Features
WHY THE HURRY ABOUT 20A?
by Professor G. L. Peiris
Minister Of Education
May I begin by expressing my appreciation to the Kandy Professionals Association for embarking on this very timely initiative of meeting every month, on a Sunday, to discuss in depth the issues involving constitutional reform, and the way forward in our country. I consider this an exercise of immediate relevance and value.
The decision by the Government to present to the Cabinet of Ministers the text of the 20th Amendment to modify significantly the contents of the 19th Amendment and, after obtaining the approval of the Cabinet, to move the Amendment in Parliament, has attracted considerable public interest and discussion. As a preliminary to this, I think it is important to explain to the country the need for this. The public should have a clear understanding of the rationale underpinning this reform. This is all the more necessary because of the elaborate myths which have been assiduously cultivated, skilfully spread, by vested interests throughout the spectrum of our society.
The core of their argument is that the retention of the 19th Amendment is essential to preserve seminal values which we all believe in – the Rule of Law, independence of the judiciary and the separation of powers. They contend that removal or reform of the 19th Amendment is an act of treachery and that all must stand firm against it. If this is allowed to happen, so they contend, the result will be a mortal blow struck against human rights, democracy and seminal institutions including Parliament. The argument, set forth in the most emotional terms, needs to be assessed in the light of cold reason. What is the truth of this? Nothing is more crucial at this point than to inform the public mind about the reality of the current situation.
It is strenuously contended by interested parties that the 19th Amendment brought immense benefits in its wake, and that it has to be protected at any cost. Nothing could be further from the truth. It is for the entrenchment of narrow vested interests that this intricately orchestrated campaign, fortified by abundant resources and closely knit organization, has been launched. Why is 20A necessary? For a variety of reasons, no doubt. But chief among them, indisputably, is the maintenance of law and order – essential as it is for the protection of life and limb. This takes precedence over all other obligations – development in the economic, social and cultural fields.
This, then, is the principal and indispensable obligation of the State. If this duty is not fulfilled, all else become illusory.
What impact did the 19th Amendment have in this regard? The 19th Amendment categorically states that the President is debarred from holding any portfolios. Who is the President? He is the leader elected by the entire population of the country by the free exercise of the franchise. The inalienable duty of the President is the security of the State and the People. But the 19th Amendment prevents him from functioning as the Minister of Defence. We emphatically reject this position.
The 19th Amendment did contain a transitional provision. That, however, was limited in its operation to former President Maithripala Sirisena, who was permitted to hold the portfolio of Environment and Mahaveli Development during his tenure of the Presidency. This was an individual-centric provision which did not apply to Presidents who succeeded him.
For all other Presidents, the 19th Amendment imposes an inflexible bar against the holding of any portfolio, including Defence. Arguably, Articles 3 and 4 of the Constitution, read together, allow and indeed require, the President to hold the Defence portfolio, but this is a matter that would require judicial interpretation, in the event of a challenge in the Courts. Is this uncertainty and ambiguity desirable? Does it buttress or destroy the human rights and democracy which are sanctimoniously appealed to?
The 19th Amendment involves a basic conundrum. Articles 3 and 4 have the effect that the President is the repository of the Executive power of the State. Article 4(b) makes it clear that the defence of the nation is an integral and inseparable element of Executive power.
The defence of the country, then, is the sacred duty of the President. This is, without question, his responsibility. What he lacks, however, is the authority required to fulfil this responsibility. Here lies a fundamental contradiction, entailing as it does dire consequences for the nation’s security.
Prior to the enactment of the 19th Amendment, the Constitution of Sri Lanka contained explicit provision in respect of Urgent Bills. In the event of an unexpected contingency, an Urgent Bill could be presented to Parliament within seven days. The legislative process in ordinary circumstances, Is cumbersome and protracted: it may not enable a swift response to an unanticipated situation. To cater for this, the pre-19A law made provision for rapid intervention through the mechanism of Urgent Bills. It is this statutory provision that is abolished by 19A which compulsorily requires an interval of 14 days before legislation is introduced in Parliament. It is scarcely difficult to conceive of contexts in which this could imperil the safety and security of our country.
We have recently seen before our very eyes the horrendous consequences that were brought about by 19A. It created, in its foundation, two potentially warring centres of power. If the President and the Prime Minister belong to different political parties, we saw for ourselves the intensity of the conflicts, in terms of values, policy and even personalities, which arose in the day to day practice of Governance. It is the people of this country that paid an exorbitant price for this state of affairs. As many as 265 valuable lives were lost in the Easter Sunday carnage. To whom do we attribute responsibilities for this calamity? The Prime Minster says: “What can I do? I am not even invited to the National Security Council”. Indeed, meetings of the Council were not held for months on end. Was information conveyed to the President available to the Prime Minister, and vice versa? There was an internal tug of war – working not together but at odds with each other.
It is in the heat of this battle that the security of the nation collapsed altogether. The evidence being given on a daily basis before the Presidential Commission investigating this tragedy, is truly alarming. On the day this occurred, I was in Munich, Germany. On the following day the New York Times – a world renowned newspaper – carried on its first page the names, telephone numbers and addresses of those who were said to be involved in planning and executing this catastrophe.
Indian intelligence had brought these particulars to the attention of the Sri Lankan Government not once, but repeatedly. However, because of the internal dissensions which went from bad to worse, nothing whatever was done to avert the tragedy.
If there had been no 19A, responsibility would have been clear and undivided. What 19A did was to split it up and create chaos. The results are a permanent blemish on our national conscience. These are the matters of which the public should be informed.
What is the constant refrain of those who insist on the retention of the 19A? They proclaim the sanctity of the separation of powers, and regard authority in an individual or institution as the death knell of democracy and the basic elements of democratic culture. They assert their resolve to resist with the utmost vigour any attempt to dismantle the dual structure embedded in 19A. Is this an acceptable position?
At its very root, 19A elevated several institutions above the President. It took away the authority, hitherto vested in the President, to make appointments to high offices in the public service and the security establishment, including the Police. It characterised the retention of this authority in the hands of the President as a danger against which the public need to be protected.
On this footing the President was shorn of these powers. But to whom were they then transferred? To a Constitutional Council dominated by representatives of non-governmental organisations. This Constitutional Council is at the apex of the structure established by 19A, and wields the authority to constitute each and all of the Commissions which are said to be independent. Without the recommendations, or the approval, of this all-powerful body, the President is no longer empowered to make crucial appointments to the public service and the Police. In this regard the President is subordinated to this body – the Constitutional Council – which is sought to be sanctified as the embodiment of integrity, impartiality and probity.
Let us take a closer look at this body, close to being deified. Its membership includes persons who can in no way be regarded as legitimate representatives of the people. The whole object of the exercise, so the protagonists of the 19A whereby, stridently tell us, is to ensure depoliticisation of the State. Their contention is that everything in our country has become progressively politicised, and that the time has come to evolve a constitutional process where persons of undoubted rectitude, far removed from partisan politics, and professing fidelity to the highest moral and ethical standards, are vested with this awesome responsibility.
This is an absolute myth. Can it be maintained, by any stretch of the imagination, that the personnel constituting these Commissions are not tainted by partisan politics? A few examples will suffice. Professor Hoole is a member of the supposedly independent Elections Commission. He is expected to be apolitical. And yet, in an interview with a TV channel, he exhorted the public not to vote for the SLPP; he said that, if they were to do so, they would certainly regret their decision in the future. Can there be a more partisan intervention, coming as it has from a member of a Commission exalted as the zenith of objectivity and political neutrality? The yawning chasm between aspiration and reality is all too evident. Practice on the ground belies the grandiose pretence.
The Elections Commission is itself the creature of the Constitutional Council, identified by 19A as the source from which all the Commissions derive their authority. Mr. Javid Yusuf is a member of this overarching body. His impartiality is, therefore, by definition, axiomatic. Nevertheless, he makes so bold as to declare to the country at large in uncompromising terms, at a public forum: “Whatever you do refrain from giving the Lotus Bud a two-thirds majority. If you do this, you cannot evade responsibility for pushing the country to the brink of disaster”. Words to this effect are unabashedly uttered by a representative of the supreme body which functions as the fons et origo of all the “independent” Commissions.
Faced with this uninspiring reality, I state without hesitation that these “independent” Commissions brought into being by 19A are far more politicised than any other practicing politician in this country. It is to Commissions of this ilk that powers denied to the President of the country are supinely entrusted.
Here is a state of affairs which defies rational understanding, by any criterion. The position of apologists for 19A is, at bottom, the following: conferment of these powers on the President is preposterous and unthinkable; they represent an intolerable affront to the basic elements of democratic culture, and to the essence of human rights. However, these same powers, in the hands of institutions created in the manner defined by 19A, are innocuous and entirely acceptable.
Does this bear scrutiny for a moment? The President of the Republic is elected by all the people of our country, for the finite period of five years, at an Islandwide election. If they are dissatisfied with his performance at the end of his tenure, they have every right and power to reject him at the conclusion of this period. But can the people, in whom sovereignty resides according to the Constitution, make a similar decision is respect of the members of the Constitutional Council and the “independent” Commissions? They are a law unto themselves, accountable to no one.
During the last few months, the President, the Cabinet of Ministers and Parliament have all changed in keeping with the democratically expressed will of the People. But members of the Constitutional Council and the “independent” Commissions remain entrenched in their positions, impervious to the winds of change. Is this defensible as the epitome of a structure of democratic governance, to be acclaimed widely?
Nowhere are the effects of the dichotomy established by 19A more apparent than in the domain of the economy. Ever increasing volumes of debt cannot provide a sustainable avenue for economic advancement. President Gotabhaya Rajapaksa, in his Manifesto, has explicitly underlined the importance of resiling from the debt trap. The answer is investment, which is certainly feasible, but subject to obvious conditions. The essential requisite is confidence.
In the current intensely competitive international environment for investment, confidence has to be engendered by appropriate policy initiatives. Would any investor look seriously at Sri Lanka as a destination for investment, given the conditions generated by 19A?
The contemporary Yahapalana experience under the aegis of 19A was that the Prime Minister, in the exercise of authority conferred on him, established a Cabinet Committee on Economic Management (CCEM) which, in effect, arrogated to itself, under his Chairmanship, the authority to make major decisions straddling the whole spectrum of the economy, these decision being submitted to Cabinet for its mere formal imprimatur. President Sirisena, increasingly incensed by what he saw as the relegation of the Cabinet with regard to economic matters, in due course found his patience exhausted, and eventually intervened by doing away with the Prime Minister’s brainchild and substituting for it a novel institution, the National Economic Council, under his own superintendence and direction. A few months later, however, he dismissed his own handpicked Chairman of this body, declaring that the officer concerned, although drawing a handsome salary, was seldom in the country. This state of things is hardly likely to offer any incentive for investment in Sri Lanka.
These developments provide the backdrop for a series of reflections. Empirical experience has convincingly demonstrated the weakness of the foundations of 19A. In truth, political power is not to be viewed with innate fear or obsessive suspicion. The contrary is a facile assumption, intuitively made with a total lack of dispassionate thought. Singapore, Malaysia, South Korea and Indonesia are telling examples of Asian countries which could not have achieved the remarkable economic development they did accomplish without the advantage of strong Executive authority.
Admittedly, any system of democratic governance must contain viable checks and balances. However, as with everything else in life, there needs to be a sense of proportion. If the Executive is to be so constrained and hamstrung in every way as to make coherent decision making and movement forward impossible, the inevitable outcome is stagnation, or worse, anarchy.
This is the sad legacy of 19A which is now sought to be swept away as a matter of urgent priority.
Features
The heart-friendly health minister
by Dr Gotabhya Ranasinghe
Senior Consultant Cardiologist
National Hospital Sri Lanka
When we sought a meeting with Hon Dr. Ramesh Pathirana, Minister of Health, he graciously cleared his busy schedule to accommodate us. Renowned for his attentive listening and deep understanding, Minister Pathirana is dedicated to advancing the health sector. His openness and transparency exemplify the qualities of an exemplary politician and minister.
Dr. Palitha Mahipala, the current Health Secretary, demonstrates both commendable enthusiasm and unwavering support. This combination of attributes makes him a highly compatible colleague for the esteemed Minister of Health.
Our discussion centered on a project that has been in the works for the past 30 years, one that no other minister had managed to advance.
Minister Pathirana, however, recognized the project’s significance and its potential to revolutionize care for heart patients.
The project involves the construction of a state-of-the-art facility at the premises of the National Hospital Colombo. The project’s location within the premises of the National Hospital underscores its importance and relevance to the healthcare infrastructure of the nation.
This facility will include a cardiology building and a tertiary care center, equipped with the latest technology to handle and treat all types of heart-related conditions and surgeries.
Securing funding was a major milestone for this initiative. Minister Pathirana successfully obtained approval for a $40 billion loan from the Asian Development Bank. With the funding in place, the foundation stone is scheduled to be laid in September this year, and construction will begin in January 2025.
This project guarantees a consistent and uninterrupted supply of stents and related medications for heart patients. As a result, patients will have timely access to essential medical supplies during their treatment and recovery. By securing these critical resources, the project aims to enhance patient outcomes, minimize treatment delays, and maintain the highest standards of cardiac care.
Upon its fruition, this monumental building will serve as a beacon of hope and healing, symbolizing the unwavering dedication to improving patient outcomes and fostering a healthier society.We anticipate a future marked by significant progress and positive outcomes in Sri Lanka’s cardiovascular treatment landscape within the foreseeable timeframe.
Features
A LOVING TRIBUTE TO JESUIT FR. ALOYSIUS PIERIS ON HIS 90th BIRTHDAY
by Fr. Emmanuel Fernando, OMI
Jesuit Fr. Aloysius Pieris (affectionately called Fr. Aloy) celebrated his 90th birthday on April 9, 2024 and I, as the editor of our Oblate Journal, THE MISSIONARY OBLATE had gone to press by that time. Immediately I decided to publish an article, appreciating the untiring selfless services he continues to offer for inter-Faith dialogue, the renewal of the Catholic Church, his concern for the poor and the suffering Sri Lankan masses and to me, the present writer.
It was in 1988, when I was appointed Director of the Oblate Scholastics at Ampitiya by the then Oblate Provincial Fr. Anselm Silva, that I came to know Fr. Aloy more closely. Knowing well his expertise in matters spiritual, theological, Indological and pastoral, and with the collaborative spirit of my companion-formators, our Oblate Scholastics were sent to Tulana, the Research and Encounter Centre, Kelaniya, of which he is the Founder-Director, for ‘exposure-programmes’ on matters spiritual, biblical, theological and pastoral. Some of these dimensions according to my view and that of my companion-formators, were not available at the National Seminary, Ampitiya.
Ever since that time, our Oblate formators/ accompaniers at the Oblate Scholasticate, Ampitiya , have continued to send our Oblate Scholastics to Tulana Centre for deepening their insights and convictions regarding matters needed to serve the people in today’s context. Fr. Aloy also had tried very enthusiastically with the Oblate team headed by Frs. Oswald Firth and Clement Waidyasekara to begin a Theologate, directed by the Religious Congregations in Sri Lanka, for the contextual formation/ accompaniment of their members. It should very well be a desired goal of the Leaders / Provincials of the Religious Congregations.
Besides being a formator/accompanier at the Oblate Scholasticate, I was entrusted also with the task of editing and publishing our Oblate journal, ‘The Missionary Oblate’. To maintain the quality of the journal I continue to depend on Fr. Aloy for his thought-provoking and stimulating articles on Biblical Spirituality, Biblical Theology and Ecclesiology. I am very grateful to him for his generous assistance. Of late, his writings on renewal of the Church, initiated by Pope St. John XX111 and continued by Pope Francis through the Synodal path, published in our Oblate journal, enable our readers to focus their attention also on the needed renewal in the Catholic Church in Sri Lanka. Fr. Aloy appreciated very much the Synodal path adopted by the Jesuit Pope Francis for the renewal of the Church, rooted very much on prayerful discernment. In my Religious and presbyteral life, Fr.Aloy continues to be my spiritual animator / guide and ongoing formator / acccompanier.
Fr. Aloysius Pieris, BA Hons (Lond), LPh (SHC, India), STL (PFT, Naples), PhD (SLU/VC), ThD (Tilburg), D.Ltt (KU), has been one of the eminent Asian theologians well recognized internationally and one who has lectured and held visiting chairs in many universities both in the West and in the East. Many members of Religious Congregations from Asian countries have benefited from his lectures and guidance in the East Asian Pastoral Institute (EAPI) in Manila, Philippines. He had been a Theologian consulted by the Federation of Asian Bishops’ Conferences for many years. During his professorship at the Gregorian University in Rome, he was called to be a member of a special group of advisers on other religions consulted by Pope Paul VI.
Fr. Aloy is the author of more than 30 books and well over 500 Research Papers. Some of his books and articles have been translated and published in several countries. Among those books, one can find the following: 1) The Genesis of an Asian Theology of Liberation (An Autobiographical Excursus on the Art of Theologising in Asia, 2) An Asian Theology of Liberation, 3) Providential Timeliness of Vatican 11 (a long-overdue halt to a scandalous millennium, 4) Give Vatican 11 a chance, 5) Leadership in the Church, 6) Relishing our faith in working for justice (Themes for study and discussion), 7) A Message meant mainly, not exclusively for Jesuits (Background information necessary for helping Francis renew the Church), 8) Lent in Lanka (Reflections and Resolutions, 9) Love meets wisdom (A Christian Experience of Buddhism, 10) Fire and Water 11) God’s Reign for God’s poor, 12) Our Unhiddden Agenda (How we Jesuits work, pray and form our men). He is also the Editor of two journals, Vagdevi, Journal of Religious Reflection and Dialogue, New Series.
Fr. Aloy has a BA in Pali and Sanskrit from the University of London and a Ph.D in Buddhist Philosophy from the University of Sri Lankan, Vidyodaya Campus. On Nov. 23, 2019, he was awarded the prestigious honorary Doctorate of Literature (D.Litt) by the Chancellor of the University of Kelaniya, the Most Venerable Welamitiyawe Dharmakirthi Sri Kusala Dhamma Thera.
Fr. Aloy continues to be a promoter of Gospel values and virtues. Justice as a constitutive dimension of love and social concern for the downtrodden masses are very much noted in his life and work. He had very much appreciated the commitment of the late Fr. Joseph (Joe) Fernando, the National Director of the Social and Economic Centre (SEDEC) for the poor.
In Sri Lanka, a few religious Congregations – the Good Shepherd Sisters, the Christian Brothers, the Marist Brothers and the Oblates – have invited him to animate their members especially during their Provincial Congresses, Chapters and International Conferences. The mainline Christian Churches also have sought his advice and followed his seminars. I, for one, regret very much, that the Sri Lankan authorities of the Catholic Church –today’s Hierarchy—- have not sought Fr.
Aloy’s expertise for the renewal of the Catholic Church in Sri Lanka and thus have not benefited from the immense store of wisdom and insight that he can offer to our local Church while the Sri Lankan bishops who governed the Catholic church in the immediate aftermath of the Second Vatican Council (Edmund Fernando OMI, Anthony de Saram, Leo Nanayakkara OSB, Frank Marcus Fernando, Paul Perera,) visited him and consulted him on many matters. Among the Tamil Bishops, Bishop Rayappu Joseph was keeping close contact with him and Bishop J. Deogupillai hosted him and his team visiting him after the horrible Black July massacre of Tamils.
Features
A fairy tale, success or debacle
Sri Lanka-Singapore Free Trade Agreement
By Gomi Senadhira
senadhiragomi@gmail.com
“You might tell fairy tales, but the progress of a country cannot be achieved through such narratives. A country cannot be developed by making false promises. The country moved backward because of the electoral promises made by political parties throughout time. We have witnessed that the ultimate result of this is the country becoming bankrupt. Unfortunately, many segments of the population have not come to realize this yet.” – President Ranil Wickremesinghe, 2024 Budget speech
Any Sri Lankan would agree with the above words of President Wickremesinghe on the false promises our politicians and officials make and the fairy tales they narrate which bankrupted this country. So, to understand this, let’s look at one such fairy tale with lots of false promises; Ranil Wickremesinghe’s greatest achievement in the area of international trade and investment promotion during the Yahapalana period, Sri Lanka-Singapore Free Trade Agreement (SLSFTA).
It is appropriate and timely to do it now as Finance Minister Wickremesinghe has just presented to parliament a bill on the National Policy on Economic Transformation which includes the establishment of an Office for International Trade and the Sri Lanka Institute of Economics and International Trade.
Was SLSFTA a “Cleverly negotiated Free Trade Agreement” as stated by the (former) Minister of Development Strategies and International Trade Malik Samarawickrama during the Parliamentary Debate on the SLSFTA in July 2018, or a colossal blunder covered up with lies, false promises, and fairy tales? After SLSFTA was signed there were a number of fairy tales published on this agreement by the Ministry of Development Strategies and International, Institute of Policy Studies, and others.
However, for this article, I would like to limit my comments to the speech by Minister Samarawickrama during the Parliamentary Debate, and the two most important areas in the agreement which were covered up with lies, fairy tales, and false promises, namely: revenue loss for Sri Lanka and Investment from Singapore. On the other important area, “Waste products dumping” I do not want to comment here as I have written extensively on the issue.
1. The revenue loss
During the Parliamentary Debate in July 2018, Minister Samarawickrama stated “…. let me reiterate that this FTA with Singapore has been very cleverly negotiated by us…. The liberalisation programme under this FTA has been carefully designed to have the least impact on domestic industry and revenue collection. We have included all revenue sensitive items in the negative list of items which will not be subject to removal of tariff. Therefore, 97.8% revenue from Customs duty is protected. Our tariff liberalisation will take place over a period of 12-15 years! In fact, the revenue earned through tariffs on goods imported from Singapore last year was Rs. 35 billion.
The revenue loss for over the next 15 years due to the FTA is only Rs. 733 million– which when annualised, on average, is just Rs. 51 million. That is just 0.14% per year! So anyone who claims the Singapore FTA causes revenue loss to the Government cannot do basic arithmetic! Mr. Speaker, in conclusion, I call on my fellow members of this House – don’t mislead the public with baseless criticism that is not grounded in facts. Don’t look at petty politics and use these issues for your own political survival.”
I was surprised to read the minister’s speech because an article published in January 2018 in “The Straits Times“, based on information released by the Singaporean Negotiators stated, “…. With the FTA, tariff savings for Singapore exports are estimated to hit $10 million annually“.
As the annual tariff savings (that is the revenue loss for Sri Lanka) calculated by the Singaporean Negotiators, Singaporean $ 10 million (Sri Lankan rupees 1,200 million in 2018) was way above the rupees’ 733 million revenue loss for 15 years estimated by the Sri Lankan negotiators, it was clear to any observer that one of the parties to the agreement had not done the basic arithmetic!
Six years later, according to a report published by “The Morning” newspaper, speaking at the Committee on Public Finance (COPF) on 7th May 2024, Mr Samarawickrama’s chief trade negotiator K.J. Weerasinghehad had admitted “…. that forecasted revenue loss for the Government of Sri Lanka through the Singapore FTA is Rs. 450 million in 2023 and Rs. 1.3 billion in 2024.”
If these numbers are correct, as tariff liberalisation under the SLSFTA has just started, we will pass Rs 2 billion very soon. Then, the question is how Sri Lanka’s trade negotiators made such a colossal blunder. Didn’t they do their basic arithmetic? If they didn’t know how to do basic arithmetic they should have at least done their basic readings. For example, the headline of the article published in The Straits Times in January 2018 was “Singapore, Sri Lanka sign FTA, annual savings of $10m expected”.
Anyway, as Sri Lanka’s chief negotiator reiterated at the COPF meeting that “…. since 99% of the tariffs in Singapore have zero rates of duty, Sri Lanka has agreed on 80% tariff liberalisation over a period of 15 years while expecting Singapore investments to address the imbalance in trade,” let’s turn towards investment.
Investment from Singapore
In July 2018, speaking during the Parliamentary Debate on the FTA this is what Minister Malik Samarawickrama stated on investment from Singapore, “Already, thanks to this FTA, in just the past two-and-a-half months since the agreement came into effect we have received a proposal from Singapore for investment amounting to $ 14.8 billion in an oil refinery for export of petroleum products. In addition, we have proposals for a steel manufacturing plant for exports ($ 1 billion investment), flour milling plant ($ 50 million), sugar refinery ($ 200 million). This adds up to more than $ 16.05 billion in the pipeline on these projects alone.
And all of these projects will create thousands of more jobs for our people. In principle approval has already been granted by the BOI and the investors are awaiting the release of land the environmental approvals to commence the project.
I request the Opposition and those with vested interests to change their narrow-minded thinking and join us to develop our country. We must always look at what is best for the whole community, not just the few who may oppose. We owe it to our people to courageously take decisions that will change their lives for the better.”
According to the media report I quoted earlier, speaking at the Committee on Public Finance (COPF) Chief Negotiator Weerasinghe has admitted that Sri Lanka was not happy with overall Singapore investments that have come in the past few years in return for the trade liberalisation under the Singapore-Sri Lanka Free Trade Agreement. He has added that between 2021 and 2023 the total investment from Singapore had been around $162 million!
What happened to those projects worth $16 billion negotiated, thanks to the SLSFTA, in just the two-and-a-half months after the agreement came into effect and approved by the BOI? I do not know about the steel manufacturing plant for exports ($ 1 billion investment), flour milling plant ($ 50 million) and sugar refinery ($ 200 million).
However, story of the multibillion-dollar investment in the Petroleum Refinery unfolded in a manner that would qualify it as the best fairy tale with false promises presented by our politicians and the officials, prior to 2019 elections.
Though many Sri Lankans got to know, through the media which repeatedly highlighted a plethora of issues surrounding the project and the questionable credentials of the Singaporean investor, the construction work on the Mirrijiwela Oil Refinery along with the cement factory began on the24th of March 2019 with a bang and Minister Ranil Wickremesinghe and his ministers along with the foreign and local dignitaries laid the foundation stones.
That was few months before the 2019 Presidential elections. Inaugurating the construction work Prime Minister Ranil Wickremesinghe said the projects will create thousands of job opportunities in the area and surrounding districts.
The oil refinery, which was to be built over 200 acres of land, with the capacity to refine 200,000 barrels of crude oil per day, was to generate US$7 billion of exports and create 1,500 direct and 3,000 indirect jobs. The construction of the refinery was to be completed in 44 months. Four years later, in August 2023 the Cabinet of Ministers approved the proposal presented by President Ranil Wickremesinghe to cancel the agreement with the investors of the refinery as the project has not been implemented! Can they explain to the country how much money was wasted to produce that fairy tale?
It is obvious that the President, ministers, and officials had made huge blunders and had deliberately misled the public and the parliament on the revenue loss and potential investment from SLSFTA with fairy tales and false promises.
As the president himself said, a country cannot be developed by making false promises or with fairy tales and these false promises and fairy tales had bankrupted the country. “Unfortunately, many segments of the population have not come to realize this yet”.
(The writer, a specialist and an activist on trade and development issues . )