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Editorial

When Americans bear gifts

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Ambassador Mahinda Samarasinghe has had an audience with US President Joe Biden in the Oval Office itself. They are reported to have discussed matters of bilateral interest, and the US has pledged to help Sri Lanka. No sooner had the duo met than a high-level delegation representing the US Department of State and the US Department of Treasury flew to Colombo. The members of the delegation include Robert Kaproth, Deputy Assistant Secretary of Treasury for Asia, and Ambassador Kelly Keiderling, Deputy Assistant Secretary of State for South and Central Asia, according to the US Embassy in Colombo. Why is this flurry of diplomatic activity?

Sri Lanka’s economic crisis cannot be the sole reason why President Biden granted an audience to Ambassador Samarasinghe. The US government says its officials will ‘explore the most effective ways for the US to support Sri Lankans in need, Sri Lankans working to resolve the current economic crisis, and Sri Lankans planning for a sustainable and inclusive economy for the future’. They may do so, but it cannot be altruism that has made them fly all the way here. What’s up Uncle Sam’s sleeve?

Speculation is rife in diplomatic circles that Washington has resumed efforts to get Colombo to sign SOFA (Status of Forces Agreement). About two years ago, the US decided to terminate an offer of USD 480 million as development assistance under the Millennium Challenge Corporation Compact (MCCC) when Sri Lanka turned it down on the recommendations of a special committee President Gotabaya Rajapaksa appointed to look into it. Prof. Lalithsiri Gunaruwan, who headed the four-member committee, told this newspaper in December 2020 that the MCCC, if signed, would undermine Sri Lanka’s sovereignty. The committee report said that although the US compact was categorised as a development programme, if coupled with ACSA (Acquisition and Cross Servicing Agreement) and SOFA, it could pose a threat to Sri Lanka. It is against this backdrop that Washington’s renewed interest in supporting Sri Lanka at this juncture should be viewed.

It is being argued in some quarters that the perpetuation of Sri Lanka’s economic crisis is advantageous to the western bloc bent on taming China, which has Sri Lankan leaders on a string, and that may be the reason why Colombo is not receiving any more financial assistance for fuel imports. The fuel crisis is making Sri Lanka’s economy scream and people riot. The Rajapaksa-Wickremesinghe government was expecting an extension of the Indian credit line for fuel imports, but its hopes have been dashed; it is now willing to do anything for a few million dollars.

Any port in a storm, as they say, and given its sheer desperation for dollars, Sri Lanka may choose to sign any agreement if there is forex in it. It is a case of Hobson’s choice for Colombo thanks to the Rajapaksas, who ruined the economy. The western bloc accused the Chinese of having made Sri Lanka cough up a port by goading it into a debt trap. The country is now apparently in an aid trap, and at this rate it may be left with no alternative but to sign SOFA. One may recall that Ambassador Samarasinghe, who was seen at the White House, the other day, was the Minister of Ports when the Hambantota harbour lease agreement, which was favourable to China, was inked!

The unfolding events lend credence to the Opposition’s claim that the Rajapaksa government systematically ruined the economy and created conditions for the country to become increasingly dependent on the rivals of China, especially the QUAD members, and do their bidding. The opponents of this argument will have a hard time explaining why Basil Rajapaksa, as the Finance Minister, did not care to manage the country’s foreign currency reserves and seek IMF assistance. He even skipped parliamentary sessions after presenting Budget 2022, and did not meet the Central Bank bigwigs for months, according to media reports. He just looked on while the economy was getting into a tailspin, and today a fire sale of Sri Lanka’s strategic assets is on. Maybe he considers his missions accomplished, as his political rivals say.



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Editorial

Needed: Action, not talkathons

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Wednesday 24th April, 2024

There seems to be no end in sight to debates on the Easter Sunday carnage (2019), the latest being the one Parliament is scheduled to commence today. Chances are that the House will be thrown into turmoil, with the sittings descending into a three-day slanging match. If experience is anything to go by, nothing is likely to come of the debate.

It may be recalled that on 23 Oct., 2019, a Parliamentary Select Committee (PSC), which looked into the Easter Sunday terror attacks submitted its report to Parliament. The SJB MPs, who claim to have pressured the government to hold the debate to kick off today, were members of the Yahapalana government, which appointed the aforesaid PSC. One can only hope that parliamentary time will be utilised productively in the next few days.

As for the Easter Sunday attacks, there are several schools of thought, the prominent being that they were engineered by the SLPP to win the 2019 presidential election; ISIS had them carried out; Moulavi Mohamad Ibrahim Mohamad Nauffer, who is in custody, masterminded them, and they were part of an external conspiracy to destabilise Sri Lanka. The general consensus is that there was a conspiracy, as former Attorney General Dappula de Livera is reported to have said.

The claim that ISIS was responsible for the Easter Sunday terror attacks is widely considered far-fetched. Nobody seems to have taken it seriously.

A possible connection between the terror strikes and the SLPP was hinted at by the aforesaid PSC, which said in its report that a probe had to be conducted to find out whether they had been aimed at creating conditions for a regime change in the latter part of 2019.

The story that Nauffer is the terror mastermind is floated by the SLPP. In 2021, the then Minister of Public Security Sarath Weerasekera told Parliament that the FBI (of the US) had confirmed that Nauffer was the mastermind. But National Thowheed Jamaath (NTJ) leader Zahran Hashim’s wife, Fathima Haidya, told the Presidential Commission of Inquiry (PCOI), which probed the Easter Sunday carnage that Zahran and Nauffer had been in contact with a person called Abu Hind in India. Hind has been identified by an international expert of terrorism as a character created by a section of a provincial Indian intelligence apparatus. Zahran believed that Hind was an ISIS representative, according to the PCOI report. Pulasthi Mahendran aka Sara Jasmine, the widow of Muhammadu Hasthun, who blew himself at St. Sebastian’s Church, Katuwapitiya, in 2019, is believed to be privy to the NTJ’s secrets. Initially, it was claimed that she had died in a blast in a house in the East during a raid conducted by the army and the police, but it is now believed that she fled the country with the help of a foreign intelligence outfit. If she is still alive and can be arrested, it may be possible to ascertain information about the terror mastermind and the NTJ’s foreign links.

Politicians, religious leaders, high-ranking military and police officers, terrorism experts and Archbishop of Colombo His Eminence Cardinal Malcolm Ranjith himself have categorically stated in their testimonies before the PCOI that there was an external hand in the terrorist attacks.

Those who claim to have identified the Easter Sunday terror mastermind/s or ascertained vital information to prove who masterminded the carnage are heaving like the proverbial blind men who tried to figure out what an elephant was like by touching different parts of the animal’s anatomy, came to different conclusions and quarrelled. The Easter Sunday attacks, we believe, have not been investigated properly from all angles. Above all, former President Maithripala Sirisena’s claim that he knows who masterminded the carnage must be probed, and action should be taken against him if he has sought to mislead investigators.

Minister of Public Security Tiran Alles has renewed his offer to have the leaders of the Catholic Church briefed on the status of the ongoing police investigations into the Easter Sunday tragedy. Claiming that the Catholic prelates have not responded to his offer, he has said he is willing to take on board their views and even make adjustments to the probe, if necessary. Why his offer has not been accepted is the question.

There is no need for the Easter Sunday terror attacks to be debated in Parliament. What is needed is a thorough, credible investigation thereinto. The PCOI report has some flaws, as we have argued in a previous comment, but it is based on an extensive probe painstakingly conducted for a long time and contains valuable information. It can be the basis for a future probe besides the one being conducted by the police.

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Editorial

Voters taken for a ride again

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Tuesday 23rd April, 2024

Old habits are said to die hard. Although the leaders of the incumbent dispensation promised to heed the resentful youth’s strident call for a ‘system change’, in 2022, and mend their ways, they have, true to form, reneged on their pledge and shown signs of a relapse into the previous mode of behaviour, if the manner in which they are conducting their election campaigns is anything to go by.

Sri Lankan politicians, like their Indian counterparts, have earned notoriety for handouts-for-votes schemes. The SLPP-UNP government has embarked on a campaign to curry favour with poor voters by distributing free rice, state-owned lands/houses, etc. The people are being bribed with their own money, again! The distribution of free rice is likely to continue until the upcoming presidential election.

President Ranil Wickremesinghe is traversing the country as if there were no tomorrow, giving away rice, distributing title deeds for state land, and making various promises, obviously with an eye to the next presidential election. The UNP politicians who suffered ignominious electoral defeats in 2020 are trying to come in from the cold by taking part in the free rice distribution ceremonies, which must be costing the public more than the rice stocks being given away. Shouldn’t they use their personal funds, most of which were raised while they were in power, to grant relief to the public and gain political mileage?

The SJB is also giving away things. It says it is using its own funds for its vote-catching welfare programmes; however, it ought to reveal where funds for such projects come from. All political parties ought to maintain utmost transparency about their funds and transactions if they are not to be accused of benefiting from the largesse of unsavoury characters, who use their black money to bankroll political campaigns. None of them care to do so. Instead, they accuse each other of corrupt practices.

The JVP does not believe in giving; it only receives donations including designer clothes for its leaders, whose sartorial elegance seems to compare favourably with that of the young members of the Medamulana family. It has not even given back to the people what it grabbed from them during its reign of terror in the late 1980s. It should at least return their national identity cards!

The SLFP ought to curtail its expenditure and utilise the savings to enable its leader, Maithripala Sirisena, to pay compensation to the Easter Sunday victims in keeping with the Supreme Court order for his pathetic failure to prevent the terror attacks in 2019.

The practice of politicians doing political work at the expense of the public must end forthwith. There is absolutely no need for the President or the ministers or the members of the UNP to attend the rice distribution ceremonies. In fact, there must be no ceremonies at all. The distribution of free rice can be done through the Divisional Secretaries, Grama Niladhari and other state employees. That is what public officials are there for.

Equally, the public must not be made to pay for the Opposition Leader’s transport and security when he conducts political campaigns. The same goes for the ministers running around like headless chickens. A state minister’s official vehicle caught fire recently while he was zipping about in his electoral district to attend Avurudu sports events. He was not doing any official work, and therefore the cost of the fire-damaged vehicle must be recovered from him.

Whenever useless state functions are held in faraway places, to boost the ruling party politicians’ egos, the President, the Prime Minister, Ministers and military bigwigs fly there in separate helicopters, and the public has to foot the bill. They must be made to pay for such chopper rides from their personal funds.

Today is Bak Full Moon Poya Day. Politicians who live off the public, flaunt what they make out to be their piety, and sermonise, on days of religious significance. Let them be urged to make a resolution today to cease to be a burden on the hapless public, who are practising austerity and struggling to keep the wolf from the door.

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Editorial

Dead or unborn debtors

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Monday 22nd April, 2024

A woman has recently been arrested in Brazil for taking a 68-year-old man, who had been dead for hours, to a bank in Rio de Janeiro to obtain a loan. She pretended that the dead man, whom she kept calling uncle, was seriously ill, but wanted a loan, according to media reports. Thankfully, she could not dupe the bank employees, who alerted the police.

Perhaps, what the Brazilian woman is reported to have done in a bid to draw a loan pales into insignificance in comparison to how Sri Lankan politicians obtain loans, parts of which end up in their deep pockets. Even if she had succeeded in her endeavour, her racket would not have affected the borrower, who was dead. Our political leaders have no history of taking corpses to banks, but they do something worse; they obtain massive loans at the expense of the unborn. It is the future generations that will have to pay back the loans to the tune of billions of dollars the present-day leaders have been drawing recklessly over the past several decades. Debt restructuring will make the burden on future generations even worse.

What had caused the death of the man who was taken to the Brazilian bank posthumously was not known at the time of writing. In this country, banks and loan sharks, including the so-called microfinance companies, cause the deaths of some of their customers, who lose all their assets when they fail to pay back loans at exorbitantly high interest rates.

The microfinance creditors do not give up their efforts to recover loans even after their borrowers commit suicide. They demand monthly interest payments from the families of the victims of predatory loans. Instances abound where the hapless borrowers lose their valuable assets, such as houses, vehicles and even land, pledged as collaterals for loans and are reduced to penury and/or left with no alternative but to take their own lives. Sri Lankans are not alone in this predicament. Their counterparts in other developing countries are also preyed on by loan predators, who operate with impunity because they have huge slush funds, and politicians benefit from the largesse.

The aforesaid Brazilian woman is facing legal action, we are told. But our politicians who are borrowing heavily at the expense of the unborn, and the loan sharks who drive their borrowers to suicide are going places. What a world!

It’s pricing formulae, stupid

The Trade Ministry has reportedly decided to introduce a pricing formula for building materials as part of a strategy to give a boost to the construction industry, which is in crisis. This may look like a sensible move on the face of it, but the question is whether the Trade Ministry will be able to achieve its goal. It has failed to accomplish even a simple task like regulating egg prices, which have gone into the stratosphere. Minister of Trade Nalin Fernando has been bellowing rhetoric and issuing warnings and even threats in a bid to rein in the errant egg traders, but in vain.

The public has lost faith in pricing formulae. Last month, this newspaper quoted Chairman of the Committee on Public Finance, Dr. Harsha de Silva, as having said that the Trade Ministry had disregarded the milk food pricing formula much to the detriment of consumers’ interests.

SJB MP and former Minister of Power and Energy Champika Ranawaka has reportedly said the government is making unconscionable profits by keeping fuel prices artificially high. If so, the foreign companies in the fuel retail trade must also be making a killing.

One can only hope that Ranawaka will work out the actual fuel prices and reveal them to the public soon. The government must be manipulating the pricing formula to jack up fuel prices. This is something the Opposition must take up in Parliament and ratchet up pressure on the government to explain. If the price of diesel can be reduced significantly, the cost of transport and power generation will decrease much to the benefit of the general public and the industrial sector.

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