My elder brother, M. R. Fernando, passed away on 5 May 1995. On his 27th death anniversary, I write this to him tribute because at the time of his death I was living in London. Everyone called him MR.
He missed his university entrance as our father suffered from Typhoid fever. Later ‘MR’ joined the Technical College at St. Sebastian Hill, Maradana, and qualified B.Sc. (Hons) London in Civil Engineering. After he qualified he worked as a lecturer at the same Technical College.
We, three brothers hailed from an engineering background, my father was a Government Civil Engineering Contractor. My elder brother joined the Public Works Department (PWD) as an Assistant Engineer, and his first appointment was in Kandy. The Public Works Department metamorphosed over the years and is known today as the Road Development Authority. At the time of his retirement he was the Director of the Territorial Civil Engineering Organisation. He was a teetotaller and non-smoker. I always admired his qualities and considered him a paragon of virtue.
I was many years his junior, hence, there existed no brotherly bond but respect given to an elder. Later my second brother, MG (Gunapala), allowed me to drive his car to gain confidence when I was a teenager.
Getting married
MR’s wife was from a wealthy family in Panadura and they had seven children. He climbed the hierarchical promotional ladder from assistant engineer to executive engineer, superintending engineer and regional director and ultimately reached the zenith of his career and became the Director of Highways. He got transferred to every district in the country with family quarters. Consequently, he never concentrated on building a house for his large family. Once he was promoted to the Director’s position and transferred to Colombo H.Q, he realised his mistake of not building a house for the family. However, after negotiating with the Territorial Civil Engineering Organisation, he was allowed to build a house in Stanley Tillakaratne Mawatha, Nugegoda, on the Territorial Civil Engineering Organisation (PWD) site. Subsequently, he built his own house in Maharagama.
As a Member of The Institute of Civil Engineers and a Fellow of The Institute of Engineers Sri Lanka, he contributed immensely to the construction and maintenance of road networks in the island and represented Sri Lanka & overseas. When he was the executive engineer based in Kalutara, Cholomondeley Gunawardena was the Minister of Highways (also lived in Kalutara). Under the Minister’s instruction he carried out the construction of the new ‘three-roads’across Kalutara town and constructed the new bridge, connecting Kalutara North and South with the facility for pedestrians to walk along the sideway. He was a workaholic when it came to official duties and influenced many young engineers.
Due to extensive pressure from the late R. Premadasa, who was then the Minister of Highways, he had to resign from the Director of Highways position prematurely. He then sought an appointment with the Hong Kong Government as a Highways Consultant. His last project in Sri Lanka was to work with an American Consultant on a feasibility study on the ‘Colombo-Matara’ toll highway (today it is known as the Southern Expressway).
His demise
My brother on this occasion went to a private hospital for a general check-up, and was asked to stay back for further tests. Within three days of his admission, he died. I was living in London when the tragedy occurred. My elder niece phoned me that Friday evening and we both cried during the conversation, also because I could not attend my brother’s funeral which was fixed for that Sunday.
Being a weekend, and Monday being a holiday in London, I desperately telephoned Fazel Mohamed, Manager at Sri Lankan Airways in London. He was out at the time, but I left a message in desperation with his wife. Around 22 hrs, Fazel phoned me back and sympathised with me first and said, Tilak, your seat is confirmed on the Saturday Sri Lankan airways flight to Colombo.” I took the Saturday night flight, after paying the air fare, from Heathrow airport, which landed at Katunayake airport giving me a breathing space to have a glimpse of my beloved brother for the last time on Sunday, before the cortege left for Kanatta
His Character
My brother had a noble and generous heart. He never lost touch with the ordinary folk, and he was never on cloud nine with the impression that he was the Director of Highways. His impulse was always to help others, so others’ problems became part of his difficulties. At times his over generosity was misused and exploited by a few. Yet, he bore no grudges, nor did he envy another, an excellent quality he left behind for the rest of us to follow. He never helped others seeking rewards or publicity in return. He did not like to be admired, and everyone associated with him loved his outstanding qualities. The people who loved him showed their appreciation by paying their respects at his residence at Maharagama and at the cemetery at Kanatta, shedding silent tears. He was a fatherly figure to everyone, irrespective of their age or social status. He was never swayed by money, power, or the level of influence in society. He was a simple, unassuming person who always treated others in a kind way. He had a strong character and spoke the truth without hesitation or fear. As one who understood the true meaning of the word love he always advised his seven children to be kind to one another by saying: When love exists, confusion and disorder vanish, boredom – the great vice melts, inertia dies, disharmony disappears, old wounds will heal leaving no scar tissues, resentments and grudges cease to be important, cheap gossip and tawdry fault-finding wither away, and the suffering of others are shared, and there will be gladness”.
Politics is about claims and counter-claims. It is about profit-seeking through exaggeration and pooh-poohing. It is also about wild extrapolation of conclusions wrought in echo-chambers. It is as much about deception as it is about self-deception. Perhaps an example would illustrate the point.
Way back in 2010, a few weeks before the presidential election, a diehard UNP supporter said, ‘this time Mahinda is finished, you wait and see!’ I asked, ‘on what basis do you say this?’ ‘Everyone is saying it,’ was the emphatic response. I asked, ‘All these people who told you that Mahinda is finished, who did they vote for in 2005?’ The answer was quick, firm and once again emphatic: ‘Ranil!’ Emphatic conclusion was tested and proven false a few weeks later.
Elections. That’s what gives finality to contending perceptions of general drift. Elections, courtesy certain elements in the 19th Amendment retained in the 20th, cannot be called this early on whim but only under special circumstances.
That said, there are often signs which can’t be easily dismissed simply on account of inability to ascertain public sentiment perfectly. Dissatisfaction is too stark to be ignored. Widespread and open dissent is not just visible but it is continuous. The current quibbling among parliamentarians and political parties, the call for resignation and interim arrangements as well as constitutional amendment clearly indicates acknowledgement of a crisis.
It was all put in a nutshell thus by a university professor: ‘The size of the barricade is proportionate to the magnitude of fear of the person hiding behind [it]. These are unmistakable signs that the message of the struggle” is more powerful than the bombs and bullets of ruthless terrorists.’
Who and what are behind the barricades is a question that has an easy as well as a complex answer. ‘Obviously those who are being targeted by the protestors,’ would be one. The objection however is not just to a single individual — there’s rejection of not just the ruling party but all parties, party politics and the entire political system and culture. These however get less play; after all a catch-all target is easy to aim at and makes for easier mobilisation of objectors. Regardless, legitimacy has not only been questioned, it has been rejected outright.
The illegitimate, common sense demands, should make way for the legitimate. That’s where we hit a wall. Is there any individual or collective that can claim the legitimacy mantle exclusively? Let’s consider the claimants or rather those considered by some to be pretenders to the political throne.
Is there any individual in Parliament who can claim that he or she has a greater claim to the big seat than anyone else, incumbent included? Well, the person who polled the highest number of preferential votes would still only have the results of a district to show. A party? Which? Even if we put aside the Sri Lanka Podujana Peramuna (SLPP or ‘Pohottuwa’) on account of, say, ‘visible illegitimacy,’ can the Samagi Jana Balavegaya (SJB), Sri Lanka Freedom Party (SLFP) or any other party represented in Parliament claim to have the confidence of the people to seize power? No.
Perhaps this is why there’s some traction for the proposal for an all-party interim cabinet or a cabinet made of experts in key areas brought in through national lists emptied voluntarily by the relevant political parties who would, ‘in the interim,’ back them to take firm if difficult and unpopular decisions to put the country back on track. Again, though, legitimacy could be questioned. It is of course obtainable, theoretically at least, only upon delivering tangible results, economic in the first instance and political reforms later, perhaps.
Legitimacy is also an issue on the other side of the barricades. In the political ‘overall’ of practice the question of precedence can be raised. If, for example, incumbent politicians have to ‘go home’ each and every time they are corralled by objectors, the same logic could be applied for calling bosses of all kinds to resign: students could hoof out teachers, teachers could ‘send home’ principles, congregations could throw out priests etc., etc. Protesting is a right. It is legitimate. Neither is it illegal for calling someone or some political order to question and demanding resignation. This is normal: one asks for much and settles for less.
On the other hand, if one is intransigent on the ‘much’ then one would probably have to raise legitimacy to a higher level. An eclectic group gathered simply on account of commonality of a singular objective (resignation of incumbent, say) may frighten someone or some political entity to submission, but in this case, given the legitimacy deficiency of would-be successors, the very same group is likely to provoke new barricades by the newly barricaded. That’s unless they are just pawns of someone or some group that seeks to prey on uncertainties and displeasure to further narrow interests.
I prefer to be optimistic. I prefer not to see conspiracy at every turn. It would be presumptuous to advise the protestors. I would not say, for example, ‘give us clarity on leadership and programme.’ After all, sometimes, the barricaded want leaders identified. ‘Sitting ducks’ thereafter. I prefer for them to figure out what’s what, what can be and how to get to wherever they believe they should go. However, if legitimacy is something they have at heart, then they would do well to obtain it, one way or another. As of now, legitimacy is contained within the ‘articulator of dissent’ parameters. Splendid in and of itself. Necessary too, obviously. Not sufficient, I would say.
Dhaka, May 5 (newsin.asia): The Government of Bangladesh donated much needed medical supplies to the people of Sri Lanka at the request of the Sri Lankan Government at a simple ceremony held at the State Guest House Padma in Dhaka on May 5.
The urgent medical supplies provided are of a total value of BDT 200 million equivalent to USD 2.32 million.
The donation of medical assistance was handed over to Sri Lanka’s High Commissioner in Dhaka Prof. Sudharshan Seneviratne by the Bangladesh Government, in the presence of Foreign Minister Dr A. K. Abdul Momen, Health Minister Zahid Maleque and the President of the Bangladesh Association of Pharmaceutical Industries (BAPI) NazmulADVERTISEMENT
Hassan, MP. Also present at the ceremony were Foreign Secretary Ambassador Masud Bin Momen, the Director General of Health Prof Dr Abul Bashar, Director General of Drugs Major General Md Mahbubur Rahman, officials of the Bangladesh Foreign Ministry and officials of the High Commission of Sri Lanka in Bangladesh.
The medical supplies will be transported by Sri Lankan Airlines, presently operating daily flights in the Dhaka-Colombo sector.
The goodwill gesture is significant of the long standing bilateral relations, as Sri Lanka and Bangladesh commemorate the 50th anniversary of diplomatic relations this year.
Colombo, May 4 (ECONOMYNEXT): The near two thirds’ vote in favour of Sri Lanka’s government-backed deputy speaker candidate on Thursday (05) revealed the likelihood of the government easily defeating a proposed no confidence motion against it, opposition Tamil National Alliance (TNA) MP Shanakiyan Rasamanickam said.
In an impassioned speech following the vote, Rasamanickam said that only 65 MPs were with the people of Sri Lanka who have been demanding the resignation of the government, while 148 MPs continue to stand for the ruling Rajapaksa family.
Sri Lanka’s parliament re-elected MP Ranjith Siyambalapitiya as deputy speaker on Thursday with 148 out of 225 MPs voting in favour of the government-backed candidate. Rival candidate Imitiaz Bakeer Makar, who was nominated by the main opposition the Samagi Jana Balavegaya (SJB) received only 65 votes.
They’re here to save the Rajapaksas. No matter what no confidence motion is brought against this government, these dramatists, crooks and liars will never vote against the Rajapaksas,” said the MP.
The TNA MP also berated former prime minister and United National Party (UNP) MP Ranil Wickremesinghe for allegedly supporting the government during the vote.
It’s clear that this is all theatre. We saw the former PM, who sits in the opposition, approaching each individual sitting here this morning asking them to support Mr Siyambalapitiya,” the MP claimed.
Wickremesinghe has yet to respond to the allegation.
Sri Lanka’s government has been facing a wave of protests around the country with an increasingly furious public demanding its resignation. The main opposition Samagi Jana Balavegaya has tabled a no confidence motion against the government, but it is unclear at present how much support it will be able to muster in favour of it.
This demonstrated the ruling SLPP coalition’s ability to prove their parliamentary majority despite raging public protests demanding their resignation for mishandling the country’s worst economic crisis
Colombo: In a major victory for Sri Lanka’s embattled Rajapaksa clan, the government backed nominee on Thursday won the secret vote for the position of Deputy Speaker, demonstrating the ruling SLPP coalition’s ability to prove their parliamentary majority despite raging public protests demanding their resignation for mishandling the country’s worst economic crisis.
MP Ranjith Siyambalapitiya was re-elected to the position from which he had resigned.
Siyambalapitiya, a member of the former President Maithripala Sirisena’s Sri Lanka Freedom Party (SLFP), had resigned as his party decided to stay independent of the government.
He was elected with 148 for and 65 against with three invalid votes, Speaker Mahinda Yapa Abeyawardene announced.
Despite the SLFP going independent, the ruling Sri Lanka Podujana Peramuna (SLPP) decided to back Siyambalapitiya in their bid to show that the government majority was intact. Speaking after his election as the Deputy Speaker, Siyambalapitiya said he had expected to be unanimously appointed by both the government and the Opposition.
The main Opposition leader Sajith Premadasa said they decided to field their nominee Imtiaz Bakeer Markar as they had learnt the ruling SLPP was to back Siyambalapitiya at a possible secret vote.
Premadasa accused Siyambalapitiya as a “government stooge.”
The government majority was seen as fragile since the decision by some 40 lawmakers from the ruling coalition declaring independence in view of the raging public protests calling for the resignation of the entire Rajapaksa family.
With more members from the ruling coalition calling for the resignation of Prime Minister Mahinda Rajapaksa to make way for an interim government of all parties, Rajapaksa stayed put claiming majority.
The Deputy Speaker’s vote appears to have restrengthened his position, experts said. Prime Minister Mahinda Rajapaksa and President Gotabaya Rajapaksa are coming under increasing pressure to step down in the simmering economic meltdown where people struggle with all essentials, including having to put up with power cuts.
The main opposition party, Samagi Jana Balawegaya (SJB), handed over to the Speaker two motions of no-confidence against the SLPP coalition government and embattled President Gotabaya Rajapaksa under Article 42 of the Constitution.
Article 42 stipulates that the President is responsible to Parliament for the exercise, performance and discharge of his functions.
Any motion needs seven days’ notice before getting into the order paper for debate. A date has not yet been announced for a vote on the no-confidence motions.
The Opposition parties accuse top government officials of excessively printing money, hurting farm production by banning chemical fertilizers to make the production fully organic and minimize import costs, failing to order COVID-19 vaccines in a timely manner and buying them later at higher prices.
Sri Lanka is currently in the throes of unprecedented economic turmoil since its independence from Britain in 1948. The crisis is caused in part by a lack of foreign currency, which has meant that the country cannot afford to pay for imports of staple foods and fuel, leading to acute shortages and very high prices.
Thousands of demonstrators have hit the streets across Sri Lanka since April 9, as the government ran out of money for vital imports; prices of essential commodities have skyrocketed and there are acute shortages in fuel, medicines and electricity supply.
Finance Minister Ali Sabry yesterday told Parliament that continuous budget deficits had led to accumulation of public debt, which was now unsustainable.
In this process, I do not rule out the element of corruption, and therefore we need to emphasise the institutional factors, such as an independent judiciary, a credible Central Bank, and a strong public service. At present, the Sri Lankan economy is in an extremely challenging situation, and this has triggered social turbulence and political instability. This may lead to catastrophic consequences if the fundamental issues are not addressed immediately,” the Minister said, making a ministerial statement to the House on the present status of the Sri Lankan economy and way forward.
Full text of Minister Sabry’s speech: At this critical juncture of Sri Lanka’s post-independence history, I am addressing this august house today to deliver my first special statement as the Minister of Finance. The country is battling with unprecedented socio-economic and political challenges. The root causes of these challenges go back to several decades of economic history although more recent developments have aggravated the situation into an acute crisis. There are critical developments that need urgent attention. Inflation has risen to extremely high levels making the cost of living unbearable, foreign exchange reserves have depleted significantly, and the exchange rate has rapidly depreciated, all of which have contributed to the crisis. A foreign debt repayment standstill has been announced as an interim measure. There is a shortage of essential items, including fuel, LP gas, pharmaceuticals, and raw materials while power outages continue, and people are demonstrating on the streets against their economic hardships.
Fundamental macroeconomic weaknesses in the economy have been decades in the making. This includes fiscal instability, accumulated debt overhang, low productivity, and persistent current account deficits. Recent shocks such as the COVID-19 pandemic and the Ukraine conflict have exposed these underlying weaknesses. However, we should also be humble enough to admit that this situation has occurred due to some of the misaligned and imprudent policies implemented in the recent past as well. This is indeed a serious situation. I believe the time has come to follow a professional approach in resolving these issues rather than being swayed by ideological inclinations.
I accept the fact that the aggravation of the issues was due to the delay in restoring fiscal and debt sustainability and failing to pre-emptively address the decline in foreign reserves. Sri Lanka should have focused on regaining capital market access by establishing a credible path of macroeconomic stabilization, supported by institutions such as the IMF. But now, rather than trying to find fault, it is important to identify the reasons for this situation and concentrate on the way forward.
The public protests send the message that we need to be serious in providing professional and sustainable solutions. An important part of this is being transparent and forthright regarding the challenges ahead of us and the fact that there are no painless solutions to choose from.
Often in Sri Lanka’s history, successive political actors have painted rosy pictures and made promises that lack realism and credibility. Every time there has been an attempt to establish long term solutions, these are reversed in the next election cycle with a promise of short-term benefits and relief. Today we see the adverse outcome of these stop-go policies – and the public has rejected this as reflected in the protests we see today.
It is time for Sri Lanka to establish a broad political consensus on the economic path forward for the country. An economic path underpinned by fiscal and monetary discipline, a focus on enhancement of productivity, and ensuring equitable outcomes by protecting the most vulnerable sections of our society.
We must understand the root cause of the issue, i.e., the unsustainable fiscal policies adopted by many successive governments. We should be humble enough to accept the fact that we as a country have lived beyond our means. Without proper checks and balances, all governments have spent much more than what they earned, of course with the approval of this august assembly, as the responsibility for public finances comes under the Parliament according to our Constitution. In my view, what is happening right now is that we reap what we sow”.
The time has come to focus on sustainable solutions. The fundamentals of the remedies are quite straightforward. Manage expenditure within the framework of a reasonable revenue stream with a sustainable debt position, rather than placing the burden of a huge debt pile on generations to come.
But, to do that, we must make changes. Changes to the way we manage the fiscal operations and the entire economy. We should undertake reforms, to remove bottlenecks that hinder our economic progress. We must be futuristic and wise to make decisions in the name of the progress of the economy, progress of the country.
The Parliament must give priority to implement tax reforms to increase government revenue and rationalize expenditure whilst ensuring public investment in critical areas such as education, healthcare, and social protection. Macroeconomic policy must be tailored towards boosting national savings, channelling public and private investment towards productive sectors, whilst driving productivity and competitiveness in all aspects of the economy.
We need to take tough decisions in reforming state owned business enterprises, encouraging competitive market mechanisms where possible to achieve best outcomes at lowest cost to society. We must learn to harness the immense productive potential of market forces, whilst being fully aware of market failures and providing appropriate intervention to ensure just outcomes for society. We need to build up credible systems to improve public sector efficiency and productivity.
The decision to seek the assistance of IMF is important in this context. An IMF programme will be a catalyst to undertake these much-needed reforms and will provide a signal to the rest of the world that we are serious in addressing our economic difficulties. But we must realise that the economic reform programme we embark upon must be a programme with Sri Lankan ownership. We must put forward a professional and analytically robust economic plan, where the IMF will also provide technical assistance and then endorse. Without that Sri Lankan ownership, and without broad consensus of the legislature, we would not succeed in providing permanent solutions for our longstanding economic issues.
Whilst we are facing deep economic challenges at present and our priority is macroeconomic stabilization, let us not lose sight of the immense potential Sri Lanka has as an Indian ocean economy at the doorstep of the most dynamic economic growth centres in the world. We must continue to position ourselves to take advantage of these opportunities through appropriate engagement in regional and global economic value chains. Towards this end, we must invest in education, healthcare, clean energy, public transportation, social protection, and sustainable infrastructure.
In this process, the private sector needs to play a greater role in driving employment and growth. Sri Lanka needs to have a more globally competitive, export-oriented economy that is conducive to Foreign Direct Investments (FDI) with appropriate policies.
In doing so, we should take decisions underpinned by evidence-based research. I am in the process of establishing a Research and Analysis Division in my office at the Ministry of Finance. Very soon we will have a set of Advisors also in the Ministry of Finance. This will help us to promote new ideas and deliver a professional approach to economic policy making.
How did the situation escalate to the present crisis?
The budgetary operations of Sri Lanka, over the past several decades continued to suffer several weaknesses, as reflected by most of the key fiscal variables. This includes a sharp decline in government revenue mobilisation, high and rigid recurrent expenditure, high concentration of capital expenditure towards certain sectors and persistent fiscal deficits that resulted in huge debt accumulation.
The spill over effects of the above fiscal imbalances complicated the conduct of monetary and exchange rate policies as well.
Thus, the Sri Lankan economy displayed twin deficits, having both an external current account deficit and a government budget deficit, simultaneously.
Continuous budget deficits have led to accumulated public debt, which is now unsustainable.
In this process, I do not rule out the element of corruption, and therefore we need to emphasize the institutional factors such as an independent judiciary, a credible Central Bank and a strong public service.
At present, the Sri Lankan economy is in an extremely challenging situation, and this has triggered social turbulence and political instability. This may lead to catastrophic consequences if the fundamental issues are not addressed immediately
What triggered the recent crisis in Sri Lanka?
As I indicated above, the fiscal sector was suffering from persistent weaknesses over many years.
However, in late 2019, the government introduced substantial tax cuts, aimed at stimulating economic activity without addressing the fundamental weaknesses I mentioned above.
However, the intended results of this measure were not realized with the outbreak of the COVID-19 pandemic in Sri Lanka, which aggravated the situation in the country.
Further, the revenue foregone due to the tax cuts introduced in late 2019, which was estimated to be more than Rs. 500 billion, has resulted in sovereign rating agencies to downgrade Sri Lanka to near default levels.
In my view, these tax cuts should have been gradually reversed in the new environment created by the COVID-19 pandemic. What transpired instead was that the revenue loss led the Central Bank to print money and help the government to finance the deficit.
The rating action amidst volatility in global liquidity conditions, constrained Sri Lanka from accessing international capital markets.
This prevented the government from raising fresh capital to refinance the maturing debt.
As such, the country gradually utilised its foreign currency reserves to maintain its unblemished debt service record.
Meanwhile, the major hit to the tourism industry together with the slowdown in the workers’ remittance inflows, further aggravated the tight foreign currency liquidity position in the market, exerting further pressure on reserves.
The price controls, in the form of a fixed exchange rate, regulated interest rates, unrealistic petrol, diesel and LP gas prices, and other administered prices, made the situation more complex. The release of these pressure points is now reflected in high inflation.
The developments in the global economy after the COVID-19 pandemic and the more recent Ukraine crisis added further pressures on the Sri Lankan economy.
By end 2019, the Central Bank reserves amounted to USD 7.6 billion. By end 2020, the reserves declined to USD 5.7 billion because of gross inflows of USD 5.8 billion and outflows of USD 7.8 billion, including foreign currency debt service payments of USD 6.0 billion.
The reserves declined further to USD 3.1 billion by end 2021 consequent to the gross inflows of USD 7.9 billion and outflows of USD 10.4 billion, including foreign currency debt service payments of USD 6.8 billion and provision of foreign exchange of USD 1.2 billion to finance essential imports.
Given the shortage of foreign currency flows to the commercial banks, the official reserves at the Central Bank were utilized to meet foreign exchange needs related to the import of essential items, including fuel, coal and LP gas, pharmaceuticals, and other essential items, starting from August 2021.
Consequently, official reserves declined to USD 1.9 billion by end March 2022. However, the bulk of these reserves, including the USD 1.5 billion equivalent SWAP facility from People’s Bank of China (PBOC), are not usable to settle USD denominated payments.
Hence, as of now, the usable liquid reserves are at negligible levels, severely impacting importation of essentials, including fuel, LP gas and pharmaceuticals.
I would not hesitate to inform this august assembly that the government is struggling to find enough foreign exchange to finance these essential imports. Therefore, we need urgent solutions as a country to restore supply chains on six essential items, to address the grievances of the people and to move forward on a reform programme and to work on bridging financing and to implement medium to long-term growth-related policies.
However, political stability and support from all parties including the private sector are vital factors for us to implement this much needed reform agenda.
The above analysis summarises the major issues faced by the country right now, particularly in the fiscal sector.
We have a critical and deeper issue at hand that needs careful consideration and well-thought-out solutions.
These are accumulated issues in the past over many decades under successive governments. Fortunately, or unfortunately, the current Parliament has been compelled to find solutions.
So, it is our responsibility to work as a team to better understand the situation and produce solutions with much needed reforms with the support of all the members.
There is no doubt that many of these reforms will be painful. Hence, we must take care of the vulnerable segments in the society through appropriate robust social safety nets.
I take this opportunity to appeal to the citizens of Sri Lanka on this matter at this critical juncture. I wish to say that we hear your voice very well. What we need to do is make corrections to the previous mistakes and put the fiscal operations and for that matter, the country’s future path, in the right direction.
It will be very challenging, but we must do it for the betterment of the present generation as well as the generations to come.
As the proverb we all are familiar with says, A Journey of a Thousand Miles Begins with a Single Step”. What this means is that the great things commence with simple beginnings.
So, we must begin our journey to reach the goal of creating a sustainable fiscal position and a better and stronger country in the future for our citizens, by taking these first steps, with determination.
AFP: Crisis-struck Sri Lanka’s vital tea exports have dropped to their lowest level in 23 years, official figures showed yesterday, hit by a fertiliser ban and the war in Ukraine. Tea is the island nation’s biggest export commodity, bringing in about US $ 1.3 billion annually before the current economic downturn, the worst since independence in 1948.
But a bungled ban on fertiliser imports last year — introduced in a doomed effort to save foreign currency and avoid a debt default — hit growers hard, with production falling 18 percent on-year for the period from November 2021 to February 2022.
Customs data showed that first-quarter exports in 2022 correspondingly plunged to 63.7 million kilos (140 million pounds), down from 69.8 million kilos in the January-March period last year.
The tally was the lowest since the first quarter of 1999, when the country shipped out 60.3 million kilos of tea.’
According to the former SIS head Nilantha Jayawardena at least 15,000 people knew of an impending attack on Easter Sunday – to this list of 15,000 people included entire Parliament & even diplomatic missions. All of them are now trying to palm of their guilty conscience by accusing others. Amongst the MPs – the then Minister HarinF who is a staunch Catholic had also been told by his ailing father not to attend Easter Sunday mass. The question is even if Minister HarinF chose not to inform the Catholics of Sri Lanka, why didn’t Minister HarinF tell the good Cardinal & the rest of the Catholic clergy – or did he, or did they get to know by other means?
Why didn’t HarinF tell the Cardinal, the Catholic Church or even PM RanilW or did he tell them & they are pretending they were not told – this is the unanswered set of questions! It certainly does need answers.
HarinF’s father Nihal Fernando through his connections with the CID came to know of intel about an attack on Easter Sunday. HarinF’s fathers call records were given to the commission revealing that he had received a call from Sergeant Nandalal who was part of a CID team that visited Pasikudah to arrest Zaharan’s team member Army Mohideen” & recover explosives in Wanathawilluwa.
Thereafter he had advise his son HarinF and daughter not to attend mass. It was not only HarinF & his family who did not attend Easter Sunday Church but his nephew as well. His nephew who was a rugby player was to have gone for Easter Sunday church after practices but he did not attend church. When the question was raised as to why HarinF had objected to the question & had to be reprimanded by the Commission.
HarinF was the Minister of Telecommunications. Following the attacks he had even tweeted that IGP had sent an alert sent by his Deputy Priyalal Dissanayake dated 11 April 2019 with regard to the Indian intel warnings. The warnings were reissued two days before the attack & 2 hours before the first suicide mission on St. Anthony’s Church was executed.
Former PM Ranil Wickremasinghe earlier denied any information prior to attacks but later admitted that they did have information. In fact HarinF had visited Temple Trees before the attacks & had shown PM Ranil a letter that had been sent to police officials warning of an attack. If he could visit PM Ranil – why couldn’t he have visited Cardinal – or did he?
An article titled Catholic church may have had prior knowledge of Easter Sunday attacks – Harin Fernando” by Maneshka Borham appearing in the Sunday Observer 20 Sept 2020 reveals some unusual facts.
HarinF informed the Presidential Commission of Inquiry on 16thSeptember 2020 into the Easter Sunday attacks that the His testimony also confirms that ‘many parties had been issued prior warnings of a possible attack”
This statement aligns with the former SIS head who said that 15,000 people would have known about the attacks before the attacks.
Days after HarinF’s disclosure (20 September 2020), three auxiliary Bishops Maxwell Silva, Anton Ranjith and J. D. Anthony Jayakody issued a statement regarding the insinuation by HarinF that the Church was aware of the Easter Sunday attacks & did not hold a public Mass in the morning of 21/4/2019.
Their statement says Cardinal has indeed presided over the solemn celebration of the Easter Vigil service at midnight on Saturday 20thApril 2019 which followed with the Easter Sunday festive mass at St.Lucia’s Cathedral, Colombo 13 ending in the early hours on Sunday morning”(21/4/2019)
– the question – Is St. Anthony’s Church in Kotahena where the bomb went off the same as St.Lucia’s Cathedral also in Kotahena – definitely not, there is a big difference in a SHRINE (St. Anthony’s) and a CATHEDRAL (St. Lucia). Therefore, HarinF’s claim that mass was not held remains a valid question unanswered.
St. Anthony’s Church – Kotahena
St. Lucia’s Cathedral – Kotahena
From this statement we can conclude that the Cardinal held midnight mass at St. Lucia’s and then had a Holy Mass at the Archbishops House (the day of the attacks) It was only after this mass that news of the attack came and the Cardinal had rushed to the scene at St. Athonny’s Church – does this mean, the Cardinal had no program to hold a mass that morning at St. Anthony’s Church as he was at the Archbishops House when the attacks happened? St. Anthony’s Church was in Kotahena while the Archbishops House was in Colombo 7 – it takes a good 20minutes to arrive at the Church.
An article title Sri Lanka Catholic Church forgives” Easter Sunday suicide bombers appearing on 12 April 2020, quotes Cardinal declaring we offered love to the enemies who tried to destroy us”. The Cardinal can forgive the men who caused the deaths of 279 innocent people but he takes pain to go behind a ‘conspiracy’ – No wonder HarinF claimed the Catholic Church was engaged in politics in June 2020, 3 months before facing the Commission of Inquiry.
When warnings were given well in advance, more important that conspiracy theories is the actions that could have been taken to PREVENT DEATHS as venues were also given prior to attacks. Who committed the suicide, why or their ideology comes secondary, when news of an impending attack to churches & hotels is informed days before the attack.
Every person in this 15,000 ‘knew the attack” list are morally culpable for the deaths of 279 people and the lifelong injuries of some 500 others. No amount of excuses can erase this guilt that should weigh their conscience every single day.
Only those who knew – will know their guilt. They should tap their conscience and ask why they prevent the carnage – all that had to be done was to stop people entering the Churches or to beef up security in the hotels. Why was no orders given to at least warn people not to go to Church or refrain from gathering in the hotel restaurants. No conspiracy theories can erase the moral accountability of knowing a crime was to be committed & not doing anything about it except to ensure one’s loved one’s did not attend these venues.
Those who desire to treat politics and morals separately will never understand anything of either. The practice of politics not only can, but must be reconciled with the imperatives of honesty – Jean-Jacques Rousseau
It is often said that politicians have the morals of alley cats. Some say asking a politician whether he or she is honest is like asking a prostitute whether she is a virgin. While it is unethical and unfair to label all politicians as lacking in morals, ethics and non-corrupt behavior, recent allegations made by the JVP, reportedly along with some supporting documents, leaves virtually all leading political leaders as being corrupt individuals. Ironically, in terms of morals and ethics, the JVP cannot take the high road as they, as a political party, were responsible for the wanton killing of thousands of innocent people and serious violence in the late eighties to gain power. To the best of knowledge of the writer, they have not had the decency at least to apologise to the families of those who were so brutally murdered, and to the country for what the leaders of their party at that time unleashed on the people to gain power. In the absence of such remorse, some may, with reason, take the view that the JVP could once again resort to violence to win political power if all what they have unleashed does not translate into votes at a future election.
Now, if the JVP has documents that provide prima facie evidence of corrupt activity on the part of some of the political leaders, they should hand over all the documents to the appropriate investigating authority so that the truth and accuracy of these allegations can be established, and legal action taken against those who have been accused. If this is not done, the JVP revelations would appear purely as a mudslinging exercise to demonstrate that other than their party, all other parties are tainted with corruption and are not fit to govern the country. In a democracy, voters, and not guns, change the political fortunes of political parties. Voters will be convinced if the law of the land, and not innuendo, deals with the corrupt politicians. The JVP has the opportunity to take these allegations before the law and there is no doubt that the people will back them with moral support and finances to do this.
However, at a time when millions of ordinary people are undergoing tremendous suffering due to shortages of and high prices of essentials including lifesaving medicines, and standing in queues for some of these for hours if not days, the responsible thing to do for all political parties would have been to bury their political hatchets for the time being, maybe 12 months, and engage in a collective effort to address the immediate problems faced by the millions of people who are undergoing untold, never before experienced suffering. In addition, such a collective effort would have given the opportunity to address the loop holes in the law that allows criminals to escape the net of accountability, and also introduce structural reforms that would curb the unbridled power of governing parties.
Instead, politicians are engaged in selfish, politically motivated one upmanship behavior trying to outdo one another, for one thing and one thing only. Power. While they do this, the country, as they say, is going down the gurgler further and further into a blackhole. They are collectively emulating Nero.
In Sri Lanka, morality in politics has suddenly taken center stage when many who have become such moralists were making meek noises all these years. Perhaps because their own behavior was immoral and unethical.
Honest, corrupt free politicians are an absolute necessity in any society and these characteristics cannot be traded with anything else and compromised for the so called greater good” of the public.
In turmoil ridden Sri Lanka accusations about bribery and corruption, money laundering, drug dealer sponsorship of politicians and accumulation of vast amounts of ill-gotten money that belongs to the people of the country are rife. Those at the highest levels of office have not been spared. Whatever investigations done so far have not established these accusations as fact.
It needs to be said that if corrupt activity has spread throughout the society like a virulent cancer, this does not absolve anyone so accused if bribery and corruption has infiltrated into the very investigative and judiciary establishments responsible for investigating and bringing the accused to book for their crimes.
Politicians and senior government officials’ assets and liabilities statements to be in the public domain
Gomi Senadhira, former Diplomat and public servant writing in the Island on the 2nd of May (225 Honourable Members and their assets and liabilities- https://island.lk/225-honourable-members-and-their-assets-and-liabilities/) has rightly pointed out the need for disclosure and the ability for the public to source information on the declaration of assets and liabilities of politicians past and present and senior government officials. The writer would add that this declaration should be extended to the immediate families of politicians and senior officials based on the allegations made by the JVP.
Senadhira says that in a landmark judgement in 2018, the Supreme Court of India directed the government to set up a permanent mechanism to monitor the accrual of the wealth of sitting Members of Parliament and Members of Legislative Assemblies, their spouses, and associates. He says further their (politicians) assets and sources of income are required to be continuously monitored to maintain the purity of the electoral process and integrity of the democratic structure of this country,” and underlines a candidate’s constitutional right to contest an election to the legislature should be subservient to the voter’s fundamental right to know the relevant information regarding the candidate.” Senadhira rightly argues that the Sri Lankan electorate should also get similar information on our elected representatives”. Echoing Senadhira, the writer would like to point out to all political parties that the people have a fundamental right to know the relevant information on our politicians, and as people demand transparency, it is essential to adopt, as early as possible, laws and regulations to make assets and liabilities of elected representatives available in the public domain.
Morality, ethics, and Buddhism
If these accusations are true, it is ironic that in a predominantly Buddhist country, where most Buddhists believe in Karma, and cause and effect, persons who label themselves as Buddhists would amass millions if not billions of such ill-gotten money. They know or should know that karma, cause, and effect, will catch up with them if what they have accumulated in Sri Lanka and overseas is illegal and ill-gotten. They know or should know that they wouldn’t be taking even an iota of such an accumulation when they die, and that when they die, they are as helpless as they were when they were born. A good, clean name and a record of doing good to others is worth far more than the billions of ill-gotten monies and it is these thoughts on such goodness that one experiences at the time of passing that will have a far greater effect on any individual than the thoughts on ill-gotten wealth that cannot be taken by an individual at the time of passing.
Avarice clouds minds and it has no bounds. Buddha taught this, but then, the so-called Buddhists who are corrupt and who practice the opposite of what was taught, does not recognize avarice and lives in deceit and in ignorance.
Buddhism is singled out here for the simple reason that it is this distorted Buddhism that has been used as a political tool to win elections and which has given opportunities to numerous unscrupulous elements to engage in corrupt activity as they are far removed from the essential teachings of Buddha himself.
It needs to be said though that if politicians and others holding or who have held high office have resorted to corrupt activities as alleged, at the expense of the public, such elements need to be pursued, brought before the law, and severely punished if found guilty.
A permanent Independent Anti-Corruption Agency
As stated, it is also equally important to examine the existing law against such corrupt activities, and the laws strengthened should they be inadequate to dissuade would be corrupt elements from resorting to such activity. The retrospectiveness of any such strengthening of the law, is vital as some alleged accusations date back to many years.
The review of existing laws and strengthening them where necessary, however cannot be left in the hands of the Parliamentarians as they, as a collective, cannot be trusted to do this task as they are the ones that have been accused of these violations. Therefore, an independent tribunal of past judges of the Supreme Court, and the High Court and other eminent legal luminaries with international experience should be entrusted this task on behalf of the people of the country.
As part of this exercise, this tribunal should be tasked to investigate the introduction of a permanent Independent Anti-Corruption Agency with sweeping powers, to be the watch dog that oversees all anti corrupt activities. Similar agencies exist in other countries and their performance, areas that need strengthening need to be studied by this tribunal.
An important consideration often ignored or overlooked is that in corrupt activity, there is always a taker and a giver. It is a two-way process and involves two individuals or entities. Giving a bribe has to be considered as a serious crime as much as taking a bribe is a serious crime.
Australia Broadcasting Corporation’s leading investigative journalism and current affairs programme, Four Corners, recently released a documentary suggesting a major corruption case pertaining to the multi-million dollar hospital project in Hambantota
The video reveals how Aspen Medical profited from the pandemic and got itself embroiled in an international criminal investigation into corruption and money laundering
Aspen Medical’s contracts were worth USD 500 million more than any other providers.
Aspen received funds and paid those funds back out to contractors in return to a 4% handling fee
Aspen Medical has said that it had not received any requests from any government agency or court of law anywhere in the world regarding the hospital project
Courtesy: Four Corners – ABC
Australia Broadcasting Corporation’s leading investigative journalism and current affairs programme, Four Corners recently released a documentary revealing a major corruption case pertaining to the multi-million dollar hospital project in Hambantota. The documentary reveals how Aspen Medical, a little-known private healthcare firm won billion dollar contracts to procure personal protective equipment at the height of the pandemic, its links to Sri Lanka, million dollar financial transactions to companies owned by Sri Lankans and their ties to the ruling family of Sri Lanka.
Aspen Medical: From little firm to a mega contractor
The video reveals how Aspen Medical profited from the pandemic and got itself embroiled in an international criminal investigation into corruption and money laundering. At the onset of the COVID-19 pandemic, the Australian Federal Government had outsourced the procurement of Personal Protective Equipment (PPE), selecting companies without any public tender. This is how Aspen Medical, a Canberra-based health service provider, specialised in recruiting medical staff emerged as the winner, winning contracts worth more than USD 1.1 billion to supply PPEs on a national scale.
Former employees, who have held executive positions, say that the company had never done such procurements before. Aspen Medical’s contracts were worth USD 500 million more than any other providers. Andrew Walker, co-founder and former chairman of Aspen Medicals, said that it has never procured face masks before. The latter part of the video reveals Aspen medical’s involvement in setting up the District General Hospital in Hambantota, a multi- million dollar hospital project that was initiated in 2012.
The video reveals that Aspen Medical was sub-contracted by a Dutch company called E. N Projects – backed by an Australian Government guarantee on the basis it would supply equipment and medical design for the hospital. When questioned, Andrew Walker is certain that they have never deployed staff in Sri Lanka. But when I wanted to open an account my own bank sent some questions which they wanted me to answer because of my own association with Aspen Medical. I was told that Aspen has been mentioned in a corruption case in Sri Lanka. I was taken aback when I heard this,” Walker said in the interview.
Aspen’s role was purely as a financial intermediary further showing proof of Aspen receiving funds and paying those funds back out to contractors in return to a 4% handling fee. The spreadsheet reveals the first and largest of Aspen Medical’s payments were made to a mysterious company called Sabre Vision Holdings domiciled in the notorious tax haven in the British Virgin Islands. The payments totalled 1.4 million Euros which is about 2 million Australian dollars. The company was owned by Nimal Perera, whose name has been allegedly linked to many corruption scandals.
The video reveals that the money wasn’t received by the hospital, but instead was used to purchase a property at an affluent suburb in Colombo. Journalist Linton Besser speaks to the camera in front of No. 7, Gower Street and claims that the property purchased by Perera was combined with this property that housed the private offices of Namal Rajapaksa. The video also includes statements from former Health Minister Rajitha Senaratne, Eran Wickremeratne and Wasantha Samarasinghe who were shocked by the revelations made by Four Corners.
Perera walks off
Besser visits Perera at his house and the interview is as follows:
Journalist: Tell me about your career. I want to know what sectors of the economy that you have worked for. You specialise in capital markets and economy. Perera: Yes, that’s what I do Journalist: You don’t work in the health sector? Perera: No, never in the health sector, but I was into leisure, manufacturing, finance and capital markets Journalist: You have never been a supplier of medical equipments? Perera: Never in my career Journalist: Why did Aspen Medical pay you two payments of 687,000 Euros? Perera: To me? No, Aspen hasn’t paid me. Journalist: Nothing at all? Perera: No Journalist: It sent the money to your British Virgin Islands company, Sabre Vision Holdings. Perera: Wrong, no, that is my previous employer. Journalist: At the time of those transactions according to business documents from the British Virgin Islands there was only one beneficiary of Sabre Vision Holdings and that was Mr. Nimal Perera Perera: No that is by default. Since I became the managing director of that company I became a beneficiary also. Journalist: When you were questioned about that property purchase and where the money came from, you told the police that it came from an Italian businessman. That was wrong wasn’t it? Perera: No it’s not wrong Journalist: You told that Sabre Vision Holdings was associated to this Italian businessman. Perera: No I don’t know, I can’t remember Journalist: That was a lie, wasn’t it? Perera: No, I can’t remember Journalist: Why did you try to hide the payments? Perera: Why do you want to know all this? Journalist: Try my question, why did you want to hide the payments? Perera: What payments? Journalist: The payments Aspen Medicals put into Sabre Vision Holdings? Perera: No I don’t want to answer, so you can go.
Allegations refuted
However, responding to allegations Aspen Medical has said that it had not received any requests from any government agency or court of law anywhere in the world regarding the hospital project, but would support any such inquiries. It added that the Airbus scandal only became public in 2019, years after its payments to Sabre Vision Holdings.
In a Tweet, Perera explains that Sabre Vision Holdings was a subsidiary of a diversified business entity founded in 1918 in Sri Lanka and that it was not owned by him. But I was named a beneficiary when the company I was employed acquired the company in question and appointed me as the managing director. The Italian businessman mentioned in the article was introduced to me when I was looking to furnish my house. He owned an interior design company in Italy and had provided his services to many who could afford him.”
He further says that he denies everything in the article. It’s a journalistic travesty trying to stay relevant by sensationalising an invented controversy. If there actually was any factual basis for the article’s claims they should have been able to prove that with facts.”
(Additional reporting by Kamanthi Wickramasinghe)
No connection between me and the transactions” – Namal Rajapaksa
Speaking to the , former Minister of Youth Affairs and Sports Namal Rajapaksa said that there is no connection between his arrest and this documentary. The last government has filed many cases against us and some of them have been investigated and some are still pending in courts. With regards to this particular allegation according to the documentary it had happened in 2009 and I wasn’t even in Parliament at the time. There is no connection between me and the transactions. It’s also surprising that they haven’t interviewed the health minister at the time these transactions had taken place,” said Rajapaksa.
When asked about his relationship with Perera, Rajapaksa said that they are known to each other, but there haven’t been any commercial transactions between them. Responding to a query on his private offices down No. 7 Gower Street, Rajapaksa said that he did rent out that space. When you rent a house you don’t check the kind of transactions that have taken place when obtaining it. I subsequently moved out in 2017 due to security reasons,” the Tweet further read.
See full video at : https://www.abc.net.au/4corners/profiting-from-the-pandemic:-how-aspen-medical/13863582
Police remove their vehicles, protestors remove their constructions
Peaceful non-inconveniencing protests still permitted
Following an order issued by the Colombo Fort Magistrate’s Court and a heated debate between Police and protestors outside Temple Trees in Kollupitiya, vehicles parked on the pavement in the area and the constructions of the protest zone generally referred to as MynaGoGama” were removed yesterday evening (4).
The heated debate took place when the Police produced a court order to the protestors and instructed them to dismantle the constructions. The protestors argued with the Police and asked that the Police first remove the buses that had been parked on the pavement.
Shortly after that, a group of pro-protest lawyers were seen advising the protestors that according to the court order, both the constructions and the vehicles needed to be removed. The lawyers further said that the court would consider the matter again on 9 May, and that protestors should be patient till then.
Following this, Police removed all their vehicles from the pavement, and soon after, the protestors followed suit by dismantling all their temporary constructions.
Colombo Fort Magistrate Manjula Ratnayake had issued the directive yesterday to remove all the constructions that cause obstructions to the pedestrians using the pavement and inconvenience to the public by the protestors and vehicles opposite Temple Trees. The order was issued considering a request made by the Police seeking an order to remove the protestors, claiming that they inconvenience the general public who use the pavements.
However, the court order further stated that it does not impede the protests carried out in a peaceful manner. Delivering the order, the Magistrate had stated that the order would not be an impediment to peaceful protests carried out in a manner that does not cause inconvenience to the public.
The Magistrate also issued notices to the Officer-In-Charge (OIC) of the Kollupitiya Police and the Attorney General (AG) to appear before the Court and give an explanation regarding the non-implementation of the Court order which was earlier issued to remove the unauthorised tents erected by protestors and buses parked on the pavement in front of the Temple Trees. Following a motion filed by the respondents, the Magistrate issued notice to the OIC of the Kollupitiya Police and the AG to appear before the Court on 9 May.
Noting that the Police had obtained a court order to remove the unauthorised constructions and buses parked on the pavement in front of the Temple Trees, alleging that they were obstructing the public, the attorneys who appeared for the respondents informed the court that the said order, however, has not been implemented.
The lawyers told the court that the freedom of expression of the public is enshrined in the Constitution itself, that the public are not inconvenienced by the protesters staying at the venue, and that there would be no acts of violence. They also requested the Court to issue an order to revoke the order obtained by the Police by presenting false information before the court.
After considering the facts, the Magistrate stated that it was necessary to consider the facts of the complaint and therefore summoned the Kollupitiya OIC and the AG on 9 May.
The Kollupitiya Police had obtained the said Court order on 2 May, naming Vimukthi Dushantha Gunasekara, Roshan Ali Bakir Ali, Ven. Puliyakulame Sumanaratne Thera, and Ven. Ambatenne Wimaladassa Thera as respondents.
Attorneys-at-Law Achala Seneviratne, Senaka Perera, Amila Egodamahawatte, Amila Palliyage, Sandamal Rajapaksa, and Prasad Perera appeared for the respondents.The MynaGoGama” protest zone saw a large number of protesters daily since its inception nearly two weeks ago. Many protestors who were engaged in the protest zone named GotaGoGama” at the Galle Face Green, demanding the resignation of President Gotabaya Rajapaksa, Prime Minister Mahinda Rajapaksa, and the Government, too joined the former protest zone carrying canopies and tents on their shoulders on 1 May.
May 5 (Reuters) – Sri Lanka plans to replace its current unrealistic” budget and is in talks with the World Bank to extend its support by $300 million to $700 million, the country’s finance minister said on Wednesday.
The island nation, hit hard by COVID-19 and short of revenue after steep tax cuts by President Gotabaya Rajapaksa’s government, is critically short of foreign exchange and has sought an emergency bailout from the International Monetary Fund.
Rampant inflation and shortages of imported food, fuel and medicines have led to weeks of protests that have occasionally turned violent.ADVERTISEMENT
The existing budget is unrealistic, given our challenges,” finance minister Ali Sabry told a parliament session.
We will bring in a new budget that will seek to address core issues of low public revenue.”
Sabry said he wanted to increase tax revenue as a share of gross domestic product to 14% within the next two years, from 8.7% now.
Sri Lanka will appoint within the next two weeks financial and legal advisers for a proposed restructure of its sovereign debt, Sabry said, adding that the government was keen to work with the IMF on structural reforms.
This is the only way to put the economy on a sustainable footing,” he said.
Colombo, May 4 (newsin.asia): Representative of trade unions in a number of essential services have said that they will not support the strike which is expected to be launched on the 6th of May. The strike will cause inconvenience to the general public and will only help achieve narrow political gains, they said. They would take all necessary steps to provide their services uninterrupted, the unions added.
The Trade Union representatives expressed these views during a meeting held with President Gotabaya Rajapaksa at the President’s House in Colombo Fort on Tuesday. They told the President that the scheduled strike was not for workers’ rights but for the benefit of some political parties.
The strike is aimed at exacerbating the current economic crisis and oppressing the people. It is the duty and responsibility of all employees to understand the situation and to ensure that the lives of the people are not inconvenienced.
The President pointed out the need to adopt new methods and move away from political divisions to overcome the economic crisis. The political motive behind the strikes is to intensify the economic crisis, he said. It is vital not to allow institutions to collapse.
The President thanked the workers who performed their duties despite the strike on the 28th April and requested all trade unions to understand the situation and provide necessary assistance to the people to lead a normal life.
FERTILIZER BAN: Asia Siyaka Commodities blamed the drop on the agrochemical ban, a government push to transform the country’s farms into 100 percent organic
Sri Lanka’s tea exports have dropped to their lowest level in 23 years, official figures showed yesterday, hit by a fertilizer ban and Russia’s war against Ukraine.
Tea is the country’s biggest export commodity, bringing in about US$1.3 billion annually before the current economic downturn, the worst since independence in 1948.
However, a ban on fertilizer imports last year — introduced in a doomed effort to save foreign currency and avoid a debt default — hit growers hard, with production falling 18 percent year-on-year for the period from November last year to February.
Protesters take part in an anti-government demonstration near the president’s office in Colombo on Monday, demanding President Gotabaya Rajapaksa’s resignation over the country’s crippling economic crisis.
Customs data showed that first-quarter exports this year correspondingly plunged to 63.7 million kilograms, down from 69.8 million kilograms in the first quarter of last year.
The tally was the lowest since the first quarter of 1999, when the country shipped out 60.3 million kilograms of tea.
Export earnings for the first quarter also declined, to US$287 million from US$338 million.
Tea brokering firm Asia Siyaka Commodities PLC blamed the drop on the agrochemical ban, which was portrayed by the government as a push to turn Sri Lankan farming 100 percent organic.
The ban was lifted by October last year following a backlash from the industry, but farmers were left unable to access imported fertilizer as the country simultaneously ran out of US dollars.
Industry officials added that about 10 percent of Sri Lanka’s tea exports had also been affected by Russia’s invasion of Ukraine. Both countries are top buyers of the country’s aromatic black tea.
The country of 22 million lacks enough foreign currency to finance even the most essential imports such as food, fuel and medicines. Dire shortages and galloping inflation have led to widespread protests calling for Sri Lankan President Gotabaya Rajapaksa to step down.
Sri Lanka plans to replace its unrealistic” budget and is in talks with the World Bank to extend its support by US$300 million, Sri Lankan Minister of Finance Ali Sabry said yesterday.
The country, hit hard by COVID-19 and short of revenue after steep tax cuts by Rajapaksa’s government, has sought an emergency bailout from the IMF.
The existing budget is unrealistic, given our challenges,” Sabry told parliament. We will bring in a new budget that will seek to address core issues of low public revenue.”
Sabry said he wanted to increase tax revenue from 8.7 percent of GDP to 14 percent within the next two years.
Sri Lanka is within the next two weeks to appoint financial and legal advisers for a proposed restructure of its sovereign debt, Sabry said, adding that the government is eager to work with the IMF on structural reforms.
This is the only way to put the economy on a sustainable footing,” Sabry added.
Buddhist monks protest outside the president’s office in Colombo on Wednesday
Sri Lanka will have to endure its unprecedented economic hardships for at least two more years, the country’s finance minister said Wednesday while warning of an imminent cash crunch.
Months of blackouts and acute shortages of food, fuel and pharmaceuticals have brought widespread suffering across the South Asian island nation.
Public anger has sparked sustained protests demanding the government resign over its mismanagement of the economic crisis, Sri Lanka’s worst since independence in 1948.
“People should know the truth. I don’t know if people realise the gravity of the situation,” Finance Minister Ali Sabry told parliament.
“We won’t be able to resolve this crisis in two years, but the actions we take today will determine how much longer this problem will drag.”
Sabry said the country now has less than $50 million in usable foreign exchange reserves, needed to finance essential goods to keep Sri Lanka’s import-dependent economy ticking over.
Official data shows $1.7 billion in reserves, but most of that figure includes a Chinese currency swap which cannot be used to pay for imports from other countries.
Sabry said the government had erred by delaying an approach to the International Monetary Fund for a bailout.
Negotiations with the IMF are ongoing but Sri Lanka’s central bank chief has said any assistance from the lender is months away.
The government will unveil a new budget soon and raise taxes to replenish state revenue.
“It was a historic mistake to sharply reduce taxes in 2019,” Sabry said, adding that the previous central bank chief had also blundered by exhausting foreign reserves to defend Sri Lanka’s overvalued currency.
Sri Lanka’s economic crisis took hold after the coronavirus pandemic hammered income from tourism and remittances.
Unable to pay for fuel imports, utilities have imposed daily blackouts to ration electricity, while long lines of people snake around service stations for petrol and kerosene.
Hospitals are short of vital medicines and the government has appealed to citizens abroad for donations.
Last month Sri Lanka announced it was defaulting on its $51 billion foreign debt.
President Gotabaya Rajapaksa has said he is willing to form a unity government to manage the country through the crisis.
But the opposition has refused to join an administration with the president or any other members of the powerful Rajapaksa family still in power.
Protesters have been camped outside the president’s seafront office for nearly a month to pressure him into stepping down.
Trade unions, which staged a strike last week, have said they will stop work again on Friday to pressure the entire government to resign.
You can’t believe everything you read on the internet – especially these days, with so many false claims and misleading stories. Some governments have even taken to blocking social media to prevent ‘rumours’ spreading. In fact, no less than 32 countries in Asia restrict social media platforms in some way.
China, Iran, North Korea, and Turkmenistan go one step further and enforce full bans across popular social media platforms. China, Iran, Iraq, and North Korea also have full bans on Virtual Private Networks (VPN), which allow users to get round geographical restrictions. A further 11 impose restrictions on VPNs – but fortunately they are still widely available in Sri Lanka for those with dollars, which are not quite so available these days.
Nearly 60 per cent of the world’s population, some 4.66 billion people, use the internet. It’s our source of instant information, entertainment, news, and social interactions.
According to a new British study, more than a third of internet users are unaware that online content might be false or biased.
Every minute sees 500 hours of content uploaded to YouTube, 5,000 videos viewed on TikTok and 695,000 stories shared on Instagram. Given the sheer volume of information at the touch of our smartphones, having the right critical skills and understanding to decipher fact from fiction has never been more important.
But new research by the British Telecom regulator, Ofcom, reveals that 30% of UK adults who go online (14.5 million) are unsure about, or don’t even consider, the truthfulness of online information. A further 6% – around one in every twenty internet users – believe everything they see online.
Misinformation can spread quickly on social media platforms. More than four in ten adults say they have seen a story on social media that looked deliberately untrue or misleading in the last year.
To interrogate this trend, participants were shown social media posts and profiles to determine whether they could verify their authenticity. This reveals that users’ confidence in their ability to spot fake content belies their true critical capabilities.
Although seven in 10 adults (69%) said they were confident in identifying misinformation, only two in 10 (22%) were able to correctly identify the tell-tale signs of a genuine post, without making mistakes. There was a similar pattern among older children aged 12-17 (74% confident but only 11% able).
Similarly, around a quarter of adults (24%) and children (27%) who claimed to be confident in spotting misinformation were unable to identify a fake social media profile in practice.
A further six per cent, or about one in every 20 internet users, believe everything they see online.
Four in five adult internet users (81%) want to see tech firms take responsibility for monitoring content on their sites and apps. Two thirds (65%) also want protection against inappropriate or offensive content.
In a volatile and unpredictable world, it’s essential that everyone has the tools and confidence to separate fact and fiction online – whether it’s about money, health, world events or other people.
But many adults and children are struggling to spot what might be fake. Ofcom now wants tech firms to prioritise rooting out harmful misinformation, before the regulator is forced to take action against them.
In the meantime, Ofcom is offering tips on what to consider when you’re browsing or scrolling the web.
1) Check the source. This isn’t necessarily who shared the information with you, but where it originated from.
2) Question the source. Are they established and trustworthy, or might they have a reason to mislead?
3) Take a step back. Before you take something at face value, think about your own motives for wanting to believe it.
The study also found that 33% of parents of five to seven-year-olds and 60% of parents of eight to 11-year- olds reported their children having a social media profile, despite them being under the minimum age requirement of 13 for most sites.
TikTok, in particular, is growing in popularity, even among the youngest age groups.
Amazingly, 16% of three to four-year-olds and 29% of five to seven-year-olds are using the platform, even though the app is supposed to be for people aged 13 and over.
Ofcom warned that many children could be ‘tactically’ using other accounts or ‘finstas’ – fake Instagrams – to conceal aspects of their online lives from parents. However, not a problem in place where the platform is blocked.
It was the private sector that demanded a tax cut soon after the present government came into power, Former Prime Minister Ranil Wickremesinghe told Parliament today.
“No politicaian in the government wanted a tax cut, as it was the private sector that wanted it,” he said.
The former Premier also found fault with the govenment officials and requested the minister of finance to work on his own and make his own statements in the House. “I also propose that all financial advisory committees as it is the Parliament which has power over finances,” he said.
Also Mr. Wickremesinghe requested that Srilankan airlines should be told to halt leasing of 21 new aircraft till the House gives its approval for it.
He also praised the Minister of Finance Ali Sabry saying he has been brave enough to undertake a daunting task of reviving the country’s economy.
Minister of Finance Ali Sabry, delivering a special statement in parliament today (May 05), revealed that Sri Lanka’s foreign liquidity reserves, which amounted to USD 7.6 billion by the end of 2019, have dropped to a critically low level below USD 50 million.
Speaking further, the lawmaker said the reserves declined to USD 5.7 billion by the end of 2020, as a result of gross inflows of USD 5.8 billion and outflows of USD 7.8 billion, including foreign currency debt service payments of USD 6.0 billion.
The reserves declined further to USD 3.1 billion by the end of 2021 consequent to the gross inflows of USD 7.9 billion and outflows of USD 10.4 billion, including foreign currency debt service payments of USD 6.8 billion and provision of foreign exchange of USD 1.2 billion to finance essential imports, the finance minister added.
Accordingly, as of now, the usable liquid reserves are at negligible levels,” he pointed out, noting that this is severely impacting the importation of essential items, including fuel, LP gas and pharmaceuticals. The government is struggling to find enough foreign exchange to finance these essential imports, he added.
Delivering his statement, Minister Sabry said Sri Lanka is battling an unprecedented socio-economic and political challenge at present, and the root causes of these challenges go back to several decades of economic history although more recent developments have aggravated the situation into an acute crisis.
Speaking of the substantial tax cuts introduced by the government in late 2019, the finance minister said the intended results of this measure were not realized with the outbreak of the COVID-19 pandemic in Sri Lanka, which aggravated the situation in Sri Lanka.
Further, the revenue foregone due to the tax cuts introduced in late 2019, which was estimated to be more than Rs. 500 billion, has resulted in sovereign rating agencies downgrading Sri Lanka to near default levels, he added.
The finance minister is of the view that these tax cuts should have been gradually reversed in the new environment created by the COVID-19 pandemic. What transpired instead was that the revenue loss led the Central Bank to print money and help the government to finance the deficit.”
With the government’s tax revenues depleted to 8.7% at present, Minister Sabry says the parliament must give priority to implement tax reforms to increase government revenue and rationalize expenditure whilst ensuring public investment in critical areas such as education, healthcare, and social protection.
The finance minister stressed that the time has come to follow a professional approach in resolving these issues rather than being swayed by ideological inclinations. I accept the fact that the aggravation of the issues was due to the delay in restoring fiscal and debt sustainability and failing to preemptively address the decline in foreign reserves. Sri Lanka should have focused on regaining capital market access by establishing a credible path of macroeconomic stabilization, supported by institutions such as the IMF.”
With regard to the decision to seek the assistance of IMF, the finance minister said it is important in this context. An IMF programme will be a catalyst to undertake the much-needed reforms and will provide a signal to the rest of the world that Sri Lanka is serious in addressing its economic difficulties.
But we must realise that the economic reform programme we embark upon must be a programme with Sri Lankan ownership. We must put forward a professional and analytically robust economic plan, where the IMF will also provide technical assistance and then endorse. Without that Sri Lankan ownership, and without broad consensus of the legislature, we would not succeed in providing permanent solutions for our longstanding economic issues.”
Speaking further, the minister said the fundamental macroeconomic weaknesses in the economy have been decades in the making. The recent shocks such as the COVID-19 pandemic and the Ukraine conflict have exposed the underlying weaknesses such as fiscal instability, accumulated debt overhang, low productivity and persistent current account deficits. However, we should also be humble enough to admit that this situation has occurred due to some of the misaligned and imprudent policies implemented in the recent past as well.”
It is time for Sri Lanka to establish a broad political consensus on the economic path forward for the country, Minister Sabry said further, explaining that every time there has been an attempt to establish long term solutions, these are reversed in the next election cycle with a promise of short-term benefits and relief.
The adverse outcome of these stop-go policies are experienced today, he added. Noting that we should understand the root cause of the issue such as the unsustainable fiscal policies adopted by many successive governments, the finance minister stated that We, as a country, have lived beyond our means.”
Without proper checks and balances, all governments have spent much more than what they earned, of course with the approval of the parliament, under which the responsibility for public finances falls, he continued.
Minister Sabry also revealed that the government intends to present a new budget proposal in the parliament soon, through which the income taxes are expected to be increased.
The Fort Magistrate’s Court has issued a court order for the removal of all the structures, vehicle and belonging of protesters near Temple Trees in Kollupitiya, that cause obstructions to the pedestrians using the pavement and inconveniences the public.
However, the court order further says that it does not impede the protests carried out in a peaceful manner, Ada Derana reporter said.
Fort Magistrate Manjula Ratnayake had issued the directive today after considering a request made by the police seeking an order to remove the protesters as they inconvenience the general public who use the pavements.
Meanwhile it is reported that police officers have informed the protesters near Temple Trees of the court order and have given them a couple of hours to move the said obstructions, based on the court order.
Delivering the order, the magistrate emphasized that this order is not be an impediment to peaceful protests carried out in a manner that does not cause inconvenience to the public using the pavement and the public using the road.
Minister Dinesh Gunawardena, addressing the rumours circulated on the resignation of Prime Minister Mahinda Rajapaksa, said the reports are baseless.
He made these remarks speaking to the media following the meeting of the parliamentary group of the ruling party today (May 04).
When asked about the rumours stating that the prime minister is expected to step down from his position after delivering a special statement in the parliament, Minister Gunawardena said no such decision has been taken.
The parliamentarian, however, stated that the prime minister intends to deliver a statement tomorrow or the day after, on the ongoing issues in the country.
UPDATE: The Central Bank of Sri Lanka (CBSL) has announced the official exchange rates of the US Dollar.
Accordingly, the selling rate of the USD is listed as Rs. 350.05 and the buying rate is Rs. 362.99, according to the central bank.
Several licensed commercial banks in Sri Lanka today (May 04) announced their selling rate as Rs. 370 per US Dollar.
The selling rate of US dollar per Sri Lankan Rupee according to the daily exchange rates of several licensed commercial banks is as follows:
BOC – Rs. 366 People’s Bank – Rs. 359 Sampath Bank – Rs. 370 Commercial Bank – Rs. 370 NDB – Rs. 370 Amana Bank – Rs. 360
In the wake of the Central Bank’s decision to float the currency, the buying and selling rates of the USD have been fluctuating daily.
On March 07, the Central Bank of Sri Lanka announced that greater flexibility has been allowed in the exchange rate with immediate effect. However, the Central Bank had said it is of the view that the rate will not exceed Rs. 230 per USD.
In one of the video reports, the person by the name of Nimal Perera does not want to answer the interviewer’s question about the mysterious British-Virgin Islands-domiciled company called Sabre Vision Holdings and walks away giving the impression to the viewer that there is something fishy going on. However, in 2016, this same person (when the UNP was in power and determined to jail the Rajapakse’s) confessed to collecting money for Namal Rajapaksa and his confession led to Namal Rajapaksa bieng arrestd (see page 7). However this allegation was not proved in a court of law and Namal Rajapakse was finally aquitted. The million dollar question is Why does Nimal Perera walk away now when the Austarlian journalist asks akward questions whereas in 2016 the same person came forward to get Namal Rajapaksa arrested? Isn’t this typical “Manufacturing Consent” ? see also:
United Nations held its first Conference on the Law of the Sea (UNCLOS I) in 1956.The second Conference (UNCLOS II) was held in 1960. The Third United Nations Conference on the Law of the Sea (UNCLOS III) was convened in 1973 and went on till. 1982. The United Nations Convention on the Law of the Sea (UNCLOS) prepared in 1982, came into force in 1994.
This Convention let to the creation of three institutions dealing with the Law of the Sea. First,
The Commission on the Limits of the Continental Shelf, to consider the limits declared by a State and make recommendations thereon Second the International Sea-bed Authority, to see to management of the mineral resources of the deep seabed beyond national jurisdiction. Third, International Tribunal for the Law of the Sea consisting of 21 judges empowered to resolve any dispute concerning the Convention
UNCLOS III is important because it greatly increased the sea area which came under the control of sovereign states. A state was now in control of the sea around it, up to 200 nautical miles. This sovereignty extended to the air space over the territorial sea as well as to its sea bed and subsoil. This right was however, subject to the conditions in the UNCLOS Convention and the rules of international law.
A coastal state now had control over four extents of sea, measured from a carefully defined baseline. The four extents of sea were Internal waters, Territorial waters, Contiguous Zone and Exclusive Economic Zone.
Internal waters meant all water and waterways on the landward side of the baseline. Foreign vessels have no right of passage within internal waters.
.Territorial waters extended to 12 nautical miles (22 kilometers) from the baseline. The state could regulate use of this area and could use any resources in it. However, vessels belonging to other state had the right of innocent passage through territorial waters.
Contiguous zone consists of a further 12 nautical miles beyond the Territorial waters. . A state can enforce laws in four specific areas in this zone. The areas were customs, taxation, immigration, and pollution.
Exclusive Economic Zone extended for200 nautical miles from the baseline. Within this area, the coastal nation has sole exploitation rights over all natural resources. Foreign nations could travel on this sea and could fly in its airspace, but subject to regulation from the coastal state concerned. Foreign states could lay submarine pipes and cables in this Zone.
On becoming a Party to the 1982 United Nations Convention on the Law of the Sea (UNCLOS), Sri Lanka, as an island State, was required to establish its maritime boundaries in accordance with the rules prescribed by that Convention.
During the negotiations Sri Lanka established its boundaries for the different areas. the territorial limit of 12 miles had been declared in Sri Lanka’s Maritime Zones Proclamation of January 1977. This was confirmed in the 1982 Convention. The 12 miles was drawn from the baseline and is the low water mark of ordinary spring tides along the coast. The other three areas were also no problem.
What remained to be established was the extent of Sri Lanka’s Continental Shelf. The Convention sets limits to the extent of the ‘Continental Shelf’ that a State may legally claim, together with its natural resources, e.g. an outer limit of 350 miles from the baseline.
Because of the peculiar configuration of Sri Lanka’s Continental Shelf, application of the Convention’s ordinary depth and distance limits to the Continental Shelf would have deprived Sri Lanka of submarine areas and their natural resources in comparison with the extent permitted to other coastal States under the Convention.
The actual extent of sea that a state can claim was based on Article 76 of the Convention,, which said The continental shelf of a coastal State comprises the seabed and subsoil of the submarine areas that extend beyond its territorial sea throughout the natural prolongation of its land territory to the outer edge of the continental margin, or to a distance of 200 nautical miles from the baselines where the outer edge of the continental margin does not extend up to that distance. A baseline is defined as the low water line of the maritime country that is normally used for surveying purposes.
A maritime state can demarcate its outer edge of the continental margin using one of two formulae provided in paragraph 4(a) of the Article 76.
The first formula is known as the sediment formula or Irish formula and it allows a maritime state to claim the adjacent sea area up to a boundary where the thickness of oceanic sediments is 1% of the distance measured from the foot of the slope. This boundary should not exceed 350 nautical miles from the baseline mentioned above.
The second formula which is known as the Hedberg formula states that a maritime country can claim the adjacent sea area up to a distance not more than 60 nautical miles from the foot of the continental slope. This boundary should not exceed 100 nautical miles. In both these formulae, the foot of the continental slope means the point at which the maximum change in slope occurred.
The Sri Lanka team found that Article 76 of the Convention would, if applied to Sri Lanka, result in the loss of more than half of its continental shelf. They informed the Conference. The Conference then prepared a separate document to be attached to the Convention and binding on all countries.
That document, negotiated by Sri Lanka with the interested states, was adopted by all the States at the Conference, and now forms Annex II to the Final Act of the Third United Nations Conference on the Law of the Sea, and bears the title ‘Statement of Understanding’ (SOU). Sri Lanka is entitled to claim for an extended area of seabed where the thickness of the sediment layer exceeds one Km.
A special method of establishing maritime boundaries for countries south of the Bay of Bengal was agreed on. This allowed Sri Lanka a special calculation applicable to its adjacent submarine areas and resources, that would not be governed by the Convention’s ordinary limits and conditions, but only by the limits and conditions contained in that document.
Conditions in that document were, at India’s request, extended to India as a ‘neighboring State’, where the configuration of its Continental Shelf resembled that of Sri Lanka. The Conference agreed that the SOU should extend to India as a ‘neighboring State’ in the southern part of the Bay of Bengal.
Government of Sri Lanka then set up a special project under the purview of the Ministry of Foreign Affairs and the Ministry of Fisheries and Aquatic Resources to carry out scientific surveys related to the demarcation of maritime boundaries of Sri Lanka. An inter-departmental Committee titled the National Ocean Affairs Committee (NOAC) consisting of scientific and legal experts was set up.
This committee used experts from the United States, Russia, Norway, New Zealand) as well as Sri Lankan experts. With the help of a group of dedicated geologists, geophysicists and hydrographers, some of whom were working on a voluntary basis, initial planning of the seismic survey was carried out.
This involved determining the approximate boundary of the outer edge of the continental margins using results of single channel seismic work carried out over the region by geophysical institutes in the USA, Germany and Russia.
NOAC also used data from UK’s DEOCOM project (Delimitation of the Outer Edge of the Continental Margin of Sri Lanka) of 2007 and the Deep Sea Drilling Project (DSDP) of the USA. To this was added the interpretation of satellite gravity anomalies carried out by local geophysicists. According to the results of these studies Sri Lanka can claim an oceanic area almost equal to twenty-five times of its land area.
Sri Lanka’s written submission to CLCS on the extent of its Continental Shelf was prepared by a group of local scientists and legal experts with the assistance of several foreign experts who had been involved in the preparation of similar claims for their own countries.
The deadline imposed by the UN Commission for maritime countries to make their submissions was 13th May 2009. Sri Lanka managed to make its submission on 8th May 2009. Sri Lanka‘s submission, consisting of considerable volume of documents and maps, was deposited with the Secretary-General of the United Nations, on 8 May 2009 within the prescribed time schedule, observed Pathfinder Foundation.
However, over forty two maritime countries had submitted their claims before Sri Lanka and the date on which Sri Lanka’s claim will be considered by the UN Commission on the Limits of the Continental Shelf (CLCS) will be delayed as a result of this. It is estimated that Sri Lanka’s claim will not be taken up for consideration before 2025.
We should have a group of competent Sri Lankan scientists and legal experts ready by then to defend our claim said D.A. Tantrigoda. Sri Lanka can satisfy the criteria given in Annex-II. For this it is necessary to determine the boundary at which thickness of sediments lying in the Indian Ocean region around Sri Lanka is one kilometer. Multi-channel seismology was considered the most suitable method for this purpose. The gravity and seismic data collected around Sri Lanka during the survey carried out by the DEOCOM can be used for this.
Sri Lanka must take urgent steps to train and equip a new generation of negotiators, who would successfully argue Sri Lanka’s case before the CLCS, when Sri Lanka is invited to present its case, said Pathfinder Foundation.
MCM Pinto, said that the Sri Lanka team handing this matter in the UN should be recognized. It was their tireless efforts that secured for Sri Lanka and India the specific method of establishing the outer edge of their continental shelves. He named first of all, Ambassador H.S. Amerasinghe, the first President of the Third UN Conference on the Law of the Sea.
Dr. Hiran Jayewardene, recognized the inequity that would be caused by application to Sri Lanka of the continental shelf limits provided for in Article 76, and convinced the Conference that the solution lay in adoption of the Statement of Understanding” and its incorporation in the 1982Convention through Article 3 of Annex II to the Convention which established the Commission on the Limits of the Continental Shelf, said Pinto.
Dr. Jayewardene continued his pioneering role by establishing the National Aquatic Resources Agency (NARA) of Sri Lanka, and also functioned as Secretary-General of the Indian Ocean Marine Affairs Co-operation organization. Three other members of Sri Lanka’s delegation to the Conference should also be remembered ,said Pinto, Ambassadors Susantha de Alwis, Karan Breckenridge and Rodney Vandergert.. ( Continued)
The ocean resources of Sri Lanka are in the process of expanding due to the relatively new UN Law of the Sea, announced the media. The Territorial and Continuous areas will add a sea area 8 times our land area. Sri Lanka will thereafter acquire 200 nautical miles as an Exclusive Economic Zone, (EEZ) when its claim is considered. This would extend to about 350 kilometers or more from the shore. This would increase our sea area to more than 27 times the landmass we have. The total area will resemble a fan around the island.
Sri Lanka will have the exclusive right to enjoy and manage the resources in this Zone. This ocean area will be the most valuable economic asset of the country, said experts. The future prosperity of this country lies in the sea which surrounds it.
This EEZ has minerals and hydrocarbons, oil and gas of great economic value, as well seaweed farming, extended fisheries said analysts. In addition, Sri Lanka can promote oceanic recreational opportunities such as surfing, whale and dolphin watching, deep sea diving, sea entertainment and sea sports.
This area has a thick sediment cover having a high potential of hydrocarbon accumulation. Therefore this sea area should have tremendous potential for oil and gas. It is considered highly probably that there is oil and gas on the west and east coasts. Minerals such as titanium, zirconium, thorium, potassium, cobalt, nickel, copper manganese have been discovered.
Over 600 coastal and nearly 100 pelagic fish have been reported. Some 60 species of sharks, over 20 species of demersal fish and shell fish have been reported. However at present we lack the fishing vessels to get at these. Also sea weed has great economic potential. Promising spies of Garcilaira, Ulva and Sargassum have been found in these coastal waters.
A best part of this EEZ will go to Eelam, if we are not careful, warned critics. Eelam start at Puttalam, goes up to Jaffna, down past Trincomalee and Batticaloa to Ampara. The oil and gas reserves of the west and east will become part of Eelam.. (Continued)
India, Sri Lanka and Maldives are located in the same area of the Indian Ocean. Therefore it was necessary to decide on the territorial boundaries of the sea between these three countries. Maritime boundary agreements between India and Sri Lanka were signed in 1974 and 1976 . This was necessary to avoid conflict, in the waters particularly in Palk Strait.
The first agreement was regarding the maritime boundary in waters between Adam’s Bridge and the Palk Strait, and came into force on July 8, 1974. This demarcated the waters from Adam’s Bridge to Palk Strait. The boundaries were drawn by connecting by straight lines two terminal points and four turning points which have been plotted by the system of drawing arcs of great circles from points on the baselines of the two countries and taking the point of intersection as the required point. The baselines followed the low water mark of the seaward edge of the islands off the coastline.
The 1974 Agreement stated that each country shall have sovereignty and exclusive jurisdiction and control over the waters, the islands, the continental shelf and the subsoil which falls on its side of the boundary. Vessels of India and Sri Lanka will enjoy in each others’ waters as they have traditionally done.
The 1974 Agreement also said that if there is any single geological or natural gas structure or field straddling across the boundary, the two countries should seek to reach an agreement on the manner in which the structure or field should be most effectively exploited and the manner in which the proceeds deriving there from shall be apportioned.
The second agreement, which entered into force on May 10, 1976, defined the maritime boundaries in the Gulf of Mannar and the Bay of Bengal.. This was followed by a third agreement in 1976, between India and Sri Lanka to extend the maritime boundary in the Gulf of Mannar. A fourth agreement was signed in 1976. This was an agreement for the Determination of the tri-junction point between India, Sri Lanka and Maldives in the Gulf of Mannar
In 1977, Issues connected with boundaries with India and the Maldives, as well as with the politically sensitive matter of Sri Lanka’s sovereignty over the island of Kachchativu, were settled by agreement.
Sri Lanka ‘s Maritime Zones Law No.22 of 1976 provided for the historic waters of Sri Lanka. The Law stated that Sri Lanka exercises sovereignty, exclusive jurisdiction and control in and over the historic waters, as well as the islands and the continental shelf, and the seabed and subsoil thereof within such historic waters.
Sri Lanka declared that the areas of sea in the Palk Strait, Palk Bay, and the Gulf of Mannar up to Kalpitiya on the Western coast, and Point Pedro on the Northern coast were the historic waters of Sri Lanka . Palk Bay had been claimed as historic waters on the basis of Sri Lanka’s use of the pearl and chank fisheries there..
The Maritime Zones Proclamation of 1977, declared that the historic waters in the Palk Bay and Palk Strait shall form part of the internal waters of Sri Lanka and that the historic waters in the Gulf of Manner shall form part of the territorial sea of Sri Lanka. The Palk Strait which provides the entrance to Palk Bay was declared internal waters. Analysts noted that The UN Convection did not apply to historic bays.
The UN Convention on the Law of the Sea makes provision for delimitation of the sea when states have overlapping or adjacent coasts. This is to be decided under the provisions of Article 83 of the Convention.
There are overlapping claims in the Bay of Bengal between Sri Lanka, India, Myanmar, Bangladesh and the Maldives. In 2016, Bangladesh had objected to United Nations Commission on the Limits of the Continental Shelf (CLCS) regarding Sri Lanka’s claim of the continental shelf.Bangladesh objects to Sri Lanka rights where it overlaps with Bangladesh. The Bengal fan is believed to have rich hydrocarbon and mineral resources. One solution is to have joint ownership , the other is to draw boundaries, said NOAC
Pathfinder Foundation said that as there are other countries ahead of Sri Lanka in the ‘queue’ awaiting invitations to present their submissions to CLCS it is urgently necessary that Sri Lanka have consultations with India as joint beneficiary under the SOU, that would safeguard our (and India’s) interests. After consultation with India, Sri Lanka should also discuss with Bangladesh and Myanmar on their claims, if any, to be entitled to the dispensation provided to Sri Lanka (and India) by the SOU..
Pathfinder recommended that Sri Lanka take urgent action to discuss the situation first with India and thereafter with other countries aspiring to take advantage of the SOU.Sri Lanka must alsotake urgent steps to train and equip a new generation of negotiators, who would successfully argue Sri Lanka’s case before the CLCS, when Sri Lanka is invited to present its case. (Continued)
Aspen’s role was purely as a financial intermediary further showing proof of Aspen receiving funds and paying those funds back out to contractors in return to a 4% handling fee.
government agency or court of law anywhere in the world regarding the hospital project, but would support any such inquiries. It added that the Airbus scandal only became public in 2019, years after its payments to Sabre Vision Holdings. 
