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Ambassador Amza meets Secretary  General of GCC

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<strong>Ambassador Amza meets Secretary  General of GCC</strong>

Ambassador of Sri Lanka to the Kingdom of Saudi Arabia P.M Amza met  Secretary General of the Gulf Cooperation Council (GCC) Dr. Nayef Falah M. Al. Hajraf at the Council Headquarters in Riyadh on 8February, 2022.

At a cordial meeting, both sides discussed the matters of mutual interest ranging from expanding trade, employment, tourism and investment between the member countries of the GCC and Sri Lanka.

The Ambassador and Secretary General also explored the possibilities of entering into a framework agreement between Sri Lanka and GCC with the view to further expand the cooperation between Sri Lanka and GCC countries.

SRI LANKA: What Is The Greater Wrong – Contempt Of Court Or Illegal Detention?

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SRI LANKA: What Is The Greater Wrong – Contempt Of Court Or Illegal Detention?

By Basil Fernando

In two occasions, the United Nations Human Rights Committee (UNHRC) held in two separate cases decided by the Sri Lankan Supreme Court related to contempt of court that the punishment imposed by the Court amounted to disproportionate punishment and that such punishment amounted to illegal detention. The UNHRC held that on both occasions that the petitioners right to be free from illegal detention guaranteed under Article 9 of the International Covenant on Civil and Political Rights (ICCPR) has been violated. It further held that the State is liable for the violation of this right by the Court and that the petitioners are entitled to compensation.

Findings of the two cases are as follows:

On Michael Anthony Emmanuel Fernando case –

“…….the only disruption indicated by the State Party is the repetitious filing of motions by the author, for which an imposition of financial penalties would have evidently been sufficient, and one instance of ‘raising his voice’ in the presence of the Court and refusing thereafter to apologize. The penalty imposed was a one year term of ‘rigourous imprisonment’. No reasoned explanation has been provided by the Court or the State Party as to why such a severe and summary penalty was warranted, in the exercise of a Court’s power to maintain orderly proceedings. Article 9, Paragraph 1, of the Covenant forbids any ‘arbitrary’ deprivation of liberty. The imposition of a draconian penalty without adequate explanation and without independent procedural safeguards falls within that prohibition. The fact that an act constituting a violation of Article 9, Paragraph 1, is committed by the judicial branch of Government cannot prevent the engagement of the responsibility of the State Party as a whole. The Committee concludes that the author’s detention was arbitrary, in violation of Article 9, Paragraph 1” (CPR/C/83/D/1189/2003. (Jurisprudence)

D.M. Dissanayake v. Sri Lanka, Comm. 1373/2005, U.N. Doc. A/63/40, Vol. II, at 109 (HRC 2008)

“In this jurisprudence, the Committee also observed that the imposition of a draconian penalty without adequate explanation and without independent procedural safeguards falls within the prohibition of the “arbitrary” deprivation of liberty, and within the meaning of Article 9, Paragraph 1, of the Covenant. The fact that an act constituting a violation of Article 9, Paragraph 1, is committed by the judicial branch of Government cannot prevent the engagement of the responsibility of the State Party as a whole.”

Fernando v. Sri Lanka, supra

In the current case, the author was sentenced to two years rigorous imprisonment for having stated at a public meeting that he would not accept any “disgraceful decision” of the Supreme Court, in relation to a pending opinion on the exercise of defence powers between the President and the Minister of Defence. As argued by the State Party, and confirmed on a review of the judgement itself, it would appear that the word “disgraceful” was considered by the Court as a “mild” translation of the word uttered. The State Party refers to the Supreme Court’s argument that the sentence was “deterrent” in nature, given the fact that the author had previously been charged with contempt but had not been convicted because of his apology. It would thus appear that the severity of the author’s sentence was based on two contempt charges, of one of which he had not been convicted. In addition, the Committee notes that the State Party has provided no explanation of why summary proceedings were necessary in this case, particularly in light of the fact that the incident leading to the charge had not been made in the “face of the Court”. The Committee finds that neither the Court nor the State Party has provided any reasoned explanation as to why such a severe and summary penalty was warranted, in the exercise of the Court’s power to maintain orderly proceedings,“

The Sri Lankan Constitution has enshrined that the freedom from illegal detention is a fundamental human right.

The Supreme Court of Sri Lanka has a duty of guaranteeing the protection of this fundamental right.

No court is entitled to act in violation of the fundamental rights of the people.

Thus, this contradiction between the State duty to prevent illegal detention and the Court’s jurisdiction to deal with contempt of court needs to be removed by restating that the Court’s discretion does not extend to the granting of disproportionate punishments violative of the Constitutional right to freedom against illegal detention or any other such fundamental right.

An Article by the Asian Human Rights Commission

Pressure Mounts on Sri Lanka to Reform Abusive Law

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Pressure Mounts on Sri Lanka to Reform Abusive Law

 
Cosmetic Edits Insufficient; EU Trade Benefits Hang in Balance 

By Claudio Francavilla

Sri Lanka’s government has recently unveiled a bill to amend its abusive Prevention of Terrorism Act (PTA), the Foreign Ministry hailing it as a “most progressive step” towards bringing the notorious law in line with “international best practice”. But the European Union is not buying it, and that may mean trouble for the government.

The proposed amendments were an attempt to salvage Sri Lanka’s tariff-free access to the EU market under the bloc’s GSP+ trading scheme, which is conditioned on respect for international human rights. But in a meeting in Brussels with their Sri Lankan counterparts, EU officials made it clear that “important elements had not been included in the Amendment Bill” and urged “further steps to make the PTA fully compliant with international norms.”

The EU also called for “practical and administrative steps to release on bail those detained under the PTA without charges.” Some detainees were released or bailed over recent weeks, but many more remain in arbitrary detention, often held for months or years, as a recent Human Rights Watch report shows.

Sri Lankan activists, lawyers, and victims of past abuses and their families have campaigned for decades urging the repeal of the PTA, which is used to enable arbitrary detention and torture, targeting the minority Tamil and Muslim communities, and suppressing civil society. The previous government had promised to repeal the law, but failed to deliver.

At risk of losing their GSP+ benefits, the administration of President Gotabaya Rajapaksa published in January the flimsy set of proposed amendments, only a few days ahead of a key meeting with the EU. Prior to the meeting, Sri Lanka’s Foreign Ministry issued a grossly inaccurate and threatening statement against recent testimony by a prominent human rights lawyer, Ambika Satkunanathan, to the European Parliament.

In December, UN experts identified five “necessary prerequisites” for Sri Lanka’s counterterrorism legislation to comply with international standards. The EU should continue to insist that those benchmarks be met: the freedom of countless Sri Lankans hangs in the balance, as does the country’s GSP+ status, which is vital to the economy. To safeguard it, the Rajapaksa government needs to uphold its human rights obligations, starting with genuine reform of the PTA, accompanied by a moratorium on its use and the release of those unjustly jailed in its application. Cosmetic interventions won’t suffice.

Human Rights Watch

Tourism sector gets a wave off from annual registration

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Tourism sector gets a wave off from annual registration

The Government has decided to waive off the annual registration fee of all tourist establishments and individuals listed under the Sri Lanka Tourism Development Authority (SLTDA) for this year, extending

Tourism Minister Prasanna Ranatunga said the number of registered accommodation providers has increased by 39%, while the registration in the service providing entities have increased by 26% compared to 2019.

Pointing out that the Government had to face many difficulties in granting relief provided to the stakeholders as many were not registered with SLTDA, he said steps have been taken to expedite the registration of tourism establishments and service providers this year.

As of 30 June 2021, the total establishments registered with  SLTDA was at 5,821, comprising 3,686 accommodation sector entities and 2,135 in the service sector. 

The Minister said that the authorities have been instructed to expedite the registration of tourist hotels, service providers, guides and drivers. 

According to the Tourism Act, all tourist establishments and individuals engaged in the sector are required to register with the SLTDA, but many of them are still not adhering to the law.

In this backdrop, the SLTDA has made it mandatory to allow only licensed tour guides for services.

The SLTDA has informed all tour operators that it will take legal action against companies that assign unregistered and unlicensed tour guides to international travellers. Investigations are being carried out by the Tourist Police.

In August 2021, Sri Lanka Tourism launched a drive to register informal sector operators with the help of iconic cricketer Kumar Sangakkara.

The key objective of the initiative was to absorb the informal sector tourism services and establishments to the SLTDA registration process. 

A unique video featuring Sangakkara with a core message: “Come, together let’s rebuild the industry we all love!.”

Currently, around 5,000 tour guides are registered with the SLTDA and of that 1,680 are national guides, 1,388 driving guides, 1,667 regional guides and 98 local guides. All the guides have obtained the relevant licenses after formal training.

Meanwhile, the first week of February received 22,412 tourists, pushing the cumulative figure to 104,739. Arrivals were led by Russian travellers, followed by India and the UK.

Aitken Spence Travels facilitates first Charter Flight from Uzbekistan

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Aitken Spence Travels facilitates first Charter Flight from Uzbekistan

Sri Lanka Tourism is now in the process of a new resurgence attracting tourists from countries which were under the former Soviet Union creating novel trends in the region, official sources said.

Following the dissolution of the Soviet Union, it declared independence as the Republic of Uzbekistan on 31 August 1991. 

Uzbekistan is a secular state, with a presidential constitutional government in place. Uzbekistan comprises 12 regions (vilayats), Tashkent City and one autonomous republic, Karakalpakstan

Travellers from Uzbekistan are visiting Sri Lanka in large numbers with the new trend promoting the tourists from Europe to look into Sri Lanka as an attractive tourist destination.      

Aitken Spence Travels, the leading DMC in Sri Lanka welcomed the country’s first charter flight from Uzbekistanon Wednesday 09. There will be a weekly flight operating every Wednesday until the end of March. 

This charter airline operation will be partnered with a leading tour operator of Uzbekistan and generate approximately 1,200 guests to Sri Lanka.

All charter flights of Uzbekistan Airways will land at the Mattala Rajapaksa International Airport (MRIA), Mattala from where all passengers would depart on their tours. 

A special welcome has been arranged at the Mattala airport, as this is the first international flight from this source market. 

Further, necessary arrangements have been made to welcome all Uzbekistani visitors, in accordance with the Ministry of Health’s and the Tourism Authority’s health and safety guidelines and rules.

Aitken Spence Travels Managing Director Nalin Jayasundera said: “He is delighted to welcome visitors from Uzbekistan to Sri Lanka. This is a new market for us and for Sri Lanka as well. 

While the world is still fighting the COVID 19 pandemic, we managed to break into this new source market after conducting a marketing campaign, making presentations, and organising promotions among a large group of agents in Tashkent, Uzbekistan, which is a landlocked country in Central Asia.” 

“It’s a historical country linked to the Silk Road. Our efforts were rewarded when we won the confidence of the Uzbekistan agents as they saw Sri Lanka as a safe and secure travel destination to be explored and enjoyed by their holiday makers. 

“We are happy to support the stakeholders of the tourism industry and contribute to the Sri Lankan economy at this critical moment as this step will lead to the road to recovery of tourism in Sri Lanka as a whole,” he added.

Aitken Spence said travellers from Uzbekistan are particularly interested in visiting Sri Lanka because of the country’s rich heritage as well as basking in the sun kissed golden sandy beaches.

 In addition, the Uzbekistani accommodation options range from four to five-star properties. Hence, Uzbekistani tourists can be classified as high-value tourists. 

More of these types of new source markets need to be identified and explored by Sri Lanka, as it would assist in reviving the industry’s much needed tourism related jobs and contribute to the country’s economic stabilisation through foreign income.

Aitken Spence Travels will also open its brand-new travel counter at the Mattala airport in pursuit of welcoming visitors who land in Mattala.

 The counter will have facilities to book tours, private transfers, and accommodation options as well.

Private sector lobby groups up in arms against 25 percent surcharge tax 

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Private sector lobby groups up in arms against 25 percent surcharge tax 

Concerns were raised regarding the dampening impact the new taxes may have on investor confidence, particularly since many of the new measures are one-off in nature, and in the case of the surcharge tax, it is retroactive in operation. 

The misalignment between the allocations provided in the budget speech and the priorities of the economy has become the talk of the town at present. 

The high allocations for defence, road development, and generally high levels of capital expenditure over allocations for education, healthcare, and skill development were identified as being problematic.

Under this et up the lobby groups within the country’s engine of growth – private sector – are reigniting protest against the controversial 25% surcharge tax on companies who had made profit of over Rs. 2 billion in FY21.

Apart from the ad-hoc nature of the taxation, concerns are being renewed as it goes against the principles of fair and best local and global practices. 

Private sector warned that surcharge tax unless revoked or injustice rectified would deal a severe blow to Sri Lanka’s already embattled reputation among international and local business 
communities.

“Firstly, slapping a 25% surcharge on already taxed past profit is unethical,” they warned, adding that Sri Lanka is facing global ridicule of being a nation resorting to taxing retained earnings/reserves. 

They argued that it also insults international best accounting standards and practices which Sri Lanka incorporated firms have been complying with. 

The surcharge tax being of retrospective effect also violates the very basic tenant of law that a company is entitled to conduct its affairs based on the taxes then prevalent.

“We understand that the Government needs money but collect it the proper way,” they emphasised. “Ideally the Government should raise the desired amount by an across the board new tax applicable to all.” 

Announced in the 2022 Budget the one-off tax aims to raise Rs. 100 billion. “Even if it is an unkind tax the Government needs to be fair in its administration rather than singling out a class of companies based on a threshold of Rs. 2 billion and above,” it was pointed out.

Tax analysts suggested that the Government should exclude profits of Rs.1 to Rs.1,999 million made by companies when computing the 25% surcharge tax liability. 

The basis for this recommendation is that companies coming under the new tax must be given the same benefit (zero tax) enjoyed by those who had made a profit of less than Rs. 2 billion. 

Citing an example, they said a company that made a profit of Rs. 2,500 million in FY21, should be taxed only on the basis of 25% of Rs. 501 million and not Rs. 2,500 million.

Private sector sources also said that the Government, by imposing 25% surcharge tax was being inconsiderate of the capital employed by the companies to earn such profit or the return on investment. 

There has been no consideration to the fact whether the profit had been earned through borrowed funds that need to be serviced. Companies had paid dividends too based on FY21 profits made.

Analysts also said Sri Lanka’s credibility on consistency in taxation is tarnished by the surcharge. 

Companies and investors had respite for about five years after the previous regime imposed the merciless “super gains tax” also in retrospective effect irking the private sector and as a sovereign assured it will be one off.

However, come 2022 the same sovereign entity, the Government of Sri Lanka, breaks its promise with the latest surcharge tax.

“From 2016 up to 2022 no such tax was imposed and accordingly; government has created a legitimate expectation to the taxpaying community no such surcharge will be imposed. 

Therefore, the latest surcharge is a violation of the rule of natural justice that has been guaranteed by the sovereign (Sri Lanka) and also amounted to breach of such cardinal principle by the Government itself,” opined analysts. 

Plans devised to promote Sri Lanka as a safe wedding destination

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Plans devised to promote Sri Lanka as a safe wedding destination

Plans are underway to promote Sri Lanka as a safe wedding destination, which would not only help uplift the hard-hit tourism industry but also the event management, fashion design and other supporting sectors that were impacted by the COVID-19 pandemic, tourism ministry sources said.

In addition to focusing on the high-potential MICE market, Sri Lanka Tourism will provide fresh impetus for ‘wedding tourism’ as well.

A separate portal will be launched by the Sri Lanka Tourism Development Authority (SLTDA) to support the endeavour.

SLTDA official said efforts would be taken to list event management companies, wedding planners, photographers, fashion designers and others under one platform, so that the experience of having a wedding in Sri Lanka can be convenient.“

Sri Lanka has immense potential in the wedding segment and sites such as those in the vicinity of the Sinharaja forest and Cultural Triangle can be promoted, ministry officials said.

While Sri Lanka needs to firm up relationships with regional peers such as India, the Maldives and Pakistan to promote wedding tourism, they  said adding that  Sri Lanka has already made a name for itself as a wedding destination in many markets, including Europe, Asia and the Middle East.

Future Market Insights, a premium market intelligence provider, in its latest update shared that with the increasing access to affordable travel options and a large number of scenic locations, destination weddings have rapidly gained popularity.

A market analysis shows that the destination wedding market will generate revenue over US $ 290 billion by 2031.

China does not always collect its debts on time

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China does not always collect its debts on time

China’s lending boom to poor countries is turning sour, as governments struggle to repay their debts to its state-owned lenders like the Export-Import Bank of China and China Development Bank. So how will China handle countries on the brink of default? Will it show the solidarity one developing country might expect from another? Or will it insist on its pound of flesh?

Some think defaults would be good for China. It is often accused of “debt-trap diplomacy”: lending heavily to poor countries with an eye to seizing their strategic assets, such as ports, when they cannot repay. The truth is more prosaic. A fresh effort to count China’s debt restructurings finds that when faced with a debtor that cannot repay, China mostly just kicks the can down the road.

The new paper by Sebastian Horn and Carmen Reinhart of the World Bank and Christoph Trebesch of the Kiel Institute for the World Economy counts 261 instances of debt relief or renegotiation since 2000. Since China is far from open about its lending, the number is probably an underestimate. It includes 149 cancellations or reschedulings of small, interest-free loans by China’s commerce ministry, mostly in the 2000s when debt relief became a cause célèbre, embraced by g7 governments and Irish rock stars. Another 28 were payment holidays granted to countries in no great debt distress as part of the g20’s response to the pandemic. That leaves 84 restructurings proper (of which 30 were also part of the g20 initiative, but to countries under financial strain).

China’s 84 credit mishaps compare with 158 in total by all 22 members of the Paris Club, an informal group of rich-country governments including America, Japan and Britain (see chart). China was perhaps unlucky in lending a lot at a bad time, just before the prices of oil and other commodities exported by African countries began to drop in 2014. In almost all these cases, China simply gave borrowers more time to repay. In only four did it reduce the face value of the debt (Cuba, Iraq and Serbia, twice). Its approach thus resembles that of Western lenders in the 1980s, when they seldom provided deep debt relief.

The pandemic may force China to move from forbearance to forgiveness. Otherwise the authors fear that a debt “overhang” may inhibit growth in poor countries. China has joined the g20’s “common framework” for debt relief, which is meant to bring it into line with the Paris Club. In becoming a big lender to poor countries, China has followed in the footsteps of the club’s leading economic powers. It has also repeated a number of their blunders. Now it must follow them in writing off some of its past mistakes. Who is China’s Bono?

For more expert analysis of the biggest stories in economics, business and markets, sign up to Money Talks, our weekly newsletter.

This article appeared in the Finance & economics section of the print edition under the headline “How to default on China”

THE ECONOMIST

Murutthettuwe Thera’s Nurses’ Association joins the strike!

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Murutthettuwe Thera’s Nurses’ Association joins the strike!

At present members of the Public Service United Nurses Association are also joining the active health workers’ strike. The president of the association is Ven. Murutthettuwe Ananda Thera.

Despite the president opinion, a group of union members is currently supporting the strike.

They say Murutthettu Thera is joining the government and gaining privileges, but not advocating for the professional rights of nurses.

We trust the ruler at this moment – Murutthettuwe Thero (VIDEO)

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We trust the ruler at this moment – Murutthettuwe Thero (VIDEO)

The President of the Public Service United Nurses’ Union Ven. Murutthettuwe Ananda Thero said that the Union could not be accused of not supporting the active strike at the moment as it had intervened to find solutions to seven burning issues that had been discussed with the President.

This was stated at a media briefing held in Colombo today (11).

He said that the Public Service United Nurses’ Association had not taken any action to prevent a struggle for fair service rights anywhere.

Thero said the only hope was to resolve the issues through dialogue, thinking about the lives of the people as much as possible during a period of epidemic and economic hardship, and that he would take steps forward with confidence in the ruler.

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