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This government should be overthrown at the earliest opportunity – Opposition Leader

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The Leader of the Opposition Sajith Premadasa has said that the International Monetary Fund (IMF) has officially stated that Sri Lanka has not yet requested financial assistance from the IMF, but that the government says it has held discussions with the IMF and that the people of the country should know whether the government or the IMF is telling the truth.

The Leader of the Opposition said that this government was lying and that their agenda is to deceive the people.

The Leader of the Opposition said this while participating in a public meeting of the Samagi Jana Jana Balavega held at Hasalaka in Ududumbara yesterday (13) morning. Prior to the meeting, the Leader of the Opposition paid floral tributes to the statue of war hero Gamini Kularatne erected in the center of Hasalaka and the statue of the late President Ranasinghe Premadasa. He also met the mother of war hero Gamini Kularatne.

The Leader of the Opposition stressed that this government should be overthrown at the earliest opportunity and then create a government that seeks answers to the problems of the next generation and allows for talent, and skills.

Basil makes a special statement on surcharge (VIDEO)

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Basil Rajapaksa, Minister of Finance has stated that he has not proposed to levy the surcharge tax proposed in the 2022 budget from the Employees Provident Fund or any other fund.

“In my budget speech presenting the 2022 budget, I made a one-time tax proposal on page 68 at 7.9. It was clearly stated that I propose to levy a 25% surcharge on individuals or companies earning taxable income of over Rs. 2000 million for the assessment year 2020-2021. It is expected to earn around Rs. 100 billion from this tax. This is what it says on page 68.

So clearly we were expecting 100 billion at that time. We identified 69 companies and individuals accordingly. When we calculate those 69 we currently get Rs. 105 billion.

At no point did we expect to include either the Employees Provident Fund or the Employment Trust Fund. There are such 11 funds but none of them will be included. Doing so would generate another Rs. 85 billion in revenue. We never estimated it.

However, the public was of the opinion that this surcharge belongs to the 11 Inland Revenue Act No. 24 of 2017 which was introduced by the previous government and these 11 funds as income taxpayers. We have to explain that in the Cabinet and state that all these 11 funds have been exempted from this tax. ”

The Minister of Finance stated this in a special statement issued to the media yesterday (14).

“Biodiversity Sri Lanka” continues to lead in restoration of mangroves

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Biodiversity Sri Lanka (BSL), sustainability focused organisation initiated by Dilmah Tea, the International Union for Conservation of Nature (IUCN) and the Ceylon Chamber of Commerce, recently launched collaboration amongst businesses and government to restore up to 25 acres of degraded mangrove forest patches in the Anawilundawa Wetland Sanctuary.

The initiative is linked to the critical importance of restoring degraded wetlands, to harness the social, environmental and economic benefits of mangroves, through the Life to Our Mangroves project, BSL said in a media release.

The project partners, all members of BSL, will fund the restoration effort over five years, whilst guidance and leadership will be provided by the Department of Wildlife Conservation. BSL will obtain further technical support from Wayamba University.

BSL’s landmark multi-partner public private partnership project ‘LIFE’ which recently completed four years of progress in restoring 12 hectares of degraded fern land located in Opatha, within the Kanneliya Conservation Forest is the inspiration for this unique yet timely project.

Anawilundawa Wetland Sanctuary is one of only six RAMSAR wetlands in the country, located along the coastal belt between Chilaw and Puttalam cities. Comprising varying forest wetland ecosystems including coastal saltwater ecosystems, and freshwater lakes, the Sanctuary has international significance and also features mangroves.

The restoration of the degraded site will incorporate input from all stakeholders to maximise social, environmental and economic impact.

The commitment was formalised at a ceremony held in the garden of the Dilmah head office just outside Colombo. Together with the Chairperson of BSL’s Board of Directors, Dilhan C. Fernando, heads and representatives of the other collaborating private companies, Citizens Development Business Finance PLC, Dole Lanka Pvt Ltd, Dynawash Ltd, Eswaran Brothers Exports (Pvt) Ltd, National Development Bank PLC, joined the Biodiversity Sri Lanka team at the event.

Biodiversity Sri Lanka originated in 2012 as the Business & Biodiversity Platform, to encourage and inspire business in conservation and restoration.

BSL initiated ‘Life to Our Mangroves’ to demonstrate the value of mangrove restoration as a Nature-based Solution (NbS) with the power to address climate change, and socio-economic development challenges – mangroves are ten times more powerful than terrestrial forests in absorbing carbon.

The project adds livelihood benefits to the communities in and around the site and offers businesses an opportunity to offset their carbon footprint while paving the way for a blue carbon future in Sri Lanka.
Dilmah, a Sri Lankan family tea business, is a proponent of Blue

Carbon initiatives have launched its own projects including seaweed cultivation in Mannar and mangrove restoration in Kalpitiya.

Government accelerates rural development spending billions of rupees

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The government is fast-tracking its development journey in rural areas spending billions of rupees without sustained revenue mobilisation while public debt is on a downward path, economic consultants warned.

These rural development work and mega infrastructure projects including major expressway construction will have to be implemented with financial allocations made for capital expenditure in budget 2022 or through state borrowings, they pointed out

In this context, the Government’s tax policy is expected to remain within the broad parameters as announce in December, 2019, in keeping with its decision to maintain consistancy while providing a stable environment for businesses.

In particular to plan their activities, especially at a time of a pandemic that has created significant uncertainties.

However, focus is also on to aggressively improve the tax administration making use of technological advancements including Artifical Intelligence (AI) and big data analytics, while continuously introducing mechanisms to make tax payments more tax payer friendly. Systems will also be geared to minimize tax evasion and thereby broadening the tax base including the introduction of online payment modalities and e-signatures.

As a measure of further simplification of the tax structure, a composite single tax will come in to effect from earlythis year.

Measures will also be taken to enhance none tax revenue through including the introduction of auctioning of licenses, increased dividends and levies, with the improved performance of the State Owned Enterprises (SOEs).

The high allocation for road development and other rural development projects cannot be met from capital expenditure of Rs.931 billion set aside in the budget.

Under this set up such projects will have to be funded from local or foreign borrowings despite the directive issued last year by the Presidential Secretariat discouraging high cost debt funded development initiatives.

Among those high cost projects are stage IV of the Central Expressway Project (CEP), which extends from Kurunegala to Dambulla and the recently launched “One Lakh Work” project under the rural development programme.

In these circumstances, the Ministry of Highways is continuously submitting cabinet papers seeking approval to change the contracts given to foreign–local consortiums while extending the express highway network, informed sources disclosed.

Initially the construction contract of Stage IV of the CEP was awarded to UK consortium M/s Roughton International Ltd which was to obtain a loan from the UK Export Finance (UKEF) to implement the project.

But this contract was cancelled by the ministry and re-awarded to a Chinese consortium by limiting its distance up to Galewela as Roughton International has declined to fund the project recently.

However the contract to construct the stretch of express highway from Rambukkana to Galagedera has been given to a local company replacing the already selected bidder, the MCC Chinese Company due to a dispute in terms and conditions, official documents revealed.

All these projects were debt-funded projects unbearable for the debt-ridden government, a senior economic consultant said.

It has also been revealed that the total government borrowing from banks was around Rs. 5000 billion which is 52 per cent from its debt portfolio.

The billion dollar question is as to how the government is going to fund these road development projects under the expenditure crisis situation.

The Finance Ministry is contemplating seeking funds for road development from a private equity investment and credit company by keeping assets of Selendiva Company as surety.

Referring to the “One Lakh Work” project being implemented in one year period under the rural development programme, he noted that a sum of Rs. 100 billion is needed to implement this initiative of the Finance Minister Basil Rajapaksa.

This massive rural development project will cover 36,000 villages in 14,000 grama seva nildari divisions in 25 districts.

As there was no provision in budget 2022 to raise a part of this money required for the project, the Finance Ministry is compelled to use the revenue of over Rs.71 billion from the newly imposed one-off 25 per cent surcharge tax on individuals or companies earning taxable income more than Rs. 2 billion for the assessment year 2020/2021. This tax is geared to raise Rs. 100 billion.

Revenue is expected to grow by 46 per cent to Rs. 2,284 billion in 2022. Several new taxes and tax increases are proposed in this regard; the surcharge tax on profits, social security contribution, and financial VAT.

Even if the estimated tax revenue of Rs. 333 billion is achievable, the balance revenue collection would need to increase by 24 per cent to gain the expected revenue target.

‘SriLankan’ pilots ‘work-to-rule amidst management condemnation

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The Sri Lankan Airline management has condemned the action of the Airline Pilots Guild of Sri Lanka (ALPGSL) trade union action to work to the letter.

However A senior spokesman for the ALPGSL said the strike was prompted by the failure of the SriLankan Airlines administration to provide a fair solution to its demands.

Accordingly, the pilots of SriLankan Airlines will only perform the flight duties assigned to them on their flight list and will refrain from performing duties on approved annual and other public holidays, the senior spokesman said.

He said SriLankan Airlines did not have enough pilots to run the flight frequently. However, its members had so far reported for duty without any hesitation, even disregarding annual leave and other approved holidays to fill the gap.

He also said they had extended their fullest support to the airline by approving even changes to their to-do list for the month.

He said his membership was committed to flying to any country and repatriating Sri Lankans, regardless of the risk to themselves or their family members. He added that they were committed to their duty, even in the face of epidemics, because they put the national interest first.

He further said that SriLankan Airlines has been making a monthly profit with increased passenger arrivals, but the unresolved response to its demands is not an acceptable situation.

The senior spokesman added that the trade union action of ‘work-to-rule’ would continue until the pilots get a fair solution.

SriLankan Airlines has been supporting the national economy and country since the closure of the Bandaranaike International Airport in March 2020 with the outbreak of COVID-19 by flying stranded Sri Lankans home and facilitating international trade by maintaining the vital link between Sri Lanka and the rest of the world.

Nearly the entire fleet of the Airline was grounded due to the closure of airports and travel restrictions imposed by various countries in the past nine months.

As a result, the Airline has had to cope with unprecedented revenue losses owing to the reduced number of flights being operated, namely for repatriation of fellow citizens and transportation of essential goods including medical supplies.

It is against this stressful backdrop that members of the executive committee of the Airline Pilots‛ Guild (ALPG) have decided to act in a self-centered manner, not only causing severe disruptions to the Airline‛s operations but jeopardizing the Airline as well as the development efforts of the country.

The ALPG has forced members to resort to unacceptable action by refraining from consenting to report to work on rostered off-days by refusing the duty call or being unresponsive to calls from the Company.

Therefore, the Board and the Management of the Airline are thoroughly disappointed that one segment of the Airline‛s employees is intentionally undermining the efforts of the rest of the committed and valuable employees of the company and the determination of the Government of Sri Lanka.

Jointly, the Board, Management and dedicated employees of the Airline vehemently condemn these untimely and selfish actions of the ALPG.

Kantale Sugar factory revives with US300 million SLI investment

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Sri Lanka’s over 30 year discarded Kantale Sugar factory and its land is set to be revived and restructured jointly by SLI Development Pte. Ltd, Singapore and its original investor M G Sugars Lanka (Pvt) Ltd under Built Operation and Transfer (BOT) agreement, Finance Ministry cabinet paper revealed.

According to this memorandum, this factory and land will be leased to the Singaporean company for ten years on the basis of granting 85 percent of shares to the investor and 15 percent to the government for an investment of US$ 300 million.

In the next shareholding ratio will be changed to 75 percent to 25 percent and keep on changing in accordance with s25 percent share reduction basis to the end of the BOT agreement.

The lease agreement will be signed by the M G Sugars Lanka, SLI Development and the treasury soon after the receiving of cabinet approval for this arrangement, Finance Ministry sources said adding that the Attorney General has given consent to go ahead with the project.

Conveying its protest to government authorities, Convenor of the Federation of National Organisations prominent Sinhala writer, poet Dr. Gunadasa Amarasekera noted that this was a pointblank handing over of the Kantale sugar factory and 20000 acres of fertile land to a Singapore company to set up Asia’s largest Ethanol production factory with the approval of the cabinet.

The new investment agreement to be signed will be to revive and restructure Kantale Sugar factory to process 4000 Tons of sugarcane cane per day and manufacture 72,000 MT sugar per year,production of ethanol , generation of electricity and dairy products, as per the approval which is to be granted by the Cabinet of Ministers.

Several previous attempts to restore the Kantale operation had failed while the action taken for the revival of the factory during the previous regime abruptly halted following a bribery scandal involving two senior government officials, including Chief of Staff of the then President Maithripala Sirisena.

They had allegedly blocked the transfer of machinery, scrap metal and other assets belonging to the Kantale sugar factory to a joint venture company that had signed a $ 100 million deal to revive the facility.

The investors planned to set up a state-of-the-art factory with world-renowned SLI experts Moussy Salem and Mendel Gluck spearheading the project.

The team consists of Booker Tate, Grupo TSK would handle industrial EPC (Engineering, Procurement and Construction) and O&M (Operations and Maintenance) along with Netafim-world leaders in irrigation technology and equipment, for the agricultural EPC and O&M, the company said .

Hogan Lovell together with financial advisers Fieldstone, have developed all contracts and financial models for the Kantale project, the company stated.

The company said: “The landmark project will welcome a 27.5 MW maximum capacity cogeneration plant from biomass, with an export of 10 MW to the National Grid.

This will produce 80,000 tons of direct consumption sugar per annum to the local market, resulting in foreign exchange savings of approximately US$50 million per annum in payments for imported sugar.

This project will offer progressive solutions to the economic development of the Trincomalee district region and wider rural economy.

Direct employment opportunities will see 3,500 local people salaried, and a further 3,000 farmer families will benefit.

To fulfill the proposed expansions, plans to train a cadre of skilled workers will be put in motion, and 10,000-15,000 indirect employment opportunities will be created nationwide.

The Kantale Sugar Factory, in the 1960’s was considered as the largest sugar production facility in Asia, providing about 10,000 direct and indirect job opportunities.

The factory complex also had luxury housing, sports club, shopping complex and social club which are now abandoned.

It was also running at a profit and from 1980 to 1986, the factory earned a Rs. 70 million profit.

However in 1993 the then UNP government handed it over to a private company which resulted in a closure by the end of 1999.

Public’s displeasure cannot be rectified by repression (VIDEO)

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Repression cannot rectify the people’s pain and displeasure, said Reverend Father Dr. Cyril Gamini, speaking to a briefing held on the arrest of Civil Activist Shehan Malaka today (14).

Suspicions and fears are raised on whether the country is heading towards a dictatorship, he emphasised.

“If there is an attempt to completely block democracy, destroy democracy, deprive the people of their rights and do what they want, then we have doubts as to whether there is an attempt to create such an environment and turn it into a dictatorship. Therefore, we call on all to protect this freedom and rights in this country. Where they are lost, we all need to stand up for our rights,” Rev. Fr. Gamini added.

Another Social Media activist summoned to CID

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Manorama Weerasinghe, a famous Social Media activist, has been issued a notice to appear before the Criminal Investigation Department (CID) on February 17.

This is reportedly on the purpose of collecting a statement with regard to an investigation on Social Media.

Social Media activists have been summoned to the CID on various occasions in the recent past and their statements have been collected. Shehan Malaka, another Social Media activist whose statement was recently recorded by the CID, was arrested today (14).

This alleged attempt to intimidate Social Media activists by the Police is seriously being criticised on Social Media.

MIAP

Sri Lanka: Support for Rights Defender: Targeting of Ambika Satkunanathan over European Parliament Testimony

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(New York, February 14, 2022) – The Sri Lankan government’s statement after a human rights lawyer, Ambika Satkunanathan, spoke before the European Parliament about the human rights situation in Sri Lanka amounts to harassment and intimidation, eight human rights groups including Human Rights Watch said today. The following is their statement:

JOINT NGO STATEMENT IN SOLIDARITY WITH SRI LANKAN HUMAN RIGHTS DEFENDER AMBIKA SATKUNANATHAN

We the undersigned human rights organizations, express our deep concern about the statement issued by the Sri Lankan Foreign Ministry on February 4, 2022, in which the government denounced testimony given by Ambika Satkunanathan, a leading human rights lawyer, to the European Parliament on January 27. The government statement clearly constitutes an act of harassment and intimidation. We condemn the Sri Lankan government’s tactics to intimidate human rights defenders, and express our full solidarity with Ms. Satkunanathan, a well-known, respected, and courageous human rights defender. Targeting her for providing accurate testimony about the human rights situation in Sri Lanka to the European Parliament is completely unacceptable, and sends a chilling message to all Sri Lankan civil society, especially those in the north and east, who are already operating under considerable duress under the current administration.

Sri Lanka’s international partners, including the European Union, should publicly condemn the Sri Lankan government’s statement and express solidarity with Ms. Satkunanathan, who has been targeted for her international engagement, and increase their efforts to engage with Sri Lankan civil society at large.

The Foreign Ministry’s statement contains numerous false claims in an attempt to disparage and delegitimize a distinguished human rights advocate, placing her at risk of physical danger in retribution for her brave work. The government’s claim that her testimony was “reminiscent of LTTE [Liberation Tigers of Tamil Eelam] propaganda that once stoked hatred among communities,” and that “such allegations need to be refuted in the interest of social harmony” is particularly insidious and dangerous.

The government’s statement mirrors its repeated practice of falsely equating human rights defenders and human rights advocacy with those pursuing “terrorism.” The statement’s language aligns these baseless allegations with vague and frequently abused provisions under the Prevention of Terrorism Act (PTA), exposing Ms. Satkunanathan to a heightened risk of threats, attacks, and persecution.

Ms. Satkunanathan was a commissioner of the National Human Rights Commission of Sri Lanka before that body’s independence was compromised under the current administration and led the first national study on Sri Lanka’s prisons. Prior to that, she was for many years a legal consultant to the Office of the United Nations High Commissioner for Human Rights. She is the author of an important recent report on abuses committed during the so-called “war on drugs.”

We are concerned that the government’s statement seeks to place the blame on human rights defenders if the European Union determines that Sri Lanka failed to meet its human rights commitments under GSP+, the preferential tariff system. The European Union should remind the Sri Lankan government that the responsibility to uphold its international human rights obligations rests with the government. The government’s treatment of human rights defenders reflects its lack of respect for international human rights law.

We support Ms. Satkunanathan’s testimony to the European Parliament, which accurately described a situation already reported by the United Nations and many domestic and international human rights organizations. The government’s response contains numerous false statements, including:

  • The government claims to be “engaged in long standing cooperation with the UN human rights mechanisms and the UN Human Rights Council.” On the contrary, in February 2020, soon after taking office, the government of President Gotabaya Rajapaksa withdrew Sri Lankan support from consensus resolutions of the council, repudiating commitments made by the previous government. Special Procedures mandate holders of the council issued a statement on February 5, 2021, noting that their recommendations, including on torture, the independence of the judiciary, arbitrary detention, enforced disappearances, minority rights, counterterrorism, freedom of religion or belief, and freedom of assembly and association, had been ignored.
     
  • The government claims to be “strengthen[ing] rule of law, access to justice and accountability.” However, President Rajapaksa campaigned on a platform of protecting “war heroes” from prosecution, and has appointed individuals implicated in war crimes to senior government posts. His presidential commission on “political victimization” has sought to interfere in judicial proceedings and block trials and investigations in human rights cases implicating the president’s associates and the president himself. The president pardoned Sunil Ratnayake, one of very few members of the armed forces ever convicted of human rights violations, who murdered eight Tamil civilians including children.
     
  • The government denies that civic space is shrinking, as Ms. Satkunanathan described in her testimony. Yet under the current government, many human rights defenders have said that they are subjected to continual government intimidation, intrusive surveillance, and attempts to block their access to funds. In her most recent update to the Human Rights Council, High Commissioner Michelle Bachelet wrote that, “surveillance, intimidation and judicial harassment of human rights defenders, journalists and families of the disappeared has not only continued, but has broadened to a wider spectrum of students, academics, medical professionals and religious leaders critical of government policies.” The UN Special Rapporteur on contemporary forms of slavery in his end-of-mission statement last December documented government intimidation of civil society and a “shrinking civic space.”
     
  • The government claims there is no “concrete evidence of discrimination against minorities.” In fact, for nearly a year the government banned the burial of people said to have died with Covid-19, causing immense distress to the Muslim community without any medical justification in what is only but one example of discrimination against ethnic and religious minorities. Such burials are now permitted only at a single remote site. In January 2021, High Commissioner Bachelet found that, “Tamil and Muslim minorities are being increasingly marginalized and excluded in statements about the national vision and Government policy… Sri Lanka’s Muslim community is increasingly scapegoated.” The high commissioner’s findings are in line with reports by Amnesty International, Human Rights Watch, and others that the PTA is used almost exclusively against members of the Tamil and Muslim communities. The government continues to deny efforts to commemorate war victims belonging to the Tamil community.
     
  • The government denies Ms. Satkunanathan’s description of alleged extrajudicial killings committed in the context of Sri Lanka’s “war on drugs.” However, these abuses are widely documented. In September, High Commissioner Bachelet said, “I am deeply concerned about further deaths in police custody, and in the context of police encounters with alleged drug criminal gangs, as well as continuing reports of torture and ill-treatment by law enforcement officials.”

The Sri Lankan government’s statement attacking Ambika Satkunanathan for her testimony to the European Parliament’s Sub-Committee on Human Rights exemplifies threats faced by human rights defenders, particularly when they engage with foreign and international forums, and it further shows the government’s refusal to address the ongoing serious human rights violations taking place in the country. Instead of trying to silence those who seek to defend human rights, the government should give serious consideration to their input and contributions, and take urgent action to ensure that they can work in a safe environment without fear of reprisals.

Signatory Organizations:

Amnesty International

Asian Forum for Human Rights and Development (FORUM-ASIA)

FIDH, in the framework of the Observatory for the Protection of Human Rights Defenders

Front Line Defenders

Human Rights Watch

International Commission of Jurists

International Movement Against All Forms of Discrimination and Racism (IMADR)

World Organisation Against Torture (OMCT), in the framework of the Observatory for the Protection of Human Rights Defenders.

For more Human Rights Watch reporting on Sri Lanka, please visit:
https://www.hrw.org/asia/sri-lanka

Omicron already prevalent in Sri Lanka. Masking without vaccine pointless: Health Authorities

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Retention at home by wearing face masks without being administered with the vaccine against Covid-19 would be a pointless measure against the pandemic, said Specialist Dr. Anthony Mendis of the Intensive Care Unit of the National Hospital of Colombo, speaking to a briefing held at the Health Promotion Bureau today (14).

This is mainly due to the omicron variant of Covid being already prevalent throughout the country, he revealed, urging the public that the vaccination, therefore, would be essential for protection.

Despite an awareness of this gravity, a significant number of people who have not received any dose of the vaccine are admitted to the ICUs due to being infected with the virus, he went on, adding that those who collect one or two doses of the vaccine are recovering and leaving the hospital.

Despite the use of face masks being effective against earlier variants of the virus, the omicron variant cannot be avoided by the mere use of face masks and therefore, people should be fully vaccinated as soon as possible, Dr. Mendis added.

MIAP