Features
The Central Bank Bombing
by J. Godwin Perera
The date was the same as today -January 31. But the year was different. It was 1966. 25 years ago. My office was at Aitken Spence, Lloyd’s Building on Sir Baron Jayatilaka Mawatha (former Prince Street ),in close proximity to the Central Bank. That’s why this tragic incident is indelibly etched in my memory. As a matter of interest, Aitken Spence shifted to Vauxhall Street many years later. However on this morning I did not go to office as I had another appointment in another office at Maya Avenue.
I had been nominated to a special committee appointed by the then Minister of Industrial Development the late Hon. C.V.Gooneratne (He was killed by an LTTE suicide bomber in June 2000) to develop a plan to accelerate the promotion of apparel exports. This meeting commenced on schedule at 9.30 am. Around 11 am we heard the unmistakable ‘Boom’ of a bomb exploding. As we looked out of the windows in the direction of Fort, we saw dark, black plumes of smoke rising to the sky. Someone exclaimed ‘That’s where the Central Bank is’ The meeting was abruptly terminated.
In haste we hopped into our cars to get either to our offices or homes. But by now the city was in panic. Vehicle drivers were impatiently tooting horns. Traffic jams had already formed. To proceed 30 feet it took no less than 30 minutes. Motor cyclists and three-wheelers with raucously blaring horns rode on the pavements. Yes it was indeed true. It was the Central Bank and adjoining buildings that were burning.
Those were days of deep anxiety. The LTTE was on the rampage throughout the country. No one knew what dangers lurked ahead. The risk was that of being in the wrong place at the wrong time. For almost three decades Sri Lanka was embroiled in a war against the LTTE, described as one of the most ruthless terrorist organizations in the world. But this was 1996. It would take another anxiety ridden, fear shrouded, 13 years for the LTTE to be completely annihilated. During this dark period the pages in our nation’s history was splattered with the blood of thousands of innocent persons and thousands of combatants on both sides of the divide.
The LTTE even extended its ruthless arm across to India where former Prime Minister Rajiv Gandhi was assassinated in 1991 while he was campaigning for the forthcoming elections. Here in Sri Lanka while the war raged in the North and East, in Colombo high profile targets were selectively killed by suicide bombers. Amongst those assassinated were the Commander of the Navy, Admiral Clancy Fernando in 1992. President R. Premadasa in 1993. UNP Presidential candidate Gamini Dissanayake in 1994. There were many more. Such a list would take an entire page of this journal.
The Central Bank was one of the many soft targets selected by the LTTE in their diabolical desire to create chaos and confusion, panic and pandemonium. Eleven years before this, on May 14, 1985, LTTE terrorists killed 146 civilians who were worshiping at the Jaya Sri Maha Bodhi in Anuradhapura. On that fateful day of January 31, 1966, Colombo was like a city under siege. The seeming normalcy was unreal. No one spoke about it but it was there. Employees in both the public and private sectors diligently reported to work. No matter how one went to and returned from work, whether public transport or private vehicle everyone, yes, everyone, was exposed to the risk of being killed by the LTTE.
Meanwhile, known only to the highest level of the LTTE hierarchy a ruthless plan to create death, destruction and devastation was being unfolded. On January 29, an Elf truck (42- 6452) loaded with over 200 kg of RDX explosives, gelignite, dynamite and ball-bearings all of which had been cleverly hidden under coconut husks left Vavuniya. It had reached Colombo on the 30th and parked in a safe house. Then next morning after the usual rush hour traffic had lessened and commercial activity had settled down to its busy routine the Elf truck with its lethal cargo had driven along the city’s main roads, passing undetected through several check points.
Then on to Janadhipathi Mawatha and to the main entrance of the Central Bank. The time was 10.45 am. As gunmen in the truck traded fire with the security guards of the Bank, it crashed through the main gate and the deadly cargo was detonated. Half of the Central Bank building crashed and fires broke out on several floors. But that was not the end of the attack. Within a few minutes a three-wheeler arrived. It carried two LTTE cadres armed with automatic rifles and a RPG launcher which they fired indiscriminately all around them.
Since the Central Bank of Sri Lanka (CBSL) is at the apex of the country’s financial system with the primary focus of maintaining economic and price stability and financial system stability to promote sustainable growth through policy stimulus and advice, the LTTE would have wanted to paralyze the country’s financial system and cripple the economy. Certainly much more damage and destruction would have been caused if the explosives laden lethal lorry had been able to enter further inside the Bank building.
But fortunately barriers had been constructed in front during the Governorship of the late Dr H.N.S. Karunatilaka. The fortitude and commitment of Bank officials from the highest levels to the lower levels was truly admirable. In fact on the very next day – February 1, all those who were not injured came to the Bank’s Centre for Banking Studies at Rajagiriya to work. It was ‘Business as Usual’ But let’s revert to that fateful day of January 31st
In an article ‘ Rising from the Ashes – The Central Bank’s Remarkable Recovery from the Terrorist Attack’ C.P.A. Karunatilake who was the Superintendent of the Currency Dept. provides a graphic description of the rescue operations within the Bank. ‘Despite an imminent danger to their lives there were many brave sons and daughters of the Bank who dared to go into the building in search, if any of their colleagues or visitors were trapped in, to help them out safely. Some officers were seen driving bank vehicles loaded with affected colleagues rushing them to hospital.
‘Since all the entry and exit gates at road level were blocked with rubble, the wounded had to be brought down through narrow stairways at the back of the building. A difficult task. Some were injured so badly that the rescuers could not even touch them and they were brought down on window curtains, as stretchers were not available. ‘
He provides the grim statistics that 41 Central Bank officers and visitors perished. Eight officials became totally blind, 11 were partially paralyzed, and a few hundred were wounded, some badly. Outside the Bank a shocked city watched helplessly. Clouds of black smoke wafted skywards. Fort became a scene of panic and pandemonium. The shriek of sirens, the screams of blood-soaked survivors, the roar of fires gone out of control, and the rumble and crash of collapsing walls, rent the air.
The scenes were reminiscent of the 1974 Award Winning disaster movie titled ‘Towering Inferno’ starring Paul Newman and William Holden. In this movie it was the world’s tallest building which was set ablaze due to explosions caused by short circuits and inadequate safety measure. It was a gripping movie which had the audience enthralled in a mixture of emotions chief of which was shock and sadness. But that was all acting. Here in Fort, it was real life. Shock. Sadness. Unbelievable but true. A day time nightmare.
While the Central Bank was the target of the LTTE, other buildings in the vicinity also suffered. Cargo Boat Despatch, Amro Bank, Air Lanka Reservations, George Steuarts, Mercantile Credit, Hotels Corporation and Ceylinco. Many roads in the vicinity like Chatham Street, Hospital Street and Canal Row were littered with glass. Cars parked here had become twisted metal. Mangled bodies littered the street. Personal belongings lay scattered. Blood soaked clothes were strewn around. It was like a battlefield.
But here were no soldiers. Here were civilians. Meanwhile raging fires engulfed Ceylinco which at one time was the tallest building in Fort. Its walls were crumbling. Employees were frantically trying to escape. Overhead helicopters were defying billowing black fumes of smoke and intense heat to drop aqua foam to douse the fires.
According to news reports 72 bodies had been recovered by Thursday afternoon. By Thursday evening bulldozers were removing the rubble and rescue workers were searching for more bodies. The final tally of this sad tragedy was – 91 killed, 1,400 injured and 100 had lost their eyesight due to the scattering shards of glass.
There is a saying in Tibetan ‘Tragedy should be utilized as a source of strength. No matter what sort of difficulties, how painful experience is, if we lose our hope, that’s our real disaster.’
True. Very true. And hope was renewed and revived when a new Central Bank building, modern in architectural design, with state-of-the -art conference facilities, IT- incorporating the most modern equipment and appliances and a research library of international standards was officially declared open on August 27, 2000 by the then President, Chandrika Bandaranaike Kumaratunga. It coincided with the 50th Golden Jubilee of the Central Bank. With it there was ushered a new dynamic vision of development and sustainable growth in which the Central Bank would play a very pivotal role.
by Dr Gotabhya Ranasinghe
Senior Consultant Cardiologist
National Hospital Sri Lanka
When we sought a meeting with Hon Dr. Ramesh Pathirana, Minister of Health, he graciously cleared his busy schedule to accommodate us. Renowned for his attentive listening and deep understanding, Minister Pathirana is dedicated to advancing the health sector. His openness and transparency exemplify the qualities of an exemplary politician and minister.
Dr. Palitha Mahipala, the current Health Secretary, demonstrates both commendable enthusiasm and unwavering support. This combination of attributes makes him a highly compatible colleague for the esteemed Minister of Health.
Our discussion centered on a project that has been in the works for the past 30 years, one that no other minister had managed to advance.
Minister Pathirana, however, recognized the project’s significance and its potential to revolutionize care for heart patients.
The project involves the construction of a state-of-the-art facility at the premises of the National Hospital Colombo. The project’s location within the premises of the National Hospital underscores its importance and relevance to the healthcare infrastructure of the nation.
This facility will include a cardiology building and a tertiary care center, equipped with the latest technology to handle and treat all types of heart-related conditions and surgeries.
Securing funding was a major milestone for this initiative. Minister Pathirana successfully obtained approval for a $40 billion loan from the Asian Development Bank. With the funding in place, the foundation stone is scheduled to be laid in September this year, and construction will begin in January 2025.
This project guarantees a consistent and uninterrupted supply of stents and related medications for heart patients. As a result, patients will have timely access to essential medical supplies during their treatment and recovery. By securing these critical resources, the project aims to enhance patient outcomes, minimize treatment delays, and maintain the highest standards of cardiac care.
Upon its fruition, this monumental building will serve as a beacon of hope and healing, symbolizing the unwavering dedication to improving patient outcomes and fostering a healthier society.We anticipate a future marked by significant progress and positive outcomes in Sri Lanka’s cardiovascular treatment landscape within the foreseeable timeframe.
by Fr. Emmanuel Fernando, OMI
Jesuit Fr. Aloysius Pieris (affectionately called Fr. Aloy) celebrated his 90th birthday on April 9, 2024 and I, as the editor of our Oblate Journal, THE MISSIONARY OBLATE had gone to press by that time. Immediately I decided to publish an article, appreciating the untiring selfless services he continues to offer for inter-Faith dialogue, the renewal of the Catholic Church, his concern for the poor and the suffering Sri Lankan masses and to me, the present writer.
It was in 1988, when I was appointed Director of the Oblate Scholastics at Ampitiya by the then Oblate Provincial Fr. Anselm Silva, that I came to know Fr. Aloy more closely. Knowing well his expertise in matters spiritual, theological, Indological and pastoral, and with the collaborative spirit of my companion-formators, our Oblate Scholastics were sent to Tulana, the Research and Encounter Centre, Kelaniya, of which he is the Founder-Director, for ‘exposure-programmes’ on matters spiritual, biblical, theological and pastoral. Some of these dimensions according to my view and that of my companion-formators, were not available at the National Seminary, Ampitiya.
Ever since that time, our Oblate formators/ accompaniers at the Oblate Scholasticate, Ampitiya , have continued to send our Oblate Scholastics to Tulana Centre for deepening their insights and convictions regarding matters needed to serve the people in today’s context. Fr. Aloy also had tried very enthusiastically with the Oblate team headed by Frs. Oswald Firth and Clement Waidyasekara to begin a Theologate, directed by the Religious Congregations in Sri Lanka, for the contextual formation/ accompaniment of their members. It should very well be a desired goal of the Leaders / Provincials of the Religious Congregations.
Besides being a formator/accompanier at the Oblate Scholasticate, I was entrusted also with the task of editing and publishing our Oblate journal, ‘The Missionary Oblate’. To maintain the quality of the journal I continue to depend on Fr. Aloy for his thought-provoking and stimulating articles on Biblical Spirituality, Biblical Theology and Ecclesiology. I am very grateful to him for his generous assistance. Of late, his writings on renewal of the Church, initiated by Pope St. John XX111 and continued by Pope Francis through the Synodal path, published in our Oblate journal, enable our readers to focus their attention also on the needed renewal in the Catholic Church in Sri Lanka. Fr. Aloy appreciated very much the Synodal path adopted by the Jesuit Pope Francis for the renewal of the Church, rooted very much on prayerful discernment. In my Religious and presbyteral life, Fr.Aloy continues to be my spiritual animator / guide and ongoing formator / acccompanier.
Fr. Aloysius Pieris, BA Hons (Lond), LPh (SHC, India), STL (PFT, Naples), PhD (SLU/VC), ThD (Tilburg), D.Ltt (KU), has been one of the eminent Asian theologians well recognized internationally and one who has lectured and held visiting chairs in many universities both in the West and in the East. Many members of Religious Congregations from Asian countries have benefited from his lectures and guidance in the East Asian Pastoral Institute (EAPI) in Manila, Philippines. He had been a Theologian consulted by the Federation of Asian Bishops’ Conferences for many years. During his professorship at the Gregorian University in Rome, he was called to be a member of a special group of advisers on other religions consulted by Pope Paul VI.
Fr. Aloy is the author of more than 30 books and well over 500 Research Papers. Some of his books and articles have been translated and published in several countries. Among those books, one can find the following: 1) The Genesis of an Asian Theology of Liberation (An Autobiographical Excursus on the Art of Theologising in Asia, 2) An Asian Theology of Liberation, 3) Providential Timeliness of Vatican 11 (a long-overdue halt to a scandalous millennium, 4) Give Vatican 11 a chance, 5) Leadership in the Church, 6) Relishing our faith in working for justice (Themes for study and discussion), 7) A Message meant mainly, not exclusively for Jesuits (Background information necessary for helping Francis renew the Church), 8) Lent in Lanka (Reflections and Resolutions, 9) Love meets wisdom (A Christian Experience of Buddhism, 10) Fire and Water 11) God’s Reign for God’s poor, 12) Our Unhiddden Agenda (How we Jesuits work, pray and form our men). He is also the Editor of two journals, Vagdevi, Journal of Religious Reflection and Dialogue, New Series.
Fr. Aloy has a BA in Pali and Sanskrit from the University of London and a Ph.D in Buddhist Philosophy from the University of Sri Lankan, Vidyodaya Campus. On Nov. 23, 2019, he was awarded the prestigious honorary Doctorate of Literature (D.Litt) by the Chancellor of the University of Kelaniya, the Most Venerable Welamitiyawe Dharmakirthi Sri Kusala Dhamma Thera.
Fr. Aloy continues to be a promoter of Gospel values and virtues. Justice as a constitutive dimension of love and social concern for the downtrodden masses are very much noted in his life and work. He had very much appreciated the commitment of the late Fr. Joseph (Joe) Fernando, the National Director of the Social and Economic Centre (SEDEC) for the poor.
In Sri Lanka, a few religious Congregations – the Good Shepherd Sisters, the Christian Brothers, the Marist Brothers and the Oblates – have invited him to animate their members especially during their Provincial Congresses, Chapters and International Conferences. The mainline Christian Churches also have sought his advice and followed his seminars. I, for one, regret very much, that the Sri Lankan authorities of the Catholic Church –today’s Hierarchy—- have not sought Fr.
Aloy’s expertise for the renewal of the Catholic Church in Sri Lanka and thus have not benefited from the immense store of wisdom and insight that he can offer to our local Church while the Sri Lankan bishops who governed the Catholic church in the immediate aftermath of the Second Vatican Council (Edmund Fernando OMI, Anthony de Saram, Leo Nanayakkara OSB, Frank Marcus Fernando, Paul Perera,) visited him and consulted him on many matters. Among the Tamil Bishops, Bishop Rayappu Joseph was keeping close contact with him and Bishop J. Deogupillai hosted him and his team visiting him after the horrible Black July massacre of Tamils.
Sri Lanka-Singapore Free Trade Agreement
By Gomi Senadhira
senadhiragomi@gmail.com
“You might tell fairy tales, but the progress of a country cannot be achieved through such narratives. A country cannot be developed by making false promises. The country moved backward because of the electoral promises made by political parties throughout time. We have witnessed that the ultimate result of this is the country becoming bankrupt. Unfortunately, many segments of the population have not come to realize this yet.” – President Ranil Wickremesinghe, 2024 Budget speech
Any Sri Lankan would agree with the above words of President Wickremesinghe on the false promises our politicians and officials make and the fairy tales they narrate which bankrupted this country. So, to understand this, let’s look at one such fairy tale with lots of false promises; Ranil Wickremesinghe’s greatest achievement in the area of international trade and investment promotion during the Yahapalana period, Sri Lanka-Singapore Free Trade Agreement (SLSFTA).
It is appropriate and timely to do it now as Finance Minister Wickremesinghe has just presented to parliament a bill on the National Policy on Economic Transformation which includes the establishment of an Office for International Trade and the Sri Lanka Institute of Economics and International Trade.
Was SLSFTA a “Cleverly negotiated Free Trade Agreement” as stated by the (former) Minister of Development Strategies and International Trade Malik Samarawickrama during the Parliamentary Debate on the SLSFTA in July 2018, or a colossal blunder covered up with lies, false promises, and fairy tales? After SLSFTA was signed there were a number of fairy tales published on this agreement by the Ministry of Development Strategies and International, Institute of Policy Studies, and others.
However, for this article, I would like to limit my comments to the speech by Minister Samarawickrama during the Parliamentary Debate, and the two most important areas in the agreement which were covered up with lies, fairy tales, and false promises, namely: revenue loss for Sri Lanka and Investment from Singapore. On the other important area, “Waste products dumping” I do not want to comment here as I have written extensively on the issue.
1. The revenue loss
During the Parliamentary Debate in July 2018, Minister Samarawickrama stated “…. let me reiterate that this FTA with Singapore has been very cleverly negotiated by us…. The liberalisation programme under this FTA has been carefully designed to have the least impact on domestic industry and revenue collection. We have included all revenue sensitive items in the negative list of items which will not be subject to removal of tariff. Therefore, 97.8% revenue from Customs duty is protected. Our tariff liberalisation will take place over a period of 12-15 years! In fact, the revenue earned through tariffs on goods imported from Singapore last year was Rs. 35 billion.
The revenue loss for over the next 15 years due to the FTA is only Rs. 733 million– which when annualised, on average, is just Rs. 51 million. That is just 0.14% per year! So anyone who claims the Singapore FTA causes revenue loss to the Government cannot do basic arithmetic! Mr. Speaker, in conclusion, I call on my fellow members of this House – don’t mislead the public with baseless criticism that is not grounded in facts. Don’t look at petty politics and use these issues for your own political survival.”
I was surprised to read the minister’s speech because an article published in January 2018 in “The Straits Times“, based on information released by the Singaporean Negotiators stated, “…. With the FTA, tariff savings for Singapore exports are estimated to hit $10 million annually“.
As the annual tariff savings (that is the revenue loss for Sri Lanka) calculated by the Singaporean Negotiators, Singaporean $ 10 million (Sri Lankan rupees 1,200 million in 2018) was way above the rupees’ 733 million revenue loss for 15 years estimated by the Sri Lankan negotiators, it was clear to any observer that one of the parties to the agreement had not done the basic arithmetic!
Six years later, according to a report published by “The Morning” newspaper, speaking at the Committee on Public Finance (COPF) on 7th May 2024, Mr Samarawickrama’s chief trade negotiator K.J. Weerasinghehad had admitted “…. that forecasted revenue loss for the Government of Sri Lanka through the Singapore FTA is Rs. 450 million in 2023 and Rs. 1.3 billion in 2024.”
If these numbers are correct, as tariff liberalisation under the SLSFTA has just started, we will pass Rs 2 billion very soon. Then, the question is how Sri Lanka’s trade negotiators made such a colossal blunder. Didn’t they do their basic arithmetic? If they didn’t know how to do basic arithmetic they should have at least done their basic readings. For example, the headline of the article published in The Straits Times in January 2018 was “Singapore, Sri Lanka sign FTA, annual savings of $10m expected”.
Anyway, as Sri Lanka’s chief negotiator reiterated at the COPF meeting that “…. since 99% of the tariffs in Singapore have zero rates of duty, Sri Lanka has agreed on 80% tariff liberalisation over a period of 15 years while expecting Singapore investments to address the imbalance in trade,” let’s turn towards investment.
Investment from Singapore
In July 2018, speaking during the Parliamentary Debate on the FTA this is what Minister Malik Samarawickrama stated on investment from Singapore, “Already, thanks to this FTA, in just the past two-and-a-half months since the agreement came into effect we have received a proposal from Singapore for investment amounting to $ 14.8 billion in an oil refinery for export of petroleum products. In addition, we have proposals for a steel manufacturing plant for exports ($ 1 billion investment), flour milling plant ($ 50 million), sugar refinery ($ 200 million). This adds up to more than $ 16.05 billion in the pipeline on these projects alone.
And all of these projects will create thousands of more jobs for our people. In principle approval has already been granted by the BOI and the investors are awaiting the release of land the environmental approvals to commence the project.
I request the Opposition and those with vested interests to change their narrow-minded thinking and join us to develop our country. We must always look at what is best for the whole community, not just the few who may oppose. We owe it to our people to courageously take decisions that will change their lives for the better.”
According to the media report I quoted earlier, speaking at the Committee on Public Finance (COPF) Chief Negotiator Weerasinghe has admitted that Sri Lanka was not happy with overall Singapore investments that have come in the past few years in return for the trade liberalisation under the Singapore-Sri Lanka Free Trade Agreement. He has added that between 2021 and 2023 the total investment from Singapore had been around $162 million!
What happened to those projects worth $16 billion negotiated, thanks to the SLSFTA, in just the two-and-a-half months after the agreement came into effect and approved by the BOI? I do not know about the steel manufacturing plant for exports ($ 1 billion investment), flour milling plant ($ 50 million) and sugar refinery ($ 200 million).
However, story of the multibillion-dollar investment in the Petroleum Refinery unfolded in a manner that would qualify it as the best fairy tale with false promises presented by our politicians and the officials, prior to 2019 elections.
Though many Sri Lankans got to know, through the media which repeatedly highlighted a plethora of issues surrounding the project and the questionable credentials of the Singaporean investor, the construction work on the Mirrijiwela Oil Refinery along with the cement factory began on the24th of March 2019 with a bang and Minister Ranil Wickremesinghe and his ministers along with the foreign and local dignitaries laid the foundation stones.
That was few months before the 2019 Presidential elections. Inaugurating the construction work Prime Minister Ranil Wickremesinghe said the projects will create thousands of job opportunities in the area and surrounding districts.
The oil refinery, which was to be built over 200 acres of land, with the capacity to refine 200,000 barrels of crude oil per day, was to generate US$7 billion of exports and create 1,500 direct and 3,000 indirect jobs. The construction of the refinery was to be completed in 44 months. Four years later, in August 2023 the Cabinet of Ministers approved the proposal presented by President Ranil Wickremesinghe to cancel the agreement with the investors of the refinery as the project has not been implemented! Can they explain to the country how much money was wasted to produce that fairy tale?
It is obvious that the President, ministers, and officials had made huge blunders and had deliberately misled the public and the parliament on the revenue loss and potential investment from SLSFTA with fairy tales and false promises.
As the president himself said, a country cannot be developed by making false promises or with fairy tales and these false promises and fairy tales had bankrupted the country. “Unfortunately, many segments of the population have not come to realize this yet”.
(The writer, a specialist and an activist on trade and development issues . )
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