By Rusiripala Tennakoon –

Memories fade—some with the passage of time, some due to redundancy, and others because their purpose has been fulfilled. But today,  on his 53^rd death anniversary day, we honor him as a man whose legacy remains as relevant as ever. We wish he was with us but he is not.

I wish to quote a verse from the Dhammapada:

“Yo dhammam passati, so mam passati.”

This profound teaching reminds us that understanding the Buddha’s doctrine is the path to understanding the Buddha himself.

It teaches us that the best way to commemorate a person is to recall their contributions to society.

He left us in 1972. His life’s work has been well-documented both in Sri Lanka and internationally and has been studied in numerous textbooks.

While many of us recall his contributions with admiration, today, I wish to reflect on his enduring impact as a visionary leader and how his work continues to shape our society.

A Champion of the Working Class

Philip Gunawardena entered Sri Lankan politics through the trade union movement—not as an outsider, but as a reformer who revitalized a stagnating system. Upon returning home in 1932, after a decade abroad, he witnessed firsthand the plight and the suffering of workers  and their struggles. He joined the South Colombo Youth League,  which was then an active political forum with strong ties to working-class organizations.

In a short time members of several working class organizations started looking up to him as a courageous leader. His leadership in this arena put him at odds with Comrade A.E. Gunasinha, a renowned trade union stalwart of the time—who, incidentally, founded the Ceylon Bank Employees Union, an organization I had the privilege of leading for eight consecutive years.

He was regarded as a colossus in our country’s political arena.

We remember Philip Gunawardena not just as a politician, but as a champion of the people—a voice for the voiceless, a tireless advocate for justice.

He was a movement in himself, dedicated to uplifting the working class and fighting for the rights of farmers, laborers, and ordinary citizens. His unwavering commitment to Marxist socialism and equality laid the foundation for progressive reforms that continue to influence us today.

A Vision Rooted in Justice and Buddhist Philosophy

Philip Gunawardena’s passion for change was never about personal gain; it stemmed from an unshakable belief in a fair and just Sri Lanka. His vision was deeply aligned with Buddhist principles—especially the pursuit of liberation from suffering and the commitment to a just society. He wasn’t trapped by political dogma.

To quote his own words, he “was far from being a slave to moth-eaten texts,” a remark he sometimes used to take a dig at his erstwhile Marxist colleagues.

He understood the struggles of rural communities, particularly farmers trapped in a vicious cycle of debt and exploitation. His global experiences in socialist movements—far too extensive to cover here—fortified his dedication to their cause. His approach was revolutionary—bold, strategic, and deeply rooted in economic justice. His policy prescriptions offered broad-spectrum solutions, addressing multiple socio-economic ailments simultaneously.

He championed reforms that tackled: Poverty; Rural indebtedness; Lack of access to credit; Outdated agricultural practices and Inefficient market structures.

His vision extended beyond his time, incorporating elements like: Education reform; Exposure to international languages; Advancements in agricultural technology and

Research initiatives.

Key Reforms and Enduring Impact

It is impossible to cover the full scope of his contributions.

One of Philip Gunawardena’s major concerns was the weaknesses in the cooperative system and the urgent need for reform. He emphasized the importance of cooperative credit institutions in providing financial security to farmers. He famously stated:

“To promote the growth of cooperative credit organizations, the central financing institution must play an active role in providing larger funds to the movement. The state should assist in organizational development, provide facilities for supervision and audit, and actively participate in the movement.”

Years later, we witnessed the success of these principles in action during the early years of People’s Bank. The bank launched the Extended Scheme of Rural Credit, which incorporated all the aspects he envisioned—state involvement in providing funds, supervision, and auditing—implemented through bank branches affiliated with cooperative societies. We saw firsthand how cooperative societies in remote areas were revitalized, empowering members to break free from exploitative moneylenders in a short period.

Two of his landmark initiatives—the Paddy Lands Act and his proposal for an Apex Cooperative Bank—demonstrate his deep understanding of economic disparities and his holistic approach to development.

His Paddy Lands Act of 1958 remains a milestone in Sri Lankan history. This legislation ensured greater security for tenant farmers, restricted exploitative rent practices, and promoted the efficient use of agricultural land.

Philip Gunawardena’s long struggle for a Sri Lankan-owned banking system faced resistance.  He and N.M. carried on a fight in the State Council for a State-Owned Bank for Ceylon. The proposal submitted in the end recommended by the State Council to the Colonial Office in London was twice rejected, and sent back their British made draft to set up a  private indigenous bank. It was detached from the needs of local farmers and workers which aspect the colonial rulers did not consider as important.

His vision for rural banking and cooperative development faced opposition not only from colonial forces but even from within his own government. As Minister of Agriculture in 1956, he proposed the establishment of an Apex Cooperative Bank, but resistance—particularly from the Minister of Finance—blocked its realization.

However, his ideas ultimately materialized when his vision was incorporated into the establishment of People’s Bank in 1961,  by another government thanks to the efforts of his political contemporaries.

A Legacy of Economic and Social Reform

Despite numerous challenges, his ideas laid the foundation for the creation of several people friendly state institutions such as , The Paddy Marketing Board; Agricultural research units; State-owned farms etc. etc. It is distressing to see  how during subsequent periods of different governance how these institutions have been made to suffer natural deaths. Unfortunately , all these remain  focused by subsequent  governments only in the interest of finding who is responsible , without any scheme or plans being considered to revive those.   

The Multi-Purpose Cooperative Society system, the reactivation of the Marketing Department and the establishment of Cultivation Committees were some other initiatives to his credit.

These institutions revolutionized rural life, paving the way for voluntary cooperative movements such as: Brick and tile manufacturing units; Poultry breeding societies; Rice sellers’ cooperatives and Labor cooperatives. The village life was full of activity adding to the country’s productivity.

His blueprint for economic reform did not end with agriculture—it extended to broader banking reforms, ensuring that rural farmers had access to financial security. The People’s Bank Act (1961), drafted by his longtime friend Ronnie de Mel and later championed by T.B. Ilangaratne, mirrored Philip Gunawardena’s original vision for cooperative credit and rural banking. Late Ronnie de Mel as the Finance Minister of the all powerful J.R.J. government amended the 1961 Act of the Peoples Bank but was careful not to touch the clause that dealt with the principal objective of setting up of the Peoples Bank.

A cursory glance at the principal objectives he included in his aborted Cooperative Development Bank Bill which, fortunately was enacted verbatim in the Peoples Bank Act incorporated a few years later, will illustrate this amply as shown under section 4 of the Act.

The purpose of the bank shall be ;

i) To develop and assist , (a) the cooperative movement of Sri Lanka (b) Rural banking (c) Agriculture and (d) industry AND.

ii) To carry on the business of a ; (a) commercial bank (b) Pawn Broker and (c)Merchant bank

To our great dismay, for those who came to manage it  later at the helm of affairs,  these golden objectives were only of  historical interest and  they never cared to follow the underlying concepts to fulfil the mission of the Bank.

Introducing Pawn brokering business into the activities of a commercial bank was a completely novel experience for the country. Phillip included that in the objects of his draft because he was aware of the plight of a villager who wanted to obtain some financial assistance from a reliable source at an affordable cost by offering something available with them as security. Today all local commercial banks are engaged in pawn brokers business as a highly profitable source of income.

 His contributions were not just policies on paper—they transformed lives.

Yet, history has a cruel irony—many of the progressive policies he championed were later sidelined in pursuit of short-term economic gains.

Today, as our nation faces another economic crisis, we find ourselves needing to revisit many of his ideas with renewed urgency.

The Need for Leaders Like Him Today

As Sri Lanka navigates a precarious economic landscape, bound by IMF-imposed frameworks and stringent financial reforms, we need leaders with his courage and foresight. Today the whole country is in a straight jacket confined to IMF conditions. It looks like we have no other way forward. It is only due lack of capacity to go into other areas without any hindrance from the IMF framework. Developing our own resources cannot come within the restrictions or conditions of IMF. Only thing is there should be some leadership and new thinking as to what we could do.

Philip Gunawardena was not a man who grabbed power first and then decided what to do. He had a clear plan—meticulously interwoven across all aspects of development. Though reactionary forces tried to hinder him, he remained steadfast in his commitment to implementing progressive change.

It is heartbreaking to see how some institutions have strayed from their original objectives, leading to mayhem and chaos. But his legacy reminds us that change is possible when driven by conviction and a deep love for the people.

In Conclusion, Let Me Summarize Some of His Unique Qualities:

He was a master of spoken words—he called a spade a spade, never mincing words for praise or abuse.

His thinking blended respect for knowledge and technology within an established historical and cultural background.

In both the State Council and Parliament, he was not a petty rabble-rouser but a respected and serious debater.

While being a staunch socialist, he remained a modernist.

His legacy is not just confined to history books—it lives in the institutions he built, the policies he fought for, and the social justice movements that continue his work.

Let us not just honor Philip Gunawardena with words, but with action.

May his vision continue to guide us. And may we never forget the sacrifices he made for the future of our nation.