Wednesday Sep 03, 2025
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The ‘RW incident’ highlights the urgent and critical need for Sri Lanka’s leaders to align their actions with the economic reality of the country and the lived experience of its citizens
The hullabaloo over whether Ranil Wickremesinghe (RW) misused public funds when he extended his official trip to Cuba and the United States of America to attend a convocation ceremony at the University of Wolverhampton where his wife received an honorary degree has consumed significant amounts of media space and has attracted various comments, observations and views in support of, and against, RW. What is obvious from the comments and the views expressed is that, just like beauty is in the eyes of the beholder, our view of right and wrong is based more on our like or dislike of the individual under scrutiny than an objective interpretation of the facts and the principles.
The blurred lines between what is public and private in presidential duties, combined with my limited understanding of the practices and rules/regulations covering the same, prevent me from giving a definitive view. However, what I can state with certainty is that the burden of transparency, disclosure of conflicts of interest, ethical conduct, accountability, and so on increases disproportionately as one climbs the ladder of leadership. Sadly, leaders who subscribe to this proactively, deliberately, and voluntarily are dwindling with each day.
In a world where technology has enabled the wider and faster dissemination of information, the credibility and trustworthiness of individuals and institutions are open to scrutiny 24 hours a day. Whether it be in the halls of government, the boardrooms of corporations, or the intimate spaces of professional practice, a heightened standard of ethical behaviour rooted in transparency is no longer a ‘nice to have’ but a fundamental prerequisite for legitimacy and public confidence. It is a moral and strategic necessity that builds resilience, fosters a culture of integrity, and ensures that decisions made and/or actions taken are not made for private benefit but for the greater good of all. This standard extends beyond simple adherence to rules. It demands a proactive commitment to transparency, accountability, disclosure, and morality as the primary bulwark against abuse of privileges, corruption, favouritism, and systemic decay.
Selective respect for rule of law
Although Sri Lanka’s corporate leaders have made a concerted effort to follow codes of best practices of corporate and individual governance, the same cannot be said of our national leaders. Our national leaders have shown selective respect for the rule of law, been slow in practising transparency, often ignored the need for accountability, and, at times, made decisions that, though conforming with the law, lacked empathy, sensitivity, and morality.
The RW incident may well be a storm in a teacup. Perhaps, it is the storm that precedes the hurricane! The way it has been handled may be considered proportionate or disproportionate depending on “whose side you are on.” However, what cannot be disputed is that Sri Lanka’s national leaders have, over the years, spent public funds without any qualms or sensitivity. They have been deaf to the pleas and blind to the hardships and sufferings of the masses. While most of them lived extravagantly, some continue to live extravagantly, all at State expense. Is this fair? Does it not irk the citizens? It is this dynamic that has been a major source of public outrage and a key factor in the country’s political instability. On the contrary, the corporate leaders I worked with and were associated with in my career were very mindful of the need to maintain a justifiable, sane, market-driven, remuneration and perquisites balance between top management and other staff. It was always a principle of “we enjoy together” or “we suffer together.
Peter Drucker argued for a maximum CEO-to-worker pay ratio of about 20-to-1 or 25-to-1, believing that wider gaps fostered resentment, falling morale, and damaged the overall effectiveness and teamwork of an organisation. This is lost in our national leaders.
Simon Sinek’s leadership philosophy, as presented in “Leaders Eat Last,” is powerfully illustrated by the US Marine Corps tradition of prioritising the well-being of junior members. In this deeply ingrained custom, officers and non-commissioned officers consistently wait to eat until all enlisted Marines have been fed. This act is not merely about manners; it is a profound, daily demonstration of a leader’s responsibility and willingness to sacrifice for his/her team. Our national leaders fall short of this ideal.
The perception, (and perception is often the reality), of the lavish life of political leaders while the common people suffer is a long-standing irritancy for the citizens of Sri Lanka. It is not just about a few isolated cases; rather, it is a systemic problem that has worsened over decades. Examples of instances that have come under public scrutiny are, > Abuse of Public Funds. There have been numerous allegations and, in some cases, convictions of leaders and their associates for misusing state funds. This includes using public money for private purposes, extravagant projects with inflated costs, and other non-essential spending, > Patronage and Nepotism. The political system has been criticised for being built on a foundation of patronage, where loyalists and family members are rewarded with positions and financial benefits, often at the expense of meritocracy and public interest. This has led to the concentration of wealth and power within a few families and political circles, and > Accumulation of Wealth. Many politicians have been accused of acquiring vast, unaccounted-for wealth, often funnelled into foreign bank accounts. These stick out as sore thumbs in an environment where the average citizen struggles with low wages and the high cost of living.
Series of severe economic challenges
Meanwhile, the average Sri Lankan has been grappling with a series of severe economic challenges, such as, > Economic Crises. Over the past 50 years, Sri Lanka has faced several economic downturns, culminating in the major crisis of the early 2020s. This crisis led to shortages of essential goods like fuel and medicine, hyperinflation, and daily power cuts, bringing immense hardship to millions of ordinary citizens, > High Cost of Living. Persistent inflation has made necessities unaffordable for a substantial portion of the population. Many households have had to cut back on essential expenses, including food, education, health, and clothing. Although inflation is currently under control, the gap between disposable incomes and cost of living is still wide and unbridgeable for most, > Debt and Austerity. The country’s high foreign debt, often attributed to government mismanagement, corruption and ‘white elephant’ capital expenditure driven by aggrandisement has forced Sri Lanka to seek bailouts from international organisations like the International Monetary Fund (IMF), multilaterals, and friendly countries. The conditions of these bailouts often include austerity measures, such as higher taxes and utility bills, which disproportionately affect the poor and middle class. But our politicians continued to enjoy themselves even while the country struggled!
The flagrant misuse of public funds and the lavish living of national leaders at the country’s expense has eroded public trust in the Government. The public-state relationship is based on a contract where the citizens pay taxes and, in return, receive benefits and services. When leaders are benefiting disproportionately from this contract, it undermines the very foundation of this relationship and fuels public anger. It is the stark contrast between the perceived opulence of the ruling elite and the daily struggles of the common people which fuelled public anger and led to mass protests and political upheaval, most notably the “Aragalaya” (struggle) movement of 2022. It is this imbalance which led to citizens seeking a system change by voting overwhelmingly for the National Peoples Power (NPP) at the general elections in November 2024.
Live within the means of the country
The public’s demand for national leaders to “live within the means of the country” is not just a call for financial prudence but also for accountability and good governance. It reflects the hunger of citizens for leadership that is empathetic to the struggles of the common person and committed to transparent and responsible use of public funds.
The ‘RW incident’ highlights the urgent and critical need for Sri Lanka’s leaders to align their actions with the economic reality of the country and the lived experience of its citizens. This would require, amongst others, > Empathy and public service, where leaders display a sincere and genuine shift in mindset by moving away from a sense of entitlement to one of public service and shared sacrifice, > Fiscal prudence, being a sustained commitment to fiscal consolidation, including the tight management of public expenditure and a focus on revenue generation, and > Transparency and accountability where leaders and government exhibit greater transparency in spending and commit to a robust system of accountability in ensuring that public funds are used for the benefit of all citizens, not just a select few.
The crying need is for a new social contract in Sri Lanka, where national leaders, just like the corporate leaders, lead by example, and the burden of economic recovery is shared equitably, fostering a sense of collective purpose and restoring faith in the country’s institutions.
The public’s loss of confidence in the use of public funds by national leaders is a critical issue that is currently plaguing Sri Lanka and many other nations. Misuse is more the norm than the exception. Allegations of corruption, waste, and private benefit in Government activities are eroding trust, undermining democratic institutions, and hindering national development. To win back and maintain public confidence, the current NPP Government and all future administrations must undertake a comprehensive and sustained effort based on the pillars of transparency, accountability, and systemic reform.
Undiluted transparency
Firstly, the public must insist on undiluted transparency. This must be non-negotiable. Use the ballot to elect leaders and use the same means to de-elect them. Leaders and governments must be compelled to move beyond mere promises and implement a robust framework that makes all public financial transactions easily accessible and understandable to the average citizen. This must include, > Proactive Disclosure; - All Government spending above specified limits, from ministerial travel allowances to large-scale infrastructure project contracts, must be published in real-time or near real-time. This data must be available on a public, user-friendly digital platform, with clear breakdowns by ministry, project, and purpose. The public should be able to see exactly where their tax money is going, without having to file a Right to Information (RTI) request, > Open Budgeting: - The national budget must be a truly open document, with opportunities for public input and scrutiny of an advanced version. There must be adequate time for feedback. It must not be a ‘box-ticking’ exercise to indicate conformance with a procedure, > Asset Declarations; - A mandatory, verifiable, and publicly accessible system for asset declarations of all national leaders and senior public officials must be established. This is a fundamental step to identify and monitor any unexplained wealth that could be linked to the misuse of public funds. The system must be backed by an independent body with the power to investigate and prosecute discrepancies.
Secondly, a robust system of accountability and oversight must be established and enforced without fear or favour. The current system is often perceived as weak and susceptible to political influence. To correct this, the government must, > Empower Independent Institutions: The independence of the judiciary, the Auditor General’s Department, and anti-corruption bodies must be constitutionally guaranteed and financially secured. These institutions must have the full authority to investigate, audit, and sanction individuals and entities involved in the misuse of public funds, regardless of their political affiliation. This must include a robust and independent national integrity commission, > Strengthen Parliamentary Oversight: The role of the legislature in scrutinising government spending must be enhanced. Parliamentary committees, particularly the Committee on Public Accounts (COPA) and the Committee on Public Enterprises (COPE), must be given more teeth. Their findings and recommendations must lead to concrete action, not just reports that gather dust. This requires a shift from a culture of political protection to one of collective responsibility, > Whistleblower Protection: A comprehensive and enforceable legal framework to protect whistleblowers who expose corruption and waste is essential. People with inside knowledge of malpractice must feel safe to come forward without fear of reprisal. This will function as a powerful deterrent and a vital source of information for oversight bodies.
Thirdly, the Government must implement systemic reforms to address the root causes of corruption and the misuse of public funds. This goes beyond punitive measures and focuses on creating a governance structure that is inherently resistant to malfeasance. Key reforms include, > Public Financial Management (PFM) reform: This involves modernising and standardising the entire public finance ecosystem, from budget formulation and procurement to reporting and auditing. Digitalising processes can reduce opportunities for human error and corruption, while also providing real-time data for monitoring. For instance, moving to e-procurement systems can make the bidding process for government contracts more transparent and competitive, > Civil Service reform: The public service must be professionalised and depoliticised. Appointments to key positions, including heads of state-owned enterprises (SOEs), must be based on merit and qualifications, not political patronage. This is crucial for improving efficiency and ensuring that public resources are managed by competent individuals who are accountable to the public, not just their political masters. The government’s commitment to reforming SOEs, as a means to improve financial viability and transparency, is a step in the right direction, > Ethical Standards and Codes of Conduct: A clear and enforceable code of conduct for all national leaders and public officials must be established, with clear penalties for violations. This code should explicitly address conflicts of interest and the use of public resources for private or political gain.
Prioritise autonomy of four pillars of democracy
The ‘RW Incident’ must not hamper the efforts of the NPP Government to eradicate corruption. It must continue taking decisive steps in this regard. While the rule of law must be applied equally to all citizens, it must avoid perceptions of political vendetta. This can be achieved by prioritising the autonomy of the four pillars of democracy: the Legislature, Executive, Judiciary, and Media. By allowing these institutions to operate freely, without political interference or the perception of it, the government can demonstrate its commitment to the rule of law and the public interest. This independence is essential for effective checks and balances and demonstrating that power is not concentrated and that all actions are subject to scrutiny. When these pillars are robust and unburdened by political agendas, they serve as the foundation of a healthy, democratic society, fostering public trust and reinforcing the government’s good intentions and genuine efforts towards transparent governance.
In conclusion, winning public confidence is not about a single policy or a one-time crackdown. It requires a fundamental shift in political culture and a sustained, and obsessive, commitment to transparency and accountability. The current NPP Government and all future governments must embrace undiluted transparency, empower independent oversight institutions, and undertake deep-seated systemic reforms. By doing so, they can move from a public perception of private benefit to a reality where public funds are demonstrably used for the public good, restoring the trust that is essential for a thriving democracy and a prosperous nation.
(The writer is currently, a Leadership Coach, Mentor and Consultant and boasts over 50+ years of experience in very senior positions in the corporate world – local and overseas. www.ronniepeiris.com.)