LMD AUGUST 2024 – COVER STORY
THE SPIRIT OF GOOD GOVERNANCE
Decoding the essence of good governance
“If one were to pick any common elements that would form the foundation of good governance, they would include transparency in the exercise of powers, equity in the delivery of responsibilities and accountability towards those to whom the responsibilities are owed”
Dr. Arittha Wikramanayake
‘Good governance’ is commonly prescribed as a blanket cure for all ills in society with little thought given to its meaning or significance. In fact, the term could carry diverse connotations depending on the context in which it is applied.
Simply put, good governance is the stringent exercise of power by any person or entity vested with power over others.
Propriety is contextual and depends on – among other factors – the responsibilities and powers that are to be exercised, the interests of stakeholders towards whom duties are owed and the environment in which the powers are to be exercised.
Good governance cannot therefore be evaluated on a universal scale.
Though codes of governance and mandatory rules can prescribe basic norms, they cannot guarantee compliance with such standards. Neither do self-affirmations of compliance – nor do awards portray a true reflection of the practice of good governance.
THE PRIVATE SECTOR It would be superficial to make broad generalisations regarding the extent of good governance in the private or public sector. Comprising a broad spectrum of entities of various shapes and sizes, and an equally varied group of stakeholders, the criteria for governance vary.
Moreover, the private sector is governed by diverse regulatory standards. In fact, only a minority of the private sector is subject to any degree of formal regulation with respect to good governance.
The mere fact that listed entities are subject to formal codes of governance and rules does not mean that they’ve complied with in spirit with a large number purely paying lip service to such obligations.
One also needs to be pragmatic: aping practices that have been adopted elsewhere does not guarantee good governance.
Ground realities such as dual standards of regulation, the unavailability of resources and often, the need to survive in an uneven operational environment that is inherently corrupt have to be factored in when imposing regulatory prescriptions – in the absence of which, the focus of the regulated entities would be to tick boxes as opposed to holistically embracing the spirit of good governance.
THE PUBLIC SECTOR The public sector fares no better: as any citizen would hardly have failed to experience, there is little or no governance in this sector, with a glaring absence of transparency, equity and accountability.
Acts of blatant disregard for even the basic standards of governance emanating from the very top go unchecked and unpunished. Many despair that these standards have become the new norm in an opaque system where excessive discretion, corruption and a blind eye are accepted as a part of life.
THE STAKEHOLDERS The dilemma is how one can stem the rot. At the outset, it is important to recognise that we have vested interests in making an attempt to do so. Bad governance has a heavy and direct cost on all of us and bears upon every aspect of our lives.
This crisis can only be stemmed when we as stakeholders towards whom these responsibilities are owed take meaningful measures to address such acts of abuse.
For a start, acts of abuse cannot be permitted to be swept under the carpet once the initial outcry of indignation is over. Even the existing system, as broken as it is, has checks and balances. However, they do not function on their own; they need to be pressured into action.
Secondly, it is important that there be systemic change to facilitate transparency. This can be relatively easily achieved by resorting to measures such as digitalisation and automation, which limit excessive discretion.
Thirdly, there should be simplification of procedures and rules. The complexity of regulation and procedures is a breeding ground for bad governance.
And finally, regulations should be reevaluated to be both participatory and responsive to win the ‘buy in’ of users so that they are seen as having a purpose rather than an imposition of a burden.
Dr. Arittha Wikramanayake is the Precedent Partner of Heritage Partners.
EDUCATE THE PUBLIC
Rajeev Amarasuriya
Member of the Governing Board of the Central Bank of Sri Lanka
Former Secretary of the Bar Association of Sri Lanka
Q: What steps can we take to combat bribery and corruption – and ensure that public resources are used for the benefit of all citizens?
A: The new Anti-Corruption Act introduced last year is an advanced piece of legislation that has gone beyond the traditional boundaries of bribery and corruption, even encompassing the private sector – it has immense potential.
When the Commission to Investigate Allegations of Bribery or Corruption Act was introduced in 1994, it too was considered as being good at the time.
But 30 years down the line, we know how practically ineffective the 1994 act was in light of the failure to curtail and limit widespread bribery and corruption.
So firstly, if we want to see change, we must ensure that the new Anti-Corruption Act is fully and effectively implemented – and that would require adequate resources and capacity building, and ensuring complete independence of the commission in performing its functions.
In addition, there must be inbuilt and objective performance reviews of the commission to ensure that results are achieved in the shortest time possible.
The creation of a robust anti-bribery and corruption regime – both in fact and public perception – where there is a high probability of offenders being apprehended would be one vital step in combatting bribery and corruption.
To supplement such a regime, there must also be a concerted effort to educate the public on the societal damage caused by bribery and corruption to a level where society itself will reject those who perpetrate such acts. This must not be limited to the taker or corrupt officer but also the citizen who gives or benefits.
Another area to look at is the human interface, given that much of the smaller scale bribery and corruption takes place at the points of interaction between a member of the public and a public official. Bribery or corruption at this level can be easily and effectively addressed, by taking out the human interface and automating or digitalising the process.
If the foregoing could be achieved, bribery and corruption in this country could be effectively combatted, thereby safeguarding, securing and building public resources.
INSTIL ACCOUNTABILITY
Dr. Sharmini Coorey
Presidential advisor on multilateral engagement and debt sustainability
Q: How would you define ‘good governance’ – and how does Sri Lanka measure up to it, in your opinion?
A: It is the process by which a country (or company) makes and implements policy decisions. Good governance is when that process has attributes such as accountability, transparency, adherence to the rule of law, responsiveness, effectiveness and efficiency.
Good governance includes but is not limited to avoiding bribery and corruption. The fundamental source of Sri Lanka’s economic problems is poor governance in this broader sense. Last year’s Governance Diagnostic Assessments by civil society and the IMF documented this well.
Q: What are the most critical issues facing our country in the context of governance?
A: We urgently need better governance in tax policy, tax administration, public procurement and state-owned enterprise (SOE) management. We must also shift to an export oriented economy by removing import restrictions, lowering duties and redesigning government regulation, to promote competitive domestic markets and thwart monopolistic practices.
Many people don’t realise that import protection is economically the same as taxing exports. Export orientation encourages good governance as producers must compete in global markets that can’t be manipulated by local politicians.
I would venture to guess that protected domestic producers tend to fund political campaigns in return for protection from domestic and import competition. This not only promotes poor economic and political governance but also comes at the expense of the hapless consumer who is typically not affluent or politically well-connected.
Q: And what mechanisms do you believe are necessary to hold public officials accountable for their actions and decisions?
A: Parliament must enact robust laws holding public officials – including ministers and members of parliament – accountable and when it comes to corruption, criminally liable, for dishonest behaviour.
Sri Lanka doesn’t have such laws in many key economic areas including taxation, public procurement, SOEs and regulation. Even when legislation is passed, it often includes loopholes, affording ministers inappropriate leeway.
We also need an independent public prosecutor with adequate resources to enforce the rule of law in economic matters. Transparency is also essential but without governing frameworks and laws, it is often difficult to interpret published information.
INFUSE TRANSPARENCY
Meenakshi Ganguly
Deputy Asia Director Human Rights Watch
Q: In your assessment, what are the most critical issues facing our country in terms of governance?
A: While the conflict ended in 2009 in military defeat, the government impeded every effort towards an investigation into alleged war crimes by security forces or revealing what happened to tens of thousands who were forcibly ‘disappeared.’
Some alleged perpetrators have instead been rewarded with senior roles. This lack of accountability has seeped into all forms of governance. Rampant greed, corruption and incompetence at the highest levels decimated public revenues, and led to a severe economic crisis.
Independent investigations have repeatedly been stalled if they led to identifying politicians and security personnel who were involved in rights abuses. The government should take steps to end political inference in the justice system.
Creating an independent prosecutor instead of giving this responsibility to the attorney general, who is also a member of the government, would be a big step forward in ensuring accountable governance, as would reversing and bringing transparency to tax exemptions that benefit the wealthiest.
Q: How can Sri Lanka improve transparency and accountability in state institutions – and who is responsible for ensuring that we do so, in your view?
A: The rot at the top has undermined institutions. When political leaders become authoritarian, they bend the system to protect their misdeeds and corruption.
It takes political will to protect and strengthen the independence of institutions, to provide the necessary checks and balances. The recent Anti-Corruption Act for instance, looks good on paper; but to make a difference, it needs to be well implemented.
Sri Lanka has a long history of a valiant civil society that has tried to make government accountable. Now civil society’s existence is threatened by a proposed NGO law that’s draconian, totally unnecessary and should be dropped.
Instead of crushing dissent and cracking down on protests, the authorities should listen to civil society and citizens, and follow through on measures to uphold the political, social and economic rights of each and every citizen.
GUARANTEE INDEPENDENCE
Prof. Camena Gunaratne
Professor – Department of Legal Studies of the Open University of Sri Lanka
Q: What steps can we take to combat bribery and corruption – and ensure that public resources are used for the benefit of all citizens in this country?
A: There must be a two-pronged approach to dealing with this issue. On the one hand, law enforcement agencies must work independently and free of political influence to bring offenders to book.
Asset declarations and tax investigations should be enforced, particularly against politicians and senior officials – but this isn’t happening.
We have laws in place and the Commission to Investigate Allegations of Bribery or Corruption (CIABOC) as an independent entity to deal with the issue. However, prosecutions don’t seem to be effective and cases are often withdrawn or dismissed.
There seems to be a certain level of public apathy about corruption and civil society must also be proactive in demanding transparency in the functioning of state institutions – particularly the disposal of public resources and foreign investment projects. The Mannar Wind Power Park project is a case in point.
We have a strong Right to Information Act (RIA), which should be used more effectively. Public interest litigation is an effective tool to challenge controversial mega projects and the unaccountable disposal of state assets, and this strategy has been quite successful.
Q: And what mechanisms do you believe are necessary to hold public officials accountable for their actions and decisions?
A: Public officials should be free of political control and patronage. Until this is established, it will not be possible to effectively ensure accountability to the public as they will, willingly or unwillingly, be accountable to those in power.
We have witnessed what happens to officials who act independently.
The Public Service Commission is mandated in regard to the appointment, promotion, transfer, disciplinary control and dismissal of public officers, but this mandate must include secretaries to ministries and heads of departments as well.
If independence and accountability are guaranteed at the top, they will permeate down. The Public Service Commission and National Police Commission must also be strengthened, and their independence guaranteed.
IMPLEMENT REFORMS
Arjuna Herath
Former Senior Partner and Consulting Leader – EY Sri Lanka and Maldives
Q: What are the most critical issues facing our country in terms of governance?
A: Currently, lawmaking is heavily influenced by political biases; and the rule of law, justice and enforcement of regulations are not applied consistently or fairly. Additionally, appointments, promotions and transfers within the public service are often politically influenced, compromising independence and creating conflicts of interest.
To alleviate these issues, the people must be prepared to demand good governance consistently and reject any form of compromise. However, many who decry poor governance are willing to accept it if it benefits them personally.
Therefore, a fundamental change in societal values and mindsets is necessary. It’s both timely and critical to build a society that upholds and demands good governance at every level. To achieve this, we must instil these values in our children through a reformed education system that emphasises integrity and civic responsibility.
We need visionary leaders who are committed to the public good, and professionals who implement the rule of law effectively and impartially. No matter how robust policies, procedures and regulations are, if people are corrupt and devious, good governance will be undermined.
The judicial system, often the last resort for justice, must undergo reform to ensure that it operates with professionalism, integrity and efficiency, delivering timely justice.
Q: How can Sri Lanka improve transparency and accountability in state institutions?
A: The most critical issues plaguing state institutions are the lack of professional skills and demands for accountability without corresponding authority. Decisions for these institutions are often made by multiple layers of higher authorities, resulting in diluted accountability at each level.
To address these issues, the recruitment process for the public sector must change. Recruiting skilled professionals with reasonable market remuneration should be prioritised. These institutions need to be empowered with the authority necessary to make decisions regarding recruitment, promotions, transfers, salary scales, procurement of services, pricing and expenses.
With this authority, they must be held accountable for providing exceptional service to ensure profitability and there should be a requirement to report them. By implementing these changes, state institutions can achieve greater transparency and accountability.
Responsibility for these improvements lies with both the government and civil society. The government must enact policies that support these reforms, while civil society should advocate for and monitor the implementation of these changes.
EMPOWER THE CITIZENRY
Pulasthi Hewamanna
Chairperson – Transparency International Sri Lanka
Q: How can Sri Lanka improve transparency and accountability in state institutions? And in your view, who is responsible for ensuring that we do so?
A: Economic growth is tied to how we’re governed, and transparency and accountability are cornerstones in any form of governance, be it in the private or public sector.
If you map Transparency International’s Corruption Perceptions Index with the economic growth of countries on the list, there are direct correlations with institutional commitments to transparency and accountability, and systems-based approaches to preventing corruption.
Our system fully realised the true impact of decades of corruption in 2022. We can no longer ignore this, and the time has come for state institutions to give meaning to our constitutional values and aspirations, and our sovereign right to live in a society free from corruption.
We must move away from mere tokenism and towards meaningful proactive disclosures. Accountability should require answerability first – i.e. an obligation for institutions to explain their actions. Secrecy is an anathema to this.
Secondly, there’s enforcement: the capacity to impose sanctions on those who have violated public trust.
And thirdly, enablement – whereby citizens must be empowered to raise the alarm without the imposition of laws that can have a chilling effect on their participation.
Real political, civil society and corporate leadership is the need of the hour to bring about this change.
Q: What steps can we take to combat bribery and corruption, and ensure that public resources are used for the benefit of all citizens?
A: A citizen-centric approach is a must. It is our constitutional duty to prevent the misuse and wastage of public resources.
Citizens are already empowered by the Right to Information Act (RIA) to request any information from the government. We must inculcate an approach to question decisions that affect us without taking everything at face value. This would be a step in the right direction, which must be encouraged at a young age.
But this isn’t enough…
If we’re serious about empowering citizens, robust whistleblower protection is an essential step. The garlic scam for example, would never have been investigated if not for a whistleblower at Sathosa.
STRENGTHEN GOVERNANCE
Takafumi Kadono
Country Director for Sri Lanka Asian Development Bank
Q: How would you define ‘good governance’ – and how does Sri Lanka measure up to it, in your opinion?
A: While there were external and internal shocks, it is the series of policy missteps that led to a deep economic crisis in Sri Lanka. Policy missteps were a result of weak governance and limited fiscal discipline and transparency.
Sri Lanka continued declining in Transparency International’s Corruption Perceptions Index (CPI) – from a score of 40 in 2012 to 34 in 2023. The World Bank’s Worldwide Governance Indicators show that the control of corruption, rule of law and regulatory quality have deteriorated over 2018-22 compared to 2000-05.
Q: What are the most critical issues facing Sri Lanka in terms of governance?
A: Given that the governance weaknesses in government functions and state-owned enterprises (SOEs) contributed to the economic crisis, it is fundamental to implement comprehensive governance and public financial management reforms.
The judicial system also needs to be strengthened, and the Commission to Investigate Allegations of Bribery or Corruption (CIABOC) has a tremendous role to play. And of course, civil society needs to be empowered.
Q: In your view, what steps can we take to combat bribery and corruption – and ensure that public resources are used for the benefit of all citizens?
A: The anti-corruption system is based on legislation directly relevant to bribery and corruption; legislation that tracks asset accumulation by public and elected officials; an independent institution for investigation and prosecution; and corruption prevention, administrative and financial regulations applicable to the public sector.
The Declaration of Assets and Liabilities Law enacted in 1975, establishment of CIABOC and the Financial Intelligence Unit, and recent adoption of the Anti-Corruption Act demonstrate that the country has long recognised the need to strengthen governance.
However, these legal and organisational frameworks established to fight corruption have struggled to fulfil their functions and legislation has lacked enforcement. Timely and stringent implementation of the IMF’s Governance Diagnostic Assessment recommendations is an important first step.
Prosperity for the citizens of Sri Lanka is not possible without governance and transparency.
PRIORITISE TRANSPARENCY
Chiyo Kanda
Country Manager for Maldives and Sri Lanka – World Bank
Q: How would you define ‘good governance’ – and how does Sri Lanka measure up to it, in your opinion?
A: Good governance is fundamental for development as it represents the capacity of governments to use public resources, and deliver services efficiently and effectively. It needs institutions, systems and human resources that provide clear rules, along with checks and balances and grievance redress mechanisms.
Transparency and access to information for the public, integrity of the political environment, respect for the rule of law and effective judiciary systems are important ingredients to ensure good governance.
Modernising public institutions and embracing digital solutions can streamline services, enhance transparency and fortify the fight against corruption.
Having faced significant challenges – including the COVID-19 pandemic and economic crisis – Sri Lanka has embarked on essential reforms in the past two years to steer the economy back on track.
For many development challenges faced by the country, there are underlining governance issues to address.
By establishing a governance framework that prioritises transparency and accountability, and fosters open communication with civil society, Sri Lanka can transform its development trajectory towards a future of resilient, sustainable and inclusive growth.
Q: What role does citizen participation play in promoting good governance? And how can we encourage the public to play a part in this?
A: Citizen participation is at the core of creating more transparent, accountable and effective public institutions, and demand accountability from public officials. When citizens are involved, their perspectives and needs help shape more effective and fair policies.
A prime example was Sri Lanka’s people movement – the aragalaya – in 2022, which was driven by the public’s demand for systemic change and better management of the country’s economy.
Such grassroots movements hold policymakers and government officials accountable, prompting them to improve governance and policies to be more responsive to the public.
Not only in times of crisis, promoting greater citizen engagement on a regular basis is even more critical.
To that end, it’s vital to establish open avenues for communication that facilitate coordination across local, regional and national levels, educate the public of their civic rights and duties, and nurture trust between government and its people.
ADDRESS PERCEPTIONS
Azusa Kubota
Resident Representative UNDP in Sri Lanka
Q: What are the most critical issues facing Sri Lankan in terms of governance?
A: In terms of governance, steps must be taken to rebuild and strengthen the social contract, and people’s trust in institutions.
With COVID-19, mistrust between people and institutions have grown globally; and in Sri Lanka, following the country’s worst economic crisis, we see a similar trend.
Even in addressing perhaps the world’s most acute crisis, climate change, people are demanding stronger climate action from their leaders.
The UNDP recently published the results from the People’s Climate Vote 2024; and in Sri Lanka, 97 percent of respondents feel that the government should strengthen its commitments to address climate change.
Honouring commitments and meeting people’s needs through accountable, inclusive and transparent processes must be at the heart of the reform agenda. As evident from the IMF governance diagnostic report, the root causes of some of the most critical development challenges can be traced to weaknesses in economic governance systems.
Fiscal policy decisions have resulted in low tax revenues, high public spending, a narrow export base and unsustainable public debt, leaving the country vulnerable to external shocks.
To help Sri Lanka avoid falling back into a perpetual cycle of indebtedness, several governance challenges require attention, focussing on improving transparency and accountability, and enhancing people’s engagement in all processes.
This is fundamentally tied to people’s willingness to comply with tax obligations.
The recent Tax Perception Survey notes that people are willing to pay taxes as long as they value what they gain from it. This firmly underscores the importance of addressing perceptions, structural deficiencies, misinformation and misconduct to boost tax morale.
UNDP strongly advocates strengthening institutions and systems of economic governance, and supports an economic governance approach that refers to the policies, frameworks, systems, institutions and capacities that support a country’s economic objectives.
Key elements of economic governance systems include fiscal, monetary and trade policies; regulations related to business and investments; oversight systems that ensure citizen participation and government accountability over relevant decisions and actions; and judicial frameworks that ensure enforcement of relevant laws and policies.
Addressing governance deficiencies is essential to creating a society where people have hope for their future, linked with the outward migration issue.
RESPECT HUMAN RIGHTS
Prof. Prathiba Mahanamahewa
Former Human Rights Commissioner of Sri Lanka
Q: How would you define ‘good governance’ – and how does Sri Lanka measure up to it, in your opinion?
A: Good governance primarily involves the effective implementation of laws in a country with a significant focus on the rule of law. A key requirement for good governance is the application and enforcement of the constitution, and other laws.
Essentially, good governance is about protecting, promoting and respecting human rights. If the public sector adheres to these three duties, the concept of good governance becomes self-evident.
However, issues arise because constitutional rights – such as the right to equality – are often not implemented, leading to human rights violations. Good governance requires the executive, legislative and judicial branches to work in an interconnected manner, as ultimate sovereignty rests with the people.
In essence, good governance means that government authorities and entities must protect, promote and respect human rights. Sharing information is vital for good governance but proactive information sharing is often lacking. Good governance is not solely derived from laws but also from ethical values and societal norms.
Furthermore, holding regular elections is critical for good governance, enabling the public to express their opinions. Good governance also involves respecting laws, procedures and guidelines, ensuring transparency, accountability and the protection of human rights.
Q: What are the most critical issues that the country is facing in terms of governance?
A: Currently, the country is facing critical issues in governance particularly in economic management. We must focus on restructuring public administration, not only in offices but also in the production and service sectors.
Many administrative issues reflect poor management. For instance, private companies adhere strictly to their articles of association and shareholders hold directors accountable for mismanagement. Similar accountability mechanisms are necessary in public administration.
Delays and arbitrary actions lead to prolonged court cases and further complications. For example, the state system currently has over 1,000 pending cases, causing major delays in justice.
The Commission to Investigate Allegations of Bribery or Corruption (CIABOC) has the power to address these issues effectively. If prompt action is taken, it will serve as a warning and help improve overall governance.
While there are significant issues, they are manageable if addressed without delay. Procrastination only exacerbates issues, leading to a deteriorating situation.
UPHOLD THE RULE OF LAW
Carmen Moreno
Ambassador – Delegation of the European Union to Sri Lanka and the Maldives
Q: What is your take on ‘good governance’ – and how does Sri Lanka measure up to it?
A: International conventions and regional instruments outline the key principles of good governance, including participation, rule of law, transparency, equity, inclusiveness, effectiveness and accountability.
Good governance forms the cornerstone of the social contract between citizens and the state.
When these principles are absent, the social contract weakens, trust in institutions and political leaders diminishes, and democracy deteriorates. Furthermore, good governance plays a crucial role in fostering international connections.
A robust governance framework not only facilitates a country’s access to global markets and financial opportunities, but also supports the sustainable growth and job creation necessary for its population.
All countries need to enhance their governance frameworks, continually adapting to meet the demands of citizens and the challenges of a competitive global landscape.
Q: In your view, what are the most critical issues facing our country in terms of governance?
A: Two significant and comprehensive governance diagnostic assessments have already been conducted – one by Sri Lanka civil society organisations and another by the IMF. Both assessments highlight key challenges and provide recommendations, and the government has an annual action plan to guide the transformation of the governance framework.
Our focus as partners of Sri Lanka is to support the implementation of these essential reforms. A critical aspect at this stage is ensuring that over the coming years, elected representatives remain committed to undertaking a comprehensive governance reform agenda in consultation with civil society.
Q: What role does citizen participation play in promoting good governance? And how can we encourage the public to play a part in this?
A: Good governance goes well beyond efficient public spending and service delivery. It requires robust mechanisms to uphold and facilitate the right of citizens to participate in government, involving them in all stages of decision making starting with the right to choose their representatives in democratic elections.
Transparency in government actions and ensuring the right of citizens to access information are crucial. A free and independent media helps raise citizens’ awareness while civil society organisations enhance their capacity to advocate for their interests.
Upholding the rule of law and fostering accountability not only encourage participation but also contribute to strengthening the social contract based on trust.
SEIZE THE OPPORTUNITIES
Dr. Jehan Perera
Executive Director – National Peace Council of Sri Lanka
Q: In your opinion, what are the most critical issues facing our country in terms of governance?
A: The notion that the country required ‘system change’ was promoted by the student led protest movement that publicly eschewed racism and upheld the rights of equal citizenship in their slogans. The youth and the protest movement they gave life to addressed several key issues, most notably those of corruption and the absence of financial accountability.
But they also addressed the ‘ethnic conflict’ that has been a persistent feature of Sri Lanka since its independence and before there was any economic crisis. The country is presently witnessing a positive transformation of electoral politics in relation to this longstanding conflict.
The three leading candidates in the upcoming presidential election are fiercely competing with each other in spheres such as the economy and how best to deal with corruption. But they are able to demonstrate a common commitment to the 13th Amendment and devolution of power to the provinces.
This marks a significant departure from the past when ethnic nationalism was often exploited to incite violence and garner votes. Leader of the Opposition Sajith Premadasa pledged his support for the full implementation of the 13th Amendment while in Jaffna, and National People’s Power (NPP) candidate Anura Kumara Dissanayake also committed to working with the provincial council system while also in Jaffna and most recently, in London.
President Ranil Wickremesinghe, notably consistent on this issue, advocated for the devolution of police and land powers shortly after assuming office. Achieving a bipartisan and multiparty consensus on resolving the ethnic conflict has historically been a challenge for Sri Lanka.
Previous government leaders who struck agreements with Tamil representatives failed to fulfil their promises due to opposition from political rivals who manipulated ethnic nationalist fears. Civil society too has a critical role in fostering a national consensus for a political settlement.
This would enable the next administration to concentrate on stabilising the economic crisis, enhancing social safety nets, unlocking the country’s growth potential, and addressing governance and corruption issues.
The coming opportunities for transformative system change need to be seized.
PRESERVE GOOD GOVERNANCE
Saliya Pieris
Former President of the Bar Association of Sri Lanka
Q: What are the most critical issues facing our country in the context of governance?
A: I would say that the most critical issues facing our country today in terms of governance are the preservation of democracy, along with the rule of law and strengthening its institutions.
It’s now acknowledged that the rule of law is a vital factor in economic development. Those who are unable to see the vital link between democracy and the rule of law fool themselves when they think that there could be stable economic development without these factors.
Q: And what role does citizen participation play in promoting good governance? How can we encourage the public to play a part in this?
A: The citizen must not think that elections are the only way to participate in good governance.
The citizenry can act as a vital pressure group to preserve good governance and democracy. We have seen that when citizens are articulate about their rights, and speak out against corruption and mismanagement, the powers that be acknowledge that pressure.
So we need citizens who are aware of what is happening.
Q: Do you think that education and awareness campaigns can play a role in promoting civic engagement and a better understanding of governance issues among the citizenry?
A: Of course. One area where education and awareness can play a key role is in the lawmaking process where there’s little consultation or public awareness.
We have seen how laws like the Online Safety Act were pushed through with little consultation and public resistance.
It’s vital that citizens are educated, and made aware of the lawmaking process and good governance.
Q: What steps can we take to combat bribery and corruption – and ensure that public resources are used for the benefit of all citizens?
A: The single most important thing to do is to strengthen the institution of the bribery commission. Although a new law is in place and has been flaunted as a step against corruption, we’ve seen how the state has failed to strengthen this institution.
Laws being in place is insufficient unless there’s political will to pursue them – and make them operable.
BREAK THE CYCLE OF FAILURE
Dr. Ramesh Ramasamy
Senior Lecturer – Department of Political Science of the University of Peradeniya
Q: What steps can we take to combat bribery and corruption?
A: Sri Lanka’s past experience shows that there have been six mistakes made by the country’s political leaders in combatting corruption since independence. These mistakes constitute the cycle of failure that must be broken to succeed in fighting corruption in Sri Lanka in the future.
A robust and effective anti-corruption campaign is needed in future, where both political leaders and critical citizens can fight together for a corruption free Sri Lanka.
Sri Lanka’s mistakes include relying on corrupt political leaders, public officials and the police to curb corruption, and many anti-corruption acts (ACA); using the ACA as an attack dog against political opponents; establishing the ACA as a paper tiger to ensure its failure; and the absence of collective actions in fighting corruption or failure of collective actions.
The country’s anti-corruption reforms and measures are more likely to fail and remain futile, simply due to the absence of collective actions on the part of law enforcement agencies, political leaders, civil society, businesses and citizens.
Q: In your opinion, what mechanisms are necessary to hold public officials accountable for their actions and decisions?
A: The functioning of a bureaucratic accountability system requires an organised and legitimate principal-agent relationship.
It also depends on the quality of government, meaning that when public officials exercise public power to make decisions, they must adhere to the key principles of quality of government such as impartiality, fairness, procedural justice, political neutrality, effectiveness and equality before the law, which is more likely to enhance bureaucratic accountability.
The right to information (RTI), social auditing, the Open Government Partnership, the citizens’ charter and collaborative governance are effective tools to enhance accountability on the part of the bureaucracy.
Q: What role does citizen participation play in promoting good governance?
A: Critical citizens can play an important role in promoting good governance. Active participation in the governance process through the Open Government Partnership, co-production of public services, evaluating institutional performance, promoting meritocracy and collective actions could foster good governance.
Sri Lankan citizens must understand that they have the power to expel a government when it blatantly breaches the social contract and people’s mandate, irrespective of party or political affiliation, ethnicity, religion, class and so on.
This is key to building good governance and accountability on the part of representative institutions.
PROMOTE PUBLIC SCRUTINY
Dr. Asanga Ranasinghe
Director – Postgraduate Institute of Management
Q: How can Sri Lanka increase governmental institution openness and accountability – and who is responsible for the state we are in?
A: A multipronged strategy with stakeholder responsibility can promote openness and transparency in governmental institutions, and drive accountability.
Among the key measures to drive transparency and accountability are upholding and enhancing right to information (RTI) legislation, which will enable individuals to access government information, promoting public scrutiny and informed decision making.
Another includes setting up independent oversight bodies that will give the Commission to Investigate Allegations of Bribery or Corruption (CIABOC) the resources and ability to investigate charges, and hold officials responsible.
And lastly, commissioning citizens’ monitoring mechanisms – such as properly conducted surveys, responsive hotlines and user-friendly internet platforms – will encourage and provide inputs to the public service.
Ultimately, it is a shared duty where openness and accountability need collaboration. For a functioning democracy, authentic government leadership, a lively media, engaged citizenry and a robust civil society are required.
Q: And how can we fight bribery and corruption – and be able to use public resources for everyone?
A: Sri Lanka can eliminate bribery and corruption, and maximise public resource usage, by following several steps.
Steps can be taken to enhance anti-corruption legislation by reviewing and updating it. This includes closing loopholes, clarifying the definition of a bribery offence, increasing punishments for corruption and protecting whistleblowers.
In addition, attention can be paid to law enforcement capacity building and promoting public procurement transparency, by embedding competitive state contract bidding across all government organisations and state-owned enterprises (SOEs).
The country can also make asset declarations by public officials mandatory.
Furthermore, steps can be taken to maintain public resource efficiency by allocating funds based on clear performance metrics and demonstrable outcomes, ensuring effective use for projects that benefit residents.
Establishing mechanisms for citizens to monitor public expenditure and track resource allocation to prevent abuse is also crucial.
Moreover, steps can be taken to set up an independent audit system to enhance the National Audit Office’s independence and effectiveness in scrutinising governmental finances.
And finally, integrating digital technologies will help to enhance government efficiency and transparency.
PUNISH THE CULPRITS
Arjuna Ranawana
Columnist
Q: How would you define ‘good governance’ – and how does Sri Lanka measure up to it, in your view?
A: Good governance is the political and institutional process that achieves the goals of development in a transparent and accountable manner.
The key factor is that the process should stand the scrutiny of elected democratic institutions such as parliament and regional assemblies, as well as stakeholders and the public media.
It must deliver on the promise of human rights, as well as civil, cultural, economic, political and social rights. Mostly due to endemic corruption and a partisan unprincipled media, successive Sri Lankan governments have been able to strike deals ranging from public financing to allocation of tenders in an opaque manner, which has not served the country at large.
Q: In terms of governance, what are the most critical issues facing our country?
A: Corruption and the lack of accountability is the most critical issue. The action taken against a former health minister for importing alleged substandard drugs is a rare occurrence; and it was taken in the face of intense public pressure.
Punishing those in power for egregious acts of corruption is a rarity in Sri Lanka where political leaders and senior officials apparently function with impunity.
Oversight bodies such as the Committee on Public Enterprise (COPE) and Committee on Public Accounts (COPA) are a step in the right direction – but they need more teeth to punish officials and hold them accountable.
Q: What role does citizen participation play in promoting good governance? And how can we encourage the public to play a part in this?
A: The ordinary citizen who wants to build a house, bid for a contract or apply for a state sector job is resigned to the fact that without greasing the palms of either the official concerned or a politician, the work will never get done.
This is unfortunate and Sri Lankans have taken this situation as a fact of life.
To buck this trend, it’s important that accountability is top-down. Complaints from the public must be taken seriously and the culprits punished. How this can be achieved when former health ministers reportedly own mansions in Switzerland by virtue of ill-gotten gains is an issue that needs to be addressed.
CREATE AWARENESS
Faizal Salieh
Chairman – Securities and Exchange Commission of Sri Lanka
Q: What is your definition of ‘good governance’ – and how does Sri Lanka measure up to it, in your opinion?
A: Defining good governance and getting it right is a challenge. Governance has multiple dimensions and should be determined by how the state exercises its authority through formal and informal institutions in managing national resources.
The quality of governance is best measured by the impact of such exercise of power on the quality of life of the citizens.
A root cause of Sri Lanka’s economic crisis is bad governance. The state of governance in the country is marred by institutional decay, excessive politicisation and corruption. The public administration system has a five layer governance structure at the national, provincial, district, divisional and village levels.
This multilevel structure functions under a strong centralised command system, and has resulted in complexities, and crises in governance and administration. The administrative culture remains powerful, and deep rooted in a culture of paternalistic norms, values and informal relations, with little regard for formal established good governance processes. This leads to abuse and malpractice.
As such, reforming policies alone is unlikely to result in major changes.
The public administration system has undergone several changes since independence with little improvements in the governance process – the changes appear to be cosmetic. We need to understand the existing correlation between the political regime, public administration culture and reforms, and their impact on governance.
These governance complexities should be addressed through an objective and holistic approach involving political will, administrative reforms and public trust – not merely by legislating policy and legal reforms.
To improve the quality of governance, there needs to be a strong political and bureaucratic commitment, system stability, institutional transformations, and independence of the judiciary and regulatory authorities.
Battling corruption is at the core of good governance therefore, sustained efforts are essential. Greater awareness is necessary among public officials, and in business boardrooms and all layers of civil society.
The present national crisis is testing the role and responsibilities of the state, business and citizens on the issue of corruption. We cannot be passive witnesses to history in our country; we must be the authors of our history. We can do this; and we must do it for ourselves and our country.
DEPOLITICISE INSTITUTIONS
Dr. Harshana Suriyapperuma
Director and Chief Operating Officer
Almas Group
Q: How can Sri Lanka improve transparency and accountability in state institutions?
A: Our state institutions have been politicised and abused by politicians in power and their appointees for many decades. As heads of these institutions are appointed by elected representatives, it’s important that people without a history of engaging in or supporting corruption are elected as parliamentarians.
Thereafter, introducing processes across the board with digitised monitoring mechanisms is key. The country needs to invest in process digitalisation to reduce manual interventions, increase efficiency and minimise chances for corruption.
Procurement needs to be conducted through e-procurement platforms, providing opportunities for qualified businesses to compete – a key indicator of an economic democracy. With this, we can move towards a culture of transparency when spending taxpayers’ money.
Financial discipline and accountability will improve by providing visibility into state institutions’ financial conduct through a publicly accessible digital platform while connecting scattered state services through a centralised system.
It’s unfortunate that in the prevailing culture, details of transactions such as negotiations for free trade agreements or debt restructuring with creditors – for which citizens foot the bill – are not shared with the public in a timely manner.
The people need to pass a mandate for a group of uncorrupted politicians to do away with the current opaque culture where politicians are above the law and can act with impunity.
Q: What mechanisms are necessary to hold public officials accountable?
A: Prevention is better than cure so implementing processes to expose significant financial and other misconduct can serve as a key deterrent.
Digitalisation should be utilised to monitor progress, and detect and report deviations. This can be strengthened by enforcing regulations against malpractice that are applicable to heads of state institutions and directors.
While illegal acts should be addressed through legal provisions, instances of failing to do the right thing or implementing policies in a timely manner should be brought to light to understand system inefficiencies and individuals with vested interests.
Recognising and empowering the many competent and uncorrupted officials will help ensure effective delivery.
There are many ways to strengthen the system such as enhancing the legal framework relating to the auditor general’s role to enable his or her office to report the misappropriation of public funds directly to enforcement agencies.
If malpractice is detected, political leaders must demonstrate the will to enforce the law in a timely manner. Sri Lanka has a strong legal framework but it’s poorly implemented, providing public officials with an incentive to engage in corruption.
Justice delayed can also be seen as justice denied to people.
EMBRACE PLURALISTIC VALUES
Dr. Joe William
Chairman – National Peace Council of Sri Lanka
Q: What are the most critical governance issues facing our country at this time?
A: Sri Lanka is divided in many ways along ethnic and religious lines. These divisions have manifested in violent conflict, sometimes continuous and sporadic at other times.
Underlying the physical violence are long held prejudices, suspicions and fears. Even where there is no actual conflict, there’s tension simmering beneath the surface, which can easily be harnessed to unleash violence.
Much of the prejudice, attendant hate and suspicion is either sowed or fuelled by politics. Since independence, the principal political platform has been and continues to be one framed in ‘ethnic nationalism.’
Coexistence in Sri Lanka is on the basis of tolerance, not engaged understanding and active nurturing of inter-community relations. While communities live side by side, they don’t necessarily engage with each other meaningfully.
Rights are understood not in absolute and fundamental terms but in relative terms. There are established hierarchies on the basis of race and/or religion and the function of rule of law is impaired to that extent.
What’s needed is a unifying political value system on the lines of pluralism that accommodates the country’s multiethnic and multi-religious reality. There is a need to refine democracy within the framework of pluralism, and create an enabling environment to uphold fundamental freedoms of thought, conscience and religion in absolute terms.
This bodes well with the call for a renewed focus on a Sri Lankan identity based on the rule of law and a unified legal system, which cannot be based on ethnic or particularistic religious values – but rather, on universal standards of human rights.
Although the conflict has ceased, the divisions that existed in the past are very much alive. Violence, suspicion and segregation remain embedded in social and political life. As such, peace building and reconciliation are critical needs in this postwar era.
One of the challenges to national integration and reconciliation will be for the people to gain a better understanding of these tenets from other ethnic communities. The work of civic groups is important to bind the wounds that political counterparts create in their bid for power.
Therefore, there is a need to embrace pluralistic values – within a framework of enshrined laws and values. It must be remembered that pluralistic values were displayed during the aragalaya in 2022.
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