Features
SRI LANKA SHOULD CLOSE DOWN MOST OF OUR OVERSEAS MISSIONS AS A STEP TOWARDS REDUCING PUBLIC EXPENDITURE
By Sanjeewa Jayaweera
A couple of recent news items that got my attention were:
(1)”The Government has decided to strictly restrict state expenses owing to the grave financial crisis the government was facing. Finance Minister Basil Rajapaksa has informed the Cabinet that state revenue has decreased drastically as the economy faces a severe crisis due to the Covid pandemic. It was not sufficient even for recurrent expenditure. The government has also decided to suspend all recruitment for state service.”
(2)”High Commissioner-designate of Sri Lanka to India Milinda Moragoda assumes duties in New Delhi, at a simple ceremony held at the High Commission of Sri Lanka in New Delhi on 30 August 2021.”
Given the perilous state of the economy, the need to restrict and reduce state expenditure is mandatory. That it should have been done several decades ago by successive governments is to state the obvious. The salary cost of government employees and pensions is estimated to account for 80 per cent of government revenue. This expenditure at present is a fixed cost unless the government takes a bold step to enforce a pay cut on government servants. Although it might sound outrageous, many establishments struggling to survive have done it in the private sector. No doubt such a measure will be unpopular, particularly when the cost of living is increasing. But, let alone a pay cut, the Principals and Teachers, have stuck work demanding salary increments. For the GOSL, it is undoubtedly “The Hobson’s choice.”
The need to manage costs prudently has always been a priority in the private sector. As a former Chief Financial Officer of a chain of hotels between 1995 and 2005, I experienced this challenge firsthand as tourism bore the brunt of the consequences of the war waged by terrorists. Every time a bomb explosion took place, there was a sharp decline in hotel occupancy and revenue. Mere survival was difficult. We, of course, did not have the luxury of printing money as the GOSL has done to manage the deficit. Even obtaining a bank overdraft was difficult as Banks’ were wary of lending money to the hotel sector. The hotel industry was deemed not creditworthy, just as presently the GOSL is considered by overseas lenders.
In such circumstances, we had to examine every expense item and determine whether it belonged to the category of “Absolutely Necessary.” Any expenditure outside that definition was eliminated. It was not a pleasant task, but it had to be done. It is in that context that I wish to propose that the GOSL carry out a serious and dispassionate review as to how many of our embassies and high commissions in overseas countries are “Absolutely necessary.”
The cost of maintaining our overseas resident missions according to the Sri Lanka Budget Estimates for 2021 is Rs. 11 billion, which at an exchange rate of Rs 190 for 1 US Dollar is US Dollars 58 million. What needs to be understood is that all expenditure of our foreign missions needs to be remitted in US Dollars. Staff salaries, rent, and other establishment costs are incurred in foreign currency. I understand many local companies are presently struggling to obtain even US $ 20,000 from banks to import urgently needed spare parts for their factory machinery.
It is possible that the shortage of foreign exchange may be temporary. However, Sri Lanka has for many decades run a significant budget deficit where recurrent expenditure is well over revenue. In such circumstances, a pertinent question is whether the bulk of the US $ 58 million spent in maintaining overseas resident missions should be eliminated and what would be the ramifications for the country.
In determining how many of our overseas resident missions are superfluous and should be closed down, we need to understand the role and function of an Embassy / High Commission in a foreign country.
The Vienna Convention of 1963 has outlined the role and functions as follows (summarized) :
“The functions of a diplomatic mission consist, inter alia, in representing the sending State in the receiving State; protecting in the receiving State the interests of the sending State and its nationals, within limits permitted by international law; promoting friendly relations between the sending State and the receiving State, and developing their economic, cultural and scientific relations; negotiating with the Government of the receiving State; ascertaining by all lawful means conditions and developments in the receiving State, and reporting thereon to the Government of the sending State.”
Although I am no expert on international relations, I feel the section stating “promoting friendly relations and developing economic, cultural and scientific relations” should be the critical criteria in determining the need for a resident mission in an overseas country. I am well aware that consular services extended to Sri Lankans living in overseas countries are also essential. However, I contend that we do not need an ambassador and a plethora of diplomatic officers to carry out this necessary but mundane function.
In terms of promoting friendly relations between Sri Lanka and the nation to where they have been posted, I contend that our ambassadors and diplomats currently have a minimal role to play. At present international relations are based on policy set out by the GOSL. The best of personal efforts by our ambassadors and diplomats will bear no result if the GOSL pursues policies deemed by the other country to be unacceptable to them. For example, I can only assume that our ambassadors and diplomats based in the Middle East and other Muslim countries were pulling their hair and struggled to maintain “friendly relations” when GOSL followed a policy of not allowing Muslims to bury those who passed away to COVID. Similarly, our close relations with China have impacted our relations with many others. To a large extent, the concept of “Non-Aligned” as practiced in the 1960s and 1970s has been replaced with “You are either with us or against us.” In the last three decades, China has been the “bogeyman” for the USA and their allies, whilst before that, it was the Soviet Union during the Cold War.
A couple of two separate but distinct incidents that my father, a career diplomat, encountered when serving abroad more or less explains the fallacy that having an overseas resident mission facilitates friendly relations.
In either 1973 or 1974, when serving in Pakistan, the embassy received an urgent telex from Colombo requesting that a message from Mrs Sirima Banadaranaike be handed to Mr Zulfikar Ali Bhutto, the Prime Minister (PM) of Pakistan. The request was for Pakistan to send an urgent shipload of rice to Colombo due to an impending shortage. My father, acting for the Ambassador, met Mr Bhutto within 12 hours of requesting the Pakistani foreign ministry to meet with the PM. Mr Bhutto met him around midnight at his official residence dressed in his pyjamas and dressing gown and greeted my father. “Mr Jayaweera, what is that I can do for our good friend Madam Bandaranaike?” The PM immediately took action upon the request for help.
In June 1987, when India violated Sri Lanka’s sovereignty and territorial integrity by entering our airspace and dropped “parripu”, my father, who was then the Ambassador to West Germany, was instructed to seek an urgent meeting with the West German Foreign Minister and request that a statement be issued expressing concern over the violation of our airspace. However, despite his best efforts, he was not given an appointment for nearly three weeks. He was then politely told that it was a bilateral issue between Sri Lanka and India, and as such, there was no desire on West Germany’s part to get involved!
The immediate response in Pakistan was solely due to the far-sighted foreign policy pursued under Mrs Bandranaike whilst in West Germany, the realities of realpolitik and trade superseded all other concerns. In neither instance was my father able to influence the decision.
In terms of developing economic relations, I believe our foreign missions do not play any meaningful role. For example, in the hotel industry that I worked for over a decade, tourist arrivals to Sri Lanka were solely due to the efforts of the private companies and their partners in overseas countries. The only time our ambassadors got involved was when invited to light the traditional oil lamp at the Sri Lankan pavilion at an international travel fair! Many would argue that even the Tourist Board and the Ministry of Tourism have hardly contributed.
In a similar vein, I am sure those engaged in exporting garments, tea, spices, and various other products and services would say the same. Their efforts and business contacts have enabled such exports, and that our resident missions have hardly played any role.
In the schedule included in this article, I have listed the countries where we have established resident missions. The number is 54 (information taken from the foreign ministry website). I have also indicated in the same schedule which of those countries have reciprocated by establishing resident missions in Colombo.
REC – RECIPROCAL WHERE THE OTHER COUNTRY HAS AN EMBASSY IN COLOMBO
NUMBER OF SRI LANKA RESIDENT MISSIONS OVERSEAS INCLUDING THE UNITED NATIONS = 54
NUMBER OF COUNTRIES HAVING RESIDENT MISSIONS IN SRI LANKA = 41
LIBYA, NEW ZEALAND, ROMANIA, AND SWITZERLAND HAVE RESIDENT MISSIONS IN COLOMBO DESPITE SRI LANKA NOT HAVING A RESIDENT MISSION IN THOSE COUNTRIES. IN ADDITION, THE EEC AND THE HOLY SEE POPE HAVE RESIDENT MISSIONS IN COLOMBO.
Another critical aspect of this debate is that successive governments have appointed people outside the foreign service as ambassadors and high commissioners since independence. These appointments are invariably granted as “santhosams” to their political supporters and since the 1980’s to a few retired service commanders. Thus, they are correctly referred to as “political appointments.” But, unfortunately, many of them are totally unsuitable and poorly trained in the art of diplomacy. Unfortunately, all governments have conveniently overlooked this lacuna. As a result, the poor taxpayers and career diplomats trained in the art of diplomacy have suffered.
In this regard, even Mrs Bandaranaike, who my father and other foreign service officials at the time considered to be the best Foreign Minister, erred. This is despite her government in 1970 appointing the first batch of career diplomats as Ambassadors.
I remember the background of those appointed as ambassadors to Russia and Pakistan, where my father was posted. One gentleman was a person who had appeared for Mrs Bandaranaike in a court case involving, I believe, a land dispute, whilst the other was a very young businessman who no doubt had supported the party financially. Both the gentlemen, as I remember, were “nice” people and sensible enough to let the career diplomats manage the challenges of running the embassy. However, I would contend that they and many other political appointees have had a pleasurable “holiday” at the expense of the taxpayers of Sri Lanka. There have been, of course, exceptions like Shirley Amerasinghe, Neville Kanakaratne and may be of recent vintage Dayan Jayatillake and S. Skandakumar.
The reason why I highlighted the news item of Milinda Moragoda (MM) assuming duties in New Delhi is only because, since January 2020, our High Commission in India has functioned without a High Commissioner. This is despite the parliamentary committee of high posts in August 2020 approving MM’s appointment. The reasons for the lengthy delay in traveling to New Delhi is not in the public domain.
When carrying out the review, it is necessary to determine how the Sri Lanka High Commission in India functioned without a High Commissioner for well over 18 months. It is acknowledged that India is the single most important overseas mission for Sri Lanka. Therefore, the question to be answered is whether relations between Sri Lanka and India were negatively impacted in the absence of a High Commissioner for 18 months?
I was astonished that Singapore does not have an embassy in Colombo despite the two countries’ close relations. A review of the Singapore foreign ministry website indicates that the Ambassador appointed to Sri Lanka is based in the Foreign Ministry in Singapore. The schedule given in the article shows the number of Embassies and High Commissions that Singapore has worldwide against what Sri Lanka has. It is evident that the visionary leaders of Singapore have once again made a dispassionate decision about establishing overseas missions based on commonsense, prudence and need.
*includes consulates in Oman and Bangladesh
There is precedence for countries closing down overseas resident missions due to financial constraints. For example, the Sri Lanka foreign ministry progress report for 2018 states that Nigeria closed down its embassy in Colombo in 2017 due to financial hardship. Need we say more?
Taking all I have highlighted and applying the expenditure criteria of “Absolutely Necessary”, I believe that GOSL can quickly close down many (over 50 per cent) of our overseas missions without any negative impact on our relations with those countries.
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 . )
US sports envoys to Lanka to champion youth development
Rahuman questions sudden cancellation of leave of CEB employees
