-independence crisis experienced by the country alleged that President Rajapaksa’s administration caused the economic meltdown by unilateral declaration of debt standstill. Siriwardana explained the desperate situation the country was in at the time of the announcement. Liquid and usable reserves had been low as USD 24 mn and the country lacked the wherewithal to meet mandatory debt service requirements. The debt standstill allowed the government to free available foreign currency to pay for critically required imports.

Siriwardana confidently described debt standstill as the first step in the economic recovery process. Political parties represented in Parliament should pay attention to Siriwardana’s assertions. The book launched on April 08, 2025, exactly three years after Siriwardana assumed the responsibilities as the Secretary to the Treasury and Finance, Planning and Economic Development Ministry didn’t receive the deserved attention. Political parties that issue statements at the drop of a hat and call special media briefings to explain their stand remained tight-lipped. Siriwardana’s narrative had been as devastating as the Supreme Court judgment on the ruination of the national economy.

The court found fault with the Rajapaksa brothers, Mahinda, Gotabaya and Basil, Ajith Nivard Cabraal, Prof. W.D. Lakshman, S.R. Attygalle, Dr. P.B. Jayasundara and members of the Monetary Board.

The apex court in its November 2023 judgment rejected their efforts to justify failure to take remedial measures on policy decisions.

Actually, the 10th Parliament should appoint an all-party committee to study the Supreme Court judgment and Siriwardana’s narrative. Whatever the differences over other matters, political parties must ensure that they do not undermine the ongoing IMF-led programme under any circumstances. Major trade unions only concerned about their membership should be briefed of the Supreme Court judgment and Siriwardana’s assessments.

A frightening picture

Appearing before the Committee on Public Finance (COPF) on July 23, 2024, Siriwardana painted a frightening picture of the irresponsible conduct of those who exercised political power. The outspoken official warned Parliament that unlike in the past the current crisis was so severe the country needed a special mechanism to prevent political parties from repeating what he called policy errors of the past. Declaring that those who had been in power always returned to their old ways after adhering to the IMF conditions initially, Siriwardana acknowledged that even now there was no guarantee that the political party system wouldn’t breach the understanding with the IMF.

That is a very serious statement to make and underscored the pathetic situation faced by the country. Referring to the Economic Transformation Bill and other Bills enacted to ensure overall financial discipline, Siriwardana discussed ways and means to proceed with the IMF-led four-year project meant to stabilise the country.

The tax policy is a case in point. Our parliamentarians should know tax policy is no longer in their hands. Instead decisions are taken by the Treasury in consultation with the IMF in line with the Extended Fund Facility (EFF) programme worth USD 3 bn.

Siriwardana, in the 13th chapter, explained how some of those responsible for economic ruination of the country sought political advantage at the expense of the ongoing EFF programme. The author asserted that had they acted responsibly at the time they were entrusted with the task of taking decisions on behalf of the country Sri Lanka wouldn’t have been in current predicament.

Siriwardana will retire at the end of this month. He’ll be assuming duties as an Alternate Executive Director at the Asian Development Bank (ADB), representing Sri Lanka and six other countries. President Dissanayake and his NPP government should ensure that a suitable person capable of handling the tough job is chosen. Siriwardana should make available the Sinhala version of his shocking book as soon as possible for all parliamentarians to understand the gravity of the situation. The responsibility in making suitable appointments lies with the executive and the Constitutional Council depending on the vacancy/appointment. As Siriwardana lucidly explained President Gotabaya Rajapaksa’s downfall was caused by persons appointed by his own administration at the behest of various parties.

Siriwardana’s ‘Sri Lanka’s Economic Revival: Reflections on the Journey from Crisis to Recovery’ is the story of deterioration of governance and accountability. How the war-winning Mahinda Rajapaksa administration allowed economic ruin by pursuing absolutely foolish nonexistent home-grown solutions to a developing economic crisis hitherto not seen. Siriwardana’s take on ‘Aragalaya’ is clear. Whatever the accusations directed at external powers engineering President Gotabaya Rajapakasa’s downfall, that despicable project couldn’t have been brought to a successful conclusion without the Central Bank and Monetary Board creating an environment conducive for ‘Aragalaya.’

Make no mistake, the NPP won’t bother to investigate the alleged conspiracies as they were the main beneficiaries of the high profile project. Let me end this comment with what the outgoing Treasury chief said about the steady decline in revenue collection and the response of our irresponsible Parliament whoever exercised political power. Alleging that revenue collection declined from a healthy 20% of GDP to record low of 8.3% of GDP in 2021, successive governments simply borrowed to cover the shortfall in revenue deficit. The bottom line is the author blamed the Parliament for the ruination of the national economy.

Instead of accepting everything said by the outgoing Treasury Secretary as being the gospel truth we also call upon our readers to delve into Confessions of an Economic Hit Man, which is a semi-autobiographical book written by American essayist John Perkins.

By Shamindra Ferdinando

Midweek Review

Govt . should take cognisance of threats and challenges

Published

6 days ago

2025/06/11

Sahan Weerasooriya

Drone technology as new warfare:

Over the past several years, drone technology has revolutionised the face of warfare. Once regarded as primarily reconnaissance systems, drones have been reengineered into sophisticated combat Arms capable of precision attacks, intelligence gathering, and surveillance spied in never-before ways. Their coming signals an end to the age of traditional war tactics, ushering with it the dawn of a new era of automation, less human interference, and strategic advantage that redefines warfare encounters.

Drones in the present context are user-friendly and cheaper to buy. Drones that are used to transport goods can vary in price Professional/Industrial Drones in the range of $3,500 – $50,000+ in the USA. In the US, Alphabet-owned drone company Wing and Walmart are expanding their drone delivery partnership to five new U.S. cities: Atlanta, Charlotte, Houston, Orlando, and Tampa. This expansion will allow customers in these areas to receive online orders via drone delivery. Currently, the service operates at around 15 Walmart stores in northwest Arkansas and the Dallas-Fort Worth area, and the new rollout will add approximately 100 more stores to the programme. Despite being used as a social welfare service object, drones can be used in warfare, as in the case of Ukraine and Soviet Russia war. This capability has a danger that the governments should take into consideration, as terrorist groups can operate drones to make large scale destruction to infrastructure and social life.

The evolution of drones in Warfare

Initially meant for spy operations, drones have developed at a rapid rate. It was the period around the early 2000s that saw military soldiers embracing armed drones for operations, enabling precision bombing with minimal collateral damage. The most frequent examples include the use of Predator and Reaper drones by US military forces in counterterrorism operations, where they have been in use in taking out high-priority targets without exposing soldiers to danger.

Outside of airstrikes, drones have assumed numerous other roles in modern warfare, including electronic warfare, logistics, and battlefield communications. The ability to use them autonomously or remotely places them as a multi-purpose tool within offense as well as defence strategies.

Strategic advantages of drone warfare

One of the most important strengths of drones is that they can minimise human casualties. Deploying unmanned aerial vehicles (UAVs) on battlefields, military soldiers are able to conduct missions without more risk to soldiers. It enhances operational effectiveness while coping with ethical concerns pertaining to direct human involvement in war.

Drones also provide cheaper alternatives to traditional military assets like fighter planes and soldiers. Being more economical to produce and maintain, they can be afforded by nations that desire an upgrade in their armed forces without having to spend much money.

Second, the ability to field swarms of drones—coordinated entities that make coordinated movements together—literally unleashes new tactical capabilities. Drone swarms are capable of saturating an adversary’s defences, strike simultaneously, and create strategic diversions, again showing the revolutionary capability of this technology in today’s war.

Ethical and Legal Implications

Though being beneficial, drones present ethical and legal issues, most notably autonomous targeting. The employment of artificial intelligence (AI) in the operation of drones creates controversies over accountability and decision-making in military operations. There are questions on who is responsible in instances of accidental targeting of civilians or unauthorised attacks.

International law cannot keep pace with the rate with which drone technology is developing. The absence of universally accepted laws governing their use is generating uncertainty in war policies. Others argue that drones would lower the cost of war, allowing nations to go to war with minimal political and human costs.

The future of drone warfare:

As technology progresses, drones are expected to become even more autonomous, precise, and adaptable. Advances in AI, machine learning, and robotics will have drones that can scan and process complex situations in real-time and perform operations with minimal or no human intervention.

While drones do possess certain undeniable military benefits, they also tend to conflict with conventional understandings of warfare, ethics, and global security. As states increasingly incorporate drones into their armed forces, it is imperative to set specific regulations and ethical standards that balance military prowess with humanitarian concerns.

Governments should take proactive measures

As there are several technologies on the market that can detect, jam, or disable drones, particularly in sensitive or restricted areas such as airports, military bases, or government buildings, the government should use them before any terrorist activity takes place. These technologies are largely adopted by law enforcement, defence organisations, and infrastructure owners concerned about security, privacy, or airspace invasion.

Detection is the very first step in all drone counteroperations. I wonder whether the radar systems in place in Colombo are capable of detecting drones. Radar devices, radio frequency (RF) scanners, acoustic sensors, and infrared or optical cameras can be utilized to detect and recognise airborne drones. Such technologies may detect the flight of drones, intercept signal communication between the drone and operator, or visually recognise an unauthorized drone.

Once a drone is detected, there are several non-lethal methods available to disable its operation. RF jammers would interfere with the control signals and bring drones down or return them to their origin. GPS jammers or spoofers would mislead or divert the navigation system of the drone. In some cases, advanced technology can hijack the control protocols of the drone, remotely controlling the drone and landing it safely. However, one must remember that these signal interference methods are typically illegal for civilian use in the majority of countries, including the U.S., due to communications and airspace control by the government.

Where disruption is not possible or effective, stronger countermeasures may be utilized. These might include directed energy devices such as microwaves or lasers, which can take the electronics of a drone out of action. Physical capture techniques such as net-firing drones, anti-drone rifles, or even trained birds of prey have been employed in certain situations, although the latter is less utilised today. These methods can prove to be effective but also risk damaging property or innocent bystanders, especially in an urban setting.

As most of these technologies are tightly controlled the government should introduce strict measures and restrictions on the use of these technologies and the use of drones. In countries like the United States, only licensed government agencies can use jamming or destructive anti-drone tech. For civilians or businesses looking to protect private property, passive detection gear is typically the only legally obtainable option, and anything must be done within the domestic aviation and telecommunications regulations.

As we discussed, drone technology has initiated a new chapter in warfare, revolutionising war fighting with precision, affordability, and flexibility. Whilst its strategic advantages are apparent, questions about ethical, legal, and security implications remain unsettled. Policy makers, as well as military commanders, must strike a balance between innovation and duty so that drone warfare remains in consonance with international norms and humanitarian values.

One of the major objectives of this article is to bring to the notice of the government the growing threat from drones, particularly now at this juncture in the world and national context where the acts of sabotage by terrorist groups are getting advanced and unpredictable. Drone technology that began to be utilized only for the purposes of hobby or commercial development has, today, evolved into machines that are easily weaponized or employed to bring destruction upon target objects. The ease of availability, movement, and unobtrusiveness of drones make them a perfect device to launch attacks on key infrastructure, government headquarters, or civilian populations. The article aims to raise awareness of this new threat and to highlight the need for urgent and immediate action by government authorities to establish regulation guidelines, invest in anti-drone systems, and ensure the security and safety of the country’s national airspace and public life.