Columns

Hoteliers handling foreign guests have been going through some embarrassing moments these days. First, it came with the power cuts, and now with the protests.

Some hotels found their own ways to pull out from the difficult situation. Candlelight or beachside events during the power cuts were among the options.  

Last week’s sudden 36-hour curfew was one of the instances that caused inconvenience to tourists. Some on short visits to Sri Lanka were the worst affected. Those who planned train rides to their destinations were also held up.

Last Sunday, one Negombo hotel manager was posed with the question by a young foreign girl as to why a curfew was imposed. The manager reasoned that as the people dislike the President, the people were protesting and the curfew was to stop them from getting on the streets.

“Is your President still in the country?” she asked. “If the people dislike him he should listen to the people and he should quit,” was the response from the young girl.

The hotel manager speaking to a local later on, said he was ashamed and fed up of explaining the situation to foreigners and listening to unsolicited advice from foreign guests about what should or should not happen, when their own countries are not without their problems.

Sri Lanka in the international media spotlight

These days, Sri Lanka is among the top news stories in international dailies and electronic media around the globe. These news stories predict that it will be the next developing country to go into default due to multiple external shocks, including the Eastern Europe conflict and the resultant rise in oil prices, on top of problems of its own making.

The country became not only an example of a failing economy with the sharp depreciation of its currency–worse than the Russian ruble this week–it is also being compared to Pakistan. In a judgment given by the Pakistan Supreme Court, the decision taken by the Deputy Speaker to dismiss a no confidence motion against Premier Imran Khan, was overturned.

On Thursday, a five judge bench of the Supreme Court unanimously set aside the Deputy Speaker’s ruling to reject the no confidence motion against Premier Khan and the subsequent dissolution of the National Assembly by the President on the Premier’s advice.

Like Sri Lanka, Pakistan too is currently undergoing a severe economic crisis with depleting foreign reserves and skyrocketing inflation.

Stressing the need for a strong government to be in place, Pakistan Chief Justice Umar Ata Bandial referred to the situation in Sri Lanka and said the “country did not even have money for electricity and other basic facilities.”

Meanwhile, some Indian media outlets are pursuing a strong geo-political narrative that India’s neighbours who maintained close ties with China, got caught in a ‘debt trap’ and are now in deep trouble. They were referring to Sri Lanka, Pakistan and Nepal.

CBK: Cabraal did not increase interest rates because he was “having fun with the sovereign bond market”

The banking sector and monetary market welcomed the Central Bank’s latest decision to increase interest rates sharply on Friday, considering current inflation and other pressures to the economy.

One Twitter user asked why former CB Governor Ajith Nivard Cabraal could not take such a bold decision during his tenure.

The response came from the official Twitter account of former President Chandrika Bandaranaike Kumaratunga. This is what she said: “Because Cabraal and buddies were having fun with the sovereign bond market!”

Newly appointed CB Governor says he wants to fix the brakes and stop the economy from crashing

Hours after newly appointed Central Bank Governor Dr. P. Nandalal Weerasinghe assumed duties on Friday, he chaired the Monetary Board meeting which was postponed earlier due to his predecessor’s resignation on Monday.

Considering the current deteriorating economic situation in the country, the Governor stressed the importance of exercising a proactive monetary policy to come out of this crisis. He also said he does not want to give undue expectations to the people.

For the first time in CB history, the bank increased interest rates by 700 points or seven per cent–a decisive move to arrest inflation pressure in the market.

CB insiders said Dr. Weerasinghe, who held the Senior Deputy Governor post for years in his nearly three decades long banking career, was forced to seek early retirement–an unusual practice in the bank–in 2020. This was due to political reasons. When he was offered the post of Governor, he was in Australia where he was working as an independent consultant.

During the media briefing held after the Monetary Board meeting, Dr. Weerasinghe explained the state of the country’s economy and the challenges ahead citing an example he told CB officials, which he shared with the reporters as well.

“Irrespective of what we do, we cannot turn it around overnight. It is like moving down a slope fast without any break. When the vehicle is moving down, my immediate objective is to fix the brakes and slow it down to stop it, before it crashes. That is what we are doing now,” he said.

Will Badulla district voters question the decision of electing their MP?

Going by the street protests these days there is no doubt that the Parliamentarians are no longer a popular group. They were elected by the people with the objective that they serve the people. Now some of them are getting their houses stoned and some have gone into hiding.

At least one of them on Friday admitted he would no longer be able to contribute to resolving the ongoing problems.

The excuse came from Badulla district Parliamentarian Chamara Sampath Dassanayake. He said he did not know English or have any international connections, and therefore cannot contribute to resolving the ongoing crisis.

His solution was to stay away from Parliament for the next three months.

Was he trying to save face from his own voters, who are up in arms about the Government’s failure to resolve the issues?

From his voters’ point of view, they will surely question their decision to send him as their representative–someone who runs off from a problem without facing it.

Many social media users baited by fake posts online these past few weeks

With many of the country’s people on the streets demanding regime change, there are some elements with vested interests carrying out targeted misinformation and fake news campaigns on social media platforms to cause a lawless situation.

In recent weeks, many such fake content went viral before the authorities issued clarifications.

One such blatantly false post linked one of the Rajapaksas acquiring a rare painting by famous Sri Lankan artist George Keyt from a well-known businessman for several millions of rupees. Some digital platforms also ran with the fake news to get more viewership and hits.

This came as a surprise to the businessman concerned, Hemaka Amarasuriya who was said to be the custodian of the painting in the fake posts. Not only did he write to the social media outlet challenging the report but has also taken steps to press charges through his lawyers.

Another piece of content that went viral is video footage of a container operation that took place at the Jaya Container Terminal at the Colombo Port suggesting that the ill-gotten money of politicians was being taken out of the country.

By the time Sri Lanka Ports Authority issued a clarification that the video is a re-export of radioactive materials for disposal with the approval of the Sri Lanka Atomic Energy Regulatory Council, the fake news had done the rounds. The damage was already done.

There is little focus on truth and accurate reports these days when clickbait headlines and fake news content dominate the social media platforms.

Top industry leader plays the blame game, while lamenting on diesel crisis

In recent days, those who worked tirelessly to bring the the current Government and President Gotabaya Rajapaksa into office are distancing themselves from the administration’s actions. Those who are left with some integrity apologised to the people for canvassing and influencing them to vote for this Government.

The latest to join the club is a so-called industry leader who used all marketing resources at his disposal to sell the ‘President material’ brand to the people before 2019. Now he is lamenting that it was a senior government official who is responsible for all bad policy decisions taken by the Government.

Taking part in a ceremony, he expressed his frustrations publicly saying he is not sure his business establishments can run smoothly without diesel any longer.

A senior marketing executive at the meeting was heard saying, “he was careful with his words not to antagonise his master but put all the blame on a retired official, as an ‘economic hit man.’ It is time to reap what you sow, then.”

Bleak times ahead if the Govt. does not get its act together soon

Business chambers warned this week that the ongoing political crisis crippling the nation’s stability and the long term damage that would be caused to the export market would require years to recover if the current situation prevails any longer.

The biggest beneficiaries are India’s southern states. Tamil Nadu’s textile hub in Tirupur and tea estates in Assam are witnessing a surge in overseas orders as the export demand from global brands diverted away from Sri Lanka.

An official from Tirupur Export Association commented that Sri Lanka’s apparel industry even imports buttons and because of a shortage of forex, international orders are reaching them.

Kerala tourism authorities are trying to take advantage of the situation by attracting foreign tourists who were scheduled to visit Sri Lanka but are changing their travel plans due to political instability in the country.

A Sri Lankan apparel industry official said the sooner the Government gets its act together, the better to avoid further difficulties. “Or else we will be heading towards very bleak times,” they said.