Colombo (LNW): The Government of Japan has provided a total sum of US $547,443 (approx. Rs. 170 million) to Skavita Humanitarian Assistance and Relief Project aka SHARP for humanitarian demining activities in Northern Sri Lanka, international humanitarian information portal Relief Web reported.
Ambassador MIZUKOSHI expressed Japan’s commitment to supporting continuously for the conflict-hit area to achieve reconciliation and promote sustainable development in Sri Lanka.
Since the beginning of Sri Lanka Mine Action programme, the Japanese Government has been a continuous aide to Sri Lanka in supporting mine clearance activities. The total amount of assistance exceeds US$ 43 million to date. Development of the conflict-affected regions is one of the priority areas in Japan’s official development assistance policy to Sri Lanka.
This Financial Year’s project is expected to enable resettlement of over 400 internally displaced people and enhance their livelihoods of over 2,300 individuals directly or indirectly by clearing contaminated lands in Kilinochchi, Mullaitivu districts.
Commenting on the provision of this grant, Major Gen. (retd) Mr. Sumathi Ranjan Balasuriya stated;
“SHARP is most grateful to and deeply appreciative of the Japanese Embassy for the trust and confidence placed in SHARP by being the sole donor to SHARP continuously for 6 years, from its inception to initially commencing the demining operations in 2016, and thereafter until 2021. As of July 2023, in support of grant assistance from the Government of Japan, SHARP has cleared a total of 2,414,199 Sq Mtrs and recovered 11,471 anti-personnel mines, 168 anti-tank mines, 4,166 UXOs and over 19,647 SAA with over 2,596 families or 10,300 individuals directly and indirectly benefitted. This accounts for over 90% of the total cleared lands by SHARP.
SHARP will continue to carry out our operations to the best of our ability diligently, efficiently and effectively fully co-operating with the Japanese Embassy and all other agencies to completely justify the funds provided and fulfil the desires of our sponsors. The heartfelt gratitude and thanks of all members of SHARP is conveyed to His Excellency Ambassador MIZUKOSHI Hideaki, all GGP staff members of the Japanese Embassy and most of all the people of Japan, for their unstinted support by sponsoring SHARP, and more so ever for the Embassy of Japan being in the forefront of supporting demining activities in Sri Lanka and their continuous commitment, cooperation and assistance for the well-being of the people of our country.”
Long term survival of an entity depends on developing a culture of innovation. This needs to be an organizational priority. Fostering such a culture consultatively and inclusively needs a free flow of information, employee empowerment, collaborative problem-solving and aligning values, policies, and procedures to achieve business objectives.
An outward looking worldview, merit-based employment opportunities, recognising employee skills and knowledge, fostering life time learning and acquiring skills, encouraging to dream big in terms of future, flattening hierarchies and developing 3600 collaboration, fostering a climate conducive for accepting and respecting diversity and promoting sense of belonging and new initiatives are vital. These are crucial characteristics of an innovative culture. Only then an entity becomes dynamic, responsive, adaptable, and resilient.
Turning around a business
A business entity cannot be turned around without the active engagement of the workforce. Every worker needs to be convinced of and made accountable for the expected performance with the assurance that beneficial outcomes will be shared across the workplace.
If the entity is already insolvent, the situation needs to be turned around immediately. In this situation, it will be extremely difficult to get external funding. So, the entity must start with cutting down costs, expenditure, wastage, and mismanagement; expediently collecting what is owed to the business, and selling available products and services to the best customers for generating money.
Tough decisions in the turnaround plan need to be executed with full commitment and dedication of the workforce, while continuously monitoring key results areas and their performance indicators. Simultaneously, any contingencies that arise in the process need to be handled by thinking decisively and taking appropriate remedial action sooner rather than later.
What is crucial is the adopting of a disciplined approach in analysing the situation, developing a turnaround plan, and utilising the experience and expertise of everybody and executing the plan for achieving the anticipated outcomes.
Dealing with a country-wide economic crisis
Dealing with an economic crisis country-wide is more complicated than just spending less money, as politics plays a big role. Austerity, the key neo-liberal tool does not simply represent spending cuts. It is a process of moving society away from consumption and wages towards investment and profits. It strengthens financial capital at the expense of security and certainty in people’s lives, and drives increasing socio-economic inequality in society.
Private enterprise increasingly penetrates into the state and makes it more punitive, coercive and less welfare oriented, driving a culture where callousness and cruelty towards those in need and enforcing values of social hierarchy, dependency and competition. There are better and fairer alternatives as evidenced by what Chile endured and overcame.
Chile and neo-liberal experience
If we recollect Chile in 1973, the elected government of Salvador Allende was overthrown by the US backed and Augusto Pinochet led military regime. The USA sent a team of economists[1] to introduce neo-liberalism in Chile and to counter the left movement that was gaining popularity in Latin America. This was done prior to neo-liberalism was introduced in Sri Lanka under the regime of President J R Jayawardene. Pinochet worked along with the IMF and restructured the economy following their conditionalities.
They reversed nationalizations, privatized public assets, introduced unregulated exploitation of natural resources, privatized social security, and facilitated foreign direct investment and free trade. The regime guaranteed foreign firms the right to repatriate profits generated from such business operations in Chile and favored export-led recovery over import substitution.
Despite these developments, Chile’s budget viability was dependent on the income generated from copper, which was the natural resource that was held in the hands of the state. All revenues from copper flowed into government coffers. The results of structural reforms in Chile, such as growth rates, capital accumulation, and high rates of return on foreign investment were short-lived. With the Latin American debt crisis in 1982, everything went pear shaped.
What an IMF package entails and not
An IMF rescue package is conditional on governments needing to enhance their incomes and shrink expenditure. For IMF loans, this means national resources and public enterprises will be privatised outright, or through public-private partnerships. Direct and indirect taxes will increase with price increases of all essential commodities including food, education, health, electricity, fuel, and water. Nevertheless, people’s reactions to such unpopular policies will be counteracted by the ruling elites pledging to create more employment by boosting agriculture and industry, with the private sector assisting national development. At the same time vital causes to the crisis such as corruption and ineptness of the leaders, and wastage and mismanagement of resources are side stepped.
IMF’s research arm in 2016 published a paper titled ‘Neo-liberalism: Oversold?’[2]. IMF’s independent evaluation office has acknowledged that fiscal austerity has not delivered the expected outcomes. Despite this, IMF does not promote sovereign debt reduction to boost economic growth, but insists on fiscal retrenchment and austerity. It appears that when it comes to countries like Sri Lanka and Ghana, IMF ignores its own advice. The IMF is still adhering to austerity measures that inhibit economic growth, thus undermining efforts to reduce debt-to-GDP ratios.
According to the IMF, unanticipated transfers to state-owned enterprises and unexpected exchange-rate depreciations may undermine debt-reduction efforts. The IMF has not acknowledged that such undermining occurs as an unintended consequence of its own programs. This is because indebted countries are required to shift to market-determined exchange rates, raise interest rates, and cut state subsidies. Such measures also drive up business costs.
Further into debt
The IMF executive’s emphasis is still on faster and more effective sovereign-debt restructuring. These measures have led countries into further debt distress and re-seeking IMF help to face excessive delays, geopolitical bullying, and unresponsive creditors. Disregard for their own research has led to lending programs that include onerous conditions that bring deleterious living conditions to these countries’ populations and economies.
For countries like Ghana and Lanka, the IMF rarely looks at the socio-economic and political conditions that lead to debt problems. The risk is not necessarily the size of the ratio of debt to the GDP of a country. The issue really lies in what sources of income such as manufacturing, agriculture, services, tax revenues, and the amount of savings and reserve levels a country has. This overall picture will indicate whether a government could service a certain debt level while retaining lending agencies’ confidence and credibility. If this manoeuvrability becomes limited or vulnerable, there will be difficulties in addressing the spending needs and any ensuing crises. Ultimately, these situations can negatively impact a country’s health, education, and other essentials, leading to a crisis.
[1]Chile was the testing lab for the neo-liberal model. The economists (Chicago Boys) asked Pinochet to withdraw government involvement in all private sectors at once so as to bring back the Chilean economy to equilibrium. This move backfired with inflation escalating above 700 percent. These policies were so destructive, and difficult to implement under a democracy. Mostly, this was done through military dictatorships and state terror campaigns against any resistance emerging anywhere against it. Aggressive deregulation of economy needed aggressive regulation of the political sphere. Refer: https://www.hoover.org/news/chiles-chicago-boys-and-latin-americas-other-market-reformers and https://www.promarket.org/2021/09/12/chicago-boys-chile-friedman-neoliberalism/
Colombo (LNW): An inter-city express train service will be initiated from Talaimannar to Colombo from September 15, 2023, the President’s Media Division (PMD) reported.
The remarks come in during Sri Lankan President Ranil Wickremesinghe’s attendance to the Holy Mass of the Annual Feast of the Shrine of Our Lady Madhu this (15) morning.
Steps will also be taken to establish a sugar factory in Vavuniya, and Mannar will be developed as an energy hub, the President remarked.
The Holy Mass of the Annual Feast of the Shrine of Our Lady of Madhu was presided over by Rev. Dr. Brian Udaigwe, the Apostolic Nuncio of Sri Lanka.
Colombo (LNW): India celebrates its 77th Independence Day today (15), and Sri Lanka joined hands with its neighbour country to share the joy of celebration, further strengthening the bilateral relations between the two nations.
The two nations will promote connectivity i.e. maritime connectivity, air connectivity, energy and power connectivity, trade, economic and financial connectivity, and people-to-people connectivity, and catalyse prosperity via India – Sri Lanka economic partnership vision, a statement by the High Commission of India said.
Indian High Commissioner Gopal Baglay’s Message:
Ayubowan, Vanakkam, Namaskar!
Warm greetings to all Indians in Sri Lanka and to my Sri Lankan brothers and sisters on the occasion of India’s 77th Independence Day.
As Azadi ka Amrit Mahotsav culminates this year, India stands poised to bring in the Amrit Kaal – the next 25 years of a transformative growth story with a technology-driven and knowledge-based economy that will deliver prosperity for all.
Our policies of Neighbourhood First and SAGAR (Security And Growth for All in the Region) re ect India’s commitment to prosperity for all – as we continue to stand with the people of Sri Lanka through their hour of need.
Now as Sri Lanka is poised to turn the corner, India-Sri Lanka friendship also heads towards new milestones. We complete 75 years of diplomatic relations this year, and are planning ahead for the next 25 years for forging a closer economic partnership.
Vision Statement ‘Promoting Connectivity, Catalysing Prosperity’ of our leaders is a long-term roadmap centred on enhancing connectivity in all its dimensions.
Various announcements and outcomes during the visit of President H.E Ranil Wickremesinghe to India in July 2023-related to energy, dairying, increased air and maritime connectivity, UPI linkage, and several others which bring the people of the two countries closer have lent signi cant momentum to this vision.
Friends, the future will be technology-centric. As Sri Lanka embarks on its journey of DigiEcon 2030, we are working closely to share India’s experiences of inclusive growth steered by our Digital Public Infrastructure.
This year is also special as it marks 200 years of the arrival of Indian Origin Tamils in Sri Lanka. Government of India has announced a SLR 3 billion comprehensive grant package for overall welfare of the community. A similar package has been extended to the people of Eastern Province as well.
Building further on the foundations of civilisational connect, shared heritage and abiding bonds between our peoples, we enter the next phase of India-Sri Lanka ties with a joint vision for prosperity and progress of the people. I am con dent that in the coming Amrit Kaal, India-Sri Lanka partnership is all set to grow in depth and breadth in equal measure!
Colombo (LNW): A gazette notification has been issued easing the import restrictions imposed on certain vehicles utilised for public transportation.
Accordingly, import restrictions imposed on buses, lorries, tankers and trucks will be relaxed by the gazette declared by the Ministry of Finance.
Meanwhile, a proposal submitted by President Ranil Wickremesinghe in his capacity as the Minister of Finance, Economic Stabilisation and National Policies pertaining to the easing of import restrictions on several other items has also been approved by the Cabinet.
The above gazette has been issued in the backdrop where a number of economic analysts warned that relaxation of import restrictions will impact negatively on the exchange rates.
Colombo (LNW): The Sri Lanka Rupee has depreciated against the US Dollar today (15) in comparison to yesterday, as revealed by the official exchange rates list issued by the Central Bank of Sri Lanka (CBSL).
Accordingly, the buying price of the US Dollar has increased to Rs. 314.72 from Rs. 313.99, and the selling price to Rs. 328.02 from Rs. 326.88.
Meanwhile, the Sri Lanka Rupee also indicates a slight depreciation against several other foreign currencies, including Gulf currencies.
ANI: Wishing India on its 77th Independence Day, Sri Lanka’s Foreign Minister Ali Sabry on Tuesday said, he is confident that bilateral ties will be “further strengthened” between the two nations.
“Warm Greetings, Foreign Minister @DrSJaishankar and the Government & people of #India on the occasion of your Independence Day. I am confident that in the years ahead our bilateral ties will be further strengthened between our two nations India and Sri Lanka,” Sabry wrote on Twitter.
Nepal’s Foreign Minister Narayan Prakash Saud also extended the wishes on the occasion.
“As India celebrates its 77th Independence Day, I would like to convey warm greetings and felicitations to H.E. @DrSJaishankar, External Affairs Minister of India. Wish Happy Independence Day to the people and Government of India!” he said.
The United States Ambassador to India, Eric Garcetti, attended the Independence Day celebration at the Red Fort here today and extended his greetings.
He also said that it is an “honour” to be present at the “iconic Red Fort.” Earlier, US Secretary of State Antony Blinken also extended his wishes on India’s 77th Independence Day.
“On behalf of the United States of America, we send our warmest wishes to the people of India as they commemorate 76 years of independence this August 15. On this momentous day, we reflect on the depth and breadth of our strategic partnership, and we celebrate the proud history of the Indian people, who are the key to the bright future we are building together,” Antony Blinken said in a statement.
Blinken noted that the relationship between India and US has grown “deeper” and it has become “more expansive than ever.”
Calling India a “fastest-growing major economy,” Singapore High Commissioner Simon Wong also wished the countrymen on the 77th Independence Day.
“Happy 77th #IndependenceDay to our dearest friends! Frm ’s largest democracy, to fastest growing major econ, tech epicentre & more – has much to celebrate & aspire towards. is proud to be steadfast partner & look fwd to scaling greater heights tgt!,” Wong said on Twitter.
Earlier, Prime Minister Narendra Modi hoisted the tricolour at Red Fort in the national capital and addressed the nation. He highlighted the country’s development and said that decisions and the work done by the country today will impact its future for the coming 1000 years.
Colombo (LNW): The Sri Lankan Rupee indicates a slight depreciation against the US Dollar at leading commercial banks in Sri Lanka today (15) in comparison to yesterday.
Accordingly, Peoples Bank reveals the buying price of the US Dollar has increased to Rs. 312.88 from Rs. 311.42, and the selling price to Rs. 328.27 from Rs. 326.74.
At Commercial Bank, the buying price of the US Dollar has increase dto Rs. 311.74 from Rs. 309.78, and the selling price to Rs. 326 from Rs. 325.
At Sampath Bank, the buying and selling prices of the US Dollar remains steady at Rs. 315 and Rs. 327, respectively.
New Delhi (MINT): An India-Sri Lanka power line project that hopes to link power grids between the two countries is in advanced stages of negotiation. A detailed project report (DPR) has been completed and is being reviewed prior to formal approval. The proposed power line received a boost from president Ranil Wickremesinghe’s visit to India in July.
“We have decided that the work of connecting the electricity grids between the two countries will be expedited,” said Prime Minister Modi in a statement during Wicrekemsinghe’s visit.
Mint had reported in January this year that the public sector Power Grid Corporation of India had prepared a preliminary report for the project. Mint reported that the interconnection would take place through overhead power lines and not subsea cables.
Talks on establishing power grid connectivity have been on for over a decade now. In 2010, the two countries agreed to explore the feasibility of linking their grids through an undersea cable. The proposal was dropped due to cost concerns.
Power grid connectivity will serve several purposes. First, it will help crisis-hit Sri Lanka improve its energy security after the country saw widespread power shortages in 2022. These outages, along with the country’s raging economic crisis, contributed to the fall of President Gotabaya Rajapaksa. The project may also eventually allow Sri Lanka to sell power to India and earn vital foreign exchange in the long term.
“India today has a very robust power grid running from North to South and East to West of the country. In the future we would like to see the grid connected to neighbouring countries including Myanmar, Sri Lanka, and then expand that connection to South-east Asian countries, to emerge as a unified market,” said Ajay Tewari, additional secretary, ministry of power in December 2022.
India has been keen to explore the possibility of creating a South Asian market for the power trade. It has established power grid connectivity with neighbouring countries like Nepal and Bhutan. According to media reports, India, Nepal and Bangladesh may have already finalised a draft text for a tripartite power trade agreement.
The project can also help India move ahead with its ‘One World One Sun One Grid’ (OSOWOG) programme under the International Solar Alliance.
