The government’s failure to obtain the second tranche of IMF support is a wakeup call regarding the precarious condition of the economy.  The IMF has said that Sri Lanka’s economic recovery is still not assured.  It has also said that the government has not met the economic targets set for it, particularly with regard to reducing the budget deficit due to a potential shortfall in government revenue generation.  The IMF’s refusal to grant the second tranche of USD 330 million at this time will erode the confidence of prospective investors in the economy. The IMF has said the second tranche under its lending programme would only be released after it reaches a staff-level agreement, and there was no fixed timeline on when that would take place.

The failure of the government to fulfil many of the IMF’s transparency requirements, such as posting its contracts and procurements on the website, and explain its rationale for tax holidays and those who benefit, have contributed to the loss of confidence in the government’s commitment to the economic reform process.  In view of the seriousness of the economic challenge to the country and its people we call on the government to address issues of governance in consultation with the opposition. The National Peace Council urges the government to invite the opposition parties and the latter to respond positively to discuss the IMF programme and find ways to amend and implement it as necessary in a bipartisan spirit keeping in mind the interests of vulnerable sections of the population.

The National Peace Council believes that the core issues the government needs to address if it is to get the economy on the correct track is that of governance, and its lack which has led to corruption and impunity. The mounting difficulties faced by people in coping with their economic circumstances can lead to protests and agitation campaigns. The logic of competitive electoral politics can also come into play with different political parties making their own promises to alleviate the economic hardships on the people even at the cost of the economic reform programme agreed with the IMF. We are concerned that the government’s efforts to silence public protest and criticism by means of the proposed Anti-Terrorist Act and the Online Safety Act which are to be placed before parliament next week will make a bad situation worse.

The draft Anti-Terrorist Act which seeks to replace the Prevention of Terrorism Act is wider in scope and gives the government the power to arrest persons who are engaging in public protest or trade union action. Those who are charged as “intimidating the public or a section of the public” can be arrested under this law. The Online Safety Act seeks, among others, to “protect persons against damage caused by false statements or threatening, alarming, or distressing statements.”  It will establish a five-member commission appointed by the President which will be able to proscribe or suspend any social media account or online publication, and also recommend jail time for alleged offenses which can be highly subjective.  We call on the government to withdraw these proposed anti-democratic legislations forthwith and instead deal with urgent economic issues, particularly concerns raised by the IMF.

National Peace Council of Sri Lanka

By: Staff Writer

Colombo (LNW): The International Commission of Jurists (ICJ) has raised concerns about Sri Lanka’s new Online Safety Bill, which was published in the government gazette on Sept. 18, emphasizing that if adopted in its present form, the legislation would serve “to crush free expression and further contract an already shrinking civic space” in the country.

In a statement released on Friday (Sept. 29), the ICJ said the Bill, albeit intending to dramatically regulate the content of online communication including by the general public, stands to undermine the exercise of human rights and fundamental freedoms in the country, including freedom of information and expression.

The Geneva-based rights organization notes that the provisions related to the setting up, appointment and functions of an Online Safety Commission and other experts, the vague and overboard wording of conduct designated as punishable offences and unnecessary and disproportionate punitive sanctions are of particular concern.

The ICJ raised concerns about the Online Safety Commission being on the ‘sole discretion of the President’, adding that it contrasts with other notionally independent commissions in Sri Lanka, the appointments to which require the consent of the Constitutional Council by way of nomination or ratification. “This bill would give the president unfettered discretion where both appointment and removal is concerned.”

ICJ’s Legal and Policy Director, Ian Seiderman says this Bill is ‘deeply flawed’ in its design and would be open to abuse by the Sri Lankan government, which it says has persistently failed to uphold freedom of expression. He, however, acknowledged that the spread of online hate-speech and disinformation needs to be tackled.

Seiderman stresses that the Bill risks being used to suppress important public debate regarding the conduct of the government and matters of public policy.

He says the current draft must be either withdrawn or amended to be brought in line with Sri Lanka’s international human rights obligations guaranteeing freedom of expression, opinion, and information.

The CEJ is of the opinion that the Bill should not be evaluated in a vacuum but instead must be read in conjunction with existing and proposed legislation that threaten human rights. “Such laws include the extremely misused ICCPR Act of 2005, the Prevention of Terorrism Act (PTA), the Bureau of Rehabilitation Act, and the proposed Anti-Terrorism law which seeks to replace the PTA.”

By: Staff Writer

Colombo (LNW): The International Monetary Fund’s (IMF) corruption-busting governance diagnostic report compiled by the recently concluded IMF mission has made 16 Priority Recommendations for Sri Lanka to improve the island nation’s governance system, IMF sources divulged.

Sri Lanka is the first country in Asia to undergo an IMF governance diagnostic under the global lender’s key structural reform to address corruption vulnerabilities and enhance growth.

The Sri Lanka Governance Diagnostic Assessment September 2023 by the IMF mission has revealed that social tensions remain high in the island nation due to falling real incomes.

This is despite tentative signs of macroeconomic stabilization with inflation moderating, exchange rate stabilizing, and the Central Bank of Sri Lanka (CBSL) rebuilding reserves buffers.

It adds that the government measures to address the balance of payment crisis, including tax reforms and cost-recovery pricing in the energy sector, have raised the cost of living.

The Diagnostic Assessment noted that the continued shortages of essentials, strong-arm measures against protestors, and the postponement of local government elections have been sources of popular discontent.

It has noted that large fiscal deficit and elevated debt continued to weigh on the recovery prospects.

The Diagnostic Assessment reveals that the absence of visible progress on addressing corruption and holding officials to account for past behaviour raises popular concerns that officials will continue to enjoy impunity for their misconduct.

The GDA revealed systematic and severe governance weaknesses and corruption vulnerabilities across state functions, with particular macroeconomic impact in: budget credibility; expenditure control; public investment management and control of spending

It has also disclosed public procurement; management and oversight of State-Owned Enterprises (SOEs); transparency of revenue policy and the integrity of revenue administration as priority areas of concern.   

The governance and legal frameworks of the Central Bank; the application of financial sector regulations; and clarity and security of land ownership and the integrity of the judicial sector were the other ares that needed more attention of the authorities.

Corruption vulnerabilities are exacerbated by weak accountability institutions, including the Commission to Investigate Allegations of Bribery and Corruption (CIABOC) that have neither the authority nor competency to successfully fulfil their functions.

The GDA points out that impunity for misbehaviour enjoyed by officials undermines trust in the public sector and compounds concerns over limited access to efficient and rule-based adjudication process for resolving disputes.

It noted that Corruption vulnerabilities in Public Procurement remain high, and the absence of a public procurement law creates ambiguity in the legal framework, and has contributed to high-levels of political engagement in the selection of procurement winners, poor contract management, limited transparency and a lack of oversight of procurement processes and outcomes.

Colombo (LNW): Sri Lanka will probably be setting the title of becoming the country with the most expensive electricity in South Asia, were the proposed electricity tariff hike to be implemented, warned renowned energy expert Dr. Thilak Siyambalapitiya.

He noted that it is alarming that Sri Lanka already ranks within the top three nations in the region for high electricity rates.

Siyambalapitiya further underscored the pressing need to urgently devise a new strategy to slash electricity prices, warning that otherwise Sri Lanka will be recognised as the country with the highest tariffs in the South Asian region.

Colombo (LNW): The US Embassy in Sri Lanka has issued a significant notice regarding the Diversity Visa (DV) programme for 2025.

There will be no charges to participate in the DV programme, but individuals should be wary of anyone or any service demanding payment, for such assertions about increasing the odds of selection are deceptive, the Embassy wrote on X.

Every valid application for the DV programme has an identical chance of being selected and applicants should only submit the entry, it added.

The embassy recommends applicants use the official website, https://dvprogram.state.gov/

The application period is set from 12:00 p.m. EDT on October 4 to 12:00 p.m. EST on November 7.

1. Central Bank “burns” a massive 19% of its usable Forex Reserves of USD 2,465 mn as at end-July’23 by selling USD 467 mn to the Forex market to “defend” the LKR during August’23: IMF warns “Reserve accumulation has slowed in recent months”: analysts expect the CB’s LKR defence to be stopped soon, leading to a significant depreciation of the LKR in the coming months.
   
2. Chinese Ambassador in SL Qi Zhenhong says China will continue to firmly support Sri Lanka in pursuing a development path that suits its own national conditions while getting rid of the poverty & non-development trap, and safeguarding its independence, sovereignty, territorial integrity & national dignity.
   
3. National Cancer Control Programme Director Dr Ishani Fernando says 26% of cancer patients detected in SL are those with breast cancers: notes that 5,329 new patients with breast cancer were detected in 2020 out of 37,648 new cancer patients: also says 15,599 patients had died of cancer in 2019.
   
4. President Ranil Wickremesinghe orders a probe into the resignation of Mullaitivu District Judge and Magistrate T Saravanarajah, who heard the controversial Kurundimale Temple case: the Judge has cited “receiving death threats” as the reason for his resignation.
   
5. Electricity Users’ Assn Secretary Sanjeewa Dhammika claims factories would collapse with the increase in electricity tariffs: says the EUA rejects the proposal to increase the electricity tariffs: warns the country is running to the tune of the IMF.
   
6. Lady Ridgeway Hospital Director Dr G Wijesuriya says SL has not reported any cases of Nipah virus so far: emphasizes that people should not panic as a result of false reports circulating in the social media.
   
7. Sri Lanka Medical Assn representative Professor Samath Dharmaratne says lives of 400 children were lost in 2022 due to road accidents: laments if appropriate measures are not put in place, many more innocent lives will be lost in the future in a similar manner.
   
8. Govt to introduce a new system of issuing vehicle licences called “eRL2.0” in 5 provinces, excluding the Western Province, from 3 October onwards: the new system to be an important step in the “digitalisation” of SL.
   
9. Sources say there is a rise in the number of videos featuring Sri Lankan couples in leading porn websites, over the past couple of years: also express fears that most of the content has been filmed and uploaded or sold to porn websites, without the consent of both or one of the partners.
   
10. Govt to unveil a new “Standard Operating Procedure” for visits by foreign ships or aircraft, including military assets, as a part of its effort to address India’s concerns over port calls by Chinese vessels: SOP to include guidelines and details about the type of vessels to be allowed into Sri Lanka’s ports and territorial waters, and the duration of docking.

Colombo (LNW): The Bar Association of Sri Lanka (BASL) has raised concerns over the sudden resignation of Mullaitivu District Judge, T. Saravanarajah, and urged the government to probe the matter immediately.

In a statement, the BASL expressed suspicion that his decision to resign might have been influenced by external threats.

“The BASL is committed to upholding the rule of law and ensuring the safety and well-being of all members of the judiciary. We strongly believe in maintaining an environment where judges can discharge their duties without fear or intimidation,” the Association said.

Raising concerns on the gravity of the situation, the BASL urged the government to undertake an impartial and comprehensive inquiry into the alleged threats against Judge Saravanarajah.

Such threats, if validated, can compromise the judiciary’s independence and erode public confidence in the justice system, the BASL went on, adding that the sudden exit of Mr. Saravanarajah might cast doubts over the security of Sri Lanka’s judicial personnel.

“BASL vehemently condemns and discourages any type of threats and violence to members of the judiciary,” it added, reiterating that the protection of the judiciary is pivotal for upholding the rule of law and safeguarding the rights of the people.

Colombo (LNW): The civil defence officer who was arrested over the accidental shooting of a female elephant named ‘Sita’ has been granted bail today (30).

The officer from the Civil Defence Department working with the Mapakada Wewa Wildlife Regional Office was arrested for shooting ‘Sita’, a female elephant that had been part of the annual Randoli Perahera at Mahiyanganaya Rajamaha Viharaya.

The incident occurred at about 3:30 am this morning when the officer mistakenly identified ‘Sita’ as a wild elephant after she crossed the river.

Despite being informed by bystanders that ‘Sita’ was not a wild elephant, the officer proceeded with the shooting.

After being shot, 48-year old ‘Sita’ was tethered to a tree near the Mahaweli River, and received immediate medical attention from the Wildlife Conservation Department’s veterinary surgeons post-injury.

The officer in question had used rubber bullets aiming to deter wild elephants in the area, unintentionally injuring ‘Sita’, said Director General of the Wildlife Conservation Department M.G.C. Sooriyabandara.