16 January, 2022

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2022: What Economic Prospects Are There Waiting For Sri Lanka?

By W.A. Wijewardena –

Dr. W.A Wijewardena

Celebration of the New Year with kiribath

Sri Lanka has entered 2022. It is the tradition of Sri Lankans to celebrate the arrival of a new year with kiribath, a symbol of foretelling of happiness, prosperity, peace, and splendour. While kiribath is partaken at every home on the first of January itself, employees of both government and private sector will do so on the first day in office after the first.

Despite the gloomy economic situation in 2020 and 2021, almost all Sri Lankans had followed this tradition in 2022 too. This is an appreciable sign, because with kiribath, people will get a booster to build their self-confidence, and strength to face the extremely gloomy economy that is looming over them in the new year. That gloom again, not something they will face in the distant future but an experience they are having on a day-to-day basis right now.

Sri Lanka’s domestic economy is not bankrupt

Many have therefore chosen to brand Sri Lanka as a bankrupt country. This judgment may be correct with respect to Sri Lanka’s external economy. However, on close examination, it is found that Sri Lanka has not yet reached the bankruptcy level with respect to its domestic economy. That is because Sri Lanka’s domestic economy will become bankrupt if its government becomes bankrupt. A government becomes bankrupt if it is unable to generate revenue for its operations via taxation or cannot print any more money to finance the same. A government will face the latter situation if the people start refusing to accept the money it issues because its value is falling every minute due to hyperinflation.

Sri Lanka’s Government has not faced either of these situations so far. It can still raise tax revenue at the rate of about 9% of the country’s GDP, though it is a historically low level. Its inflation is still below 15% and there are no reports that its currency is being rejected by people for conducting transactions. Hence, Sri Lanka Government can run its domestic operations for a dozen of months more. Hence, if the Government is not yet bankrupt, the country is also not yet bankrupt with respect to its domestic operations.

But the foreign sector is not the same

But the same cannot be said about the country’s foreign sector. To run a smooth foreign sector operation, a country should have a comfortable stock of foreign exchange resources, known as foreign reserves. This is like the balance in the savings account which an ordinary citizen has. That balance will help the citizen to buy goods and services from outsiders if his current income is insufficient. Imagine a situation like this: his current income is 100 and he wants to spend 150. The excess expenditure of 50 can be met by him if he has a balance of 50 in his savings account. If the balance is below that he should necessarily borrow from someone the deficit in his income. If he runs out of potential lenders, he surely runs into problems.

Role of foreign reserves

The foreign reserves of a country also serve the same purpose. They help a country to finance a temporary gap in the current foreign exchange earnings. They are also useful for a country to prevent the exchange rate from unduly depreciating in the market. If there is a shortage of foreign currencies in the market forcing the exchange rate to depreciate, the country can prevent that temporary downfall by supplying the needed foreign currency out of its foreign exchange reserves. But if the country runs out of foreign reserves, it fails to attain both goals.

If there is no any outsider to bailout the country, it becomes bankrupt in its foreign operations. However, a bankruptcy on the foreign side has a contributory effect on the bankruptcy of the domestic side also. It happens through a fall in output, a consequential fall in government revenue, an increase in money printing, and a consequential increase in inflation. This last outcome will generate further cycles of economic downturn accelerating a country’s move toward bankruptcy.

How the vicious cycle works

This is how it happens. When the foreign exchange is short, a country cannot import essential raw materials and food items. As a result, the local production gets hampered. For instance, if a country cannot import essential fuel, it cannot maintain its transportation sector, produce electricity, and keep businesses and factories running. It adversely affects domestic production. When the domestic production is low, incomes are low, and as a result, government’s revenue generation is also low.

With low income and stubborn expenditure, the high budget deficit must be financed by the government through borrowings. When the borrowing options are limited due to the shrinkage of the domestic economy, the only available option is to print money and finance the budget. The increase in money supply will generate inflation and it will reactivate the whole cycle of economic downturn in an uncontrollable manner.

Depletion of foreign reserves

Sri Lanka’s gross official foreign reserves amounted to $ 7.6 billion as at end-December 2019. It was sufficient to finance more than five months of imports projected for 2020. However, the known foreign exchange liabilities on account of country’s debt servicing and other foreign exchange payments were much more than this stock of foreign assets. Hence, it was known at the beginning of 2020 that Sri Lanka rupee was under pressure for depreciation.

The independent economists had advised the Government to seek assistance from the International Monetary Fund, commonly called IMF, to avoid the imminent balance of payments crisis which the country would face in the months to come. However, the Government took a hard stance and proclaimed again and again that it would not seek IMF support and it was quite capable of handling the situation without outside support. This internal policy package now known as ‘homegrown policy’ was to be implemented to take the country out of the malaise. If it would have been successful, the Government would have got credit for bailing out the country through a pure homegrown policy, a rare distinction which it could have claimed for itself.

Outbreak of COVID-19 pandemic

But things fell apart soon. By February 2020, the entire globe was hit by a new pandemic in the form of an attack of coronavirus, now termed COVID-19. Sri Lanka at first did not take the threat seriously and refused to adopt the best practices which other countries had adopted. Yet, when the country was also hit by the outbreak and its rapid spread and the deadly effects were known, Sri Lanka too went for prolonged lockdown of the country and imposing travel restrictions. The main casualty was the economy which had a contraction of 3.6% in 2020.

The sector that suffered most was the external sector which underwent a decline in exports, remittances, and foreign capital flows. As a result, the foreign reserves began to decline, on one side, and the Government expenditure started ballooning, on the other. The Government reacted, instead of responding to the emerging situation. For the first time after 1977, the Government clamped import, exchange, and price controls on the economy which contributed to further compound the problem.

The result was the decline of the foreign exchange reserves further to $ 5.7 billion by end 2020 and further to $ 1.6 billion by end-November 2021. This level of foreign reserves was sufficient to finance only two-three weeks of future imports of the country. Still the Government refused to seek IMF assistance proclaiming that it had a ‘homegrown policy package’ and IMF was not the option for the country’s acute external sector issues.

Following MMT

Meanwhile, the Central Bank changed its monetary policy stance from the previous flexible inflation targeting or FIT to a policy prescription that had been promoted by a breakaway group of economists who called themselves Modern Monetary Theorists. Their ideology, called the Modern Monetary Theory or MMT, argued convincingly that there was nothing wrong in governments running budget deficits to create employment, output, and prosperity. This argument was based on the fact that government financing differed from private financing because, unlike individuals, governments are able to finance deficits by printing new money.

However, if the newly printed money can create a new demand in the economy, producers will step up production generating prosperity for people. Private people cannot do this miracle. Though the Central Bank had not admitted that it was following MMT, its monetary policy actions revealed that they were in line with the prescriptions pronounced by modern monetary theorists. They took the form of keeping interest rates low, credit to government high, and money supply above the safe levels. Interest rate structure was brought down to a level of 2-4% from a level of 8-12%.

Credit to Government from the Central Bank and commercial banks – a method of inflationary financing – increased by Rs. 3.7 trillion or by 159% during end-2019 to end-November 2021. Correspondingly, money supply increased by Rs. 3 trillion or nearly 39%. Signs of this are already visible with inflation accelerating from around 4% at end-2019 to 12% by end-2021. In the case of inflation, food inflation is now rising at around 22% per annum, an ominous development portending the oncoming of serious social and political chaos in the country.

Outcome of MMT

The inflationary surge is due to two policy errors made by the Government. Assured by the advocates of MMT that money does not affect inflation or exchange rate, the Government allowed the money stock to rise excessively. The result was an increase in the aggregate demand in money terms. According to MMT advocates, this should have led to an increase in the real output. That would have happened in countries with currencies which are used as reserve currencies by other nations. But Sri Lanka rupee is not a reserve currency and the outcome of the increase in the money stock was an undue increase in the demand for imports, prompting the Government to control imports including the importation of raw materials. It affected the production of goods and services.

The other policy error was the decision to convert the entire agriculture of the country to that based on organic fertilisers. This would have been a decision implemented over a long time period, say about 15 to 20 years. But the Government banned the import of chemical fertilisers and pesticides/insecticides/weedicides. They were essential inputs of agriculture that served as complementaries rather than substitutes. Hence, the other two inputs used for agriculture, land and labour, remained idle causing a reduction in agricultural outputs.

This caused to shrink the country’s food supply chain. With no foreign exchange to import foods from outside and local production declining, the increase in the aggregate demand caused the food prices to rise, increasing the overall inflation rate. However, these numbers are misleading since the numbers are deliberately kept at low due to the low weight of 28% allocated to food category in the Colombo Consumers’ Price Index, better known as CCPI. But the reality was that during the pandemic era, a household spent almost entirety of its income on foods rather than non-foods. Hence, the actual inflation would have been higher than what the numbers have revealed.

Stress in Sri Lanka’s external sector

Meanwhile, the external sector was under severe stress due to a shrinkage of foreign exchange inflows to the country. The Central Bank had kept the dollar-rupee rate at Rs. 203 artificially, though it had lost the ability to support that rate due to lack of foreign exchange reserves. There were no dollars available at that rate in banks. Importers and other users of foreign exchange had to wait in queues to get the needed dollars. This led to the establishment of a dynamic and lucrative black market in foreign exchange in the country.

Under normal circumstances, the margin at this market should not be more than Rs. 2 over the official rate. However, in the black market, the rate went up to about Rs. 250 to 260 per US dollar with a margin of Rs. 50 to 60.

Need for seeking IMF assistance

The Central Bank Governor Ajith Nivard Cabraal, instead of seeking IMF assistance, came up with a homegrown policy in a six-month Road Map announced on 1 October 2021. In the Road Map, he predicted a gross inflow of $ 10.85 billion during the first three months of the Road Map. However, as I presented in my previous article on the subject, they had been grossly overestimated and the reduction in the foreign reserves continued unabated. By end-November 2021, the reserves level fell to $ 1.6 billion with an immediately usable liquid forex level of $ 1.1 billion when the gold reserve and the position with IMF are taken out. This was a historically low-level looming over the entire country.

Meanwhile, the Central Bank continued to tap the short-term borrowing opportunities in December raising the gross reserve levels to $ 3.1 billion by end-2021. This is not a permanent solution and only a temporary palliative. Hence, in the new year, Sri Lanka will have to seek IMF assistance or expect the worst with respect to the exchange rate.

This is not the most pleasant option available to Sri Lankans.

*The writer, a former Deputy Governor of the Central Bank of Sri Lanka, can be reached at waw1949@gmail.com

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Latest comments

  • 25
    1

    “That would have happened in countries with currencies which are used as reserve currencies by other nations. But Sri Lanka rupee is not a reserve currency”


    It was a reserve currency in the LTTE controlled areas of Eelam. ……… Since the demise of Eelam, Sri Lanka is in strife. …….. Without the Tamils where would Lanka be?

    In the doldrums of a Rajapakses’ patriotic bankruptcy? ……… Thank Buddha, at least, it’s not a smart-patriotic bankruptcy!

    Bring back Prabakaran! …….. All’s forgiven.

    • 17
      1

      nimal fernando

      “Bring back Prabakaran! …….. All’s forgiven.”

      Are you sure?
      If you need someone who would help you to eliminate your perceived enemies is not VP but Pottu Amman, the LTTE intelligent chief, the best person. All enquiries should be directed to Gota.

      • 5
        0

        nimal fernando

        For President, Prime Minister, Finance Minister, Defense Minister, Minister of Buddha Sasana, Commander of Armed Forces, Minister of all Ministries, Head of Christian and Catholic Churches, Khalifa of Islamic Republic of Kattankudy, Head of all Maha Sanghas, head of all Hindu Adheenams, Hindu Temples, Leader of all born agains, Chief Justice, Alugosuva – Executioner …… all at the same time.

      • 5
        0

        “Bring back Prabakaran! …….. All’s forgiven.”

        Native,

        Prabakaran’s bombs were a lottery: your numbers might turn up ………. the Rajapakse bombs are a near certainty: home-delivered to the kitchen.

        I’m nostalgic for the Good Old Days!

        Prabakaran protected us and the country better without the fuss and the hoopla ……. He had a few shortcomings; who doesn’t? ……. Other than that, he was an all-around nice guy ………..

        • 5
          0

          nimal,
          … Rajapakse bombs … home-delivered to the kitchen.
          You are referring to the ‘gas cylinders’ are you. Very naughty!

        • 4
          0

          nimal fernando

          “He had a few shortcomings; who doesn’t?
          Other than that, he was an all-around nice guy ………..”

          Are you sure you are not going nuts?
          Whats happening to you?

      • 2
        0

        Isn’t “Pottu Amman” still alive? No record of his death. Nimal should keep repeating his name, just might show-up.

  • 13
    3

    This is tainted person implicated in the bond scam attempting to paint a rosy picture at this eleventh hour when all hell is breaking loose in Sri Lanka. The rot began when Mahinda went to the open market to borrow money in bond auctions. The very first auction was under him for 500million USD. This was followed by another for 1000million USD. The reason for these borrowings was not to finance projects but to finance recurrent expenditure and fraud with no questions asked. As time went interest plus principle was re-borrowed. This debt ha snow snowballed into a swhopping 11,700 million USD or maybe more. Yahapalana was able to keep the re-borrowing going by being good stewards of the economy. We had increasing revenue and a surplus. This gave investors in our bonds confidence. Our ratings were also not too bad. We had 7000 million USD in reserves which helped keep the rupee stable.

    • 2
      0

      Thanks for putting things in perspective.
      That is the most important thing in life, to be able to interpret situations and put them in the right perspective.
      This is something that most of our average citizens lack.
      Most of us don’t have the ability to rationally understand the true situation of issues or the ability to read people based on their intentions.
      Every action is based on an underlying intention.
      When we cannot identify the intention we misinterpret everything and assume face value to be true.
      All most all Sri Lankans still use their heart or emotions to decide on crucial matters.
      Education is not opening our eyes to reality, instead it seems that we are getting blunt by the day.

  • 15
    0

    What have these 6 men on the picture achieved for srilanken economy ? Mahinda Rajapkashe became wealthier for his generations but throwing the people from frying pan to fire. After the war is over, if Mahinda Rajaakshe as the leader used his brain, the situation would have worked well for the benefits of the masses.
    It is believed over 70% of the huge debts that have to be paid off in 2022, are all taken by MR adminsitration since 2012. Latter is not subjected to open discussions because main stream media is handled by the henchmen of Rajapakshe family.

    Are these men new to srilanken poltiics ? No. Mahinda Rajaakshe is like a parasite being found on buffaloes, stayed stuck to srilanken politics, not even letting his later life work peacefully for his health.
    If they had better plans how to improve the avenues for foreign exchange earnings, things would not end up emptying the national reserves as of today.

    :
    tbc

    • 12
      0

      continuing.
      Everyone knows that the island nation is now in a dollar crisis. UNP govt won the apparael industry establiding free trade zones, and several other export companies, but nothing seems to have added by SLFP led govt although they ruled the country since 1994. Even apparel industry is now taken away by other competítors such as Bangladesh and vietnam from us. The country is made dependent to China is what Rajaakshes have made in their terms. These men have failed to even maintain the main avernues of foreign exchange such as tea exports. all these years. Now with kenyan tea becoming popular in europe, even the good name for ” ceylon tea ” is just erasing out. Instead of introducing new avenues for revenues, what they hav ebeen doing is pocket filling tactics, only focusing on their selfiish gains.

      Unlike our idiotic politicians, neigbouring india irrespective of their numerous poverty issues, though belongs to world s powerful industry nations, in the same time, their external policies have improved setting goals atleast for some indians to earn their living.these means have added so much to ways of their foreign currency earnings. Namely, they are among the few nations (bangaldesh, thailand, philiphines and India) that are given the opportunity to earn their living by going back to portugal for example.

      • 13
        0

        not to worry, the Lankadheeshwara Padma Vibhushana and his seven-brained brother will solve all.

    • 0
      0

      “What have these 6 men on the picture achieved for srilanken economy ?”
      They could have if they cared.

      On their own the top three are magicians have made a fortune for themselves from nothing’
      The bottom three are just clowns, to entertain the top three.

  • 19
    0

    Cont.. Now in waltzes the Goat. He slashes taxes to reward the corrupt mercantile sector who backed him on the basis that he would return the favor. Revenue began falling as a result of this. The ratings agencies began down grading our credit rating. Investors stopped buying our bonds. So the engine that kept Sri Lanka afloat stalled thanks to the incompetence, stupidity and corruption. As more bonds came due and no takers for new bonds the reserves were tapped to settle the old bonds. The reserves tanked and so did our currency which relies on the reserves to hold its value. Again stupidity dictated that the exchange rate be maintained at an artificially high rate. This created a black market. Now remittances started to decline because the middle eastern workers realized they can get a much better rate for their money on the black market than thru the banks. The hit from this is supposed to be 50% decline in in-comming remittances. All the while exports have kept going making a modest increase. But this is no where enough to stem the losses. None of this has anything to do with the Covid pandemic. That excuse is a lie The only sector hit by the Pandemic is the tourism sector. Actual revenues earned from this sector is questionable at best.

  • 23
    0

    The Rajapkshes contribute nothing to Sri Lanka. The entire family and their hangers on have been a giant parasite sucking the life blood out of the nations economy. IF there are any Sri Lankans who cannot comprehend this by now they should check themselves into a mental hospital. Niverd the magician keeps doing tricks trying to fool people. But his tricks are wearing thin and nobody is inclined to believe them anymore. Mahinda himself is a man with Dimentia and declining health. His sons join the other family members and cronies plundering what is left of the nations resources. To put a figure on the plunder it is estimated at Rs 5 Billion per day.

    • 11
      0

      Thiha,
      .
      They have paved the way few henchmen to suck the last blood drop the tax payers funds. In the days to come, world will reveal, what is behind that PVT JET issue and the loads of unexposed PRINTING materials transported to Kenya. That will reveal how devious they are.

      Just imagine, we have go t them all live today, I mean those auditors general that served to the states over there years, they will reveal some facts about how Rajaakshes and their henchmen incl, originally maxistic Wimal Buruwanse or the like turned to be rich during Rajapakshe era .
      .

      • 1
        2

        Day before yesterday Harsha said that he knows people who are eating only one meal at a day. I don’t know about vegetable trading, but the rice is under mafia control. For them, artificially creating a bankruptcy is the better situation. Rapist failed to release the rice distribution control from political mafias. Somebody predicted Maha Season output to fall to 60% this time. These are only suspect-able indicators. But the real indicator is food Inflation 22%. The industrial imports’ cost is calculated based on the Central Bank’s official rate that 203 Rs, but the real rate is 260 Rs. Only the upper class benefited by that subsidized rate, but the poor 70% only paying for food is facing the 22% inflation rate. This is the inflation rate apply for 70% of the population who are now leading bare minimum life.

        • 0
          0

          Mallai.
          What is not under mafia hand when Rajapakshes are there? My elders repeated they were well at stealing cattle/in 70ties nor had they owned family wealth also by 2005.
          Thanks to the loot and the padma wibhushaba or the like awards no second to the ones being offered to street pimps and contract muder kin pins .
          .
          what cant go wrong when main strem media would keep the people in dark only focusing on their commercial gains?
          .
          😎🐃😎🐃😎🐃😎🐃😎🐃

      • 2
        2

        So are we welcoming the New Year with new hopes with new fears that the Aanduwa creating by refusing to manage the economy by proven, intelligent, conventional methods, but by cutthroat, cunning, Rapist Army Mafia methods. .

    • 1
      2

      Thiha,

      You added some real points to the essay. I don’t agree with Dr. WAW that the inflation rate is not indicating that there is an internal economy bankruptcy is setting in. 1). The political lie that the government is cracking everyday is an indicator of the government’s belief that the economy is in bankruptcy. From the start I believed that China Hunu import was not just about commission, this time it was the shortage of other currencies and availability of Yuan only. This is the way China tracks and traps small economies. LPG Gas tank bomb too because of exchange shortage, not Litro’s pure greed to rob consumers. Yesterday Rambo said there is no money to import medications. So soon you can expect some gimmick to come out (Import some China Hunu) and the government will send many people on The China Aerospace Science & Industry Corporation Limited (CASIC)rockets to the upper world.

  • 4
    0

    Ask Mahinda.

  • 13
    1

    OMG, talk of the town is Basil is tipped to be nominated soon as PM replacing senile MR. If true Lanka will have not one but two U.S citizens at the top.

    • 4
      0

      How ironic. I have heard some Rajapaksa fans say that Ranil was the darling of America, and here we are, but they are now silent.

    • 2
      2

      Shouldn’t some people celebrate?

  • 15
    2

    I am not commenting on anything WAW has written here because it is so boring to go through what he always write – same rotten old stuff over and over. There is no light to be seen in the end. However, what I can firmly tell you is that the 6 faces of the scumbags appearing in the article’s front page are single handedly and collectively contributed to the biggest downfall of Sri Lanka today. Apart from being world class pirates who robbed the wealth of poor Sri Lankans left right and centre, they are master schemers too. If it was in a land where the law and order was in force, all these 6 people are either hanged, shot in public or jailed for life already, for all the despicable crimes they did (and still doing)!!

  • 10
    0

    The right caption will be ” DREAM TEAM OF SILLY LANKA”.

    • 8
      0

      Chiv,
      .
      Well said: May your nonagenarian mother be blessed giving her a worry free year.
      :-
      I wonder even if their lovely ones would have been taken away publicly, people s attitudes would not seem changing that much. Why ? The injection jabbed to them are even powerful than any that would protect you entire life.
      .
      Btw, did not you watch that bugger was awarded the sri wibhushana instead “bheeshana” yestreday ? Is it not upside reactions of MAHA SANGA RATHNAYA ?

      The dark cloud hovering over the island will become clear day by day.

  • 13
    0

    It is up to the people of this island to decide now whether this island belongs to Rajapaksa family or belong to the people of this country. It is good to see that voices are heard to bring back Pirabaharan to resolve the problems of this country. Whether you go to IMF or China or India or USA or Russia is not going to solve the problems of this country because the death of Pirabaharan induced Corruption of Rajapaksa Family. Rajapaksa family knew well that as long as Pirabaharan is there they can’t rob this country. That is they killed all members of the Pirabaharn Family with the full support of USA, China, India and others even though they have the option to keep them alive. From 2009 we created a country of Criminals and Robbers to share with India, China and USA.

  • 4
    0

    I read a most interesting article in the CT the other day, titled ‘Are Those In Governance Of Sri Lanka’s Financial Stability Hallucinating?’ By Mr Chandra Jayaratne. I am not always up to date with the SL situation but its quite apparent that SL is on a ‘hand to mouth’ existence when it comes to imports of essential items & the question of servicing current debts. As a non economist, & perhaps, less intelligent, my understanding is that our only hope of not getting further into a spiralling debt trap is to seek assistance of the IMF but the apparent ‘patriots’ are dead against it & the reasons put forward by the govt. (as outlined by Mr Jayaratna) are nothing but hilarious. Assuming the financial wizardry of the CB Governor & his optimism is the way forward, I am just wondering what the situation will be if he is proved to be wrong, six months from now

    Incompetence & ignorance are not crimes but in this case, shouldn’t all those who took this country down a disastrous path be publicly held responsible &, at least, shamed, never to show face again?

    • 0
      2

      IMF also gives only loan, but let us look at this first: In Tamil they say “Thavicha Muyal Addikirathu” . That means hunting the desperate, pathless to run, rabbit. Hunter first organizes his hunting dogs to encircle the rabbit and chase it to his path. Fearing to barking, open with teethed, dogs, the rabbit run the hunter’s path, hoping to use his swiftness do dodge the hunter. That is where it meets the hunters bullet. It is way of immoral lenders charging their pound of flesh.
      Two things: IMF is members organization, so it doesn’t look for Thachia Muyal to hunt. 2). IMF methods (the condition that says how the economy must be taken forward) are said to well considered sure methods to improve the economy. That is a charge free consultation comes with extremely low interest rate and reasonable time to pay back. Lankawe fears to go to IMF not just because of its traditional communist policy. Appe Aanduwa every ready to sleep with any dog if it is free. Their fear is that IMF may allure them into International Inquiry and stage Old King on UN Electric Chair.
      Sheer Stupidity!

      • 3
        0

        *Mallaiyuran*
        You are still referring these unscrupulous bastards as old kind and new king, etc.
        Please tell me what qualifies them as kings?
        As far as I am concerned they are *public servants* since they are elected by the people.
        Please get your nomenclature sorted.
        Stop qualifying these criminals with distinguished titles they don’t deserve by any standards.

  • 7
    2

    President Gota ,as a last resort,may even ask Ajith Nivard Cabraal to print Dollars.

    • 4
      0

      Plato

      I hear Gota has ordered his functionaries to take serious action (legal or otherwise – no information is available whatsoever) against those who denigrate (which means – don’t you dare to criticize ) him.

      Take care.

      • 0
        2

        Yes, Chitanta Aanduwa’s defense department published in it web site the graphic portrait of Indian PM Manmohan Singh Sitting underneath of Chief Minister of TN Dr. Jeylathitha’s skirt. Indian army or police could not operate in Lankawe to arrest anybody. The crook are panting themselves white to arrest a female reporter.

  • 1
    0

    Dr. Wijewardane: Please watch https://www.youtube.com/watch?v=wAHyGsMxzOc

    What is your solution to this scenario? Does your analysis an answer to this problem? How long do you think your theories would work to solve this problem?

    In your next presentation, please address this issue – the GROUND REALITY.

    Thank you.

  • 0
    0

    “What have these 6 men on the picture achieved for srilanken economy ?”
    They could have if they cared.

    On their own the top three are magicians have made a fortune for themselves from nothing’
    The bottom three are just clowns, to entertain the top three. They also get a few bread crumbs that fall off the table.

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