Increasing the capital requirement of
Banks
IT has become so evident that most of the people in Sri Lanka detest
accepting changes in their job, politics, or any other innovative
environment etc. As such there were as usual certain criticism when
Central Bank of Sri Lanka announced the increase of the capital
requirement of the banks.
If you look at it in a prudent way it has to be much appreciated
that, it is certainly going to strengthen the banking sector in Sri
Lanka, mostly advantageous in the international trade which is now most
needed.
The increase in the capital requirement from Rs. 500 million to Rs.
2,500 million may be a considerable shake for the small scale banks, but
if you look at it in a different view, ie. with the stabilising the US
Dollar now at around Rs. 100 per dollar the prevailing capital
requirement is only US $ 5 million which gives a very poor reflection in
the banking environment in the international trade.
When the capital requirement is enhanced to the proposed need,
automatically the strength and the recognition of the banks will also
increase. In addition bank charges such as confirmation charges etc. on
LCs on imports will also be reduced, and importers even can negotiate
for unconfirmed LCs, when the risk factor of the banks get reduced.
It is indeed laudable that some banks are already even over the
required limit and they are already in the competitive strategies with
international trade.
We being Sri Lankians should hope that at least a few banks in our
country strive and reach the level to be within the best 100 banks in
the world, which would yield advantageous to the country.
Today naturally most of the depositors resort to higher interest
rates with the very high inflation rate prevailing now, with the new
banks who offer innovative facilities, but with high risk. The new
proposal will safeguard the depositors to a more healthy situation.
MANGALIKA WIJETUNGE - Mattegoda.
THE country must gratefully appreciate the manner in which the
President responded to the call made by the Maha Sangha to reconsider
the controversial JM issue, and her assurance to the Prelates that she
will not take a final decision without a formal consultation with the
Maha Sangha.
By responding to the crisis in this manner she has not only clearly
displayed her commitment to basic principles of Democracy, but also
shown her stature in statesmanship, rarely found in most of our
political leaders.
This episode bring to my mind the comparable situation that prevailed
immediately after the signing the CFA by the then Prime Minister, who is
presently the Leader of the Opposition.
As reminded in one of the recent newspaper Editorial Columns, the CFA
was a document prepared by Norwegian facilitators in consultation with
the Tiger Terrorists and the PM. I do not recollect whether there were
any consultations with any responsible group, in the preparation of the
CFA lease alone the Maha Sangha.
But what I clearly remember is the Joint Protest Memorandum signed by
the Mahanayake Theras', that included the Late Ven. Madhihe Pannaseeha
Mahanayake Thera regarding the CFA.
Although copies of this memorandum were freely distributed, it never
reached its destination (the print media). The widely whispered
information about its fate was that instructions had come from the top
to desist its publication in the newspapers. This was a clear
possibility at that stage, because the then regime had a stake in the
entire media.
Let us not forget this episode in the current situation when a set of
hypocrites were going around the country staging dramas to ridicule the
incumbent Head of State camouflaging their own past deeds.
Dr. ASOKA WICKREMASINHGHE - Dehiwala.
Courage of a stateswoman
I fully agree with your editorial. We had two statesmen of the past
Sir Wilmot Perera, and Edmund Samarakoddy (who mentioned in Parliament
in June 1960, to Sirimavo, "You are doing an injustice and humiliation
to a minority with a proud history of their own and if the Jaffna man
does not retaliate he is not worthy of the salt he owns".
This was after the assault by the Army and Police on the peaceful
Satyagraha in Jaffna. I happened to be in University at that time and
mentioned to my Sinhalese friends if we (Tamils) were in the majority I
don't think any of us would have made this statement. A lot of people
blame S. W. R. D. Bandaranaike.
He too would have been worshipped as a statesman if he had the same
courage as his daughter to implement the BC Pact, which even India was
not in favour as the Indian states would have clamoured for the same
model of Govt. Further Singapore (Lee Kwan Yew) knew the only threat to
his development was Ceylon at that time.
Another one who qualifies for statesmanship at present is Dr.
Wickramabahu Karunaratne, who voted against the condolence for JR
introduced by Mayor Ganeshalingam, stating that JR was responsible for
burning the Jaffna Library and therefore he voted against it, in fact
the solitary vote.
Hope a new era would dawn and most if not all of us who are living in
step motherly countries would return to their loving mother country and
redeem the lost paradise. I congratulate you on the editorial.
KANDIAH SUNTHARAMOORTHY - Australia.
Fabrication of documents for school
admission can be easily stopped
WHO says that school principals should not be held accountable for
not being able to verify the accuracy of documents submitted for Grade 1
admissions.
Furthermore, why does the President waste the time of PSD officials
to verify the authenticity of these documents? All this is a very simple
process. But the processing of admissions has to be advanced by a couple
of months. Read the following letter, which appeared in two daily
publications and a Sunday paper two years ago:
"The submission of falsified documents for school admission continued
purely because there is no genuine desire on the authorities concerned
to put a stop to this. All what is required is to publish the details of
the selected students in a booklet and make it available to the public.
The parents of the rejected children will do the needful. In the
event, a parent is able to prove that another parent has submitted
falsified comments then the former should be eligible to have his child
admitted.
The qualifying criteria for admission should be dispensed with, as
long the documents submitted by these parents are authentic.
Under this scheme a parent from Mahiyangana submitting an application
to Royal College Colombo supported by genuine documents can have his
child admitted by exposing another parent who has submitted falsified
documents. Call it admission under 'Rewarding Honesty Scheme'.
This entitlement should be valid throughout the period during which a
child with falsified comments is schooling. It might take a year or two
for someone to prove falsification of documents.
Every Grade 1 application form, at leat to government schools should
carry a declaration 'in the event my child is selected and subsequently
proved that any of the documents submitted herewith are falsified I am
aware that my child can be sacked from school at anytime and furthermore
my child will be disqualified from admission to a university'.
Inclusion of this clause in itself will be a deterrent for submission
of falsified documents. The university clause may take a couple of
decades to be approved but the rest could probably be implemented by the
school administration with the approval of the Ministry of Education.
There will be a cost involved in printing a booklet containing
information on the annual intake of Grade 1 students, for which the
parents can be asked to contribute in common when submitting
applications.
A nominal fee can be charged for issuing photocopies of documents
requested by another parent for verification of validity. Within 5 years
of implementation of the above, falsification of documents for school
admission will be a thing of the past. We Sri Lankans are very good at
whistle blowing.
Living at Hendala I often wonder how my neighbour got his child
admitted to Royal College. Of course he is stinking rich. Anyway I am
not complaining, as my daughters are not eligible for admission to
Royal. All in all the fact of the matter is no school administration
wants to put a complete stop to this crime.
C. B. GALLAGE - Hendala.
THE Mayor of Colombo came in with promise to make the city a pleasant
place to live and work. Unfortunately what has taken place during his
tenure in the office? He and his Deputy are at loggerheads; His
commissioner is under investigation; He is the Admiral whose ships are
going in different directions and sinking.
To show he is doing something he got the dogs to his residence. The
city has gone to the dogs. What about the rights of the rate-payers? The
city is a stinking mess. The Mayor should walk around.
The officials and the managers of the private sector firms are all
playing the same game helping each other.
I understand that some of the CMC officials are multi-millionaires.
The hoardings that come up are not without the blessings of the
officials.
Otherwise why isn't there a programme to get rid of them as soon as
they are put up?
Our windows are covered by these hoardings reducing sunlight and
ventilation. The sewer lines are overflowing. Playgrounds are neglected.
Where are the health officials and the planning officers who are said to
be highly qualified?
It is time a decision is taken by the authorities once and for all to
rectify this situation and I hope we will have a Mayor who not only
promises but also delivers!
R. SENEWIRATNE - Colombo 5. |