Features
Implementing Geneva resolutions
By Dayantha Laksiri Mendis
“Treaties and Non-treaty instruments are the bones and sinews of global politic, making it possible for states to move from talk through compromise to solemn commitment.”
Professor Thomas M. Frank
Taking Treaties Seriously
[1988] 82 AJIL 67
Implementation of the Geneva Resolution is an onerous task. It will encounter various challenges and dilemmas. It requires the establishment of institutional structures and national legislation to give effect to operative part of the Geneva Resolutions. Implementing legislation must not offend the 1978 Constitution and the 1976 Vienna Convention of the Law of Treaties (VCLT 1976)
The Geneva Resolutions
The Geneva Resolution can be classified as a non-treaty instrument. It is different from a treaty in many respects (Anthony Aust – Modern Treaty Practice). It does not require the consent of the State to be bound by such Resolutions. It has a preambular and operative part. It is likely to be interpreted in the same way as a treaty by reference to articles 31 and 32 of the VCLT 1969. It resembles the Resolutions of other UN Specialized Agencies such as IMO or ICAO which are of a binding nature.
The proposed Geneva Resolution is likely to be different and devastating for Sri Lanka if it is based on the Report of the UN High Commissioner for HR. If so, it is desirable at this point of time to draft a counter resolution and outline Sri Lanka’s proposals relating to reconciliation and accountability without taking a confrontational approach at this time.
Operative part of the Geneva Resolutions
Implementation of the operative part of the Geneva Resolutions can be dealt under four areas. These areas are – (a) Establishment of a Truth-seeking and reconciliation commission; (b) Investigation into violations relating to human rights and international humanitarian law (IHL); (c) Reparation to victims; and (d) Guarantee of non-recurrence. All these areas are seen as an integral part of transitional justice.
(a) Truth-seeking and reconciliation
Establishment of a Commission for Truth-seeking and Reconciliation is an important consideration in dealing with transitional justice. It is a sensitive area. It can “open old wounds” and therefore such investigation should not be undertaken in Sri Lanka. It can create “new wounds” that can get festered over a period of time. If so, the situation might become worse for reconciliation.
In South Africa, such a commission was established under National Unity and Reconciliation Act No. 34 of 1995. It was necessary to do so as apartheid was inherently anti-democratic and unjust system perpetrated by a white minority. The global community denounced apartheid with sanctions and recognized the right to self determination by the majority community. In Sri Lanka, LTTE was engaged in an armed conflict to establish a separate state in defiance of the Constitution and International law. The global community proscribed LTTE as a terrorist organisation.
Hence, we should gently reject this requirement in the preambular part by reciting the reasons as outlined above.
(b) Investigation into violations relating to human rights and humanitarian law
Geneva Resolutions require investigation into violations relating to human rights and international humanitarian law (IHL). It is a requirement of transitional justice. Investigation should not be restricted to the final phase of the war, where Sri Lankan security forces had to proceed, amidst protests, to save the territorial integrity and sovereignty of Sri Lanka from the tentacles of the rebel forces who used child soldiers and civilians as a human shield
The Resolution requires Sri Lanka to establish a credible domestic mechanism. It must be fair to the accused as well as to the victims. The Resolution requires the inclusion of Commonwealth judges and prosecutors along with national judges and prosecutors. Inclusion of Commonwealth Judges and Prosecutors may encounter political and constitutional issues. In this context, when formulating the Report on Sri Lanka, the UN High Commissioner for Human Rights should read article 46 of VCLT 1969 which says that any treaty or non-treaty instrument should not offend the fundamental principles of the Constitution.
Any investigation relating to violations of human rights law or IHL would be dangerous in Sri Lanka, unless such investigation is conducted as a non-international armed conflict under common article 3 of Geneva conventions 1949.
Unfortunately, in Sri Lanka, the Common Article 3 was not given effect to by the Geneva Conventions Act of 2006. The initial draft Bill prepared by me in 2001 incorporated the provisions relating to Common Article 3 of the Geneva Conventions of 1949 (draft Bill is on file with me) on the advice of the top legal advisers at ICRC headquarters in Geneva. These legal advisers came to the conclusion after consulting Jean Simon Pictet’s five points enshrined in the negotiating record (travaux preparatoires) of the Geneva Conventions 1949 and I was given the go ahead to draft the requisite legislation.
International human rights standards are also not properly transformed into national legislation in Sri Lanka. There are many “deficiencies” and “inconsistencies” in our national legislation. Assistance to and Protection of Victims of Crime and Witnesses Act, No. 4 of 2015 requires substantial amendments.
Unless international human rights standards are properly transformed into the domestic legal system by way of new legislation or amendment to existing law using the correct legislative techniques, any domestic mechanism established for this purpose will not be effective and will not be able to function according to international standards.
Operative part of the resolution will recite that accountability will be determined under common article 3 of the Geneva Conventions of 1949 and therefore national legislation needs to be enacted to incorporate common article 3 of the Geneva Conventions to the existing Geneva Conventions Act 2006 (A draft Bill is annexed as a schedule to this paper to illustrate the requisite amendment).
(c) Reparation to victims and tracing missing persons
Reparation to victims is also an important requirement under Geneva Resolutions to promote reconciliation. Legislation has been already enacted to establish a domestic mechanism for such reparation. The amount granted is too small and may be increased in the future.
It does not take into account reparation already provided to victims of war either through legislation or army routine orders or Cabinet Memoranda.
Unfortunately, the civilian victims, especially women who have lost their husbands or children have not been adequately compensated. Hence, there is a great need to compensate civilians who have suffered due to eviction, injuries, unlawful killing and/or and those who have suffered due to suicide bomb attacks. The legislation must clearly identify those who are really entitled to these benefits in the context of the Sri Lanka’s armed conflict.
Operative part should recite the continued implementation of national legislation relating reparation and of missing persons.
(d) Guarantee of non-recurrence
Guarantee of non recurrence is a very challenging requirement of the Geneva Resolutions.
In most countries, the reconciliation between ethnic and religious groups are handled by an Ethnic Relations Commissions. In developing countries such as Guyana and Trinidad and Tobago, these Commissions are established through constitutional provisions. These Commissions are empowered by law to take action where there is a threat to ethnic or religious harmony.
These Commissions have produced enormous literature relating to peace, harmony and development and organised drama festivals to promote racial and ethnic reconciliation. I have seen many plays written by Eric Brathwaite in Georgetown and Port of Spain and cried how backward my beloved country is in regard to reconciliation and creating ethnic harmony and unity. We have not understood that national security is ethnic harmony and unity, and ethnic harmony and unity is national security.
These Commissions are empowered to refer any matter to a Tribunal established by legislation. Such matters include “hate speech” or any act which causes ethnic disharmony. Issues relating to burial or cremation regard to those who died from covid19 should be referred to such a Commission and not to politicians or religious bigots
Establishment of an Ethnic Relations Commission and a Tribunal may satisfy the reconciliation requirement, as these Commissions have prevented a fully fledged armed conflict between diverse religious groups and ethnicities in many countries.
Operative Part should recite the establishment of such institutions to make reconciliation more effective and efficient. It can be described as a 13+.Ethnic harmony is national security.
Additional requirements
Geneva Resolutions imposes additional requirements. These include the full implementation of the 13th Amendment, reform of the Prevention of Terrorism Act and the Public Security Ordinance. Implementation of the 13th Amendment, PSO and the PTA is part of the “domain reserve” under article 2(7) of the Charter of the United Nations. Hence, such intervention is not fair and legitimate.
Impact on State sovereignty
Implementation of the Geneva Resolutions and the recent Report of the HR Commissioner can impact on State sovereignty. In today’s world, State sovereignty is diminished through ratification, accession or succession to treaties. A treaty per defitionem may restrict State sovereignty. However, a non- treaty instrument is not in the same category unless there is express or implied consent to be bound by it. Co-sponsoring gives implied consent
In regard to ratified treaties, a State cannot hide behind state sovereignty to avoid international obligations. International compliance and control measures established by various legal regimes demonstrate that state sovereignty is diminished and the Westphalian Order does not exist anymore in its pristine form.
Implementation of the Resolutions may offend the provisions of the Constitution. In Sri Lanka, the Constitution grants sovereignty to the people and its elements are enshrined under Article 4 of the 1978 Constitution of Sri Lanka. If the legislative implementation of the proposed Resolution offends the Constitution, Sri Lanka should propose an alternative counter resolution which is in harmony with our constitutional provisions.
Conclusions
Implementing the Geneva Resolutions is an exacting task. It will encounter many challenges and dilemmas. The draft report evince that High Commissioner has not understood the atrocities committed by the rebel forces or Kadi’s Case in the European Court of Justice on freezing of assets without due process.
High Commissioner has gone on to declare unfairly and wrongly that security forces who saved Sri Lanka’s territorial integrity and sovereignty as enemies of mankind (Hostes Humanis) by subjecting them to universal jurisdiction and International Criminal court. (preambular part).
At this time, we must not forget that President Mahinda Rajapaksa saved the country from the rebel forces. If not for him, the armed conflict would have dragged on for many years. In this context, he was assisted by India, Pakistan, USA and many other countries. He was also assisted by the Defence Secretary, Army Commander and many others. Since then, we have enjoyed freedom from fear and freedom from unlawful killing. (preambular part need to recite this fact).
Geneva Resolution must not be rejected in toto. A rejection might send wrong signals to UN Member States. After all, the UN is the best friend of small and weak States, although the Thucydides’ doctrine (powerful States do what they can and small States must accept what they must) still continue to apply in the conduct of international relations and diplomacy. Notwithstanding the aforementioned phenomenon, the UN has assisted small and weak States in situations where might is not right. Let us engage with quiet diplomacy and convince the international community to go along with our counter resolution. (preambular part needs to recite some of these observations)
Hence, it is necessary to draft a counter resolution and identify how we intend to deal with reconciliation and accountability taking into account ground realities, constitutional provisions and the political ramifications.
We need to understand Morgenthau’s realism in dealing with this vexed issue and not engage in an unnecessary confrontation with Western countries. In my career, I have experienced quiet diplomacy and good reasoning with my Western counterparts at the UN or in diplomatic circles constitute the best tools that lead to victory at the end of the day. Such a strategic approach is important as the victories on the battlefield.
ANNEX
GENEVA CONVENTIONS (AMENDMENT) ACT 2021
AN ACT
to amend the Geneva Conventions Act 2006 (No. 4 of 2006); to give effect to common article 3 and for connected matters.
BE IT ENACTED
by the Parliament of ……………
Short title and date of commencement
1. This Act may be cited as the Geneva Conventions (Amendment) Act 2021 and shall come into operation as the Minister may appoint by Order published in the Gazette.
Amendment of section 2 of the Act
2. Section 2 of the Geneva Conventions Act No. 4 of 2006 is hereby amended by adding immediately after section 2, the following section 2A.
“2A.(1) A person who in Sri Lanka commits or aids, abets or procures any other person to commit a breach of paragraphs (a), (b), (c) or (d) in sub-article (1) of Common Article 3 of the Conventions as provided in Schedule V to this Act is guilty of an indictable offence.
7
(2) A person who commits an offence under section 2A is liable –
(a) Imprisonment for life or any lesser period where the offence involves the willful killing of a person protected by the relevant Convention; and
(b) Imprisonment for a term not exceeding fourteen years for any other offence.
(3) An offence against section 2A shall not be prosecuted in a Court except by indictment in the name of the Attorney General.”
Amendment of the Schedules
(3) The Schedules to the Geneva Conventions Act No. 4 of 2006 is hereby amended by inserting immediately after Schedule IV, the following new Schedule V
“SCHEDULE V (Section 2A)
CONFLICTS NOT OF AN INTERNATIONAL CHARACTER
In the case of an armed conflict, not of an international character occurring in the territory of the one of the High Contracting Parties, each party to the conflict shall be bound to apply, as a minimum, the following provisions.
(1) Persons taking no active part in the hostilities, including members of armed forces who have laid down their arms and those placed hors de combat by sickness, wounds, detention or any other cause, shall in all circumstances be treated humanely, without any adverse distinction founded on race, color, religion or faith, sex, birth or wealth or any other similar criteria.
To this end, the following acts are and shall remain prohibited at any time and in any place whatsoever with respect to the above mentioned persons:
(a) Violence to life and person in particular murder of all kinds, mutilation, cruel treatment and torture;
(b) Taking hostages;
(c) Outrages upon personal dignity in particular humiliating and degrading treatment;
(d) The passing of sentences and carrying out of executions without previous judgment pronounced and regularly constituted court affording all the judicial guarantees which are recognized as indispensable by civilized peoples.
(2) The wounded and sick shall be collected and cared for.
Mendis LLB (Cey), MPhil (Cantab) is former Legal Adviser to the ICRC, Lecturer on IHL at the KDU and University of Colombo, former Ambassador to Austria and Permanent Representative to the UN in Vienna, former UN Legal Expert and Legal Adviser to several Caribbean, African and Asian countries. He has drafted diverse legislation, treaties and non non-treaty instruments at the time he served as Commonwealth Legal Expert to the Caribbean Community Secretariat in Guyana, South America.
Features
The heart-friendly health minister
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
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
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 . )