Opinion
Victoria Nuland calls Chinese bluff on SL debt relief
By Harim Peiris
The United States, under-secretary of state for political affairs Victoria Nuland was visiting Sri Lanka last week and dominating her agenda with the government has been the core issue of restructuring the Sri Lankan government’s foreign debt, on which it has defaulted, which stands at the heart of our recovery from bankruptcy. Unusually plain speaking for a diplomat, under-secretary Nuland was blunt about the main factor obstructing the receipt of an IMF structural adjustment facility and that was the reluctance of the Chinese Government, through their state owned financial entities, to seriously explore the issue of a debt write down. Under Secretary Nuland stated that “What China has offered so far is not enough ….. We need to see credible and specific assurances that Chine will meet the IMF standard of debt relief”.
That credible standard of debt relief did not seem to be forthcoming from the Chinese. After months of being scarce in the process of debt renegotiation, the Chinese had finally made an offer that was at best completely underwhelming, namely a two-year moratorium on the repayment of debt. Compare that with what the Western aid donor countries, in the Paris Club were discussing about offering, which was a ten-year moratorium on debt repayment, including some debt write down. In the words of visiting Under Secretary Nuland, this commitment was very clear. “We, the United States, are prepared to do our part. Our Paris Club partners are prepared to do their part. India has made strong commitments that it will provide the credible assurances the IMF is looking for” she said.
Predictably the Chinese were quick to defend their not very generous offer as the epitome of reasonableness and were sharp in their rebuttal. Gone are the days when Chinese diplomats were known for bowing a lot and speaking softly. Now they come out swinging, as it were, at the slightest hint of criticism and accordingly the Chinese Foreign Ministry Spokesperson, Ms. Nao Ning responded saying “rather than jabbing fingers at China’s close cooperation with Sri Lanka, the US might as well show some sincerity and actually do something to help Sri Lanka weather through the current difficulties”. Conveniently perhaps forgetting that the US had for several years offered half a billion (five hundred million) dollars in grant (yes, a non-repayable) funding from the Millennium Challenge Cooperation (MCC) which the Rajapaksa Administration for reasons best known to itself, chose to turn down, giving a whole new meaning to the phrase, “looking a gift horse in the mouth” and then making the nation falling flat on our face.
The Chinese debt from the belt
and road initiative
Dealing with the Chinese debt is a serious challenge for Sri Lanka and an even bigger challenge for China. For Sri Lanka, it is currently the main sticking point in securing an IMF facility which would be the start of reversing the steep contraction (negative growth) of the Sri Lankan economy. For the Chinese, the issue of distress loans from its much vaunted belt and road program could not have come at a worse time. The Chinese economy has significantly slowed down and with it the Chinese face their own issues of the asset quality in their banking system. There is also now much more vocal criticism of the debt piled on the vulnerable economies of developing countries for the construction of projects of dubious utility and economic value at inflated prices. Sri Lanka has become a poster boy (case study) of corrupt and despotic local rulers (one of them chased out by a popular uprising) who indebted their countries to the point of bankruptcy. The issue becomes, how responsible is the lender for this fate of the borrower. Undoubtedly the Rajapaksas and their political cohorts in the SLPP should bear the responsibility for the decision to rake up expensive and extensive foreign debts. But rather like the classic tort law case studies of the liability for a drunk driving accident of a bar tender, who keeps plying his obviously intoxicated customer with ever more alcohol, knowing that the customer was a danger to himself and others, the Chinese showed at best a reckless disregard for the economic vulnerabilities of its borrowers, especially Rajapaksa led Sri Lanka or as its detractors claim, a cynical method of creating pliant client states.
The Chinese aspiration to being a global power requires China to deal with international issues and especially international global financial issues in a mainstream manner. China like even other great powers do not want to end up being isolated in their foreign affairs. Mostly due to some adroit work by some of Sri Lanka’s other friends, namely India and the Paris Club of creditor nations, the Chinese now find themselves in the unenviable position, where all others are ready for a very pragmatic and generous approach to debt restructuring, the very mention of it is unthinkable, a likely unviable long term position.
Coincidently, Sri Lanka’s international sovereign bond holders, through their lawyers White and Chase LLP also issued a statement and wrote to the IMF Managing Director, expressing their willingness to engage in good faith in debt negotiations. However, for them, the Paris Club and all other creditors, is the cardinal principal of equal treatment, that early movers who make concessions would not receive less favorable terms than the hold outs. So the real price of Chinese reluctance for serious debt renegotiations, is that it prevents even other creditors from doing so. The Wickremasinghe / Rajapaksa Administration has no answers to this dilemma and the other crucial requirements of economic reforms.
(The writer served as Advisor, Ministry of Foreign Affairs from 2016 to 2017)
Opinion
We do not want to be press-ganged
Reference ,the Indian High Commissioner’s recent comments ( The Island, 9th Jan. ) on strong India-Sri Lanka relationship and the assistance granted on recovering from the financial collapse of Sri Lanka and yet again for cyclone recovery., Sri Lankans should express their thanks to India for standing up as a friendly neighbour.
On the Defence Cooperation agreement, the Indian High Commissioner’s assertion was that there was nothing beyond that which had been included in the text. But, dear High Commissioner, we Sri Lankans have burnt our fingers when we signed agreements with the European nations who invaded our country; they took our leaders around the Mulberry bush and made our nation pay a very high price by controlling our destiny for hundreds of years. When the Opposition parties in the Parliament requested the Sri Lankan government to reveal the contents of the Defence agreements signed with India as per the prevalent common practice, the government’s strange response was that India did not want them disclosed.
Even the terms of the one-sided infamous Indo-Sri Lanka agreement, signed in 1987, were disclosed to the public.
Mr. High Commissioner, we are not satisfied with your reply as we are weak, economically, and unable to clearly understand your “India’s Neighbourhood First and Mahasagar policies” . We need the details of the defence agreements signed with our government, early.
RANJITH SOYSA
Opinion
When will we learn?
At every election—general or presidential—we do not truly vote, we simply outvote. We push out the incumbent and bring in another, whether recycled from the past or presented as “fresh.” The last time, we chose a newcomer who had spent years criticising others, conveniently ignoring the centuries of damage they inflicted during successive governments. Only now do we realise that governing is far more difficult than criticising.
There is a saying: “Even with elephants, you cannot bring back the wisdom that has passed.” But are we learning? Among our legislators, there have been individuals accused of murder, fraud, and countless illegal acts. True, the courts did not punish them—but are we so blind as to remain naive in the face of such allegations? These fraudsters and criminals, and any sane citizen living in this decade, cannot deny those realities.
Meanwhile, many of our compatriots abroad, living comfortably with their families, ignore these past crimes with blind devotion and campaign for different parties. For most of us, the wish during an election is not the welfare of the country, but simply to send our personal favourite to the council. The clearest example was the election of a teledrama actress—someone who did not even understand the Constitution—over experienced and honest politicians.
It is time to stop this bogus hero worship. Vote not for personalities, but for the country. Vote for integrity, for competence, and for the future we deserve.
Deshapriya Rajapaksha
Opinion
Chlorophyll –The Life-giver is in peril
Chlorophyll is the green pigment found in plants, algae, and cyanobacteria. It is essential for photosynthesis, the process by which light energy is converted into chemical energy to sustain life on Earth. As it is green it reflects Green of the sunlight spectrum and absorbs its Red and Blue ranges. The energy in these rays are used to produce carbohydrates utilising water and carbon dioxide and releasing oxygen in the process. Thus, it performs, in this reaction, three functions essential for life on earth; it produces food and oxygen and removes carbon dioxide from the atmosphere to maintain equilibrium in our environment. It is one of the wonders of nature that are in peril today. It is essential for life on earth, at least for the present, as there are no suitable alternatives. While chlorophyll can be produced in a lab, it cannot be produced using simple, everyday chemicals in a straightforward process. The total synthesis of chlorophyll is an extremely complex multi-step organic chemistry process that requires specialized knowledge, advanced laboratory equipment, and numerous complex intermediary compounds and catalysts.
Chlorophyll probably evolved inside bacteria in water and migrated to land with plants that preceded animals who also evolved in water. Plants had to come on land first to oxygenate the atmosphere and make it possible for animals to follow. There was very little oxygen in the ocean or on the surface before chlorophyll carrying bacteria and algae started photosynthesis. Now 70% of our atmospheric oxygen is produced by sea phytoplankton and algae, hence the importance of the sea as a source of oxygen.
Chemically, chlorophyll is a porphyrin compound with a central magnesium (Mg²⁺) ion. Factors that affect its production and function are light intensity, availability of nutrients, especially nitrogen and magnesium, water supply and temperature. Availability of nutrients and temperature could be adversely affected due to sea pollution and global warming respectively.
Temperature range for optimum chlorophyll function is 25 – 35 C depending on the types of plants. Plants in temperate climates are adopted to function at lower temperatures and those in tropical regions prefer higher temperatures. Chlorophyll in most plants work most efficiently at 30 C. At lower temperatures it could slow down and become dormant. At temperatures above 40 C chlorophyll enzymes begin to denature and protein complexes can be damaged. Photosynthesis would decline sharply at these high temperatures.
Global warming therefore could affect chlorophyll function and threaten its very existence. Already there is a qualitative as well as quantitative decline of chlorophyll particularly in the sea. The last decade has been the hottest ten years and 2024 the hottest year since recording had started. The ocean absorbs 90% of the excess heat that reaches the Earth due to the greenhouse effect. Global warming has caused sea surface temperatures to rise significantly, leading to record-breaking temperatures in recent years (like 2023-2024), a faster warming rate (four times faster than 40 years ago), and more frequent, intense marine heatwaves, disrupting marine life and weather patterns. The ocean’s surface is heating up much faster, about four times quicker than in the late 1980s, with the last decade being the warmest on record. 2023 and 2024 saw unprecedented high sea surface temperatures, with some periods exceeding previous records by large margins, potentially becoming the new normal.
Half of the global sea surface has gradually changed in colour indicating chlorophyll decline (Frankie Adkins, 2024, Z Hong, 2025). Sea is blue in colour due to the absorption of Red of the sunlight spectrum by water and reflecting Blue. When the green chlorophyll of the phytoplankton is decreased the sea becomes bluer. Researchers from MIT and Georgia Tech found these color changes are global, affecting over half the ocean’s surface in the last two decades, and are consistent with climate model predictions. Sea phytoplankton and algae produce more than 70% of the atmospheric oxygen, replenishing what is consumed by animals. Danger to the life of these animals including humans due to decline of sea chlorophyll is obvious. Unless this trend is reversed there would be irreparable damage and irreversible changes in the ecosystems that involve chlorophyll function as a vital component.
The balance 30% of oxygen is supplied mainly by terrestrial plants which are lost due mainly to human action, either by felling and clearing or due to global warming. Since 2000, approximately 100 million hectares of forest area was lost globally by 2018 due to permanent deforestation. More recent estimates from the UN’s Food and Agriculture Organization (FAO) indicate that an estimated 420 million hectares of forest have been lost through deforestation since 1990, with a net loss of approximately 4.7 million hectares per year between 2010 and 2020 (accounting for forest gains by reforestation). From 2001 to 2024, there had been a total of 520 million hectares of tree cover loss globally. This figure includes both temporary loss (e.g., due to fires or logging where forests regrow) and permanent deforestation. Roughly 37% of tree cover loss since 2000 was likely permanent deforestation, resulting in conversion to non-forest land uses such as agriculture, mining, or urban development. Tropical forests account for the vast majority (nearly 94%) of permanent deforestation, largely driven by agricultural expansion. Limiting warming to 1.5°C significantly reduces risks, but without strong action, widespread plant loss and biodiversity decline are projected, making climate change a dominant threat to nature, notes the World Economic Forum. Tropical trees are Earth’s climate regulators—they cool the planet, store massive amounts of carbon, control rainfall, and stabilize global climate systems. Losing them would make climate change faster, hotter, and harder to reverse.
Another vital function of chlorophyll is carbon fixing. Carbon fixation by plants is crucial because it converts atmospheric carbon dioxide into organic compounds, forming the base of the food web, providing energy/building blocks for life, regulating Earth’s climate by removing greenhouse gases, and driving the global carbon cycle, making life as we know it possible. Plants use carbon fixation (photosynthesis) to create their own food (sugars), providing energy and organic matter that sustains all other life forms. By absorbing vast amounts of CO2 (a greenhouse gas) from the atmosphere, plants help control its concentration, mitigating global warming. Chlorophyll drives the Carbon Cycle, it’s the primary natural mechanism for moving inorganic carbon into the biosphere, making it available for all living organisms.
In essence, carbon fixation turns the air we breathe out (carbon dioxide) into the food we eat and the air we breathe in (oxygen), sustaining ecosystems and regulating our planet’s climate.
While land plants store much more total carbon in their biomass, marine plants (like phytoplankton) and algae fix nearly the same amount of carbon annually as all terrestrial plants combined, making the ocean a massive and highly efficient carbon sink, especially coastal ecosystems that sequester carbon far faster than forests. Coastal marine plants (mangroves, salt marshes, seagrasses) are extremely efficient carbon sequesters, absorbing carbon at rates up to 50 times faster than terrestrial forests.
If Chlorophyll decline, which is mainly due to human action driven by uncontrolled greed, is not arrested as soon as possible life on Earth would not be possible.
(Some information was obtained from Wikipedia)
by N. A. de S. Amaratunga ✍️
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