• IMF focuses on anti-corruption legislation; Govt. promises to implement by end of the year
• IMF’s proposed Property Tax turned down by Govt., says people cannot take on more taxes
• Objections to liquor licences questioned, Peter says Opposition’s objections raised with SJB
• RW tells supporting SLPPers and dissidents Prez Polls first as funds allocated only for it
• Impeach Prez first if Gen. Polls needed first, RW tells Cabinet; firm on holding Prez Polls first
• No SJB, TNA, or NPP support for Basil’s push to move motion to dissolve House for Gen. Polls
• RW tells Basil that SLPP needs to have one stand on next poll; SLPP Ex-Co meets on Wednesday
• Senior UNPers, SJBers discuss joining forces; Sajith says RW and UNP allied with Rajapaksas
• UNP decides to hold May Day rally in Maradana; senior creates chaos at management comm.
• Reconstitution of SLFP-led PA delayed due to split over supporting RW at Presidential Polls
• Dayasiri launches new Humane People’s Alliance; SLFPers attend event despite party message
• AKD receives grand welcome by Sri Lankans in Canada; meetings with Tamil, Muslim diaspora

After months of ambling along an economic recovery path that has placed numerous burdens on the masses, the Ranil Wickremesinghe Government is now hopeful of the positive recovery of the economy from the second half of this year with the country’s debt restructuring programme in place.

The International Monetary Fund (IMF) delegation that was in Colombo held its final meeting with the Government on the second review of the Extended Fund Facility (EFF) on Thursday (21) at the Finance Ministry.

During the discussion, there were several key areas that were considered. One was the importance placed by the fund on the introduction of anti-corruption legislation. The IMF delegation had pressed upon the Government the urgency of implementing anti-corruption laws and it is learnt that the Government side had agreed to ensure the implementation of the relevant legislation before the end of the year.

However, it is learnt that the IMF delegation had also broached the subject of introducing a new property law by next year in order to increase the Government’s annual revenue. The Government side, it is learnt, had responded saying that it could not impose more taxes on the public as it would be counterproductive and that it would be more efficient to streamline the existing revenue generation methods rather than imposing additional taxes.

On the issue of revenue generation, the IMF delegation had further asked the Government why there had been an increase in objections being raised by the Opposition over the issuing of new liquor licences to increase revenue. The Government side had asked the IMF to pose the question to the Opposition, to which IMF Senior Mission Chief Peter Breuer had responded saying that the fund had raised the issue with the main Opposition Samagi Jana Balawegaya (SJB) during the meeting between the IMF delegation and the SJB the previous day.

The IMF after reaching a Staff-Level Agreement (SLA) with Sri Lanka on Thursday noted that the country needed to demonstrate swift progress in getting an agreement with commercial creditors to complete the second review.

Breuer had further noted that an agreement in principle had been reached between Sri Lanka and the official creditors – both the Official Creditor Committee (OCC) and the Export-Import Bank of China – in the latter part of last year.

“It is true that it is now important that these agreements in principle need to be converted into an actual agreement or, in the case of the OCC, into an MoU,” he said.

The OCC and Sri Lanka meanwhile are close to reaching a final agreement and The Hindu has reported that a formal agreement on the terms will be ready soon.

However, all eyes are now turned towards China since the finalisation of the bilateral debt treatment hinges heavily on China’s agreement to the same conditions agreed by the OCC with Sri Lanka.

Meanwhile, according to a Bloomberg report, global investors and Sri Lankan officials expect to start negotiations aimed at restructuring $ 12 billion in defaulted global bonds this week. Accordingly, a group of bondholders, known as a steering committee represented by Rothschild & Co., will begin talks with Lazard Inc. as they weigh a proposal from the Government to rework the overseas debt that has been in default since 2022.

The Government is hopeful of completing the discussions with the bondholders by end-June or early July.

RW gives three days

However, one of the key issues that dominated the political landscape last week was the no-faith motion against Speaker Mahinda Yapa Abeywardena that was moved by the Opposition.

The number of days to debate the no-faith motion saw changes being proposed until parliamentary sessions commenced on Tuesday (19).

The Opposition had initially sought three days for the no-faith motion debate. During the Party Leaders’ meeting held the previous week, the Government side had declined the request, saying that two days were sufficient and both sides had agreed on Tuesday and Wednesday (20) for the debate.

However, it is learnt that President Wickremesinghe had proposed that the number of days allocated for the debate be increased to three. This proposal had been made by the President during the Government parliamentary group meeting last Monday (18).

He had also asked the Government side to propose three days for the debate when the House met the following day.

After the Government’s proposal was discussed at the Party Leaders’ meeting on Tuesday, it was decided to debate the no-faith motion for three days, with the vote being scheduled for Thursday (21).

Mahinda’s letter

Meanwhile, the debate on the Speaker’s no-faith motion saw the main Opposition SJB tabling in Parliament a letter supposedly sent by Speaker Abeywardena to President Wickremesinghe.

Trade Minister Nalin Fernando had challenged the SJB to table the letter it claimed had been sent by the Speaker to the President. After accepting the challenge, Chief Opposition Whip Lakshman Kiriella had tabled the letter on Tuesday.

According to Kiriella, the Speaker had lost the faith of the House over his actions during the controversial Online Safety Act (OSA) in Parliament and the Speaker’s action as a member of the Constitutional Council when appointing the new Inspector General of Police (IGP).

Members in the Opposition including Kiriella claimed during the debate that the Speaker’s conduct during the vote on the appointment of the new IGP by the Constitutional Council was a demeaning act. They claimed that the Speaker had written to Wickremesinghe after the conclusion of the council meeting that had voted on the new IGP, saying that if according to the Constitution the votes of those who abstained could be taken as votes against and there was an equal split of four votes for and against, the President could take his (the Speaker’s) vote as one in favour of the new IGP.

The question posed by the Opposition was on the validity of the Speaker’s vote that was cast after the conclusion of the Constitutional Council meeting that day without any proper record of it and having merely been stated in a letter from the Speaker to the President.

Speaker’s survival

However, the Speaker managed to survive the no-faith motion, with 75 votes being cast in favour of the motion and 117 against. The motion was defeated by a majority of 42 votes, following which the Speaker made a statement.

The Government ensured that its fullest weight was placed behind Speaker Abeywardena to defeat the motion. Several Government MPs who were overseas last week were asked to return to the country in time for the vote on Thursday. Accordingly, Ministers Pavithra Waniarachchi, Harin Fernando, Bandula Gunawardana, and Manusha Nanayakkara as well as State Minister Dilum Amunugama and MP Madhura Vithanage, who were overseas, were asked to return to the country for the vote.

Ruling Sri Lanka Podujana Peramuna (SLPP) MP Namal Rajapaksa had been a notable absentee during the vote on the no-faith motion. 

Following the defeat of the motion, Speaker Abeywardena made a half-hour speech in the House. He had noted that he protected parliamentary sovereignty when it was endangered during the people’s uprising. Abeywardena had further noted that despite many attempts made by certain powerful domestic and international forces to convince him to take over the presidency and establish an ‘unconstitutional’ government under the guise of public unrest, his sense of duty and respect towards the Constitution prevented the country from heading to anarchy.

COPE controversy

Meanwhile, the parliamentary Committee on Public Enterprises (COPE) is once again facing a controversy, with a mass exodus of 11 Opposition parliamentarians from the committee over its new Chairman, Rohitha Abeygunawardena.

The 11 parliamentarians resigned from COPE expressing objection over the committee Chair. Several parliamentarians, especially Tamil National Alliance (TNA) MP Shanakiyan Rasamanickam resigned after attending the first COPE meeting convened by Abeygunawardena on Tuesday and making a statement before the committee.

The resignation by Opposition MPs was started by SJB MP Eran Wickramaratne on Monday. Janatha Vimukthi Peramuna (JVP) and National People’s Power (NPP) Leader Anura Kumara Dissanayake (AKD) also resigned from COPE after expressing his objections to the committee Chair. Dissanayake claimed that the ruling SLPP had pushed for Abeygunawardena to chair COPE as a hit at the committee since it objected to the previous Chairman, who is also an SLPP MP, Ranjith Bandara.

Dissident SLPP MPs Prof. Charitha Herath, Gamini Waleboda, Wasantha Yapabandara, and Dilan Perera as well as Sri Lanka Freedom Party (SLFP) MPs Dayasiri Jayasekara and Duminda Dissanayake were also among the MPs who resigned.

A complaint was also lodged last week by members of civil society with the Criminal Investigation Department (CID) seeking a probe into Abeygunawardena’s assets.

Rohitha’s response

However, responding to the growing criticism and protest against him over his COPE position, Abeygunawardena had asked why he was not considered fit to be the COPE Chairman if he was good enough to be elected to Parliament.

Abeygunawardena had told Parliament that parliamentary Standing Orders should then include qualifications required to hold the chairmanship of parliamentary committees such as COPE and the Committee on Public Accounts (COPA).

RW moves away

President Wickremesinghe, meanwhile, has distanced himself from the ongoing controversy over the COPE chairmanship. 

It is learnt that several MPs in COPE, who were also among those who had resigned, had approached the President expressing their displeasure over Abeygunawardena’s appointment as COPE Chair and had sought his intervention to change the committee chairman.

Wickremesinghe, it is learnt, had said that there was nothing he could do and that Abeygunawardena’s name was initially not going to be proposed for the post of COPE chairman. It is also learnt that the President had told several of his confidants that he had proposed the name of another COPE member for the chairmanship, but that the SLPP had moved ahead with Abeygunawardena’s name. Wickremesinghe had however refrained from naming the MP he had eyed for the COPE chairmanship.

On the day of electing the COPE Chair, it was a call from the SLPP Headquarters made to all SLPP members in the committee that had resulted in votes for Abeygunawardena against SLPP dissident MP Gamini Waleboda, who also contested for the post.

General Election conundrum

While there is some good news for the Wickremesinghe Government on the economic front, President Wickremesinghe is once again at a political crossroad with his key coalition partner in Government, the SLPP, exerting pressure on him to toe the SLPP’s line on the country’s key national elections. Wickremesinghe has to now battle the moves by certain sections to push for the holding of Parliamentary Elections prior to the Presidential Election.

The push for holding Parliamentary Elections first was mooted by SLPP theoretician Basil Rajapaksa. Basil had prepared this plan even before arriving in Sri Lanka from the US. The surveys conducted by him on the SLPP’s standing at grassroot level had resulted in Basil deciding that it would be better for the SLPP to face a Parliamentary Election first in order to return a considerable number of legislators to Parliament. Basil’s belief is that the SLPP’s defeat at the Presidential Election will result in the party witnessing a further erosion of its vote base.

Meanwhile, a group of SLPP dissidents led by Anura Priyadarshana Yapa and Nimal Lanza, who are supportive of President Wickremesighe, it is learnt, has also had an internal discussion on the possibility of holding a Parliamentary Election first. This discussion is being supported by several others, including some members of the SLFP. 

It is also learnt that the SLFPers in discussion with the Yapa-Lanza alliance are also worried about the possible stance of the SLFP-led by former President Sirisena at a Presidential Election. With Sirisena expressing interest in contesting the next Presidential Election, many SLFPers are concerned that Sirisena’s defeat at such a poll will have an adverse impact on party members who contest the General Election to follow.

President Wickremesinghe’s United National Party (UNP) has however maintained that Presidential Polls will be held as scheduled this year and that there is no move to veer away from the election timetable.

RW’s response

It is in such a backdrop that a group of SLPP MPs, including a group of dissident SLPPers, had met with President Wickremesinghe on Monday to discuss the Presidential Election and preparation work. Key among them were Minister Tiran Alles, Mahindananda Aluthgamage, Lanza, and Yapa. 

During the discussion, Wickremesinghe had noted that funds had been allocated for the Presidential Election and that the Government could not fund two elections this year.

When the SLPPers had noted that there was a considerable number of MPs keen to see Parliamentary Elections first, the President had reiterated that it was the Presidential Election that had to be held first according to the Constitution and that there was no moving away from it. 

Basil’s agenda

With the debate building over the next national election to be held in the country, a group of senior UNPers discussed the need to clear the air on the subject.

These UNPers were also concerned that in the event talks continue that General Elections should/would be held prior to the Presidential Election, it would seem like the UNP was also toeing Basil’s line.

Basil’s public announcement on the need to first hold the General Election and the reason stated by him justifying such a move has not been well accepted by the UNP or the main Opposition SJB. 

Until Basil’s public statement, there were also internal discussions in the SJB exploring the possibilities and advantages of holding a General Election first. Nevertheless, neither the SJB nor its leader Sajith Premadasa will now want to be seen calling for a General Election first, in line with Basil’s agenda.

RW clears the air

It is in such a backdrop that President Wickremesinghe at Monday’s Cabinet meeting had cleared the confusion over which election would be held first. Wickremesinghe had told his ministers that the Presidential Election would be held first and that they should all prepare for it.

Several Cabinet Ministers had pointed out to the President during the discussion that some MPs were of the view that Parliamentary Elections should be held prior to the Presidential Election.

Wickremesinghe, it is learnt, had then noted that he would not move to hold a Parliamentary Election first and that the MPs pushing for such a poll would have to first move an impeachment motion against him in order to push for a Parliamentary Poll.

Wickremesinghe had also pointed out that in the event an impeachment motion was moved against him, a Presidential Election would still be held prior to a Parliamentary Election.

SLPP split over polls

SLPP Leader, former President Mahinda Rajapaksa (MR) and MP Namal Rajapaksa are also of the belief that a Parliamentary Election should be held first.

MR last week said publicly that Basil’s proposal of holding Parliamentary Elections first was the best course of action. Namal’s opinion is also that a Parliamentary Election should be held first in order to prevent further divisions in the SLPP.

However, the move to push for Parliamentary Elections before the Presidential Election has also caused an ideological division within the SLPP once again.

Nevertheless, it is learnt that a majority of party MPs are against his stand and have decided to oppose such a proposal, if submitted to Parliament. Most of these MPs are first-timers in Parliament and they have already expressed the need for them to complete the full parliamentary term since they will not be entitled to the MPs’ pension if Parliament is dissolved earlier.

Resolution move

Following Basil’s claim of the need to hold Parliamentary Elections first, there was also talk of the SLPP moving a motion in Parliament pushing for the dissolution of the House to hold Parliamentary Elections first.

The move was being mooted by a group of SLPPers after informing Basil that the SJB would also extend support to such a motion.

Basil, it is learnt, had then sent messages to the SJB and TNA that the SLPP was planning on moving a motion in Parliament calling for its dissolution in order to pave the way for the holding of Parliamentary Elections prior to the Presidential Election.

It is also learnt that, upon receiving Basil’s message, Premadasa had said that the party would not be agreeable to engage in any form of partnership with the SLPP. The SJB leadership had noted that the party was prepared for Presidential Elections.

Premadasa had also informed the SLPP that if it wanted to receive support to move a motion to dissolve the House, then the SLPP could first vote in support of the no-faith motion against the Speaker.

With the main Opposition SJB declining to accept Basil’s proposal, a senior SLPPer noted that it was yet undecided whether the SLPP would furnish a parliamentary resolution requesting the President to dissolve Parliament as per the provisions included in the Constitution.

According to the senior SLPPer, a decision on such a matter will have to be made by the party’s Executive Committee, which Basil is planning on convening soon.

NPP says no

The JVP/NPP meanwhile has also decided not to support moves to hold Parliamentary Elections first and is to abstain at a vote on any such proposal if presented to Parliament. The party is of the stance that it is prepared to face any election, but will not support various political games being pushed by political parties with vested interests.

During an internal party discussion, a majority of the NPP members had opined that if the Government or the main Opposition supported such a proposal, it would only be for their convenience and not for the betterment of the country.

Amending act

Meanwhile, as revealed by ‘The Black Box’ last week, the Government has initiated moves to amend the Parliamentary Elections Act.

The Cabinet on Monday approved the paper on amending the electoral system presented by Justice Minister Dr. Wijeyadasa Rajapakshe to change the system into a mixed electoral system. The proposed hybrid electoral system is expected to improve the quality of legislators elected to Parliament.

SLPP MPs meet

SLPP theoretician Basil meanwhile convened a meeting of SLPP MPs on Wednesday at the Party Headquarters at Nelum Mawatha. Basil, Party Leader MR, and Chief Government Whip Minister Prasanna Ranatunga had been at the head table at the meeting.

The discussion had been mainly focused on the party’s stance on the Presidential Election and the candidate at the upcoming Presidential Election since these issues had caused a visible split in the party.

Basil had told the group that the role played by President Wickremesinghe should not be forgotten since there was a time when SLPPers could not step out of their houses. He had also noted that the SLPP should select its candidate for the Presidential Election based on a set criteria.

He had also reiterated that the SLPP should focus on pushing for Parliamentary Elections first by telling the MPs that most of them will be able to return to the House only if they face an election prior to the Presidential Election.

The meeting had finally concluded without reaching a final decision on the party’s stance on the Presidential Election or the candidate. Basil had further noted that he would meet with President Wickremesinghe again to discuss the Parliamentary Elections.

Following the meeting, Ranatunga had told the media, when asked if the SLPP would support President Wickremesinghe at the Presidential Polls, that Wickremesinghe was already with the SLPP.

Back to Dhammika

The SLPP, it is learnt, has also turned its eyes back on businessman-turned-politician Dhammika Perera.

It is further learnt that Basil had also sent a message to MR about the need to make a final decision on Perera becoming the SLPP’s candidate at the Presidential Election. Basil’s message had outlined the reasons to consider Perera as the party’s candidate.

Basil-RW meet

However, following the meeting between Basil and the SLPP parliamentary group, a meeting was fixed between him (Basil) and President Wickremesinghe for Thursday.

During the meeting, held at the President’s official residence, Basil had urged Wickremesinghe to hold the General Election first. Wickremesinghe however had not agreed to his request and had maintained that there needed to be an agreement on the next national-level election within the SLPP.

The President had noted that it was the Presidential Election that was due first and that there was no need to veer away from the election calendar. He had reminded Basil that if the SLPP moved a motion to dissolve Parliament, it would require a two-thirds majority as well as leave many SLPPers without a pension.

It is learnt that Basil has called for a meeting of the SLPP’s Executive Committee on Wednesday (27) in order to discuss the matters discussed between him and Wickremesinghe and to make a final decision on the party’s stance on the Presidential Election.

Basil dismisses GR

Meanwhile, Basil has also expressed his displeasure over the book recently released by his younger brother, former President Gotabaya Rajapaksa (GR) on the conspiracy that had ousted him from office. It was evident that GR had not consulted his brothers before releasing the book.

Basil has said that he had not read GR’s book and that he had not received a copy of it or a digital version from GR. The situation was made worse by Basil stating that he was not interested in purchasing the book or reading it either.

UNP plans May Day

The UNP meanwhile had last week cleared the party’s stance on the upcoming May Day rally.

There were contradictions within the UNP over the venue for the party’s May Day rally. While the party leadership and a majority of the members of the UNP Management Committee were of the view that the party’s May Day rally should be held in Maradana, several others had opined that it should be held at the Independence Square (down Independence Avenue).

UNP senior Ravi Karunanayake had told the media last week that the party’s May Day rally would be held at the Independence Square. However, the party’s Management Committee that met on Tuesday at the Party Headquarters had made a final decision that the May Day rally should be in Maradana, with the party leadership endorsing it.

Split over organisers

Meanwhile, the UNP Management Committee also saw a split last week over the identification of new electoral organisers as well as new party supporters. Each member of the committee had submitted lists of individuals fit to be appointed as party organisers. However, some senior members of the UNP had ignored the lists submitted by some members. This was witnessed in relation to the Colombo District lists.

Amidst the confusion over the non-inclusion of individuals being proposed by some members of the Management Committee, it was also learnt that a senior UNPer representing the Colombo District had arbitrarily appointed a party organiser for the Jaffna District event without the knowledge of the party leadership.

However, the UNP leadership, it is learnt, has now decided to intervene and resolve the confusion.

UNP-SJB alliance talks

The UNP is also focused on forming an alliance with the SJB with the aim of building a formidable front against the JVP/NPP and the Rajapaksa-led SLPP. Several senior UNPers and SJBers have been engaged in discussions for the past few months and a similar discussion was held last week as well.

However, the SJB leadership has noted to the SJBers in dialogue with the UNP that, given President Wickremesinghe and the UNP’s affiliation with the SLPP, the SJB was not in a position to form an alliance with the UNP. 

It is also learnt that the UNP and some members of the SJB are also looking at the possibility of SJBers joining a UNP-led alliance as individuals in the event the SJB is not agreeable to join as a party. Premadasa, it is learnt, had said the SJB could not be identified as being in an alliance with the Rajapaksas.

RW delays SLFP’s PA

Meanwhile, the SLFP’s attempts to form a new alliance continue to face various obstacles, with the latest being the issue of whether the alliance should support President Wickremesinghe or not. While the SLFP MPs in the Government have proposed supporting Wickremesinghe, the Sirisena loyalists have objected to the move.

Alliance partners the Lanka Sama Samaja Party (LSSP), Communist Party of Sri Lanka (CPSL), and the Sri Lanka Mahajana Party (SLMP) have also expressed displeasure at supporting Wickremesinghe. Senior SLFPers therefore are engaged in discussions to resolve these issues and the appointing of new office bearers to the People’s Alliance (PA) is expected to take place after addressing these issues.

Dayasiri’s alliance

Meanwhile, former SLFP General Secretary Dayasiri Jayasekara last week launched his new alliance – the Humane People’s Alliance (Manusheeya Janatha Sandhanaya). The alliance was launched on Wednesday in Colombo, with Jayasekara signing an agreement with a group of registered political parties and civil society organisations.

It is learnt that several organisers of the SLFP had also attended the event despite being informed by the party not to do so. The SLFP had sent out an official message to its organisers saying that the party did not have any official functions scheduled for 20 March and that there was no necessity for SLFPers to attend any event that day.

SJB General Secretary Ranjith Madduma Bandara, National Freedom Front (NFF) Leader Wimal Weerawansa, Pivithuru Hela Urumaya Leader Udaya Gammanpila, Tamil Progressive Alliance Deputy Leader Palani Digambaram, and several other parliamentarians had also attended the launch.

AKD in Canada

JVP/NPP Leader AKD, who left for Canada last week, is to meet with the party’s committee in Canada. He is scheduled to meet with the Sri Lankan community in Canada during his visit as well as with members of the Tamil and Muslim diaspora.

Upon arrival in Canada, AKD received a grand welcome, with many Sri Lankans currently domiciled in the country arriving at the airport to welcome the JVP/NPP Leader. AKD is to tour Toronto and Vancouver during his visit.

AKD’s visit to Canada is part of the party’s ongoing programme to strengthen its international relations. Prior to his visit, AKD also met with Japanese Ambassador to Sri Lanka Mizukoshi Hideaki and Deputy Ambassador Katsuki Kotaro at the Party Headquarters.