Government caught amid corruption, arrests, rising costs and broken promises

In latter half of the 1970's, at a time when Lanka was opening up its economy to foreign capital, the late president J.R. Jayewardene reportedly welcomed even unscrupulous investors with his famous phrase ‘let the robber barons come...” Well, the robber barons came, spreading their tentacles through the length and breadth of the country, leaving none -from the highest in the land, to a petty peon untouched.

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In simple language, corruption has taken hold of nearly every aspect of life in this country. Our present rulers -- the NPP/JVP political combine -- while on the campaign trail of the recently held presidential and parliamentary elections promised, among other things, to change the Constitution of the country. We see no signs of hurry to implement that promise.

To tackle rising poverty in the country, the NPP/JVP government, promised to reduce the cost of living and via restructuring the International Monetary Fund (IMF) Extended Fund Facility which unfairly targeted the poorest sections of Lankan society. Sadly, the government found it was unable to keep its promise regarding the restructuring of the IMF deal. Every economic move of government is today governed by IMF diktat.

Making matters worse, by July this year positive inflation (a sustained, moderate increase in the prices of goods and services) increased. The Central Bank projects it will gradually accelerate toward 5% from today’s -0.3%. Economists tell us this is good for the economy as a whole. But for a people groaning under increasing prices and stagnant wages, their plight is distressing to say the least.