Why did Sri Lanka’s new president call a snap general election?

Explained
By Editor_1
A person reads a newspaper which has the dissolution of Parliament as the main headline,  at a stall in Colombo, Sri Lanka, on Monday (September 25, 2024) -Thilina Kaluthotage/Reuters
By Uditha Jayasinghe and Sudipto Ganguly

COLOMBO – Sri Lanka will hold a parliamentary election on Nov. 14, the government announced on Tuesday (24), less than two months after the Indian Ocean island nation elected Anura Kumara Dissanayake as its new president.

Below are five key reasons why Dissanayake, who won the presidential poll at the weekend, called a snap general election:

Ride Momentum

Dissanayake polled 5.6 million votes, or 42.3%, in Saturday’s (21) poll, a massive boost to the 3% he managed in the last presidential election in 2019. His nearest rival, opposition leader Sajith Premadasa, won 32.8%.

The Marxist-leaning leader will hope to ride the same wave of approval and consolidate power in the 225-seat parliament.

Support From Parliament

Dissanayake ran as a candidate for the National People’s Power (NPP) alliance, which includes his Janatha Vimukhti Peremuna (JVP) party. The coalition held just three seats in the current parliament elected in August 2020, prompting the new president to dissolve the legislature to try to strengthen his hand.

Despite his executive powers as president, fulfilling his pro-poor campaign promises of reducing taxes and freeing up public revenue for tax relief and investment will prove difficult without backing from parliament.

IMF Program

A four-year, $2.9 billion International Monetary Fund (IMF) bailout program has helped Sri Lanka boost reserves, stem a fall in its currency and tame runaway inflation to kickstart a tentative economic recovery. But the austerity measures linked to the bailout angered many, who have pinned hopes of a better future on their next leader.

During campaigning, Dissanayake said he wanted to slash taxes and revisit the terms of the IMF bailout, promising to bring change for those reeling under the austerity measures. But passing a budget will be hard without support in parliament.

Debt Rework

Sri Lanka is in the middle of restructuring about $25 billion in foreign debt. Getting parliamentary support will strengthen Dissanayake’s hand in negotiations with bondholders, who may in turn find policy clarity from the new president reassuring.

Cabinet Numbers

The lack of numbers in Parliament has also meant that Dissanayake was unable to name a fully-fledged cabinet of ministers after taking office on Monday (23).

He named Harini Amarasuriya as prime minister with five portfolios, while Vijitha Herath was given charge of six ministries, including foreign affairs. Dissanayake kept key ministries such as finance, defence and energy to run himself.

-Reuters

 

 

Editor_1
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