Proposed law will turn Port City into a province of China – JVP

The JVP yesterday warned that Colombo Port City area was going to be another province of China if Parliament passed the proposed legislation for a Colombo Port City Commission, providing for sweeping tax breaks, tax-free salaries and to be an offshore financial centre.

Addressing the media at the party headquarters in Pelawatte, JVP leader Anura Kumara Dissanayake said that the draft bill, titled Colombo Port City Commission Bill, presented to Parliament by the government sought to exempt the Port City from the administrative control of any existing local government body. “Local government bodies consisting of people’s representatives have the administrative control of their respective local government areas. But the Port City is going to be under a Commission,appointed by the President. The members of that commission are going to enjoy immunity and none of them could be brought before a court of law of this country. The Commission is to be given special financial powers to maintain a separate fund

“Usually, the government’s revenue goes to the Consolidated Fund and approval of Parliament is needed for withdrawals from the Fund, but the Post City Commission is to be given powers to maintain a separate fund, separate independent of the Consolidated Fund. The proposed Commission is also expected to have powers to grant tax exemption. It is Parliament which has such powers. The financial affairs of the Port City will not come under the auditing of the Auditor General. It is proposed to hand over that task to private auditing firms. None of these instiutions are answerable to Parliament. It has been proposed to pay the salaries of workers in the Port City in foreign currency. It could be Yuan. The government with a two-thirds majority could rush this legislation through the House.”

Sri Lanka seeks closer security tie-up with India to counter sea-borne terror in region

Sri Lanka’s Gotabaya Rajapaksa government is concerned that the banned Al Qaeda and Abu Sayyaf outfits may create a terror hub in the island nation which could have major implications for the southern Indian Ocean region.

ET has learnt that Lankan authorities are working closely with their Indian counterparts to probe the Al Qaeda-Abu Sayyaf network and its links in the Gulf and eastern and southern African regions.

Against this backdrop, expansion of security partnership could be on the agenda if the Lankan president visits India later in April. Rajapaksa is mulling a New Delhi visit, people in the know told ET.

Over the years, Sri Lanka has become a vulnerable trans-shipment hub for transnational organised crime (TOC) since the LTTE commenced drug trafficking and money laundering in the 1980s to fund purchase of arms and ammunition.

India’s security establishment believes that the Sri Lankan boat intercepted on March 25 off the coast of Vizhinjam, in Kerala, with narcotics and firearms could have been be a part of a narco-terrorism network with strong links to a group in Sri Lanka.

The Indian Coast Guard and the Narcotic Control Bureau (NCB) found 300 kg of heroin worth Rs 3,000 crore (LKR 720 million) stashed in the boat along with AK-47 rifles and 1,000 rounds of 9 mm ammunition. “A number of incriminating documents were also seized from the occupants of the vessel,” said the NCB, adding that six Sri Lankan nationals were arrested in this regard.

In March, a multi-national drug smuggling racket with links in both India and Sri Lanka was unearthed. The network may have been part of Easter bombings in Sri Lanka. The Lankan authorities are also probing the link of the network in Pakistan, ET has learnt.

Terrorists in Lanka are suspected to have links with drug cartels operating from Pakistan. The drug mafias in Pakistan have been using Lanka as a route to export drugs to Europe through sea routes. The money generated from drug smuggling was used to fund the terror activities in Sri Lanka, alleged sources.

In this regard, the revival of India-Sri Lanka-Maldives NSA level dialogue has been helpful in countering terror through the seas, according to experts on the subject.

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A grim new year for debt-trapped rural women in Sri Lanka – The Hindu

M. Champa Irangani is in no mood to celebrate ‘Avurudu’, or New Year, the biggest annual festival that Sri Lanka’s majority Sinhalese community observes mid-April, while Tamils celebrate the Tamil New Year around the same time.

“The New Year will dawn only the day our debts are cancelled. Until then we cannot celebrate. Surely not, when so many women have died by suicide under the pressure of microfinance loans,” she says, seated with dozens of affected women who have been observing a ‘satyagraha’ off the main road in Hingurakgoda town, in Sri Lanka’s Polonnaruwa district, for a month now.

Seeking relief

They want their microfinance debt abolished, and an alternative source of credit that will free them from poverty, rather than worsen it. Their experience, shared by tens of thousands who have taken microfinance loans in Sri Lanka, not only counters popular claims in South Asia of microcredit alleviating poverty and empowering women, but also highlights the devastating consequences of the individualised, high-interest microfinance loans, entangling women in a pile of debt.

Ms. Irangani feels especially let down since there has been no relief in over a year after President Gotabaya Rajapaksa, whom she voted for, came to power pledging — among other things — to abolish their loans.

Their ongoing protest is the latest against the Rajapaksa government — after the farmers’ agitations in the southern Hambantota district — from among those who backed their party in the 2019 and 2020 polls.

President Rajapaksa’s astute election campaign in 2019 had two main thrusts – enhancing national security, on the heels of the Easter terror bombings that April, and improving rural livelihoods to develop the country. His poll manifesto ‘Vistas of Prosperity and Splendour’, which has since graduated to a national policy framework, promised to “ensure relief of village women falling victim from unregulated micro finance schemes”, instead offering “government-sponsored concessionary loan schemes and agricultural loans”.

Ms. Irangani had reason to be hopeful. “I went all out and canvassed for their candidate in the general elections [August 2020] too, asking women in my village to back their party so our fate might change, but here we are, hearing of more and more indebted women dying by suicide [nearly 200 women, according estimates]. They simply don’t care.” The government has spoken of possible low interest loans as alternatives, but the women are not convinced yet.

Drawing a circle in the air, she says: “Livelihoods have become a big zero”. If the pandemic severely affected the country’s economy — with external sector earnings dropping sharply, foreign reserves draining, and the Sri Lankan rupee plummeting to 203 against the U.S. dollar — daily-waged agriculture labourers like her, who were already reeling under debt, were in for even harder times, amid growing joblessness, falling wages and uncertainty.

Ms. Irangani’s “debt trap” began when she returned to Sri Lanka some years ago, after working as a domestic help in West Asia for seven years. Exhausting her meagre savings in an unexpected court battle, she resorted to a loan to survive, and soon, one loan led to another, as companies relentlessly sold easy loans at her doorstep. The lending companies had done the same with war-affected Tamil women in the north and east, who were struggling to rebuild their lives and livelihoods with little state support.

Exorbitant interest rates

“Banks refused to give loans without any collateral security. Many families had no steady income or big lands to cultivate. At a time when children in our village were going hungry, these microfinance companies offered money,” says Priyanthika Kumari, who heads the Collective of Women Affected by Micro Finance from a cluster of more than 60 villages in the district. “There are some 1,02,000 women in Polonnaruwa district who have taken such loans.”

The women paid exorbitant interest rates – 40 % to over 200 % — amid harassment from collection agents. They signed up for more loans to cope, to ensure their families can afford two decent meals. But despite regular repayments, their principal loans amounts remained undiminished, and their impoverished lives, unchanged.

When they realised that their exhausting labour was never going to be enough in the face of their mounting debt, they took to the streets, much like their Tamil counterparts who repeatedly agitated during the last five years, demanding a solution to the crisis.

In fact, it was their persistent calls that pressured the former Maithripala Sirisena-Ranil Wickremesinghe government to announce some targeted relief measures through the Central Bank in late 2018. Acknowledging the predatory nature of microfinance loans, the administration announced greater regulation, an interest rate cap on microfinance loans, a moratorium, and cheaper credit alternatives. But the measures proved too little, too late.

“It all sounded like a dream at that time, but eventually turned out to be a mirage,” Ms. Irangani recalls. The then incumbent government did not see through the measures announced in its last leg in power.

That is when President Rajapaksa made the promise, renewing the hopes of affected women. As that hope fades now, the women seated off the main road in Hingurakgoda say that if the government does not meet to their demands by the end of the month, they will launch a “fast unto death”. “We want to raise this issue nationally. We cannot afford to lose this struggle, we will not give up,” Ms. Priyanthika Kumari says.

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What is behind the anti-Muslim measures in Sri Lanka? – Aljazeera

On March 13, Sarath Weerasekara, Sri Lanka’s minister of public security, announced that the government will ban wearing of the burqa and close more than 1,000 Islamic schools in the country. The minister was quoted as saying that “the burqa” was a “sign of religious extremism” and has a “direct impact on national security”.

The news was picked up internationally and resulted in several statements by human rights organisations and the UN special rapporteur on freedom of religion or belief, Ahmed Shaheed, as well as from Pakistan’s ambassador to Sri Lanka. Three days later the government stepped back from Weerasekera’s statement. Cabinet spokesman Keheliya Rambukwella announced that the decision “requires time” and a consultative process.

The burqa ban announcement caused a stir among Muslims, who saw it as yet another attack on their community. In the past few months, the government has undertaken a number of controversial measures under the banner of fighting extremism, which have increasingly intimidated the Muslim population and disregarded rule of law principles.

The anti-Muslim movement

Since it gained independence from the British in 1948, Sri Lanka has witnessed tumultuous relations between the Sinhala Buddhist majority, which makes up about 70 percent of the population and the Hindu and Christian Tamil minority, which accounts for roughly 12 percent. During the war between the military forces and the Liberation Tigers of Tamil Eelam (LTTE), other minorities, like the Muslims, who make up around nine percent of the population, were targeted less frequently by ultra-nationalist Sinhalese groups.

After the end of the civil war in 2009, an anti-Muslim movement initiated by the Bodu Bala Sena (BBS), with the monk Galabod Aththe Gnanasara at the helm, began to emerge. The BBS is an activist group led by Buddhist monks which mobilised around what they described as the threat posed by the “social separatism” of “extremist Muslims”. Their definition of extremism, however, seems to encompass the majority of Muslims’ everyday practices.

The BBS’s large public rallies and their strident social media campaigns normalised hate speech and everyday low-intensity harassment of Muslims across the country. Incitement by the BBS and the cultivation of anti-Muslim sentiment over the post-war years also led to violent attacks against small Muslim communities in 2014, 2017 and 2018. The BBS also aligned itself with similar groups in Myanmar.

Following these incidents, the local authorities did not take serious action against BBS and other similar groups and in some cases blamed Muslims for the violence.

In 2019, anti-Muslim hatred escalated further after eight suicide bombers pledging allegiance to the Islamic State detonated themselves at churches, hotels and other locations across the country on Easter Sunday. There was evidence of the failure to pursue available intelligence by the security establishment and negligence on the part of the political leadership. However, the media coverage of the event and government policy discussion in the aftermath primarily targeted the country’s Muslim population.

Experts rarely referenced the role of the anti-Muslim movement in radicalising local Muslims. In May, there were violent retaliatory attacks against Muslim communities in the northwest.

The government response to the attack was to embrace the anti-Muslim language of the BBS and initiate sweeping arrests of suspected followers of the group responsible for the bombings.

Since then, several prominent Muslims have also been arbitrarily targeted by the government, with little or no evidence produced of their wrongdoing. In April 2020, the police arrested Hejaaz Hisbullah, an activist lawyer, on suspicion of aiding the attackers. Then in May 2020, Ahnaf Jazeem, a young Muslim poet, was also detained under the same pretext. Recently, the former leader of the Jamati Islami, Hajjul Akbar was arrested and detained for a second time, again without charges being filed.

In the aftermath of the Easter Sunday attacks, a parliamentary sectoral oversight committee on national security was set up to put together proposals for terrorism prevention measures. It has made recommendations in 14 areas, many of which curb the religious rights of the Muslim minority.

The burqa ban and the closing of Islamic schools stem from these recommendations, as do several other measures recently taken. In early March, the government declared that all Islamic books imported into the country will need defence ministry approval. Several days later, it gazetted a set of regulations ominously sub-titled “Deradicalisation from holding violent extremist religious ideology” under the Prevention of Terrorism Act. The regulations give it powers to arrest and forward persons to a rehabilitation centre to be “deradicalised” for one year on suspicion without requiring any additional process.

Apart from the above, the government has sought other ways to intimidate the country’s Muslims. When the COVID-19 pandemic spread to Sri Lanka in the spring of 2020, it imposed a mandatory cremation policy for the COVID-19 dead and refused to allow Muslims to bury their dead, in accordance with their religion.

Muslims’ call for the burial option on religious grounds was written and talked about as “tribal” and “backward” and as reprehensible behaviour in the middle of a public health emergency. Despite condemnations at home and abroad and guidelines by the World Health Organization emphasising the safety of burials, the government maintained its position for nearly a year. Burial was permitted only recently under international pressure.

Demonising Muslims as a political strategy

Political elites in Sri Lanka have consistently demonised minorities and incited ethno-religious animosity to win elections. After the end of the war in 2009, when victory over the Tamil Tigers was glorified by the government, enmity against all other minorities and especially the Muslims was cultivated with renewed vigour.

The Rajapaksa family, which has dominated the political scene in Sri Lanka since 2005, was complicit in this cultivation until their electoral defeat in the 2015 elections. During their political campaigning after 2015, the Rajapaksas’ new party, the Sri Lanka Podujana Peramuna (SLPP), took on a Sinhala supremacist position, accommodating activist monks and anti-Muslim movement stalwarts.

Rhetoric regarding Muslim business prowess as challenging the ascendence of Sinhala entrepreneurs, Muslims conspiring to upend the majority status of Sinhalese or constituting a terrorist threat was widely used.

In October 2018, the Rajapaksas suffered a significant setback. Former president and then MP Mahinda Rajapaksa, in collusion with President Maithripala Sirisena staged a coup to take control of the government. They were defeated when the Supreme Court threw out their claim to legitimacy and the Rajapaksa brand suffered some damage as a result.

The 2019 bombings energised the Rajapaksas’ familial politics and helped them overcome the momentary unpopularity they were struggling with. The Rajapaksas attempted to leverage the bombings to their political advantage in the immediate aftermath. They accused the ruling regime of concentrating on reconciliation with minorities and neglecting security. When several months later, Gotabaya Rajapaksa, the brother of Mahinda Rajapaksa, was nominated as the SLPP’s presidential candidate, he declared in his platform: “My main task would be to ensure that our motherland which is once again under threat from terrorist and extremist elements is safe and protected.”

Using anti-minority and pro-security rhetoric in his campaign, Rajapaksa won the presidential election by a high percentage of Sinhala Buddhist votes and appointed his brother, Mahinda, the former president as prime minister. Since then, at every opportunity, the president has reiterated his commitment to this majority and outlined his actions to combat Islamic extremism, and the government has pressed forward with anti-Muslim policies.

In this context, the recent flurry of anti-Muslim government activity, including the burqa ban, serve not only to mitigate the fallout from the shift in position on COVID-19 burials, but also to distract from the Rajapaksa administration’s ongoing failures. The cabinet is facing anger over a vast tax scam, mounting opposition to its permission of deforestation, and growing public anxiety over the economic downturn. It is likely that anti-Muslim activities will increase if their popularity continues to decline.

But the anti-Muslim policies of the government may be backfiring. In March, it suffered a defeat at the UN Human Rights Council (UNHRC), which passed a resolution empowering the UN High Commissioner for Human Rights to collect and preserve information and evidence of war crimes committed during the civil war. The motion went through mainly because of the loss of support for the government from some Muslim-majority countries, who abstained from voting. The resolution included reference to the government’s treatment of Muslims in its COVID-19 response and the continued marginalisation of minorities.

The current government’s inability to mobilise its constituency around anything other than ethno-religious animosity is a legacy of Sri Lanka’s post-independence politics that looks set to continue in the long term. The UNHRC resolution was a welcome development. However, the future outlook for minorities in the country remains bleak. Ten years after a devastating war the Sri Lankan polity shows little evidence of having learnt from its past.

The views expressed in this article are the author’s own and do not necessarily reflect Al Jazeera’s editorial stance.

Govt. plans to bring new bill to control Internet publishing

Arrangements are being made to present a new bill in order to control the alleged false information circulated on the Internet at the Cabinet meeting scheduled to be held on April 19, sources said.

The new bill seeks to provide protection from false information and practices allegedly taken place on the Internet.

However, Justice Minister Ali Sabry has told Aruna newspaper that it has become a timely matter to introduce new laws to curtail damage caused by false information maliciously circulated on the Internet by various interested parties.

Aruna newspaper is published by Liberty Publication which is chaired by Dilith Jayaweera.
The paper says the new laws will cover areas such as the country’s national security, public health, public peace, public finance, state relations with other countries and alleged moves to weaken the public confidence in the state.

The bill is said to propose actions such as deactivating the fake accounts that circulate false information, remove websites that continuously spread false information and reducing the speed of the Internet when false news are circulated.

However, several rights activists said the new bill is aimed at controlling the social media.
Professional Web Journalists Association Freddi Gamage said his association was the first one that voiced against Sirisena’s government when it banned social media and “in the same spirit, we will express our protest against this new move which is clearly aimed at controlling the Internet based media.”

He said although the government claims that some people are using the Internet to sling mud at the government, “actually the certain people related to the government are using the Internet to throw mud at the opponents.”

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Time for the UK to Sanction Sri Lanka’s Army Commander – ITJP

Johannesburg: The International Truth and Justice Project has compiled a 50-page dossier which it has submitted to the Sanctions Department of the UK’s Foreign Commonwealth and Development Office on General Shavendra Silva. The Submission argues why Silva, who is Sri Lanka’s current Army Commander, should be designated under the United Kingdom’s Global Human Rights (GHR) Sanctions Regime established on 6 July 2020.

“We have an extensive archive of evidence on the final phase of the civil war in Sri Lanka, meticulously collected by international prosecutors and lawyers. The testimony of victims and witnesses – many now in the UK – was vital in informing this Submission, and making the linkages to Shavendra Silva and those under his command,” said the organisation’s executive director, Yasmin Sooka.

The ITJP Submission details Shavendra Silva’s role in the perpetration of gross human rights violations including of the right to life when he was 58 Division commander during the final phase of the civil war in 2009 in the north of Sri Lanka. It draws on searing eyewitness testimony from Tamils who survived the government shelling and bombing of hospitals and food queues in the so called No Fire Zones, many of whom now reside in the UK as refugees. The Submission also looks at Silva’s alleged involvement in torture and sexual violence, including rape, which is a priority area of the UK Government’s foreign policy.

“The US State Department designated Shavendra Silva in 2020 for his alleged role in the violations at the end of the war but the remit of the UK sanctions regime works is broader and includes his role in the shelling of hospitals and other protected civilian sites during the military offensive. This is important in terms of recognising the full extent of the violations, as well as supporting the US action,” commented Ms. Sooka. “UK designation would be another significant step forward in terms of accountability and would be in line with the recent UN Human Rights Council Resolution passed in Geneva for which Britain was the penholder,” she added.

Political will in applying the UK’s new sanctions regime to Sri Lanka was apparent in a recent parliamentary debate which saw eleven British parliamentarians ask why the UK government had not applied sanctions against Sri Lankan military figures, including Shavendra Silva who was named six times in this context .

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US tells Sri Lanka Biden committed to democracy

The United States (US) has briefed the Sri Lankan Government on the commitment of US President Joe Biden to democracy.

The matter was discussed when Foreign Minister Dinesh Gunawardena met with the US Ambassador to Sri Lanka, Alaina B. Teplitz at the Foreign Ministry on Friday.

Joe Biden assumed duties as the President of the United States in January and his administration has since implemented its new policies, including the policy on human rights.

“The Ambassador and Foreign Minister discussed a range of issues, from the pandemic and the U.S. contribution to COVAX, to trade and President Biden’s commitment to democracy,” US Embassy Spokesperson Nancy VanHorn told Daily Mirror.

Meanwhile, the Foreign Ministry said that the United States and Sri Lanka are to broaden relations in multiple areas.

“The Minister briefed the Ambassador on the various positive developments taking place in the country under the guidance of President Gotabaya Rajapaksa. They also discussed ways and means of enhancing bilateral cooperation including through development assistance. Climate change, green energy and information technology were identified as priority areas for US support,” the Foreign Ministry said.

The United States, which had earlier withdrawn from the UN Human Rights Council, has now reengaged with the Council.

The US is expected to take a lead role again in the Council on the Sri Lanka issue over the next few years.

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Sri Lanka signs USD 500 Mn loan agreement with China

Sri Lanka today signed a USD 500 million loan agreement with the China Development Bank today, Sri Lankan Embassy in China said.

Ambassador Dr. Palitha Kohona, on behalf of the government of Sri Lanka, signed the agreement.

“This loan will infuse vitally required foreign exchange into the Sri Lanka economy. These funds will help with Government efforts to facilitate rapid economic recovery following the setbacks caused by the Covid-19 pandemic,” a statement issued by the Embassy said.

After the signature ceremony, Dr. Kohona stated that the timely assistance from China in providing these funds will help fuel Sri Lanka’s recovery efforts and stimulate growth and that this USD 500 million loan will encourage investor confidence in Sri Lanka and strengthen the currency.

“China, as a loyal friend and reflecting the depth of our friendship, has been generously extending its helping hand to Sri Lanka when difficult challenges confronted us. Two weeks ago, China’s gift of 600,000 Covid-19 vaccines were airfreighted to Sri Lanka adding to our vaccine stock,” the Ambassador said.

He welcomed further cooperation on trade, investment, tourism, education, sports and other areas.

“We expect more Chinese tourists to visit Sri Lanka in the post Covid-19 period with the prospect of travel restrictions being relaxed in the near future”. Dr. Kohona said that we were in discussion with Chinese producers with a view to shooting a tourism-oriented movie in the near future. The Mission was also holding talks to improve access to Sri Lankan exports to the lucrative market while encouraging increased MI flowsto Sri Lanka. All these would assist our economy to recover in the shortest period, Dr. Kohona stated.

This USD 500 million loan was a part of USD 1 billion, out of which USD 500 million was released last year. Previously, the Mission had worked closely with Chinese counterparts to secure these funds.

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Multiple issues stymie Lankan Provincial Council polls

While there is pressure on Sri Lanka from India and the UN Human Rights Council (UNHRC) to hold the long-delayed Provincial Council (PC) elections, several political factors are preventing the Gotabaya Rajapaksa government from holding the polls in the foreseeable future.

Government ministers have said that the polls could be held at the end of 2021. But that seems more and more unlikely with every passing day.

Firstly, the delimitation of constituencies for holding elections under the First Past the Post System remains a highly contested issue. The Delimitation Commission’s report had been defeated in parliament in 2018 and it is unlikely that another report will have safe passage. The ruling Sri Lanka Podujana Peramuna (SLPP) is itself divided on its recommendations.

Of course, Parliament can resolve to use the existing district-wise Proportional Representation System and hold the polls. But for this, there ought to be a will to hold the elections. The fact is, there is no will.

Centralizing and majoritarian forces led by President Gotabaya Rajapaksa and top Buddhist monks, do not want Provincial Councils as they see them as being antithetical to national unity and a singularity of national purpose. The conduct of the erstwhile Northern Provincial Council under the stewardship of Chief Minister C.V.Wigneswaran did not help build confidence in the devolution of power. The Council was mostly passing resolutions on human rights violations and the need for internal self-determination for the Tamils. Precious little was done to formulate and implement development plans. The Council and its ministers were compulsively antagonistic to Colombo.

On Thursday, uniforms belonging to the newly-established environment police unit of the Jaffna Municipal Council were seen as being similar to the LTTE police uniform. The police have arrested Jaffna Mayor Mannivannan in this connection. In the Eastern Province, two young Muslims were arrested allegedly for spreading Jihadist ideas through classes for high school students.

Monks’ Missive

In an open letter to the President and the Prime Minister, 14 leading Buddhist monks urged them not to conduct PC elections saying that it would be “treacherous” to do so. They asked the government to give the country a new constitution as promised in the election manifesto. The monks and majoritarian politicians hope that government will use its two-thirds majority in parliament to foist a centralized constitution entirely devoid of devolution to the provinces and with no trace of the India-foisted 13 th.,ConstitutionalAmendment.

The monks said: “Although the country had seen success in ending a war that terrorized the country after the sacrifice of the lives of many patriotic soldiers, we were not able to live in peace for a long time. The people of this country have become the target of other acts of terrorism along with the Easter Sunday attacks in 2019. The real perpetrators of this dastard terrorist attack that had its roots in the Eastern Province with the connivance of international Muslim terrorism are yet a mystery. The threats of bigoted leaders and the unearthing of bombs and weapons recently in the Northern Province is an indication that terrorist activities from among the Tamil population are not fully eradicated.”

“Hence, it is imperative that the country should bring into being a new constitution that firmly establishes the unitary status of Sri Lanka. The efforts of the present government to strengthen the Provincial Council system that has been forcefully and arbitrarily shoved on the people of this country, rather than bringing about a new Constitution that rectifies this situation, have resulted in much condemnation by the public.

‘Making preparations to hold Provincial Council elections in haste, similar to the passing of the 20th amendment to the Constitution, seems to be a hint that the promise placed before the people of the country to have a new constitution is only a facade.”

“The recent UNHCR resolution passed in Geneva reveals the shameless attempts of the Western interests to annul the Prevention of Terrorism Act. In this regard, it is sad to note that there are sections within the Government, the opposition and the NGO sector, that are hand in glove with various groups who are hell-bent on destroying our country.”

“The short-sighted cabinet decision to hold elections for Provincial Councils before getting the recommendations of the Committee appointed by this same Government concerning a new Constitution should be considered as a golden opportunity lost to rectify a wrong that is hindering the future path of progress of this country.”

“If the Provincial Council elections are held as announced, the government will be legally bound to implement in full the 13th Amendment. According to the provisions of the 13th Amendment, Provincial Councils are allowed to establish Provincial Police Forces and hold firearms, ammunition and other equipment. Going by the record, it is not difficult to predict how Chief Ministers will govern the provinces. Such behaviour was evident from the former Chief Minister of the Northern Province C.V. Vigneswaran during his tenure as CM. Injustices were meted out to the Buddhists and Buddhist religious places are purely driven by communal considerations.”

“If two such Chief Ministers were to be elected, the establishment of a Provincial Council system according to the wishes of the people will become just a pipe dream. It appears that the hasty decision taken by the government is for the sole purpose of obstructing and making it impossible to abolish the current Provincial Council system. The present move of the government is to satisfy the requirements or conditions of external elements. We do not want a government that is guided and dictated by foreign governments and agencies,” the monks said in their missive.

In the Lankan contest, the monks’ letter will be enough reason not to hold the elections now or even later. Government can keep on postponing the PC elections citing difficulties in formulating a constitution that is capable of getting a two-thirds majority in parliament and 50% plus in the mandatory referendum. Constitution-making has never been easy in Sri Lanka.

Not Prepared

Postponing the PC elections will be in the interest of both the ruling SLPP, the opposition Samagi Jana Balawegaya (SJP) and the United National Party (UNP). The SLPP’s governance has been lacklustre due to impetuous decisions and lack of internal consultation. Jobs lost during the pandemic have not been retrieved, but prices have soared. Tourism is languishing. There is confusion even in procuring COVID vaccines. If the PC polls are held now, victory cannot be assured.

As far as the opposition SJB is concerned, it is leaderless and rudderless with a weak leader in Sajith Premadasa. The UNP has been reduced to a rump. UNP leader Ranil Wickremesinghe has deliberately chosen to be on the sidelines to watch the developments. UNP insiders say that he sees a window of opportunity for the UNP in the coming days as the SLPP falters and SJB dithers. But others find such hopes to be farfetched.

Source:Newsin

Sri Lanka’s China-backed Port City to bring in US$5bn in land sales

The passage of Colombo Port City Commission new law governing a reclaimed extension to the capital’s central business district will pave the way to sell 20 plots of land bringing about 5 billion US dollars of investment to Sri Lanka, an official said.

Sri Lanka’s Colombo Port City a joint venture with the state and China Harbhour Engineering Corporation has 100 hectares of land ready for construction.

The promoters will first sell commercial plots, which will bring in businesses activities and workers. The activities will drive the demand for residential plots.

In the next five year strategic plan 20 plots adjacent to Colombo’s central business district have been identified as pilot projects, for activities for which Port City will have natural advantages.

“These 20 plots in total are about 60 hectares of land, and at today’s price the investment will be about 5 billion US dollars,” CHEC Port City Assistant Managing Director Thulci Aluwihare told a forum organized by Veemansa Initiative, a Colombo-based think tank.

“And we want kick start and drive the demand. Law was actually the missing piece.”

Sri Lanka has unveiled a Colombo Port City Commission law, giving it extensive powers to approve investment without going to the Board of Investments, give tax breaks and regulate businesses in the most far-reaching ‘one-stop-shop’ designed so far.

It is expected to address several problems in Sri Lanka’s ease of doing business indicators that had kept back foreign direct investments.

On Track

The Port City is now completing the utilities and also creating an environment for some activities to take place.

“As of now close to 100 hectares of land ready for construction,” Aluwihare said. “By June this year we hope to complete all the bridges, roadways, and the boulevard, water and sewage before end of this year.

“Landscaping also before the end of this year and by mid-2022 all utility connections to the boundary of each plot on phase one will be completed.”

In September 2020 an Aqua golf range was opened by the Prime Minister Mahinda Rajapaksa.

“Before the end of this year you will see the first down town duty free,” Aluwihare said.

“The beach and park will be ready for public before the end of this year, as well as some leisure activities we have planned.”

Aluwihare said 40 out of 74 buildable plots of land are allocated for commercial development which will bring investments and business activities while 34 plots are for residential use.

Out of 269 hectares reclaimed, China Harbhour will get 113 hectares, 91 will be common areas vested in the government and the balance 60 odd hectares are land the government can sell and earn revenue.

“In designing the Port City plan it is important to emphasize that there was significant emphasis given to create a vibrant business hub district, because of its extension to the existing CBD (central business district),” he explained.

“So the master plan was devised in a manner that Phase One consists of about 40 plots of the total 74 plots which is very much tilted or geared towards attracting investments for commercial spaces,” Aluwihare said.

“If you look at Phase Two which consist of 34 plots, it is predominantly for residential use.”

Sri Lanka current economic growth would not be sufficient to drive demand, Aluwihare said. Therefore businesses had to be attracted to Phase One to drive activity.

Sri Lanka is primarily seeking foreign investments through dollar inflows, but domestic businesses would also be allowed to buy land to gain a foothold within the Port City.

Secondary Demand

The land sales will initially drive construction activity and later commercial activity as business take up floor space.

“The thinking is the commercial success in the Phase One is quite important for us to drive the successful outcome of the Phase Two”

“And for us to drive the success of the Phase One, the commerce and trade must happen.”

However, Aluwihare said Sri Lanka’s GDP growth is not sufficient for at the moment to complete the Port City.

“The GDP growth what we are expecting now in Sri Lanka is not going to be sufficient for us to see a successful completion of the Port City” Aluwihare said.

“So creating the secondary demand is key. Primary demand is the developers who will come and invest to put up their offices, leisure activities, hotels.

“For primary developers to have confidence that their investments would be successful they need to ensure that there is a secondary demand that will come and occupy these spaces”

Business Location

The Port City will also be protected from the liquidity injections and policy errors of the Monetary Board of Sri Lanka that leads to frequency currency crises and exchange controls by being ‘dollarized’ with multiple currencies.

The law envisages an offshore financial centre as well as other business activities.

“There are certain priority sectors we have identified in the Port City,” Aluwihare said. “With the law it is positioned as multi service.

International trade, logistics operations, hospitality and tourism are natural strengths of Sri Lanka are considered natural strengths of Sri Lanka. The Port has indentified ICT/ BPM, offshore banking, private equity, wealth management and investment banking as priority sectors.

“And as we evolve we can see which sector which would be highly attractive to setup in the city,” Aluwihare said. “And I think the law will also evolve to facilitate those sectors which will show keen interest to set up in the Port City.”

Dollarization will hopefully protect workers against monetary expropriation of their salaries though currency debauchment and inflation by money printing.

Sri Lanka’s rupee has been busted from 470 to 202 so far since a money printing central bank was set up in 1950 under US Federal Reserve advice in the style of Latin American central banks that brought import substitution and eventual sovereign default to several countries in that continent.

Though in Sri Lanka only the Port City is to be dollarized, the entire economy of Ecuador – which has one of several so-called Prebisch-Triffin central banks set up with Federal Reserve help – was entirely dollarized after a severe currency collapse.

Entirely new currencies have also been set up in other Prebisch-Triffin central banks such as Korea.