The Sunday Times economic analysis

Power politics that dictate economic policies

By the Economist

This is a serious danger to the economy for several reasons. Parties with diametrically opposing views cannot be expected to pursue a consistent set of economic policies. There could be considerable doubt about what economic policies would be pursued by such a coalition government. Such doubt is particularly detrimental to investor confidence. It is also possible that such coalition politics could lead to a lack of action on several economic policies as the opposition to them comes from within the government itself. The dangers from a JVP alliance are far more serious than the usual problems from a coalition. Not only would its policies be totally different from those of the government that it supports, but also are themselves flawed. JVP economic policies have not taken into consideration the vast changes that have occurred in the international economy. They are still continuing to pursue Marxist economic principles that have been even jettisoned by communist countries. 

They have not realised that a small country like Sri Lanka cannot survive without foreign capital and the pursuance of export led strategies. They have an ambiguous and confused concept of foreign investment and private enterprise. While they appear to be opposed to any significant foreign investment or of private enterprise being the engine of growth, they appear to consent to some limited and selective foreign investment and private enterprise. 

This is a totally unrealistic and impractical policy. What a JVP alliance will certainly succeed in doing is to drive out foreign investors and even local investors. Another big danger lies in its attitude to the IMF and World Bank. It is fairly clear that the JVP is opposed to the conditions attached to obtaining the facilities of these institutions. 

It is stark clear that this country cannot manage without the financial support of multilateral agencies. Such assistance will not be given without conditions. One of the most propitious developments in Sri Lanka's economic history was that the PA government adopted market friendly policies in 1994. 

This assured the continuity of economic policies. It is to the credit of the SLFP and the People's Alliance that they eschewed their socialist policies and adopted a more realistic approach when they assumed power in 1994. 

The PA pursued a set of policies not very different to that pursued by the previous UNP government. 

They merely said they would add a human face to them. The all-important question is: Are we about to embrace once again a set of economic polities that are impractical, unrealistic and backward? And that too not because the people will it, but because a small minority may dictate economic policies owing to the political system we have and the kind of power politics our political parties pursue.

Noose ready for terrorists

By Ameen Izzadeen

A UN Working Group headed by Sri Lanka's veteran diplomat Rohan Perera is ready with a draft and it is now left to political leaders to give impetus to the document which when it comes to force will tighten the noose around terrorists. But the question is whether the draft convention is comprehensive enough to throttle terrorists and wipe out terrorism. 

"The draft convention is comprehensive in the sense that it tries to plug all possible loopholes in the existing conventions and it makes an individual or a group which commits an act of terrorism responsible whether the cause is just or not. One cannot plead that his act is connected to a just cause, even if it is connected to a freedom struggle," Dr. Perera who is also the head of the Foreign Ministry's Legal Division said. 

The draft convention also called for tough measures to be taken by UN member states to bring those responsible for terrorist acts to justice, Dr. Perera said.

For instance, the draft convention contains provisions that preclude states from providing safe haven to terrorists and urges states to deny asylum to any person against whom there is evidence of involvement in a terrorist act. 

"In other words, states should take more precautions in screening each asylum seeker to ensure that the applicant is not involved in terrorism," Dr. Perera said.

Besides safe haven, the draft convention also deals with extradition of terrorists, exchange of information and intelligence among state parties and several other areas of cooperation. 

One of the thorniest issues the working group faced during its deliberations was the definition of terrorism. There were differing views on the issue with some countries calling for the inclusion of state terrorism in the definition and the exclusion of national liberation struggles from it. The stalemate was resolved and a compromised text on the definition has been reached largely in the backdrop of the ongoing international campaign against global terrorism. 

According to the compromised text, terrorism has been defined as an offence committed by a person or a group if that person or group, by any means, unlawfully and intentionally, causes death or serious bodily injury to any person, serious damage to a state or public property, public transportation system, communication system, infrastructure facility or the environment when the purpose of such act is to intimidate a population, or to compel a government or an international organisation to do or abstain from doing any act.

"This definition, which was proposed by India, was acceptable to a majority of the countries in the working group," Dr. Perera said describing it as an operational definition.However, reports from New York said Islamic countries had objected to this definition, as they wanted to include foreign occupation also as an act of terrorism in the context of the Palestinian issue. 

Dr. Perera said the compromise was reached after those who opposed the operational definition were assured that the draft would include an exclusion clause whereby issues such as state terror and liberation struggles in a conflict situation are to be dealt within the existing legal framework of international humanitarian laws or laws of war. 

The operational definition though much wider than the US State Department definition cannot be taken as an all-comprehensive definition for it excludes state terrorism against non-combatants and does not deal with root causes of terrorism, critics say.

"But the draft convention as a whole is a comprehensive document as it calls on state parties to adopt such measures as domestic legislation to ensure that criminal acts within the scope of this convention are under no circumstances justifiable by considerations of a political, philosophical, ideological, racial, ethnic, religious or other similar nature," Dr. Perera said. 

It is in this context that the convention is seen as dealing a crushing blow on groups such as Al Qaeda or the LTTE - groups that justify their terror acts on ideological, political or ethnic grounds. 

Any conflict between a state and a rebel group should conform to international humanitarian laws, according to the draft convention, which also brings within its scope a dozen existing conventions on terrorism that have been passed in the past four decades or so.

UN Secretary General Kofi Annan these days is meeting foreign ministers of member states in a bid to get their views on and consent for the draft and Dr. Perera will leave for New York next week to give necessary final touches to the document. 

"The draft is a basic formula. No finality has been reached on it," Dr. Perera said adding that he was hopeful that the draft would soon become a reality as was evident in the support UN efforts on terrorism - particularly the UN security council resolution 1373 - had received in the recent past. 

Though the convention is largely an attempt to protect non-combatants or civilians and public properties, it is unlikely to eliminate terrorism, which will exist as long as causes that compel rebel groups to resort to terrorism exist.

Dr. Perera agreed and said solutions to problems should be of a political nature.

The truth is out there

By Victor Ivan

When she addressed the Youth Conference recently she used a new type of 'bullet' against Mr. Dissanayake. She even disclosed that once he had supposedly offered to have two newspaper editors assassinated if necessary because they were critical of the government at a time it was weak and suggested that she become a dictator. 

Although the President has said that she had rejected the idea of becoming a dictactor, she has not stated what her response had been to the idea of assassinating one or two newspaper editors, and who they were . 

This is not an allegation made by an ordinary person but a statement by the person holding the highest and the most powerful position in the land. 

There is no previous instance on record in which a Cabinet Minister in a country where a democratic system prevailed had approached the head of state and discussed the necessity of assassinating several newspaper editors in the interests of the survival of the government. 

Rejecting the President's allegation, Mr. Dissanayake alleges that it was with Baddegana Sanjeewa that the President had discussed such matters as assassinating media persons. 

It was during this bitter dispute that Baddegana Sanjeewa, who had been a prominent figure in the Presidential Security Division (PSD), was assassinated. It was Baddegana Sanjeewa who was found to be the main suspect behind the assassination of Rohana Kumara at the police inquiries into it. At the end, Baddegana Sanjeewa is said to have had to flee the country for his protection. It was also against Baddegana Sanjeewa that accusations were levelled in connection with the shooting at Sunday Leader editor Lasantha Wickramathunga. 

For whatever reason, Baddegana Sanjeewa enjoyed political support and special protection necessary for a princely life. The three storeyed house he had been building near the Diyawanna Oya is visible from the second floor of the Parliament. It may be called a palatial residence. 

The Low Lying Land Development Board had supposedly given him a 5 acre land on Pichchamal Road, Nawala. 

Even at a modest assessment of Rs. 200,000 per perch, the value of that land would be Rs. 170 million. Although he was only a minor policeman in the PSD he is said to have used a number of vehicles of the type which Cabinet Ministers use. 

His lady love is believed to be Vanessa, the former lady love of the assassinated Ruggerite Joel. According to some casino addicts Vanessa, who was very much addicted to the casino, needed a minimum of Rupees 100,000 per night. At the time that Sanjeewa was assassinated, too, he is said to have been on his way visiting Vanessa. The sum of Rupees 100,000 found in his vehicle might have been Vanessa's requirement for that night. 

One of the two newspaper editors allegedly hated by the leaders of the government was 'Leader' editor Lasantha Wickramathunga. I may have been the other. We are also the two leaders of the newspaper mafia allegedly referred to by Minister Mangala Samaraweera. 

When the government media were surmising that the bomb attack by the LTTE aiming to assassinate the President was a result of a conspiracy in which a group in the south also participated, the names of Lasantha Wickramathunga and myself were also dragged in as two main participants of that conspiracy.

In the long interview the president had with the Rupavahini after the bomb attack, too, she mentioned our names and made accusations against us. In the period that followed, the PSD persued us. There were a number of assassination attempts too. Something appearing like acid was used in an attack on the van in which I travelled. Ravaya office was attacked with smoke bombs. 

Although the President's statement did not mention any names, there can be no doubt that we were the two newspaper editors hated by the leaders of the government. 

In the BBC programme 'Hard Talk' which may be considered part of a programme launched by a foreign firm at a cost of Rs. 120 million for the purpose of improving the President's image, Tim Sebastian based his questions on the report published by the US State Department for the year 2001 about human rights in Sri Lanka. Tim Sebastian had to give the President a copy of that report when she said that she had not heard of it. Surprisingly, that report also included details about the assassination of Rohana Kumara and also about the death threats against the two newspaper editors who are supposed to be leaders of the so-called newspaper mafia. It is unlikely that the President was unaware of it. 

That might have been the reason why the President, with an expression of disdain said, that she was unaware of such a report. 

It may be considered an irony of fate that, at a time when a dialogue was to commence on a conversation at the President's house about assassinating two newspaper editors, the President was subjected to hard questioning on the basis of a report containing that matter. 

The writer is the editor of Ravaya