Moody’s downgrades Sri Lanka’s ratings in 'huge blow' despite pleas from Colombo

by Thusiyan
Nov 20, 2018

Moody's Investors Service announced that it has downgraded Sri Lanka’s senior unsecured ratings to B2 from B1, amidst a deepening political and economic crisis on the island, despite calls from the government to block the move.

The move, which is a significant blow to the Sri Lankan government’s economic policy, comes as both former president Mahinda Rajapaksa and Ranil Wickremesinghe claim to be Sri Lanka’s prime minister in a political crisis that has endured for several weeks.

“This is the first massive blow to the economy as a result of irresponsible #CoupLK by @MaithripalaS and Rajapaksa clan,” said the UNP’s Harsha de Silva on Twitter.

“We also heard they have received a letter from [Central Bank of Sri Lanka] pleading to reconsider,” he added. “Mess!”

“The decision to downgrade the rating to B2 is driven by Moody's view that ongoing tightening in external and domestic financing conditions and low reserve adequacy, exacerbated most recently by a political crisis which seems likely to have a lasting impact on policy even if ostensibly resolved quickly, have heightened refinancing risks beyond levels anticipated,” said the ratings agency.

“Moody's projections include a slower pace of fiscal consolidation than assumed in July to reflect disruption to fiscal policy implementation in a period of political turmoil.”

Sri Lanka was already racing several economic hurdles before the political crisis was sparked last month. “Moody's assessment is that the government's debt refinancing will remain highly vulnerable to sudden shifts in investor sentiment in a period of further tightening in financing conditions and political and policy uncertainty, with limited buffers to face such risk,” the statement from the ratings agency added.

"The political situation has also resulted in delay to the disbursements planned under the IMF programme," it continued. "A prolonged pause in the IMF programme, associated to uncertainty about the direction of policy, would likely undermine investors' confidence, exacerbating the tightening in financing conditions."

See the full statement here.

The latest move comes amidst calls for sanctions and the withdrawal of trade concessions for Colombo.

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Tamil asylum seekers in Australia mark 100 days of continuous protests for permanent visas

Over 200 refugees and supporters marked a significant milestone by marching 10 kilometers from Australian Prime Minister Anthony Albanese’s office to the Immigration Minister’s office this week, commemorating 100 days of continuous protest.

This demonstration, which culminated in a rally and speeches in Punchbowl, highlighted the plight of refugees denied permanent visas for over 12 years. Speakers at the event shed light on the profound impact of the current system, including barriers to higher education, employment, and access to essential services.

The protest has now entered its 100th day, with Tamil asylum seekers and their supporters continuing their relentless demand for permanent protection. For 38 days, they camped outside Australia’s Minister for Home Affairs, Tony Burke’s office in Sydney, calling on the government to end the visa limbo that has left many without basic rights and stability. Tamil asylum seekers have been in Australia for over a decade, living on short-term visas that must be renewed regularly. Without permanent residency, they are excluded from Medicare—Australia’s universal health insurance scheme—and are denied the right to work, study, travel, or access essential services. Many are also required to report to visa offices weekly.

The crisis is compounded by the controversial 'Fast Track' system introduced in 2014 by the Abbott government. According to the Asylum Seeker Resource Centre, this system has resulted in the rejection of around 8,500 asylum seekers' cases. It specifically targets individuals who sought asylum by sea and arrived in Australia between August 13, 2012, and December 31, 2013. Tamil asylum seekers, stuck in visa limbo for years, have launched protests nationwide, with 24-hour encampments in Melbourne, Perth, and Brisbane.

Amaran - Problematic propaganda

amaran

The genre of war epic makes its grand re-entry to Tamil cinema with director Rajkumar Periasamy’s sophomore feature film, ‘Amaran.’ As is often the case with this genre, one cannot help but feel the events of the ‘true story’ onscreen have been heavily modified for easy consumption.

 

 

 

The patriotic military films of Tamil cinema had taken a back seat for a while. The subject matter is now seldom a prominent theme of a film, instead lurking in the shadows peeking through such as via the heroes in the works of Nelson Dilipkumar. The genre of war epic makes its grand re-entry to Tamil cinema with director Rajkumar Periasamy’s sophomore feature film, ‘Amaran.’ As is often the case with this genre, one cannot help but feel the events of the ‘true story’ onscreen have been heavily modified for easy consumption.

The film follows the tale of Major Mukund Varadarajan (Sivakarthikeyan) and his partner Indhu Rebecca Varghese (Sai Pallavi), who meet at college and soon become lovers. Indhu grapples with her lover’s life ambition of becoming a soldier for the Indian army, admiring his courage and more than willing to become his doting wife at home. We then watch as Mukund is stationed in Kashmir and follow along with his various missions in the volatile area. The film’s depiction of the Indian army is one solely made up of heroes rescuing civilians and looking out for the public’s interests. It is not necessary to delve too much into why this is an oversimplified and problematic portrayal.

The central performances by Sivakarthikeyan and Sai Pallavi carry the almost three hour film adequately. Despite moments where Sivakarthikeyan lacks the intensity to land highly emotional scenes, the pair deftly share the screen between them, with Pallavi picking up any slack. Another notable performance comes from Geetha Kailasam, a character actor who has featured in many films recently in the role of ‘the mother.’ ‘Amaran’ gives her another opportunity to showcase her own humorous brand of motherhood.

Technically, the film runs smoothly. The film is decently shot and edited. Other than a few overly melodramatic moments, the screenplay is solid, albeit a little superficial. GV Prakash Kumar continues his trend of matching the quality of the film with the quality of his music. The track ‘Hey Minnale’ is an earworm, but the rest of the score and soundtrack does not shine through.

Overall, ‘Amaran’ is a straightforward piece of propaganda. A shot in ‘Amaran’ depicts a soldier of the Indian army blocking a closing door with his rifle. On the other side of the door is a Kashmiri child. To appease the child, the soldier sneaks a chocolate bar through the gap in the doorway. The reverse of this tactic is what director Rajkumar Periasamy employs to hook his audience in: the sweetness of the Penelope-Odysseus relationship between Mukund and Indhu hides the intrusion of the weapon of jingoist ideology. 

Krishna's rating: 2.5 stars

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Official trailer for film below.

UN Special Committee finds Israel warfare methods in Gaza consistent with Genocide

un_spcial

A report released by a UN Special Committee, composed of member states Malaysia, Senegal and Sri Lanka has deemed Isarel's warfare in Gaza consistent with genocide, with starvation being used as a weapon of war. 

Covering the period from October 2023 to July 2024, the report examines developments across the occupied Palestinian territory and the occupied Syrian Golan but focuses on the catastrophic impact of the current war in Gaza on the rights of Palestinians.

The Committee called on all Member States to uphold their legal obligations to prevent and stop Israel’s violations of international law and hold it accountable.

“It is the collective responsibility of every State to stop supporting the assault on Gaza and the apartheid system in the occupied West Bank, including East Jerusalem,” the Committee said.

“Upholding international law and ensuring accountability for violations rests squarely on Member States. A failure to do so weakens the very core of the international legal system and sets a dangerous precedent, allowing atrocities to go unchecked.”

“Through its siege over Gaza, obstruction of humanitarian aid, alongside targeted attacks and killing of civilians and aid workers, despite repeated UN appeals, binding orders from the International Court of Justice and resolutions of the Security Council, Israel is intentionally causing death, starvation and serious injury, using starvation as a method of war and inflicting collective punishment on the Palestinian population,” the Committee said.

The report documents how Israel’s extensive bombing campaign in Gaza has decimated essential services and unleashed an environmental catastrophe that will have lasting health impacts. By early 2024, over 25,000 tons of explosives—equivalent to two nuclear bombs—had been dropped on Gaza, causing massive destruction and the collapse of water and sanitation systems, agricultural devastation, and toxic pollution.

“By destroying vital water, sanitation and food systems, and contaminating the environment, Israel has created a lethal mix of crises that will inflict severe harm on generations to come,” the Committee said.

The report raises serious concerns about Israel’s use of AI-enhanced targeting systems in directing its military operations, and the impact it has had on civilians, particularly evident in the overwhelming number of women and children among the casualties.

Amid the devastation in Gaza, Israel’s escalating media censorship, suppression of dissent, and targeting of journalists are deliberate efforts to block global access to information, the Committee found. It also noted how social media companies disproportionately removed “pro-Palestinian content” in comparison with posts inciting violence against Palestinians.

The Committee condemned the ongoing smear campaign and other attacks against UNRWA and the UN at large.

The Special Committee is composed of three Member States: Malaysia, Senegal and Sri Lanka. This year the Member States are represented by H.E. Mr. Ahmad Faisal Muhamad, Permanent Representative of Malaysia to the United Nations in New York, H.E. Mr. Cheikh Niang, Permanent Representative of Senegal to the United Nations in New York, and H.E. Mr. Peter Mohan Maithri Pieris, Permanent Representative of Sri Lanka to the United Nations in New York.. The committee called on member states to urgently act on the following 

(a) Implement their erga omnes obligations, including as they relate to the prevention and prohibition of genocide, torture, racial segregation and apartheid, and refrain from aiding or abetting the commission of all violations of peremptory norms of international law;

(b) Leverage their influence to ensure Israel ceases its policies and practices negatively affecting the human rights of the Palestinian people and other Arabs of the occupied territories;  

(c) Halt all offensive arms transfers, including weapons, explosives, guns and/or ammunition, to Israel;

(d) Hold nationals, including those with dual Israeli citizenship, involved in settler violence or violations in Gaza, accountable for violations of international law;  

(e) Review financial transfer policies that allow religious and charitable organizations to fund activities in Israel, which enable the further sustenance of an apartheid system;  

(f) Support UNRWA politically and financially, including by increasing funding through the United Nations regular budget;  

(g) Protect and ensure respect for human rights in economic activities, including by setting out clear expectations for businesses in terms of responsible conduct consistent with the Guiding Principles on Business and Human Rights, and exercising heightened due diligence when supporting business enterprises;

(h) Hold business entities fully accountable for complicity in violations of international law, whether through their supply of arms, provision of digital products and services and/or engagement in technology transfer and facilitation (including artificial intelligence) or links to value chains (including algorithmic-based decisionmaking systems) that enable Israel’s ongoing onslaught in Gaza and apartheid system of injustice in the occupied West Bank, including East Jerusalem;

(i) Give full effect to the advisory opinion of the International Court of Justice of 19 July, by adhering to the legal obligations outlined by the Court, and considering specific measures or further measures required to put an end to the illegal presence of Israel in the occupied territories;

(j) Fully cooperate with the International Criminal Court. 

Read more here

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