Features
Crisscrossing 13A Abolition
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By Austin Fernando
I have recently read a speech by Tamil National Alliance (TNA) Leader R Sampanthan, delivered in 2017. This excellent presentation supported the Thirteenth Amendment (13A) to the Constitution. In appreciation of his intelligent arguments, I share his thinking not to canvass for 13A but to broaden the discussion with forgotten overlapping references that need to be factored in.
Status of 13A
Devolution was thrust upon us, consequent to the Indo-Sri Lanka Accord of 1987. Then, certain groups rejected this pact as well as 13A. Their position remains unchanged.
At the outset, we must remind ourselves that devolution was introduced to facilitate conflict resolution. Someone may argue that 13A was legalized at a time when terrorists held sway, and, therefore, the incumbent government need not stick to the beaten track. TNA politicians may argue that the reasons for, and the outcomes of, the conflict remain although terrorism is no more.
The performance of the Provincial Councils (PCs) is barely satisfactory in many respects. Some critics have dubbed them ‘white elephants.’ I do not subscribe to such extreme criticisms because one reason for the weakness of the PCs is the lack of ‘center-periphery cooperation’. Decades ago, Professor GL Peiris emphasized that the PCs needed empowerment for financing, establishment management, and statute making. To date, these matters remain as issues.
Some others who see intrinsic fault lines in devolution oppose PCs based on concept, content, and politics. They contend that devolving police and land powers, the amalgamation of provinces, etc., trespass the sovereignty and endanger national security.
The vehement call for abolishing the 13A has originated from politicians, supported by media personnel, and a section of the Buddhist monks. Another alternative proposition is to withdraw certain functions (e.g. land and police powers) to impede PCs when drafting a new Constitution.
Indians and 13A
Concurrently, there are some predicting that India will take up cudgels if the 13A is tampered with. Arguments are submitted against Indian interventions on devolution.
One reason adduced is that India failed to adhere to the Accord (e.g. disarming the LTTE) and therefore, its demand that we fully implement the devolution of power is unfair.
Secondly, they argue that foreign interference with our constitutional processes is inappropriate. They point out that the Indian Government repealed Article 370 with Article 35A in 2019, affecting Jammu-Kashmiri laws, including citizenship, property ownership, and fundamental rights, and silenced critics by stating it was an “Indian internal affair.” Hence, they argue that Sri Lanka should follow suit if India objects to abolishing the 13A.
Thirdly, they contend that the Indian government changed Jammu Kashmir rules to allow the Union Government to release lands to Indians to attract development/investment and hence India cannot object if we centralize land administration.
Fourthly, they argue that Indians perform asymmetrical administration in Himachal and Uttarkhand States, as against centralized Jammu-Kashmir, and therefore, by amending 13A, we could do similarly in selected Provinces.
India stands for sovereignty, independence, and the territorial integrity of Sri Lanka, as repeatedly mentioned by Indian leaders. Additionally, there have been commitments made by Indian and Sri Lankan leaders and internationals to promote equal treatment to minorities.
My attempt is to refer to some such, extracted from the quoted speech, add a few more experiences to demonstrate that abolishing 13A will be considered a negative action in resolving conflict-related issues and there could be other solutions.
Probing Indo-Lanka interactions
Let us turn to TNA Leader’s speech. In November 2006, Indian Foreign Secretary Shivashankar Menon has expressed to President Mahinda Rajapaksa: “India looks forward to an early ‘comprehensive political settlement’ of the ethnic issue. It must take into account the aspirations of all sections, including the Tamils.”
This was nearly twenty years after the Accord and while the conflict was ongoing. Responding, President Mahinda Rajapaksa has detailed the work by the All-Party Representatives Committee (APRC) and the Committee of Experts. But it is well-known that these outputs did not matter to his government. It can be likened to the Indian expectations to implement the 13A during the conflict.
At one stage, President Mahinda Rajapaksa was excessively supportive of ‘power-sharing.’ Addressing the inaugural Meeting of the APRC and the Experts Committee, he said: “The unity, territorial integrity, and sovereignty of our country must be preserved” and added, “Our objective must be to develop a just settlement within an undivided Sri Lanka.” Great. This is the common aspiration of people, TNA, and India. While identifying the roadblocks, he expected the people in their localities must “take charge of their destiny and control their politico-economic environment.” This is the Principle of Subsidiarity in action.
He said: “Any solution must be seen as one that stretches to the maximum possible devolution, without sacrificing the sovereignty of the country. Given the ground situation, given the background to the conflict, it, therefore, behooves on particularly the majority community to be proactive in striving for peace ….” This must have been an elixir to Indians and TNA!
Next, Minister Basil Rajapaksa went to India (October 2008) and a statement said: “Both sides discussed the need to move towards a peacefully negotiated political settlement on the island including the North …. The Indian side called for the implementation of the 13A and greater devolution of powers to the Provinces. Minister Basil Rajapaksa emphasized that the President of Sri Lanka and his Government were committed to a political process that should lead to a sustainable solution”. Elixir again!
His message to India was that we had passionately committed to a political process. He is expected to be in the Cabinet soon and knowing the Indian External Affairs Minister Dr. Jaishankar’s ways personally, I may expect a reminder of his message.
PM Manmohan Singh, after this visit of Minister Basil Rajapaksa, (November 2008), informed President Mahinda Rajapaksa that Colombo must create conditions for meeting “legitimate political aspirations” of the Tamils under the devolution package (13A). Irrespective of domestic politics Indians were consistent in demands; Sri Lankans were consistent in declaring unfulfilled hopes!
Prof. Peiris visited India (May 2011) and mentioned “A devolution package building upon the 13th Amendment would contribute towards creating the necessary conditions for such reconciliation.” Further, he referred to the work of the Lessons Learnt and Reconciliation Commission (LLRC), which made extremely attractive, pro-peace, and reconciliation-oriented recommendations. No wonder when Foreign Minister Peiris spoke so favourably on the 13A, Indians continuously and without reservations harped on its implementation.
PM Singh (June 2011) said in Lok Sabha: “The decimation of the LTTE was something good. But the Tamil problem does not disappear, with the defeat of the LTTE. The Tamil population has legitimate grievances. They feel they are reduced to second-class citizens. And our emphasis has been to persuade the Sri Lankan Government that we must move towards a new system of institutional reforms, where the Tamil people will have a feeling that they are equal citizens of Sri Lanka, and they can lead a life of dignity and self-respect. It is not easy.”
Nevertheless, reverting to 2019, one may question whether the Indian politicians’ minds were responsive to the grievances/inequalities their Muslim brethren complained of when the Citizenship Amendment Act, National Register of Citizens, and National Population Register laws were launched.
Two months after PM Singh’s statement, Indian External Affairs Minister S. M. Krishna said in Lok Sabha: “The Government has also articulated its position that the end of the armed conflict in Sri Lanka created a historic opportunity to address all outstanding issues relating to minority communities in Sri Lanka, including Tamils. The Joint Press Release of May 17, 2011 states that all such outstanding issues had to be settled in a spirit of understanding and mutual accommodation imbued with a political vision to work towards genuine national reconciliation.
The External Affairs Minister of Sri Lanka affirmed his Government’s commitment to ensuring expeditious and concrete progress in the ongoing dialogue between the Government of Sri Lanka and representatives of Tamil parties and that a devolution package building upon the 13th Amendment would contribute towards creating the necessary conditions for such reconciliation.” Sensibly we may agree.
The Indian Official Spokesman made a statement after the LRRC Report: “In this context, we have been assured by the Government of Sri Lanka on several occasions in the past, of its commitment towards pursuit of a political process, through a broader dialogue with all parties, including the TNA, leading to the full implementation of the 13th Amendment to the Sri Lankan Constitution, and to go beyond, so as to achieve meaningful devolution of powers and genuine national reconciliation.” Thus, Indian expectation rightly settled on an assurance ‘beyond 13A.’
When even the easily implementable LRRC recommendations were not executed by the government that appointed it, whether India could await further contributions to reconciliation was an issue. Indians may comment that every Sri Lankan government has only kindled hopes, but not delivered. The post-LLRC- UNHRC Resolution (2012) demanded the implementation of constructive LLRC recommendations and strengthening devolution, but we failed to do so.
The Indian Minister of External Affairs made a statement (January 2012) in the presence of our Minister of Foreign Affairs, from which I quote: “The government of Sri Lanka has on many occasions conveyed to us its commitment to move towards a political settlement based upon the full implementation of the 13A to the Sri Lankan Constitution and building on it so as to achieve meaningful devolution of powers.” The Indian Minister has echoed the stark reality.
Then again, the Indian Prime Minister Manmohan Singh said that India was inclined to vote in favour” of a resolution on promoting reconciliation and accountability in Sri Lanka at the 19th session of the UNHRC. His inclination was adopted by voting against us. According to PM Singh, its objective was not wanting to infringe our sovereignty, “…. but concerns should be expressed so that Tamil people can get justice and lead a life of dignity.” In almost all Indian statements a few buzz words- ‘equality, dignity, justice, self-respect, political process, peace’ appear.
There could be many more statements by Indian and Sri Lankan politicians and bureaucrats, unknown to us, confirming the need and commitment to implement the 13A to resolve the Tamils’ difficulties. But since our President was not in active politics per se in 2017 like his brothers and other Ministers, some of these statements may be new to him. However, I may remind two recent relevant statements, most probably known to him, worthy of consideration to understand the Indian attitudes on 13A.
PM Narendra Modi during President Gotabaya Rajapaksa’s State Visit, like other interlocutors, said: “I am confident that the Government of Sri Lanka will carry forward the process of reconciliation, to fulfill the aspirations of the Tamils for equality, justice, peace, and respect. It also includes the implementation of the 13th amendment.” Note the buzz words. President Gotabaya Rajapaksa, without responding directly kept aloof, imaging him “the President of all Sri Lankans, irrespective of ethnicity or religion or voting choices.”
Joint Secretary Amit Narang’s quote on India Sri Lanka Virtual Bilateral Summit – October 26th, 2020- stated that PM Modi has insisted on PM Mahinda Rajapaksa that “Sri Lanka must implement its 13th constitutional amendment to achieve peace and reconciliation…. PM Modi called on the new Government in Sri Lanka to work towards realizing the expectations of Tamils for equality, justice, peace, and dignity.” Buzz words: setting apart political ethics, it is ‘must implement its 13A’ and not ‘may.’ With so many positive quotes stated above I am not surprised of this insistence.
These are ‘oven-fresh’ statements (latter only a fortnight old) and thoughts well embedded in PM Modi’s memory. We should not dupe ourselves into believing that PM Modi forgets easily and will give up demands or forgive when one repeatedly frustrates India! Whether it is Modi or Singh or Krishna or Menon, the buzz words are the same.
Here, PM Modi, like PM Singh (in 2012) expressed his “concerns”. I wish he will refrain from acting like PM Singh as regards the UNCHR 2021. We must remember that irrespective of political divides, for political expediency, Indian politicians capitalize on the Tamil aspirations.
Against this background, President Gotabaya Rajapaksa has withdrawn from promoting “national integration and reconciliation” by repealing Article 33(1)(b) under the mandated presidential duties in 19A. If it seriously conveys his unwillingness to undertake these two duties, abolishing 13A will surely lead to an undesirable reaction.
International commitments
Besides Indians, Sri Lanka has been under the international microscope regarding peacemaking and power-sharing, commencing from Thimpu, extending to Peace Talks, with Ban Ki-Moon, and UNHRC, etc.
A notable event during the Peace Talks was the declaration of the Oslo Communique. Prof. Peiris led the government delegation, and I witnessed his excellent exposition with clarity, resonating factual arguments, and vast knowledge to convince Anton Balasingham, that LTTE should agree to power-sharing, without separation. In a lighter vein, I am reminded how with Professor Peiris’s unmatched academic onslaught (which I adored), Anton Balasingham cut-short the discussion and retreated for external consultations—probably with Prabhakaran.
It was Prof Peiris -the Man of the Day- who pushed for the Oslo Communique. The parties agreed “to explore a solution founded on the principle of internal self-determination in areas of historical habitation of the Tamil-speaking people, based on a federal structure within a united Sri Lanka.”
At the media conference, Prof Peiris praised extensive power-sharing within a one-county framework, sans cessation, and added, “Now if we believe in a political solution if we are renouncing war…. there could not be any other rural tribal except power-sharing – except the basis, the character of a federal solution.”
The 13A is less devolutionary and federalist in content than the Oslo Communique that spoke of historical habitation and federal structure. Therefore, Prof. Peiris could now forget Oslo and take the lead in calming down protesters against 13A. Without any disrespect to Minister Ali Sabry, I may say that Prof. GL Peiris is the best bet to deal with 13A with his experience (especially with Indians). Paradoxically, it is also his disqualification, for his past stance is not in line with calls for abolishing 13A!
After defeating the LTTE, President Mahinda Rajapaksa stated to UN Secretary-General Ban Ki-Moon that his firm resolve was ‘to proceed with the implementation of the 13th Amendment, as well as, to begin a broader dialogue with all parties, including the Tamil parties in the new circumstances, to further enhance this process and to bring about lasting peace and development in Sri Lanka.” After three days, a resolution was submitted at the UNHRC, Geneva confirming his stances with Ban Ki-Moon. It was a commitment to implementing the 13A. For the first time, he made 13A a multilateral commitment.
President Sirisena-PM Wickremesinghe government went a step further by incorporating it in October 2015 UNHRC Cosponsored Resolution. They failed to pass a new Constitution or move-on with 13A. More international attention was drawn to 13A.
Potential political manipulations
In the late 1990s, there were government proposals to create Regional Councils (RCs) – i.e. North-Eastern and South-Eastern RCs and even to create a center-controlled Ampara Electorate, to enable the establishment of the latter RC. Non-contiguous Muslim RC was another concept floated. SLMC Leader Mr. Ashroff was one keen supporter of those proposals.
The abolition of 13A will create a void. Muslim Parliamentarians who supported the 20A may expect Minister Ali Sabry and Romesh de Silva Committee to incorporate the said RCs proposal in the proposed Constitution, sometimes with revisions more favourable to the Muslims. This is a hypothetical situation, but those who call for abolishing 13A should take careful note of. They must be alert to political manipulations because the wrong judgment will cause more trouble than 13A.
Conclusion
In summary, the opponents of 13A, who demand its abolition had better heed the domestic constitutional, political, institutional formations, bilateral agreement with India, many commitments made especially to India and international stakeholders in multilateral agencies. etc. If the decision is not to abolish, the government will be answerable to nationalistic elements who predict political, security, economic, and political organizational risks.
Since the country is faced with a severe economic crisis, the international dimensions thereof are extremely important. As Dr. Jehan Perera writes: “In dealing with international governments, it is equally, if not more, important to keep commitments. The international community of governments is not as gullible as the voting public often is.” This was written during Mahinda Rajapaksa Regime. Now, it is Gotabaya Rajapaksa regime. But irrespective of government changes, the thinking of the international community remains the same as for Sri Lanka’s commitments.
Policies of the political parties that have been in power in India have been consistent as regards 13A and the issues Tamils are faced with. Nevertheless, India’s focus has shifted from devolution to Indo-Pacific, Chinese threats, free trade, investments, etc. and the possibility may exist of settling outstanding issues to mutual benefit (as Minister Krishna has said) “in a spirit of understanding and mutual accommodation imbued with a political vision.”
Abolishing 13A may entail a price payable geopolitically, politically, economically, diplomatically, security-wise, etc. Those who push for abolishing 13A must evaluate the potential balance sheet, weigh alternatives through negotiations and compromises. Forgetting these available options and to be overenthusiastic about their two-thirds majority, which can be used to abolish 13A may not mean happy hunting or a happy ending.
Features
The heart-friendly health minister
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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.
Features
A LOVING TRIBUTE TO JESUIT FR. ALOYSIUS PIERIS ON HIS 90th BIRTHDAY
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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.
Features
A fairy tale, success or debacle
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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 . )