e-Con e-News

The US Demands Military Bases in Sri Lanka


US demand for military bases spurs ongoing destabilization

blog: eesrilanka.wordpress.com

Before you study the economics, study the economists!

e-Con e-News  03-09 April 2022

The Rains are Here! The Rains are Here! A Happy New Year!

Importers are Protesting! The US & EU & England & India are Protesting! Colombo 7 is Protesting! The People too are Protesting! Who shall Prevail? This ee unearths the origins and role, of the US government’s International Monetary Fund (IMF), in world wars, their deepening of debt bondage. Their culture of conspicuous consumption to frustrate industrialization and undermine Sri Lanka’s independence is key to understanding how we got here and where we go next (see ee Focus).

• The US demand for military bases in Sri Lanka is spurring their ongoing destabilization (political & economic) of the country and the region.

     US Assistant Secretary for South & Central Asian Affairs Donald ‘Banana2’ Lu (Kaplan), who accompanied US Political Undersecretary ‘Maidan Sniper’ Nuland to Sri Lanka on March 21, stands accused of staging the coup against Pakistan’s Prime Minister Imran Khan, forcing him out.

     The US blames Khan for his ‘stubborn refusal to set up US military bases in Pakistan’, for the US to wage war on the region, on China and Russia in particular. Nuland and Lu then went to India and Bangladesh, where they demanded both countries oppose Russia and China, before landing in Sri Lanka, immediately escalating anti-government protests.

     The US has kept demanding military bases in Sri Lanka, even prior to the English granting nominal independence in 1948, with their Queen still the head of state. The US increased pressure, especially after Prime Minister SWRD Bandaranaike kicked out English military bases in 1957. SWRD’s refusal to grant these bases to the USA factored into his assassination in 1959. The US then grabbed Diego Garcia (see: How Sri Lanka Became a US Colony in 1948, ee 25-31 October 2020; Sinophobia & US Demands for Military Bases in Sri Lanka, ee 23-29 May 2021).

     President JR Jayawardene’s plan to hand over the Trincomalee tank farm (oil bunkering) to the US, pointed to the US military grabbing at famed Gokanna port. This provided the India government with a pretext to fund, train and arm terrorism. The subsequent imposition of the deeply offensive Indo-Lanka Accord demanded India’s entry into Trincomalee. The accord was never fully implemented, with the LTTE refusing to hand over weapons. So now?

     ‘The coup attempt in Pakistan unfolded as per an Anglo-US script. PM Imran Khan claimed to have documentary evidence to show that the senior-most official in the US state department dealing with the region, Assistant Secretary of State for South & Central Asian Affairs Donald Lu, had sent to him a threatening message via the Pakistani ambassador in Washington that his time was up in Islamabad as PM… The letter from Washington dated one day before the motion, stated, ‘Pakistan would be forgiven if Imran Khan lost the No Confidence motion!’ Washington had foreknowledge of events in Islamabad.’ (ee Sovereignty, US Ousts)

     Assistant Secretary Banana2 Lu and top US State Department officials also met with the Global Tamil Forum (GTF, a group banned in Sri Lanka) a week ago, to discuss ‘democracy, human rights, and economic challenges in Sri Lanka’. At the same time, Indian External Affairs Minister Subrahmaniyam Jaishanker met the Tamil National Alliance (TNA) in Colombo. Jaishanker, using the current economic meltdown largely exacerbated by the US and India, has taken over key Sri Lankan real-estate: Sampur at the mouth of strategic Trincomalee, the lucrative Mannar basin (with oilfields), and Colombo Port’s West Terminal. The curfew and media shutdown was also demanded by India after they accused the JVP of ‘falsely’ divulging that 6,000 Indian troops had landed here (Random Notes).

From Nandikadal to Nandalal: The new Central Bank Governor Nandalal Weerasinghe worked for the IMF and ‘global investment firms’. Media quotes him as saying, ‘The Central Bank of Sri Lanka is accountable and responsible to the people not a political party’. The issue is, which people? Does he live in a village among the salt of this earth. Does he take the bus or train to work?

     The IMF no longer explicitly demands privatization of education and healthcare. Nowadays, they are all about removing energy subsidies. IMF policies are also highly destructive to industries. Without industrialization, the economy would be undermined, and all social services underfunded. The new governor has to tail behind the dictates of the whites. He has hiked interest rates, to starve industries starve of credit. Instead we have ‘fake’ industries, which import most of their inputs. They already have enough credit, and refuse to invest in modernizing their industries. After all, they are rentiers (making money out of imports, money & land) not entrepreneurs (a word frequently abused by the media). This ee Focus provides fascinating insights into Sri Lanka’s economy and current turmoil.

     US envoy Julie Banana1 Chung & her handlers Maidan Nuland, Banana2 Lu, etc., are all delighted of course at our renewed genuflection before their altar of import consumption. Talks with the IMF are ‘extremely urgent’, jointly insists the European Union, envoys of EU Member States (Germany, France, Italy, the Netherlands, Romania), Australia, New Zealand, Norway, Switzerland, and, last but not the least, England. Look at the them! as Malcolm X reminded, ‘When they hear the N-word, they all run in the same direction.’ In this case it’s the IMF-word… and see how they gush!

     And here’s why: ‘Capitalists import half a trillion rupees of their machinery every year. And Rs1.5 trillion of fuel, vehicles and garment inputs every year. Rs2 trillion in total. When the procurements were made in public sector institutions for machinery, EU standards were made a requirement… Although we have workers who could produce the same machinery, they cannot sell their products to public sector institutions because of these so-called EU standards. We import potatoes from Germany and the Netherlands. Apples and pears from France, grapes from Italy. In 2018 Sri Lanka imported $18.7billion, mostly inessential goods. Any attempt at government regulations on useless imports was criticized as North Korean or Chinese-inspired! Any attempt to discuss making machines here is never allowed in the media.’ (eesrilanka.wordpress.com/2020/12/05/a-war-economy-is-inevitable)

• The ‘popular’ cry, according to the capitalist media, is: ‘Go Home, Gota’ and ‘Go to the IMF’. How did the IMF get so beloved, and why go there again when we’ve been in the IMF embrace for all of our existence as a so-called independent country? The cry for the President to go home refers not to his abode in Mirihana, but to the US, where he retreated after the Indian assassination of 2 popular Brigadiers, and several top soldiers in 1992, on the verge of defeating a terrorist enemy.

     The IMF’s home also happens to be in the USA. The IMF was spawned by the US government and its Treasury. And so was Sri Lanka’s Central Bank, which has almost always opposed our independence, despite having the highest amount of PhDs per square foot in the country.

     See: Central Bank Special (ee 10 August 2019), A Spectre Haunts the Central Bank & the Home Market (ee 6 June 2020), Make the Central Bank Independent of Capitalism (ee 27 June 2020)

• It is the US Treasury who ‘lent’ us the first governor of the Central Bank, John Exter. Exter, member of the US Federal Reserve System’s Board of Governors, sent an ‘independent’ Sri Lanka reeling into an orgy of consumption: He blew all our sterling balances, (accumulated from their 2nd War on the World) and rubber profits (from their war on Korea), on untrammelled consumption imports. To play act, to mimic and live the life of the white man. Not the white man who genocided the now-settler-dominated countries of the USA, Canada, South Africa, Australia, New Zealand, Occupied Palestine, etc, and set up parallel industrial countries. Rather, the type who infested non-settler countries, who was here to make a quick buck and make a quick exit, leaving devastation in their trail.

     This high consumption culture was accelerated by Japan’s imminent invasion of Ceylon (ee Media, A Most Dangerous Moment), as well as to buy the support of the Sri Lankan people. The Red Armies of China’s Mao Zedong and USSR’s Joe Stalin were smashing imperialist, Nazi and fascist forces in Europe and Asia. The Quit India movement against the English was in full force. Free education, rice and cloth rations, alongside wage settlements, price controls and guaranteed prices for cultivators, import restrictions, etc. were granted and imposed by English colonialism, to save its white ass. (see, Those Dangerous Moments: How England Saved Itself in Ceylon, ee 29 June 2019)

     Indeed, as our guru SBD de Silva, to whom ee is dedicated, always asked, how long this orgy (of over-consumption) could last? He always stated, that at this rate, austerity and a war economy is inevitable. He pointed to England’s ‘Internal Purchase Scheme’ in Sri Lanka during their World War 2. The people of this country can only survive this by launching a renewed cultural and industrial revolution. We should also move the capital out of the clutches of the Colombots, to Anuradhapura!

For those who wish to know some of ee’s record on current issues:

The Missing Children of 1956 (ee 31 August 2019)

Who Rules? The State or the Import Merchants? (ee 28 March 2020)

Is the Orgy of the Oligarchs Over Yet? (ee 11 April 2020)

The Ghost of Philip Gunawardena & the Cry for a Cultural Revolution (ee 8 August 2020)

How Sri Lanka Became a US Colony in 1948 (ee 31 October 2020)

IMF Threats, IFC Munificence & the Anti-Investment Trader Mafia in Sri Lanka (ee 16 Jan 2021)

Mafia & Media Hitmen: Multinationals & Import Monopolies (ee 15 May 2021)

Maharaja’s MTV, Chettiar Bankers & Killer Import Mafia (ee 17 July 2021)

Import-Export Mafia, Drug Lords, Media Barons & Flexible Workers (ee 11 Dec 2021)

The IMF: Import Mafia Fundamentalists (ee 18 Dec 2021)

continued on: eesrilanka.wordpress.com

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