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Sri Lanka’s political and economic crisis

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by Neville Ladduwahetty

The ongoing Parliamentary debate on the 21st Amendment has precipitated a series of Amendments from individuals, public institutions, political parties and even the Prime Minister. The feature that is common to a majority of these Amendments is the need to reduce the powers assigned to the President under the 20th Amendment to the Constitution and in the process strengthen the powers of Parliament. The unknown factor in this eternal tug-o-war between the Executive and the Legislature is which balance would yield political stability and economic sustainability bearing in mind that the balances needed for both vary from country to country and from time to time within each country

Consequently, the ongoing debate in Parliament and in the public domain reflects the above exercise. For instance, the protesters want a system change. However, they do not have a clue as to their preferred system. They have instead focused on one simple demand, namely, “GotaGoHome” in the misguided hope that that single act would usher in all their unstated and indeterminate desired objectives. Others, such as the Bar Association, see the abolition of the Executive Presidency as the single most significant obstacle to political stability and economic sustainability. On the other hand, the Prime Minister is of the view that a reversal to the Executive Committee system that had existed prior to Sri Lanka becoming a Republic, should be the way to go.

Sri Lanka, having first experienced the Executive Committee System followed by a Parliamentary system wherein Parliament was the “supreme instrument of state power”, to the current Presidential system wherein the powers of the President have been increased beyond what was originally conceived and later whittled down under the 19th Amendment, it appears that Sri Lanka has exhausted all the systems. After having tried all possible systems and achieved only once the status of a middle-income country with a GDP per capita of $4000, the question that needs to be asked is: Is the fault with the system or is there any other reason? If the cause for the present dilemma, is in fact NOT the system, then it must follow that those who are for system change and others who are for abolishing the current system and yet others who are focused on tinkering with systems already tried, have misunderstood the cause for the current crisis.

CRISIS PREVENTION

The current crisis is attributed to failure of systems of governance. Hence, the demand for system change. This understanding has caused the search for revising completely, or reforming the existing systems. Before engaging on such an exercice it would be prudent to inquire into the cause for the present crisis. Was it the system, or the policies that resulted in the following:

The policy to ban the use of chemical fertilizer.

The policy to reduce Taxes.

The policy to adopt a fixed Exchange Rate.

Unrestrained borrowing to implement mega projects that have little or no return on investment

To print money to meet Rupee demands.

Such policies were adopted and maintained by governments under 20A and 19A where the former vested more power in the President, and the latter weighted power in the Parliament. This confirms the fact that it is not the system but the absence of mechanisms to put a lid on the use of power indiscriminately either by the Executive or the Parliament. Therefore, instead of focusing on the system, the need is to develop constitutional barriers to restrain undisciplined power in neither organs of state power.

Constraints of such a nature were introduced in the United States under the Gramm – Rudman – Hollings Deficit Reduction Act of 1985 to contain runaway Federal deficits.

“The Acts aimed to cut the United States federal budget deficit. This deficit is the amount by which expenditures by the federal government exceed its revenues each year and was at the time the largest in history in dollar terms. The Acts provided for automatic spending cuts (“cancellation of budgetary resources”, called “sequestration”) if the total discretionary appropriations in various categories exceed in a fiscal year the budget spending thresholds. That is, if Congress enacts appropriation bills providing for discretionary outlays in each fiscal year that exceed the budget totals, unless Congress passes another budget resolution increasing the budget amount, an across-the-board spending cut in discretionary expenditure is automatically triggered in these categories, affecting all departments and programs by an equal percentage. The amount exceeding the limit is held back by the Treasury and not transferred to the agencies specified in the appropriation bills” (Wikipedia).

“Under the 1985 Act, allowable deficit levels were calculated in consideration of the eventual elimination of the federal deficit. If the budget exceeded the allowable deficit, across-the-board cuts were required. Directors of the Office of Management and Budget (OMB) and the Congressional Budget Office (CBO) were required to report to the Comptroller General regarding their recommendations for how much must be cut. The Comptroller General then evaluated these reports, made his own conclusion, and gave a recommendation to the President, who was then required to issue an order effecting the reductions recommended by the Comptroller General unless Congress made the cuts in other ways within a specified amount of time” (Ibid).

“The Comptroller General is nominated by the President from a list of three people recommended by the presiding officers of the House and Senate. He is removable only by impeachment or a joint resolution of Congress, which requires majority votes in both houses and is subject to a Presidential veto. Congress can give a number of reasons for this removal, including “inefficiency,” “neglect of duty,” or “malfeasance” (Ibid).

Sri Lanka should learn from the US experience and develop legislation with adequate constitutional safeguards such as: Limiting Budget Deficits and Import – Export Deficits to prescribed levels; that no government commits the country to financial borrowings and other financial arrangements limited to a per cent of the GDP as prescribed; that no government commits the country to treaties, agreements and other obligations with government and non-governmental entities without approval of Parliament; that all unsolicited proposals are not even entertained without first informing Parliament; that no national assets are disposed of to either local or foreign individual or institutional entities; etc. etc..

Constitutional constraints of the nature suggested above are essential to discipline and control the tendency for profligacy of elected representatives, regardless of whether the political system under which they function is Presidential, Parliamentary or Semi-Presidential, in which the President has more or less power than Parliament.

Having set such standards and guidelines, the authority to ensure compliance should be assigned to an individual, as in the US, or to the Attorney General. Furthermore, such suggested safeguards would deter corruption.

However, in Sri Lanka, the more significant contribution from such constitutional safeguards would be to conserve the much-needed foreign exchange required to buy the fuel oil for transporting the food grown in rural areas, thereby benefiting the grower as well as the consumer. While the attempts to grow more food is commendable, a fact that should not be overlooked is that without imported fuel, the food that is produced would not reach the consumer.

Therefore, every avenue should be explored by the government to discuss with Russia to secure crude oil for Sapugaskanda, and to supplement it with diesel from China from the excess stocks the latter currently possesses. Since this would not meet all of Sri Lanka’s needs, the comment by the Prime Minister that Sri Lanka “Would be compelled to buy oil from Russia” should be seized upon, to negotiate with Russia to set up a Refinery in Trincomalee as a joint venture between the two governments, or with State owned Companies with sufficient capacity to meet the balance of the needs not available from Sapugaskanda and Lanka IOC, with the excess being permitted to export to countries in the IOR. Such a joint venture should be on the basis that Russia sets up the Refinery in exchange for the unique location of Trincomalee, to which no monetary value can be assigned.

The standard response to buying oil from Russia is that Sri Lanka does not have the needed foreign exchange to engage in such an exercise. However, what should be realized is that techniques exist that allow States to import their needs in exchange for goods they possess, as it was with the Rubber/Rice deal with China. For instance, one such technique is “Trade Creation and Trade Diversion”. Such a technique would enable Sri Lanka to export a parcel of goods to Russia or China in exchange for crude oil and diesel without tariff by either party. Another technique would be to adopt the technique adopted by India.

According to a report by Al Jazeera “the rupee-rouble mechanism to be implemented, Indian importers would pay for goods to the accounts of Russian banks in India and they in turn would make the payment in roubles to the Russian exporters. But since India’s imports outweigh its exports, the only way the Russian banks can get rid of their piled-up rupees is if India exports more, experts say, opening up an opportunity for manufacturers of agricultural machinery, medicine, furniture and bathroom fittings, among other goods, who are looking for new markets.

It is therefore absolutely vital for a team that is competent and knowledgeable on matters of trade and finance to engage with counterparts from Russia and China to work out proposals acceptable to associated parties as early as possible, if Sri Lanka is to avert a food crisis not due to production of food, but due to the inability to transport what is produces, thereby victimizing the grower and the consumer.

CONCLUSION

The debate in Parliament on the 21st Amendment has caused a national debate on constitutional reform, that ranges from system change to total revision and reform of the constitution. Top of Form

The reason for this distraction is because of the flawed understanding that the current political and economic crisis is entirely due to the systems of governance that Sri Lanka has been experimenting with, starting with Executive Committee systems to Parliamentary systems where Parliament is the supreme instrument of State power, and ending up with Semi-Presidential systems in which power sharing between the President and Parliament has been a matter of constant contention.

The fact that the current political and economic crisis is due to the lack of constitutionally framed checks and balances under any of the systems Sri Lanka has experimented with, has been overlooked. This is not a matter of surprise because it was after nearly 200 years of the existence of the US constitution and experiencing historically unprecedented Federal Deficits, that the US government decided to introduce the Gramm-Redman-Hollings Deficit Reduction Act of 1985 in order to contain runaway Deficits. If Sri Lanka is to learn a lesson from the US experience, Sri Lanka should seriously engage in the exercise of constitutionally developing standards and guidelines of governance as cited above, at least at this late stage, if Sri Lanka is to emerge from the prevailing crisis.

Another issue that would have an immediate impact on the economy is securing access to crude oil so that the Sapugaskanda Refinery could operate without interruption at full capacity, and other refined petroleum products from Russia and China without which the food that is being cultivated would not be able to be distributed, if the predicted food crisis that has grabbed the attention of the United Nations and the World, is to be prevented. Since Sri Lanka does not have the foreign exchange needed to secure the needed supplies, it is necessary to explore other options such as “Trade Creation and Trade Diversion”, or the mechanism used by India to buy crude oil from Russia using Indian Rupees. Such negotiations should be undertaken by a skilled team knowledgeable on matters of Trade and Finance prior to Parliamentary approval.

Instead of being distracted by constitution making and remaking, the urgent need is to focus on two issues; the first being for the whole Parliament to engage in developing constitutional standards and guidelines that would promote governance of a nature that would discipline governments, and the second, to ensure steady supplies of petroleum products to sustain the economy in order to prevent the Peoples of Sri Lanka from having to endure the hardships they are experiencing today.



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The heart-friendly health minister

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Dr. Ramesh Pathirana

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.

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A LOVING TRIBUTE TO JESUIT FR. ALOYSIUS PIERIS ON HIS 90th BIRTHDAY

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Fr. Aloysius Pieris, SJ 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 on Nov. 23, 2019.

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.

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A fairy tale, success or debacle

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Ministers S. Iswaran and Malik Samarawickrama signing the joint statement to launch FTA negotiations. (Picture courtesy IPS)

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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