Features
Narrow escape from JVP in 1971
Excerpted from the Memoirs of Chandra Wickremasingha, Retd. Additional Secy. to the President
The work in the Settlement Dept. involved camping out in remote areas of the island where land still remained unsettled. Following colonial tradition and standards, the Dept. had comfortable carpeted tents which were pitched at the chosen site by an advance party comprising two labourers and a cook.At the start I enjoyed the novelty of camping out in picturesque rural areas and going into the claims made by villagers. Where I entertained doubts about certain claims, the particular lands were visited by me in the company of an officer of the Dept. still carrying the rather pompous title -‘Interpreter Mudaliyar’, and the Village Headman (Grama Niladhari) of the locality.
There were also extravagant, spurious claims made by interlopers to the area, which were summarily dismissed on visiting these properties. The Statute was so powerful that once an order settling a land on a person was made by the Settlement Officer, it could not be challenged or set aside, even by the Supreme Court. This Act was one of those residual colonial legacies which somehow continued to remain unexpunged from the Statute Book, well into my time.
I am told that the wide powers in settling land enjoyed by Settlement Officers of yesteryear, are now drastically circumscribed by new laws that short circuit the rather reliable yet cumbersome process of settlement inquiries and provide for land to be settled on the basis of title registration following a relatively cursory examination of claims.
The JVP insurrection of 1971
It was while camping out in Dambagalla, a village off Moneragala sometime in April 1971that I learnt about the initial JVP attack on a Police Station at Wellawaya. The Grama Sevaka who seemed aware that the surrounding 
area was infested by JVP types, advised me to leave immediately and get back to Colombo. I immediately asked the Settlement Dept. employees to break camp and arrange to get back to Colombo. I left Dambagalla around 5 pm. I knew my wife would be anxious about my safety, as Colombo would have received the news of the Wellawaya attack much earlier in the day, but telephone facilities being available only in Post Offices at the time, there was no way of contacting her. I therefore thought of heading straight to Colombo, which I thought was the best course of action available to me in the rather exasperating circumstances I found myself in.
I therefore packed up hurriedly and left immediately in my car driving alone, as the others expressed their preference to stay back and leave the next day. On the way, there were hardly any visible signs of any impending insurrection. I noticed however, that vehicular traffic on the road was much less, which made it easier for me drive at higher than normal speeds. It was only while approaching Ratnapura that I noticed a couple of trucks going ahead of me filled with what appeared to me albizzia leaves. As I was overtaking them, I was surprised to see that the trucks were filled with young chaps trying to camouflage themselves with leaves!
Again a little beyond Avissawella, with the time being around 10 pm, I noticed about four people on the middle of the road trying to wave me down and stop me. I noticed that there was one tree trunk placed across the road a little beyond where the four persons were and instinctively felt that I could just manage to take my Triumph Herald through the gap left on the road. I therefore revved the engine and drove straight at the four chaps who shouted and jumped onto a side to save themselves from being run over. The gap on the road was, as I expected, just wide enough to let my car through. Strangely, I was not unduly frightened due, perhaps to the exuberance of youth! I managed to reach Colombo around 11 pm much to the surprise and relief of my wife and others. They had been trying desperately to contact me to tell me to stay on in Moneragala without hazarding the journey back to Colombo in the night.
I thanked my stars that I had left for Colombo without thinking of the risks involved in traveling in the night, as the next day, all hell broke loose, with Police Stations island- wide coming under attack by the JVP! Readers will remember the horrors unleashed by the JVP in the weeks that followed and also the ruthless measures the Govt. had to recourse to thereafter , in its efforts to quell the insurgency and restore normalcy.
My Second spell in the Housing Dept. as Deputy Commissioner of Housing
I was forced to take up duties in my old Dept. as Deputy Commissioner, by my good friend Sarath Amunugama, who happened to be Director, Combined Services at the time. I did learn a lot working in the above Govt. Depts. I had initially worked in.
My second spell in the Housing Dept. as Deputy Commissioner, which commenced in 1973 and continued uptil 1978,was less stressful for me, despite the enactment of two new laws viz. The Rent Act and the Ceiling on Housing Property Law, which were looked upon by landlords as draconian legislative measures regulating rentals and house ownership. These laws gave much needed relief to tenants by regulating their monthly rentals and by providing security of tenancy. House owners who possessed houses in excess of the ceiling laid down, had to dispose of such excess houses to the tenants at relatively low prices.
These were laws enacted by a Govt. with a strong socialist bent and had far reaching effects by the relief they afforded tenants. The Ceiling on Housing Property Law however acted as a disincentive to investment in housing until amendments were later brought in, to encourage prospective developers to get into the construction industry by building middle and lower middle income houses for which certain tax concessions and financial incentives were extended.
As Deputy Commissioner. I was put in charge of the Administration Division of the Dept. and was also given the management of Flats and Housing schemes in the City. With Mr. Pieter Keuneman becoming the Minister of Housing, managing the minor employees who, without exception, claimed to be Communists, posed a big challenge. However, Mr. Keuneman, the thorough gentleman he was, did not intercede on behalf of employees who had disciplinary problems and for the most part left decisions on such matters, in my hands. I handled things even handedly, which is the best way to deal with difficult people and in difficult situations.
From the beginning of my public service career, the one principle I followed scrupulously in interacting with employees as well as members of the public, was being open and fair and being free of prejudice. Once people realized that I was only carrying out my duty with no personal stake or interest in what I did, they learnt to accept even the unfavourable decisions taken against them without bitterness or personal rancour.
When I acted as Commissioner of Housing, the Secretary to the Ministry at the time tried to badger me to transfer a house in a prime locality in Colombo to the tenant, under the Ceiling on Housing Property Law, at the behest of a powerful Minister. I stood my ground and refused to do so as such a transfer was irregular under the relevant legal provisions. He even fixed up a consultation in the chambers of a leading lawyer who is now deceased, who in turn tried to persuade me that it was in order to effect the transfer. I refused to budge from the position I had taken up, despite the consultation going on till late in the night. I refused to yield to all the cajoling and the entreaties as I was convinced in my own mind that any such action on my part would have been irregular and untenable. It does pay not to give in to pressure where you are convinced that you would not be able to justify your actions in such instances.
In May 1977 I was selected to attend a seminar on “Access to Housing” at the Institute of Development Studies, Sussex, UK. As I was handling the administration of flats and housing schemes in the city and it’s suburbs, there were innumerable problems which I had to inquire into, concerning disputes between neighbouring tenants which were often unimaginably petty. Curiously, I discovered that the higher one’s station in life, such disputes seemed to assume intensely acrimonious proportions. In extreme cases, the more stubborn tenants were threatened by me with a transfer to the ‘L’ Block (called the Hell Block) in the Bambalapitiya flats which often did the trick!
There was at this time a lot of agitation by tenants to have their flats and houses converted from monthly rental to rent purchase. The genial Communist Minister at the time, Mr.Pieter Keuneman, appointed a Committee comprising myself, Dr. Michael Joachim another Deputy Commissioner and the Chief Accountant Mr. Thurairajah, to recommend an appropriate basis to effect such a conversion. The Committee examined the problem in depth and recommended a fair and equitable basis for such a conversion which the Minister had no hesitation in recommending to Cabinet. This was a far reaching measure which laid the basis for tenants selected for Govt. flats and houses thereafter, to be given such premises on a rent purchase basis.
I remember distinctly the jubilation of the tenants in Bambalapitiya and other schemes when the new measures were announced. The Committee took into account the period of occupation by the tenants concerned in determining the down payment required to be made by them. This meant that rather than being tenants in perpetuity, they could come to own the flats/houses at the end of a given period. The guidelines laid down by the Committee were followed thereafter by the Housing Dept. in the allocation of Govt. flats and Houses to tenants on a rent –purchase basis. The Committee found the assignment most satisfying as it revolutionized the basis of allocation of Govt. houses to tenants by ensuring security of tenancy and the eventual ownership by tenants.
In 1978, I proceeded to Canberra, Australia on a scholarship to do my Post Graduate Diploma in Public Administration at the Canberra College of Advanced Education now renamed the University of Curtin. I found my course, over a period of one year, most rewarding as I had the fortune of studying under lecturers who were reputed internationally for the outstanding contributions made by them in their particular specialities.
On my return to the island my good friend Dunstan Jayawardena, was insisting that I work in the newly established National Housing Development Authority which had taken over most of the functions performed earlier by the Housing Dept. I enjoyed my short stint in the Housing Authority as Dunstan gave me a free hand in the work I handled .This was a time of frenzied activity under Mr. R. Premadasa who was the Minister of Housing and Construction under the new UNP dispensation. It was here that I first had a foretaste of the commitment and unremitting drive of Mr. Premadasa to help the countless lower middle class and the impoverished people, who were living in hovels and shanties, particularly in the cities and the suburbs, to move into newly built flats which were allocated to them on a rent purchase basis.
It was indeed the dawn of a new era for the thousands of shanty dwellers living in sub-standard houses to move into these new flats in the city and into decent permanent houses in the rural areas under the Gam Udawa and the rural housing programmes, he launched island wide.
I feel, I must say something about one of the most colourful and endearing personalities I have encountered in my career in the Public Service – Susil Siriwardhana. Susil was born with the proverbial ‘silver spoon and had done the traditional familial trek to Oxford University where he had majored in the English Language. On his return to SL, brimming with enthusiasm and fired with socialist ideals, he may have perhaps thought of working at grass-roots level to acquaint himself first hand with things at the village level, when he decided to teach in a school in Anuradhapura. I first met him in Kandy in the company of a mutual friend- Rama Somasundaram. Susil ran an elegant flat in Kandy where we used to meet and sit on cushions to discuss matters ranging from poetry to what was happening in the local political scene, over coffee served by a faithful retainer. I was then working as Asst. Commissioner /Housing attached to the Kandy Branch Office, while Rama functioned as Land Development Officer. This is where our friendship started.
Soon afterwards, Susil sat the Ceylon Administrative Service Examination acquitting himself brilliantly by scoring heavily in both the written test as well as the Viva Voce and coming first in the examination. After my transfer to the Dept. of Agrarian Services, I virtually lost track of Susil, except for a few accidental encounters on the corridors of the Treasury,where Susil used to tell me with a lot of passion, ‘Chandra, there is so much to be done’. I never realized for a moment, what Susil wanted to convey to me in that brief sentence, which presumably left so much unsaid.
The next thing I heard about Susil was that he had been taken into custody for his alleged involvement in the JVP insurrection of 1971. This shocked me and many others who knew Susil as a deeply committed young man, thoroughly involved with his official duties.
Susil was incarcerated and charged in Court for the support he had lent the JVP insurrection. Justice Alles who was one of the Presiding Judges hearing the cases against the accused insurgents, subsequently wrote a book on the Insurrection where he devoted one full chapter to Susil. Justice Alles may perhaps have been intrigued no end, how a cultured person like Susil, with his fine family background, could possibly have been in cahoots with characters like Wijeweera, Gamanayaka and their likes!
Minister of Housing Mr.Premadasa’s infatuation with Susil
Minister Premadasa perhaps saw in Susil a person who would bring commitment and creativity to whatever work was entrusted to him and further saw in him a veritable asset to him in the implementation of his pet housing programmes. Soon after his release from prison, Susil was appointed as a Deputy General Manager in the National Housing Authority by Mr. Premadasa . I remember Susil coming to work in national dress, on his Vespa scooter and going up to his office carrying his trademark ‘pang malla’, in his hand. We became close friends once again.
I remember once, while waiting at Ratmalana Airport to take a flight to a Gam Udawa Exhibition, I struck up a conversation with Susil in the course of which, I asked him pointedly what had really made him join the JVP. I remember clearly how he looked at me intently with his piercing eyes saying “The five lessons Chandra, the five lessons. It was like swallowing narcotic pills”! I must say Mr. Premadasa made the maximum use of Susil in getting him to join him in taking forward his pet housing programmes. Susil too did not let the Minister down and worked for him with a high sense of commitment.
I also recall a rather amusing episode where Susil sat with me on an Interview Board to recruit about ten engineers to the Authority. The candidates who came before us, numbering about 25, were young qualified engineers. I remember Susil’s enthusiasm when it came to some of the candidates – ‘Chandra, this chap is excellent material. We will take him’. Much later, I discovered that of the 10 engineers we had selected, the majority were ex JVP members! However, I must say that they turned out to be very good engineers who were very enthusiastic about their official assignments. They were naturally somewhat reticent in opening out and talking about their past ‘adventures’ as JVP cadres. There was one electrical engineer however, who was a bit more forthcoming than his colleagues and spoke to me about a near brush he had had with death when he and some detainees had been taken by the Police to be shot in Uduwattakele, Kandy. For his luck he had been recognized by a young ASP by the name of Shanmugam and through the latter’s intervention, had been spared the summary punishment meted out to the others.
All these engineers were an affable and competent lot and many of them obtained their post – graduate qualifications, some even becoming academics, securing senior University positions both here and abroad. As for Susil, he sobered down to the point where his colleagues and friends found it difficult to believe that he could have had anything to do with the 1971 insurgency. I suppose it was his idealism and youthful exuberance that led to his association with the revolutionary types. Susil, soon afterwards, entered wedlock and settled down to an exemplary family life.
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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