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The whole process and final agreements with regard to the the largest single grant ever received by Sri Lanka that was awarded by the Millennium Challenge Corporation (MCC) were done under the guidance of the Attorney General and was well within the legal framework, a statement from the Ministry of Finance said.

"The Attorney General is in the opinion that Agreements are in order and there exists no legal impediment to execute the same. A Cabinet Memorandum along with the final drafts of the Agreements was submitted on 31.05.2019 to the Cabinet of Ministers. The Cabinet appointed a committee for further discussions of the matters in detail. Subsequently, the Ministry of Finance submitted the Cabinet Memorandum dated 05.07.2019 seeking the approval of the Cabinet of Ministers for signing the Compact Agreement and the Programme Implementation Agreement. The Cabinet of Ministers has granted its approval for signing above Agreements on 29.10.2019.," the statement said.

The Millennium Challenge Corporation (MCC) is a bilateral United States Foreign Aid Agency established by the United States Congress in 2004, applying a new philosophy towards foreign aid. It provides time limited grants and assistance to developing countries that meet rigorous standard for good governance, from fighting corruption to respecting democratic rights.

On the request of the Government of Sri Lanka (GoSL), the MCC undertook a “constraints to economic growth analysis” in year 2016. MCC and the GOSL subsequently decided to focus on the land and transport sectors, which were identified as binding constraints to growth. The constraints analysis concluded that traffic congestion in the Colombo Metropolitan Region, poor transport connectivity between Provinces, and weakness in land administration constrain economic growth. Accordingly, the MCC agreed to grant USD 480 million for financing the above projects.

Final negotiations on the Compact were conducted in October 2018 between the MCC and a Cabinet approved GoSL delegation which consisted of officials from the relevant Ministries and Government Agencies for implementing the selected projects including a representative from the Attorney General’s Department.

Land Administration

The MCC Sri Lanka Compact has no bearing on land ownership, administration and management in the island.

The USD 67 million land administration project has an estimated economic rate of return of 30% and aims to expand and improve existing Government of Sri Lanka initiatives to increase the availability of spatial data and land rights information. The project will initially focus on districts in the Central, North-Western, North-Central and Eastern Provinces.The project will also help the Government identify under-utilized state land that can be put to more productive use and maximize rents from lands that the government leasesLand activities will help the Government create an inventory of state lands, modernize methods of valuing lands, strengthen tenure security for smallholders, women, and firms, and digitize deeds records so that they are less vulnerable to damage, theft, and loss.

The US Government will not buy, sell, or own any actual land - or take control of any actual land - under this agreement, the US Embassy said in a statement recently.

Transportation

The Transport Project is budgeted at $350 million and aims to improve urban and rural mobility in the Western, Central, Sabaragamuwa, and Uva Provinces in two ways. First, it will ease traffic congestion and improve public transportation in the Colombo Metropolitan Region. Getting transport right is key to making Colombo a more livable, well-functioning city.

Second, the Transport Project will improve connectivity between the central part of the country and ports and markets in the Western Province. The Transport Project will upgrade transport infrastructure and systems and has three activities.

USD 160 million has been allocated for an Advanced Traffic Management System (ATMS) for the Colombo Metropolitan Region. ATMS combines physical improvements and civil works with technology enhancements to optimize the efficiency of the existing road networks along eight heavily traveled corridors that link central Colombo with its suburbs.

The activity will also introduce modern technologies for vehicle detection, real-time data collection and analysis of traffic flows; an interconnected traffic signal system; and dedicated bus priority systems throughout the network.

The USD 50 million bus service modernization activity would improve bus services in greater Colombo. Bus service accounts for 45 percent of all passenger miles traveled in greater Colombo and disproportionately serves low-income individuals. The activity will introduce automated fare collection systems based on smart cards; create single schedules for multiple bus operators running on a given route; introduce GPS bus tracking to enable transit operators to know buses’ locations and determine if they are operating according to schedule; and improve safety and accessibility for women, the elderly, disabled and other vulnerable groups.

The USD 140 million rural transport activity would upgrade approximately 131 kilometers of interprovincial roads in the Central Ring Road Network connecting the Central, Sabaragamuwa, and Uva Provinces with ports and markets in the Western Province. MCC will rehabilitate various segments of the network.

Passengers and goods from the Eastern Province also travel through this network. Improvements to this network would net several benefits as the central region is a center of the agriculture and tourism industries, is one of the most ethnically diverse, and has large concentrations of poor.

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The United National Party (UNP) has decided to expel State Minister Wasantha Senanayake from the party, UNP General Secretary, MInister Akila Viraj Kariyawasam has said.

Kariyawasam has told the media that action will be taken to remove his State Ministerial portfolio shortly.

State Minister Senanayake had earlier announced that he will not support the party’s presidential candidate, Sajith Premadasa.

During last year’s 52 day illegal coup, Senanayake crossed over between the UNP and the United People’s Freedom Alliance (UPFA) on several occasions.

New Democratic Front (NDF) presidential candidate Sajith Premadasa was prevented from participating in a rally in Kurunegala yesterday (30) after his helicopter was unable to land in Kurunegala due to alleged sabotage.

Premadasa was to address a rally in Kurunegala yesterday.

Deputy Minister Ajith P. Perera has told the media that the electricity was cut off in the area just before the helicopter could land.

Perera has noted that the Kurunegala Municipality had cut off the electricity at the spot the helicopter was to land placing Premadasa’s life in danger.

The Kurunegala Municipal Council is controlled by the Rajapaksa led Sri Lanka Podujana Peramuna (SLPP).

According to Perera, the helicopter was eventually diverted forcing Premadasa to skip the Kurunegala rally.

At the rally, State Minister Ashoka Abeysinghe had said that Premadasa was unable to attend as his helicopter faced difficulties when landing as a result of a sudden power cut and has added that the area had also experienced a water cut.

Meanwhile, an election office of the NDF in Eheliyagoda was also burned down in the early hours of yesterday.

The Elections Commission has taken the necessary steps toincrease the time allocated for voting at the presidential election on November16th after political parties agreed to the proposal presented by theCommission to extend the voting time period by one hour.

The proposalwas agreed upon during a meeting held at the Election Commission between theCommission members and political party representatives yesterday (29).
Accordingly,a gazette notification was issued extending the presidential polls voting hoursfrom 7 a.m. to 5 p.m.

The Attorney General’s (AG) Department has concluded action in 13,283 criminal cases within the first 10 months of this year.

The Department has further said it has forwarded 8,319 indictments to the High Courts during the same period. This was revealed by the Attorney General’s Coordinating Officer, State Counsel Nishara Jayaratne.

On a proposal made by the Minister of Finance Mangala Samaraweera, the Cabinet of Ministers today (29) approved the implementation of the Millenium Challenge Corporation's (MCC) US$ 480 Million grant.

According to Samaraweera, the funding is granted for three main projects to be completed within a period of five years.

“A special transport development program covering the Colombo metropolitan area to reduce the traffic congestion by reduced travel time, traffic emissions, and accidents combined with the bus transportation service modernisation programme including private and public sector transportation service,” he said.
Samaraweera also said under transport development, a 131 kilometre road network on Central wing road connecting Sabaragamuwa, East, North Central, Central and Wayaba provinces to Colombo markets and export hub will be developed.  

Further, he said improvement on land administration process also will be done in eight districts.

“This will include the land valuation system, upgrading 10 land registries and preparations of parcel fabric map of all State and private land to facilitate the activities of Survey Department,” he noted.

These compact programmes to be funded by this project have been developed by the Sri Lankan officials of the relevant line ministries and departments based on the needs of the country. The Sri Lankan government has the option of amending the identified projects even after the signing of the agreement, spokesperson of the Ministry of Finance said.     

Sri Lanka is the 37th recipient of such grant funds from the people of the United States of America. The Minister of Finance will sign the agreement in the near future as it was confirmed by the Cabinet today and the  implementation will begin in early 2020, the spokesperson added.

This is a great victory for the government and augurs well for the future. Sri Lanka began negotiations with the MCC in 2001 at the direction of Ranil Wickremesinghe, the then Prime Minister. MCC negotiations were led by the Ministry of Finance and the MCC compact was developed and finalized by the Compact Development Team of the Prime Minister’s Office.

The Elections Commission said nearly 659,030 were eligible to cast their postal votes from today (31) till November 5 with November 7 as an additional day for postal voting.

Elections Commission Director Channa P. De Silva has told the media that the Elections Commission had initially set aside October 31 and November 1 for public servants and November 4 and 5 for police and armed forces personnel and public servants deployed on election duty.

Postal voting will be held at government offices, divisional and district secretariats with an executive officer of the respective public institution serving as the presiding officer at each of the voting centres.

The Presidential Commission of Inquiry (PCoI) probing corruption and irregularities in the government since 2015 has completed 30 cases along with its proceedings.

The Commission had received a total of 1,346 complaints and the police unit attached to the Commission had completed the initial inquiry into 166 of them.

President Maithripala Sirisena appointed the PCoI to investigate into the allegations of corruption and mismanagement taken place in state institutions from January 15, 2015, to December 31, 2018.

The Commission handed over its first volume of the report to the President on September 27th.

Retired Supreme Court Justice Upali Abeyrathne chaired the Commission while former High Court Judge Kusala Sarojini Weerawardena, former Auditor General Pasdunkorale Arachchige Premathilake, former Ministry Secretary Lalith R. de Silva and former Deputy Inspector General of Police M.K.D. Vijaya Amarasinghe were appointed as members.

The commission had recorded evidence on matters related to storing paddy at Mattala International Airport, misuse of government funds on renting out the DPJ building to the Agriculture Ministry, malpractices during the distribution of textbooks, tabs and school uniform vouchers for students and financial fraud related to Mahapola and Suraksha insurance policies.   

President Maithripala Sirisena has reportedly informedthe Cabinet of Ministers yesterday (29) that he would not accept the reportcompiled by the Parliamentary Select Committee (PSC) that probed the EasterSunday attacks.

The PSC presented its report to parliament last Wednesday(23) and Committee In its findings had blamed the incident mainly on the lapseson the part of the State Intelligence Service (SIS) and government leaders forfailing to take action to prevent the attack that killed more than 250 people.

The PSC report was presented to the Cabinet chaired byPresident Sirisena yesterday.

Accordingto sources, the President has said he would not accept the report and asked theCabinet not to record it as approved by the Cabinet. The President has insteadasked the government to look into areas where security lapses had beenhighlighted by the Committee.    

A six-member high-level delegation of the Nigerian Army, anxious to learn more about comprehensive training modules of the Special Forces (SF) of the Sri Lanka Army is currently in Sri Lanka on a five-day long visit.

The delegation, led by Major General G Oyefesobi, Director Administration, Nigerian Army includes Brigadier General G.K Nwosu, Brigadier General C.A.A Apere, Colonel T.P Opurum, Lieutenant Colonel S.S Muhammed and Commodore E.O Ferreira, Defence Adviser to the Nigerian High Commission.

Prior to their visit to the Special Forces Training School (SFTS) at Maduru Oya, the delegation on Monday (28) morning called on the Commander of the Army, Lieutenant General Shavendra Silva at the Army Headquarters and shared views on their objectives and motives behind planning an expedition to Sri Lanka particularly, impressed with the skills of Special Forces.

The delegation during the cordial meet with the Commander of the Army expressed their happiness over SF skills, jungle warfare expertise, their exceptional achievements and contribution to the fight against LTTE terrorism several years ago in a convincing manner.

Lieutenant General Silva explained them the Sri Lanka Army’s possibilities for further enhancement of training openings for Nigerian Army personnel, so that Nigerian soldiers could also share experiences with their Sri Lankan counterparts who had gained recognition after humanitarian operations, in which SF soldiers too fought against the world’s most ruthless terrorists.

The visiting Nigerian delegation, curious to know more about the exceptional jungle warfare techniques and skills of the SF further told the Commander of the Army that they are seriously considering to send more troops to Sri Lanka for SF training in future. It was also noted that two more Nigerian Officers are already under training in Sri Lanka following, the Junior Command Course and the SF training in Maduru Oya.

Towards the culmination of the brief meet, both Lieutenant General Silva and Major General G Oyefesobi exchanged mementos of goodwill and understanding. Major General T.S Bansajaya, Director General Training was also associated with day’s interactive meeting.

During their stay in Sri Lanka, the delegation at Maduru Oya SFTS will watch mock urban terrain operations, combat rider firing skills, close quarter combat training sessions, drill and combat shooting demonstrations, ongoing squadron training modules, camouflage and concealment demonstrations, and presentations, submitted by the Officers at the SFTS before they move out for sight-seeing.

The SFTS in coordination with the Army Training School at Maduru Oya has facilitated their stay in Maduru Oya.

The United States appreciated Sri Lanka’sdecision to approve the much delayed Millennium Challenge Corporation (MCC)grant of USD 480 million.

The US Embassy in Colombo announced that underthe agreement, Sri Lanka will retain oversight and control of all aspects of theproposed projects.

The Embassy said the grant includes investmentsto reduce traffic congestion in Colombo, modernize the bus service, and upgrade inter-provincial roads in the center of the country.

It also includes support for the government'sinitiatives to improve land administration.The Cabinet of Ministers yesterday approved the MCC grant of US$ 480 million, the largest grant ever received.

Earlier, President Maithripala Sirisena had blockedthe MCC grant passage in cabinet saying that he will not approve the deal assome of the main opposition had raised concerns over the agreement.

Related News:

Cabinet approves US$ 480 million MCC grant

New Democratic Front (NDF) Presidential candidate Sajith Premadasa will not be holding special talks with the Tamil National Alliance (TNA) based on the 13-point demands of a group of five Tamil political parties since he has a clear policy.

These observations were made by attorney-at-law Shiral Lakthilaka, who is a member of Premadasa’s campaign team.

Lakthilaka has noted that Premadasa has clearly stated that he supports devolution of powers within a united Sri Lanka.

“There is nothing to discuss beyond that,” he has said.

A group of Tamil political parties recently signed a memorandum highlighting 13 key demands of the Tamils.

Illangai Thamil Arasu Katchi (ITAK), People’s Liberation Organisation of Tamil Eelam (PLOTE), Eelam People’s Revolutionary Liberation Front (EPRLF), Tamil People’s Council (TPC) and Tamil Eelam Liberation Organization (TELO) signed the memorandum.