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Women’s rights groups reject current debt restructuring that places burden of repayment on working class

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Women’s rights groups in Sri Lanka yesterday (11) rejected the current debt restructuring solutions that place the burden of repayment on Sri Lanka’s working classes, particularly its women.

Addressing a press conference, a number of women’s groups said they are demanding urgent and sustainable solutions to the ongoing debt crisis in Sri Lanka that respond to the actual lived experiences, struggles and needs of the people.

At the ‘National Convening on Debt and Women’s Human Rights’ held in Colombo on 9-10 August 2023, women’s rights groups from Sri Lanka and other Asian countries discussed the ways the ongoing crisis has impacted their lives and the inadequacy of government solutions to respond in meaningful ways. They also severely criticised the historical and current roles played by international financial institutions, mainly the World Bank and IMF, in imposing unjust austerity measures and their lack of accountability in worsening economic crises in the region.

Sri Lanka is currently going through a crippling economic crisis because of an unsustainable debt burden of 103.8 percent of GDP as of March 2023. This crisis hit households at a time when many had not yet recovered from the shocks of COVID-19. The government response of austerity measures to secure an International Monetary Fund bailout are being hurriedly rolled out, with no public consultation. This has included cuts in public spending, steep increases in utility tariffs, food and energy costs, indirect and regressive taxation, and limited cash handouts as social security.

This has particularly impacted low to middle income families, and labour laws that threaten to rollback gains in wage and job security, especially for women. Critically, the Government of Sri Lanka has decided to use the funds of the Employee Provident Fund to repay Sri Lanka’s debt – forcing Sri Lanka’s working class to bear the burden of repaying the wealthiest creditors – and has blocked resistance and legal challenges to the same.

“The social security funds of workers are being compromised to pay the debt for the richest income earners in the world. The government has decided to trade off the savings – for many of them this is the only savings – of some of the most hardworking people in Sri Lanka,” said lawyer and activist, Lakmali Hemachandra.

“There are severe violations going on with the domestic debt restructuring. The restructuring process is due to finish in September and by that time, workers will lose the security of their savings. We need the international community to hear and condemn the fact that creditors are being paid with workers’ savings and the Government and IMF is continuing to hold the position that there is people’s buy-in for this. There is no people’s buy-in, people just don’t have a way to communicate that,” Hemachandra said.

Juan Pablo Bohoslavsky, Former UN Independent Expert on Debt and Human Rights, said: “We also need to question why only domestic creditors have been asked by the government to make a sacrifice and accept, to some extent, a haircut in their credit. External debt holders should also be asked to make a similar contribution to bring sovereign debt to a sustainable level. According to international law, in the Sri Lankan context, prohibition of discrimination means inter-creditor equity in sovereign debt restructuring.”

The national convening was co-organised by the Law and Society Trust (LST), National Fisheries Solidarity Organisation (NAFSO), The Women and Media Collective (WMC), Colombo Urban Lab, The Asia Pacific Forum on Women, Law and Development (APWLD). Participants included representatives from groups of labour activists, trade unions, rural and urban women, academia, and civil society from Sri Lanka and Asia.



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Govt. confident of 2/3 majority despite NPP split speculation

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Anura / Harini

By Shamindra Ferdinando

The ruling NPP yesterday (21) dismissed claims of a widening rift, within the government, over the proposed 22nd Amendment. Asked whether the NPP was concerned over a section of the Opposition alleging Prime Minister Dr. Harini Amarasuriya and two dozen MPs taking a view contrary to that of the party in this regard, authoritative party sources said some persons were propagating speculation for their own interest.

Declaring that there was absolutely no issue regarding the controversial Amendment, sources emphasised once it was tabled in Parliament, it would be passed with 2/3 majority.

Sources dismissed claims that out of its 159-member parliamentary group a section of NPPers was opposed to the government move. According to an influential Opposition activist, there are 57 JVPers and 66 NPPers in the government group and the rest contested the last parliamentary polls, having aligned with the JVP.

Ministerial sources told The Island that the government was confident of going ahead with the 22nd Amendment and Judicature (Amendment) Bills. Sources said that the NPP was not bothered about the Opposition protests in and outside Parliament.

Speaker Dr. Jagath Wickremaratne is expected to disclose the confidential ruling that he received from the Supreme Court in respect of more than 65 petitions for and against the 22nd Amendment and Judicial Amendment Bills. The enactment of the 22nd Amendment would pave the way for extending the retirement age of Supreme Court judges, from 65 to 67 years, and Court of Appeal judges, from 63 to 65 years.

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Justice Corea appointed Acting President of the Court of Appeal

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Court of Appeal Judge M. Sri Mevan Anthony Edirimannasuriya Corea receives his letter of appointment

President Anura Kumara Dissanayake has appointed Court of Appeal Judge Mayadunna Sri Mevan Anthony Edirimannasuriya Corea as the Acting President of the Court of Appeal.

The appointment has been made as President’s Counsel Nalin Rohantha Abeysuriya, who currently serves as President of the Court of Appeal, will be overseas until the 24th.

Accordingly Justice Mayadunna Corea was sworn in as Acting President of the Court of Appeal before President Anura Kumara Dissanayake at the Presidential secretariat last morning (21).

Secretary to the President Dr Nandika Sanath Kumanayake was also present at the occasion.

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Protest against setting up of cement factory in highly populated area near BIA

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The cement factory premises located in close proximity to a school and the lagoon

… school alleges deception

What began quietly as a single-storey tourist hotel, on the edge of Katunayake-Seeduwa has, five years later, morphed into a looming five-storey cement factory and with it, a storm of fear, anger and unanswered questions.

At a media briefing held on 19 September at St. Thomas International School, Seeduwa, the community finally found its voice. The gathering included priests, school principals, environmental defenders, and parents whose children study within a few hundred metres of the site.

The briefing was led by Rev. Fr. Jude Chrishantha Fernando, Director of National and Archdiocesan Catholic Social Communications, Rev. Fr. Nilantha Heshan, Director of the Archdiocesan Sethsarana Institute, Dinusha Nanayakkara, Convener of the Archdiocesan Committee for the Protection of Muthurajawela, and Attorney-at-Law Ms. Isuri Rodrigo.

Their message was clear: This is not a campaign against development.

“We Are Not Against Cement. We Are Against Deception.”

“Cement is an essential raw material for the country. We have no opposition to any such factory or production plant,” they told the media. “But what we cannot agree to is a project of this magnitude, in this location, without any proper environmental assessment.”

The speakers alleged a textbook case of deception, obtaining approvals for a low-impact tourist hotel, in one of the most densely populated educational zones in the Katunayake-Seeduwa Municipal Council area, and then transforming it into a heavy industrial plant.

“In an area where thousands of schoolchildren study, to show one thing on paper and build another is a highly fraudulent procedure. It is clear that the real environmental damage and the truth have been hidden from the people,” they said.

With the sea and lagoon winds that sweep across Seeduwa, experts fear these fine particles will not stay confined to the factory walls. They will drift across classrooms, homes, and the Katunayake Free Trade Zone, where thousands of workers, representing all 25 districts of Sri Lanka, work every day.

“The risk is not local. It is national. We are talking about a future generation of children with respiratory illnesses, and workers developing chronic breathing disorders,” one speaker warned.

Rev. Fr. Jude Chrishantha Fernando, Director of National & Archdiocesan Catholic Social Communications, responding to journalists

Then there is the proximity that defies logic, just 500 metres from the Bandaranaike International Airport.

The panel presented a scientific concern that has aviation experts worried: a significant drop in air quality around the airport and its runway, and the severe risk to highly sensitive aircraft engines when they ingest air mixed with cement dust. What is at stake, they argued, is not just health but the economy itself.

“When you weigh it deeply, the economic contribution of an international airport is far higher than that of a cement factory. If international airlines start to avoid Katunayake due to safety and air quality concerns, it will be a fatal blow to our country’s economy,” they emphasised.

A few minutes away lies another victim the Negombo Lagoon and the Muthurajawela wetlands, Sri Lanka’s largest and most sensitive coastal ecosystem.

The panel warned that cement dust settling on the mangrove system could degrade water quality, disrupt the delicate salinity balance, and directly interfere with fish breeding grounds. For the fishing communities of Negombo, whose lives depend on the lagoon, this is an existential threat.

“The lagoon is a nursery. If its water quality drops, fish will not breed. If fish do not breed, an entire fishing community collapses,” they said.

The speakers alleged that while the developers claim to have approvals from various state institutions, many of the mandatory clearances, particularly comprehensive Environmental Impact Assessments and feasibility reports, have not been obtained.

They stressed they are not calling for an end to investment, but for it to be done right.

“We have no objection to this factory being started in another suitable location where it will not cause these environmental impacts, based on proper feasibility and assessment reports. Stop this construction here and move it,” was the unanimous demand.

The appeal has now been directed again to the President, the government, and all responsible state institutions and officials.

As the briefing ended, one image lingered — a school playground, a lagoon, and a towering cement structure rising between them. It is a scary picture for the people of Seeduwa; they asks a simple question: What price are we willing to pay for development that doesn’t breathe?

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