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Lessons from the Asian
Financial Crisis When one looks at the reasons often given in the international media for Asia's current financial crisis, I'm sceptical about putting all this blame on not getting their fundamentals right. I find it difficult to convince myself that countries could have sustained rates of expansion so high and for so long, and bring about almost a transformation in their economies. While all the time the so called 'fundamentals' were not right. Certainly there were weaknesses and excesses. But I can't see that these were so common as to cause a repetition of this crisis in country after country. If there was anything wrong, it is that they exposed themselves excessively to footloose speculative movements of capital and to short Ñ term capital flows with no mechanisms to control or regulate these. 'Openness' The real fact is that they became very dependent on outside sentiments. Investor sentiments. The assessment was not on whether the country has got its fundamentals right, but about what other speculators were thinking. This creates a very volatile situation, a chain reaction that makes things happen. One of the big lessons to be drawn is the appalling absence of any kind of mechanism or machinery to moderate and regulate these developments, once they seemed to be getting out of hand. We don't have a preventive system internationally to keep an eye on these things and to anticipate possible weaknesses and to take actions. What we have is an ad hoc response after the event. Unfortunately any kind of preventive regulations by governments, or even international organizations, is seen to be contrary to the prevailing liberalization philosophy. The result is a big exposed area where there are no weapons, no instruments, to anticipate things and take corrective action in time. Legacy Developing countries are told that there is now this fast express train called 'globalization and liberalization'. If they get aboard they will be carried on to great heights. But if they fail to do so they will be left behind and marginalized. The secret of getting aboard is in their own policies. If they were to liberalize, to deregulate, to privatize, to balance their budgets, and so on they would be beneficiaries of this process of globalization. Nevertheless, it remains as true as ever that developing countries continue to need a global economic environment that is supportive of the development process and of stability in the world economy. This will not happen by countries carrying out internal policies of structural adjustment alone. There are also major issues that can only be solved, regulated, or controlled through multilateral actions and a revival of discussions and negotiations on them. One of these is the international financial system and the way it should evolve. Globalisation Economic and
Monetary Union The completion of Economic and Monetary Union is in terms of practical consequences, the most significant decision to be taken since German reunification. It will be the most fundamental change to take place in Europe since the collapse of communism. At the same time it is the most important milestone in the process of European unification since the establishment of the European Coal and Steel Community in 1951 and the European Economic Community in 1957. On 2 December 1992 the German Bundestag (Parliament) ratified by an overwhelming majority the Treaty of Maastricht. A key component of this Treaty was the creation of a European economic and monetary union. The twentieth century now drawing to a close has revealed two distinct faces, faces that could not be more different from each other. The first half of the century was marred by the most horrific wars the world has ever seen, by totalitarian ideologies and tyranny. The second half was marked by peace and freedom, the search for understanding and reconciliation. This profound change from dark to light can be ascribed to the unification of Europe. European unification is a boon — notably for us Germans. Without it war could never have been banished from the free part of the continent for all time. Nor, without European unification, could Germany have regained its unity. Germans therefore have a vital interest in seeing further progress towards European unification. Eight years ago we had a one and only chance to regain our national unity. We took it. At the time there were plenty of cavillers and critics who thought it their business to stop us. By and large they were the same as those now out to turn people against European Economic and Monetary Union. But over German unity we were not to be deterred by the doubters and ditheers, nor will we be deterred now. We are making good headway in constructing the common European house but we know, too, that a house that is only half-built will fall to ruin again. It will not in the long run be able to weather the storms and tempests the new century will bring — and what exactly it will bring there is no knowing and now is the time then, not some moment in the future, to continue and complete the task of building the house of Europe. Konrad Aden-auer’s declaration before the German Bundestag on 15 December 1954 today rings more true than ever. "The unity of Europe", he said, "first a dream of a few men, then became the hope of many, and is today a necessity for all of us". We must address two epoch-making tasks which in the next century will change the face of Europe. The first is, through the enlargement of the European Union and NATO, to finally overcome the Cold War division of our continent. Here we have already made great strides. Two days ago the European Union officially opened accession negotiations with Poland, the Czech Republic, Hungary, Slovenia, Estonia and Cyprus. Last week the Bundestag and the Bundesrat ratified the accession of Poland, the Czech Republic and Hungary to NATO. The second momentous task, which we are now about to achieve, is the creation of the single European currency. The euro will give European unification quite a new quality. Both these tasks — EU enlargement and economic and monetary union — are the logical continuation of Konrad Adenauer’s policy for an integrated Europe. Throughout German post-war history prominent figures in all democratic parties have been committed advocates and supporters of European integration. Besides Kon-rad Adenauer there were Carlo Schmid, Kurt George Kiesinger, Franz-Josef Srau§ and Willy Brandt and name but a few. I look back with special gratitude at the great debates on Europe the German Bundestag has held over the past years and decades. Those were indeed proud moments in our Parliament’s history. Today it is Helmut Schmidt who, with passion and strategic finesse, argues the case for monetary union. To build a European house that is stable and weather-proof, we need the single European currency as one of its cornerstones. For European citizens it will enhance their sense of belonging. It will encourage a greater awareness that only together can the nations of Europe meet the challenges of the future. The starting point for the history of European unification was the famous declaration made by Robert Schuman, France’s foreign minister at the time, on 9 May 1950 that culminated in the establishment of the European Coal and Steel Community. He said, and I quote: "Europe will not be made all at once, or according to a single, general plan. It will be built through concrete achievements, which first create a de facto solidarity." The forty-year European success story has shown that European integration is not some esoteric intellectual game but means unremitting, down-to-earth, hard work. And step by step Europe is indeed being built. Yet another proof that it is the people with vision who go down in history as the true realists. Courage, farsightedness, integrity: those are the keys to Germany’s future. Opportunism and dithering open no doors to tomorrow’s world. The German Trade Union Federation last weekend stated clearly and unequivocally that the conditions for the launch of the euro on 1 January 1999 are near-ideal. It also warned that the euro launch should not become a political football in a populistic election campaign. That clarification is welcome. The representatives of German industry and agriculture have also given their clear backing to the single European currency. Euro For most Germans, the D-Mark, 50 years old in June, is the symbol of 50 years of peace, 50 years of freedom and 50 years of stability and prosperity. The introduction of the D-Mark is associated with the beginning of the work of reconstruction in a country left shattered by the Second World War. For people in Germany’s new LŒnder in the East the D-Mark stands for the democratic new beginning which followed the end of 40 years of communist rule and for the road to German unity. Against this background, I fully understand that many of our citizens are loath to give up their tried and trusted D-Mark. I am conscious of the heavy responsibility this decision for the euro means not just for today’s but also for future generations. This year we will be celebrating the D-Mark’s 50th birthday. I hope and firmly believe that in 50 years from now, people looking back will recognize that the signs of the times were correctly real and acted accordingly. We have taken every precaution to ensure the euro’s long-term stability. Time and again the Federal Government — and myself — impressed on our partners in the EU that there could be no tampering with the stability criteria laid down in the Maastricht Treaty. It is thanks to the Federal Government’s efforts that under the Maastricht Treaty the future European Central Bank will be as independent as the Bundesbank and committed first and foremost to safeguarding the stability of the euro. We have succeeded in making Frankfurt the seat of the new European Central Bank. The name Frankfurt, linked as it is with the Bundesbank and its work, is a byword for stability and sound management far beyond our national borders. This, I am sure, will remain so in the future. At this point I would like to pay special tribute to Finance Minister Theo Waigel. Together we were able to win support for his proposal for a Stability and Growth Pact to ensure long-term compliance with the strict criteria of the Maas-tricht Treaty. Thus with the switch to the euro the success story of the D-Mark will continue at European level. Through the euro we will be preserving those values that made the D-Mark the hallmark of stability and confidence. Stability Inflation and interest rates in the EU member states are now at record low levels. On average inflation in the EU is down to 1.6% and long-term interest rates are now below 5%. That is the result of the price-stability policies being pursued by all countries preparing for the euro. What we have here is a stability culture the like of which has never been seen before. And a hard currency is at the same time the best social policy. It is after all the pensioners, small savers and people on low incomes who most depend on their money keeping its value. Over recent years we have also made substantial progress in consolidating public finances. Last year in 14 EU member states government deficits were below or around 3% of GDP. Just four years ago the average figure for the EU as a whole was well over twice as high. In 1993 it was 6.1%-today it is 2.4%. Germany with 2.7% managed to get its deficit well below the tough 3% ceiling — owing first and foremost to the Federal Government’s steadfast reform policy and strict budgetary discipline. On the public debt criterion, we are with 61.3% slightly over the reference value of 60% specified in the Maastricht Treaty. However, as the European Commission and the European Monetary Institute have rightly pointed out, Germany’s public debt reflects the sorry legacy of over 40 years of communist misrule. In the context of reunifi-cation Germany has indeed had extraordinarily heavy burdens to bear. That the reports of the European Commission and the European Monetary Institute have once more clearly spelt this out is to be welcomed. Without these extra burdens, Germany’s public debt would today be far below the Maastricht reference value — standing at a mere 45% of GDP in fact. But for me what counts far more than anything else is the fact that our level of public debt is not the result of spendthrift policies but the unavoidable consequence of the huge investments we are making to strengthen the fabric of national unity. Could we take any pride in a 45% level of public debt if on the other hand Germany remained divided and 17 million of our countrymen denied freedom, the rule of law and human dignity? Nobody should forget that on the plus side of the balance-sheet is the gift of German unity in peace and freedom. This is and will remain cause for joy and gratitude. The reunification of our country is worth every effort, now and in the future. Despite the acknowledged too-high debt levels in some EU member states the European Commission concludes, and I quote, "the conditions are in place for the continuation of a sustained decline in debt ratios in future years". All these developments make clear beyond a shadow of doubt that the conditions for a stable European currency have never been as good. That is the result of the prodigious convergence efforts the EU member states have made. Most of them just a few years ago would have thought it inconceivable that nearly all EU countries would fulfil the strict Mastricht criteria. Yet the data and facts presented in the reports of the European Commission, the European Monetary Institute and also of the Bundesbank speak for themselves. They give the lie to all those pessimists who to the end were constantly casting doubt on the timetable for the euro. Today it is clear: on both counts, timetable and convergence, we are right on track! European Monetary Union will begin on time on 1 January 1999. That is in the interest of Europe — and it is in the interest of Germany. The European Commission will be proposing to the European Council of Heads of State and Government that the following 11 countries should be founding members of the euro: Belgium, Germany, Spain, France, Italy, Ireland, Luxembourg, the Netherlands, Austria, Portugal and Finland. In their reports the European Monetary Institute and the Bundes-bank have confirmed that from a stability standpoint this proposal is justified. The Federal Government shares this view. At the forthcoming European Council of Heads of State and Government to be held in Brussels on 2 May it therefore intends to vote in favour of the Commission’s proposal. The Federal Government explicitly confirmed furthermore on 27 March that, as required under the Maastricht Treaty, it would continue to press for and give special attention to ensuring the sus-tainability of convergence. In this context the Federal Government trusts that particularly those countries which still have very high debt levels will energetically pursue their strategy for further consolidating their public finances. We hope, too, and that those countries in the EU which at present do not wish or are as yet unable to join the single currency it is hoped will soon be part of the euro-zone as well. The great economic challenges of our day cannot be overcome by each country going its own way. Increasing globa-lization of the markets and ever sharper competition between countries and regions around the world for investment and jobs requires that Europeans act in unison. It is necessary to introduce the euro as a matter of urgency, and it is in our own best interests to do so. The new common currency will further secure Europe as an area of economic prosperity and monetary and social stability. And it will strengthen the continent in competition with other dynamic economic areas, such as NAFTA in North America, MERCO-SUR in South America and ASEAN in South-East Asia. We have no alternative but to stand united if we are to be successful in the 21st century! Not least, the euro contributes to stabilizing the international currency and finance system, which is especially significant considering financial crises such as the one in South-East Asia. The European common market without internal borders for persons, goods, services and capital will be brought to completion by the common European currency. The euro-zone will encompass a common market of nearly 300 million people and, with a share of around 20% of world income, will be comparable to that of the USA. Prices will be easier to compare, thereby directly benefiting consumers. I’ll give you another oft-cited example: millions of Germans who spend their holidays in neighbouring countries each year will make savings as they will no longer need to exchange money. We know from the discussion in academic circles that since there will no longer be a currency exchange risk, companies in countries adopting the euro will be able to make savings to the tune of many billions. When the euro has been introduced. It will no longer be necessary to go to the expense of securing oneself against exchange rate fluctuations. The common European currency will improve the long-term investment and employment climate in Germany and Europe as a whole. Of course, I am aware that the euro is not a panacea that can solve all our job market problems in one go. But I would like to remind you that Germany is the world’s number 2 exporting country: Every fifth job in Germany depends on exports, more than 40% of which go to countries that have good chances of being among those adopting the common currency in the first wave. And because there will in future no longer be any exchange rate risks in dealing with these countries, export-dependent jobs in Germany will be less as risk. The European currency will open up the great opportunity for new, sustainable, economic dynamism, long-term growth and secure jobs in the 21st century. The Bundesbank observed that "Ultimately, monetary union will be all the more successful, the more flexible goods, financial and job markets are". The Bundesbank’s clear message is that we will use the chances the euro provides for more employment if we in Germany persist with our reform programme and if all those involved continue to make their contribution, particularly companies and trade unions. Anyone who refuses to carry out the necessary reforms because they are unpopular or reverses reforms that will secure our future pushes up costs and denies work-seekers the chance of employment. Anyone who does not now forge ahead with the necessary reforms, but first resorts to harmonizing the continent’s standards in tax, social and environmental policies will not make progress in Europe and will not reach the goal. Such a policy is unrealistic because nobody in Europe would now be prepared to commit themselves to, for example, our high social and environmental standards. For our partners that would be tantamount to renouncing their own competitive advantages on our behalf. Such a policy is also dangerous because it would merely lead to a lower level of harmonization. That would mean bargaining away, for example, what we in Germany have achieved in the area of social policy. We stand firm: the necessary reforms must be pushed through now. No one will relieve us of the task of doing our homework. Notwithstanding that, it is, of course, helpful for EU countries to better coordinate their national economic and employment policies. The EU employment summit in Luxembourg last November was an important step in this direction. When consultations with employers’ representatives and trade unions have been concluded later this month, the Federal Government will present the German action plan. The completion of economic and monetary union heralds a new stage in the process of European unification. At the same time, in the Treaty of Amsterdam, we have also laid the foundation for enlargement and also for the further internal development of the European Union. I am pleased that Germany, thanks to the overwhelming approval of the Bundestag and Bundesrat, was the first European Union member state to complete the ratification process. It is now vital to put the Amsterdam reforms into practice with determination, in order to improve the European Union’s operational ability and efficiency. I am thinking, for example of the area of foreign and security policy, and, in particular, of joint efforts in the fight against international organized crime. We can also build on the progress we made in Amsterdam in reforming the European institutions. The European Parliament’s new rights and possibilities are just one example. However, all this institutional progress, in particular with a view to enlargement and acceptance, is not sufficient. We are today facing the question of how an enlarged European Union can improve its ability to act both within and outside the Union, while at the same time enhancing and developing its democratic roots and its responsiveness to the needs of its citizens. Following the decision on the euro, I believe that the time has come to take stock of the situation regarding this sensitive issue. Many of my colleagues among the heads of state and government of the European Union agree with me that we should initiate a discussion on this issue at the mid-June European Council in Cardiff. One of the central questions for me will be the further implementation of the principle of subsidiarity. We agree on the basic principle that matters should only be regulated at European level if they cannot be adequately decided at local, regional or national level and if, at the same time, they can be better regulated at European level. A centralist European community, with Brussels as an all-powerful capital, never was and never can be our goal. Europe must continue to be characterized by its cultural diversity, its special regional features and its distinctive traditions. Nation states and the European Union will also continue to carry out different and, to some extent, mutually complementary tasks. However, there are still very different views in Brussels and in the individual member states as to the details. We must therefore define the dividing line between the different areas of competence more precisely, retrans-ferring some responsibilities from Brussels to nations or regions must not be a taboo subject, either. This has nothing to do with "renationalization" as is sometimes suggested. We want a Europe which responds to the needs of its citizens. The Federal Government has in this legislative period pushed through nearly all the reforms which are necessary for the future — mostly in the face of bitter resistance. Some examples are: • reform of the railways and post office services, • privatization of Telekom and Luf-thansa, • abolition of the job-destroying taxes on material assets, i.e. property tax, as well as trade tax on capital, • reduction of the solidarity tax, • health reform and • pension reform. The full effect of our reforms on growth and jobs in Germany will unfold gradually but initial successes are already evident. Germany has successfully developed its global position as a strong, innovative business location. For example our country has once again become the world’s number I in universal patents, an area which is especially important in connection with globalization. German exports are booming. Our exports for 1997 were 10% up on the previous year. We have won back world market shares for the first time. The computer trade fair, CeBIT’98, ended on 25 March 1998 in buoyant mood. According to the exhibitors, the fair surpassed all hopes and lively business is expected to result from it. This clearly shows that the course of modernizing the economy and society is paying off. Germany has become noticeably more competitive internationally as a business location. All this is having a positive effect on growth in our country. The pace of upturn is increasing. This year, growth is expected to reach between 2 1/2 and 3%. An even better result is expected for 1999. The most important domestic task continues to be combating unemployment, which is still much too high. At present we are seeing different developments on the job markets in the old and the new LŒnder. In the western German job market there is a slow but steady upward trend with new jobs being created particularly in export-intensive sectors, such as mechanical and electrical engineering, and the automobile industry. The eastern German job market is still suffering from job losses in the construction sector. However, east German industry is showing strong growth, although this is not yet being sufficiently reflected in the creation of additional jobs. Developing the east remains the Federal Government’s priority. We will maintain our high-level of support for the development of the east in future, despite all the efforts at consolidation, which we will continue in the years ahead. Above all, Germany must become more attractive again for domestic and foreign investment. Between 1985 and 1996, foreign investments in Great Britain amounted to eight times those made in Germany. For this reason we need a tax system which is competitive internationally. We need a drastic tax reform which clears the way for innovation and investments. Right now Europe is experiencing a business renaissance. Investors in dollars are showing particular interest in Germany. Right now, a thorough reform of the tax system would have been a great opportunity to win more investments for Germany. In rejecting tax reform, this opportunity has been wasted. The Federal Government, however, continues undeterred to advocate a far-reaching reform of the tax system which is really worthy of the name. We are making every effort to encourage more investments and jobs to come to Germany. Our Petersberg concept, passed by the Bundestag but blocked by the majority in the Bundesrat, is still right! The general election this September will also be a plebiscite on tax reform. I am sure that the decision will be in our favour. Ladies and Gentlemen, Less than two years before the turn of the millennium, new horizons are opening up for our continent. A new Europe is emerging. It is a Europe in which we Germans are surrounded by partners and friends who are working together with us to build the common European house. German foreign policy has made an important contribution to this development, which has received world-wide recognition. For the first time in our history we have good, indeed excellent, relations to Washington, Paris, London and Moscow. For us Germans, this is a gift of history at the end of the 20th century. At the beginning of this century, international relations were marked by national power politics and the striving for spheres of influence. The words of lord Edward Grey, the British Foreign Secretary, on the outbreak of the First World War proved to be cruelly true for whose generations: "The lamps are going out all over Europe; we shall not see them lit again in our lifetime". There are still many people among us who have personal memories of the dark decades that were just beginning at that time for millions of Europeans. It was the age of world wars and totalitarianism, of fascism and national socialism, of communism. This age ended just a few years ago with the disintegration of the Soviet empire. At the end of this bloody 20th century we have the opportunity, together with our friends and partners in Europe, to build a better and juster world, in which the light of freedom and peace shines out brightly. This Europe is our mission. It is our duty to the younger generation, to our children and grandchildren. May I ask you to cast your vote in favour of the Federal Government’s bill on European economic and monetary union! A personal perspective Continued from yesterday One reason why they lack self-initiative appears to be their subsistence mentality characterized by low aspiration levels and low social esteem. The removal of the dependency syndrome among the poor is one of the main challenges that those who are engaged in development work is confronted with. It appears that more recent foreign-funded projects and programmes have also helped perpetuate the syndrome rather than remove it. The result is that the beneficiaries of projects and programmes, particularly when they are funded by foreign donors, wish to secure as much material benefits as they can. When such benefits are no longer forthcoming, people often lose interest. Industrial Peace and Development Trade unions during this period, strove to win as many privileges, benefits and rights as possible. This phase, however came to an end with the 1980 general strike which was crushed by the then government resulting in the dismissal of thousands of striking workers. It is widely believed that industrial peace that prevailed in the next few years was enforced by the use force and other methods. As obvious to anyone, there is a certain degree of confusion and instability in industrial relations today. While some commentators seem to believe that there are politically motivated strikes, others tend to view these developments as a reflection of widespread and deep-rooted indiscipline in society. Another, often less articulated view is that the absence of an effective, credible independent system of adjudication of industrial disputes has led to the prevailing confusion. Certain industrial disputes affect the lives of many people who are not unionized workers. They also at times have an adverse impact on the functioning of the economy. However, unlike the unionized workers, those who constitute the vast majority of people and work outside the corporate sector do not usually enjoy basic social security benefits. This is an ironical situation. While the unionized workers often resort to industrial action to win or retain various privileges, those who operate outside the corporate sector enjoy almost no benefits in terms of social security. Welfare-State and Social
Security There are two critical issues arising out of the above state of affairs. Firstly, are various schemes of income support and subsidized services rational, useful and effective? Secondly, can we afford to maintain the present gap between the corporate sector and the rest of the economy in terms of social security benefits available to the employees in the two sectors? Both these issues require detailed and disciplined discussion. Sri Lanka can hardly afford to maintain its present pattern of social expenditure. This is due to two main reasons. Firstly, as already mentioned, it is often counterproductive in both economic and social sense. For example, income support schemes which are never properly targeted usually help perpetuate poverty in many situations. Secondly, welfare expenditure is so thinly distributed that the services and benefits can rarely be provided at an adequate or satisfactory level. For instance, a few hundred rupees given to a destitute family add up to a large sum of money at the aggregate level but do not provide any income security that is worth talking about. If the existing social welfare system does not help create even a semblance of equity between corporate and non-corporate employment, then the need for a scheme of social security that is broadly equitable and that covers the vast majority of people irrespective of their professional background and work history is a pre-requisite for ensuring equity, social justice, harmony and stability. It is only such a scheme that can address the gross distortions that exist in the labour market. Without such a system, it would be virtually impossible to change the prevailing negative attitudes towards physical labour and irregular forms of employment such as self employment and artisan work. Social Justice, Opportunity
Structure and National Integration Increasing political control over economic resources and opportunities for social advancement turned the competition for such resources and opportunities into a political one. Different interest groups tended to articulate their economic grievances and social aspirations in political terms. Those who felt that they were marginalized within the largely centralized opportunity structure due to linguistic, class and regional barriers tended to adopt an increasingly anti-systemic posture. This soon posed a serious threat to the integrity of the nation-state project. The anti-systemic movement in the south spearheaded by the JVP viewed the centralized state as one dominated by the elites, while the separatist movement in the North spearheaded by Tamil militant groups, perceived the dominant centre on ethno-linguistic lines. Both anti-istemic movements have thrived on a strong sense of social injustice felt by their supporters and sympathizers. The latter have felt that the opportunity structure is not sufficiently open and that it tends to marginalize the weak and the powerless. Certain policies adopted after independence reinforced some of the above tendencies and aggravated the sense of deprivation and marginalization on the part of certain groups. For instance, official language policies reinforced the isolation of regional linguistic groups and effectively restricted their participation in the larger processes of social and economic advancement. Similarly, the system of political patronage prevented the development of an open and equitable system of allocation of resources and public goods and this helped promote anti-systemic feelings in the minds of many, particularly those who were adversely affected by patron-client politics. Political control over resources, public goods and the development process left very little room at the grass-roots level for the local people to determine their own destinies. Public affairs at the village level also came under the guidance of political bosses, and state officials. This by and large made the local people passive recipients of services and facilities. This top down approach did not mobilize politically conscious village youth for local development. The latter in turn tended to join violent anti-systemic movements which went against the established social and political hierarchy. Women, Global Order and Local
Culture The impact of globalization on the local scene can be discussed under a number of headings. They are: a) Impact of global integration on the life chances of different social groups and strata, b) Impact of global movements such as libertarian and feminist movements on social relations, c) Impact of Western media on local culture, life styles and cultural identity. d) Impact of the restructuring of the country's economy on the life chances of different social strata and groups. Here again no attempt is made to look at each of the above areas in any detail for want of space, and only some brief comments will be offered in order to stimulate or provoke some discussion. It is clear from the available data that female participation in the labour force has increased substantially over the last two decades. As we all know, migration of female workers to the Middle East and other countries has pushed many young women into the labour market. This has exposed them not only to the processes within the overseas labour market but also to a new working and living environment. Most of the women who migrate to the Middle East are poor rural and urban women who lack productive resources, assets or stable sources of income. Given their background, some have argued that migration provides them with opportunities to escape from poverty and oppression. But, the detailed field studies undertaken in different parts of the country point to a more complex picture. The overwhelming evidence on abuse of children, break-up of families, drug and alcohol abuse, intra-family violence, etc. points to an enormous social cost which is often not compensated by the economic gains made by the migrants and their families. As mentioned above, economic liberalization has enabled more and more women to enter the labour market. Yet, it is doubtful whether the increasing absorption of women into the expanding private sector leads to an improvement in their status. There is some evidence to suggest that women have fewer opportunities for social mobility than men in the corporate, private sector. This is not an encouraging prospect for women in view of the fact that the private sector is expanding almost at the expense of the public sector which provides them with greater opportunities for lucrative and more prestigious employment. Conclusion If we agree with the above line of reasoning, then we can hardly afford to be indifferent towards various issues mentioned above. What is needed at the present juncture is to strive to find sensible solutions to these and other critical problems we are faced with. I sincerely hope that the deliberations here will help us move in that direction. The Sacred Tooth Relic and functions of the
Diyawadana Nilame The Tooth Relic itself is one of Sri Lanka's greatest national treasures. It was an object for the preservation of which the ancient Sinhalese would have perhaps been prepared to shed their blood to its very last drop. The Diyawadana Nilame He is the manager of those vast temporalities that have vested in that institution from early times, which he now controls at his discretion. He is the principal actor in that great pageant and national festival, the Kandy Esala Perahera, in which Lanka's Kings of old rode in legal state. Lord Chamberlain His Post Under their orders were the 'Sittambies', who prepared the bath and performed the service of Jama Karanawa, i.e. being in attendance on the king in chambers. There were also the 'Wasala Apullana Henayas' (royal dhobies), the 'Wasala Ambattayos' (royal barbers and the Abharane Pattale people. Their proximity to the King no doubt gave rise to the practice of the transit of messages to public officers being initiated through them and the 'Paniwidakara Nilame' himself was attached to the Salu Mandape. They were the custodians of the royal emblem of the Ran Kaduwa and while in the performance of their public duties, their service was called Ran Kaduwa paniwida karanawa. Hidden in her hair. They arrived here disguised as Brahmins, with the precious object hidden away in the folds of princess Ranmalie's sable tresses, unsheathed in a case which can be seen to this day among the other priceless treasures of the Maligawa. King Kirti Sri Mevan, who was then reigning at Anuradhapura was indeed overjoyed to receive the sacred relic, so renowned throughout the Buddhist world; and had it first installed at the pavilion called Dhammacakka, built by King Devanampiyatissa. This was the first Dalada Maligawa. Finding its way here as it did as an object of religious worship it acquired a place of no mean political importance for the Kings of this country. The history of the early Sinhalese is characterised by civil wars waged for the sovereignty of the Island. The belief always prevailed that the possessor of the Danta Dhatu was entitled to the dominion of Sri Lanka. Shifted for safety "Wherever the violence of the invader forced the
King to establish a Court, the Maligawa, which housed the
sacred object, rose within the royal precincts, similar,
but incomparably more beautiful in its workmanship than
the Wasala of the king; the wealth of the country
was freely poured out to render it honour, its attendants
formed an establishment which was kingly in size and
arrangement; entire villages were dedicated to it for the
supply of offerings of rice, flour and oil; ivory and
gold and gems concealed the massive frames and narrow
doors which guarded the approach to the shrine, where one
King at least (Parakrama Bahu II) offered up all the
ornaments of royalty that were upon his person". An even more remarkable gift was whisk with a jewelled handle made out of the hair from the heads of the King and Queen of Burma and sent to Parakrama Bahu VI of Kotte, which a request that it be used for sweeping the inner shrine room of the Maligawa. The village of Kirawella in the Beligal Korale in the Kegalle District was set apart for the maintenance of princess Ranmalie and her consort, Dhantanam Kumara had been the custodian of the Relic there in India at Dantapura (Jagarnath) and was perhaps also our first guardian here in Lanka. Royal contretemps After the customary obeisance before the Sacred Relic, at the special exposition held in his honour, the King expressed a desire that the sacred object be placed in the palm of his hand. That practice was a recognised privilege accorded to Buddhist royalty. To this request the late Mr. T. B. Panabokke, who was acting for Giragama Diyawadana Nilame, suavely replied: "It is not the custom, You Majesty." The King infuriated turned on his A.D.C., with words to the effect:" Aide de Camp, return the presents they have given me, and take back those I have brought. My brother last year was permitted to take the Relic in his hands, but I am declined the privilege." His Majesty, it is related, was not seen again till dinner time that day; and Sir Solomon adds:" Nor did he have one glance over his shoulder a the Raja perahera arranged in his honour by the Kandyan Chiefs that night." On his way back to Colombo with Sir Solomon, who had been accompanying him, His Majesty gave vent to his pent up rage against Mr. Panabokke with remarks which the writer has refrained from setting down. Fled the kingdom "Kottee Kelale Kisi illai, Dhata Medagan Rale, Po." Interpreted the words meant: "My love for Kotte is more begone with the Tooth to the Middle Kingdom." Its troubled custodian thereupon concealing the precious object in his 'siriya' (waist cloth) swam the ferry of the Diyawanna Tota behind the Maligawa by night and made haste to the Court of King Mayadunne of Sitawaka. With the death of Raja Sinha, the kingdom of Sitawaka disappeared and the palladium thereafter very rightly came into the hands of King Wimala Dharma Suriya, who had established himself as the Ruler of the Kandauda Rate at Senkadagala (Kandy) and had begun to espouse the national cause. The Relic now rests in the Temple of the Tooth built by that pious King Kirti Sri of the Nayakar dynasty. The new building of the Dalada Maligawa was inaugurated during the regime of P. B. Nugawela Diyawadana Nilame. A remarkable man his sagacity once quite astonished the Engineers of a well known firm in Colombo. The firm had tendered for the erection of certain columns. The estimate had run into several figures... in respect of each of the monoliths. He chose to have them erected by workmen under his own supervision with the aid of bamboos and choir ropes in the traditional style! British respect In the April of 1815 D'Oyley, the British Resident in Kandy, made a gift of the "Pattiruppuwa" (octogon) that had been erected by King Sri Wickrema Rajasinha, for the use of the Maligawa. The uprising that took place in 1818 was marked by the surreptitious removal of the Tooth Relic to Matale. After it was over the new government placed the Maligawa under military surveillance and posted a military guard, as had been done in former days by some of the Polonnaruwa Kings. No doubt it was a measure considered necessary to prevent "the clandestine removal by ambitious chiefs or discontented priests for the purpose of exciting rebellion against British dominion." The possession of the Dhanta Dhatu had always been considered to vest, a legitimate right in the holder to the sovereignty of the Island. The propriety of a Christian government, however, continuing to remain the custodian of the Sacred Tooth of the Buddha soon began to trouble the conscience of the new rulers. In 1953 the government of Lord Torrington handed over the management of the Sacred Tooth to its lay custodian, the Diyawadana Nilame, and the high priests of the Malwatte and Asgiriya Chapters. The appointment of the Diyawadana Nilame today rests on an elective basis. The trustees of Vihares and Temples in the Kandyan Provinces in the receipt of an income of over Rs. 1,000 per annum, the Divisional Secretaries of those area, the Diyawadana Nilame and Basnayake Nilames in the order of precedence constitute the franchise, that adds up to about 185. The signs of the zodiac at the birth of the
Buddha This is a riddle poem which depicts the birth of the Buddha, symbolizing the signs of the zodiac. Most of the poems that have been in usage during the Kotte period, have been out of usage, owing to the lamentable lack of knowledge in the Sinhala language and literature, Buddhism and general knowledge. Before the elucidation of the Buddhist riddle, I would like to give a short summary of it, for the average reader. According to Sri Dandi, riddles have had been made use of in four-fold ways;-- 1. As a conandrum designed to test the ingenuity of hearers Denoting a suitable answer of reference. 2. This is made use of in assembly as some sort of charade a game of questioning for the purpose of recreation. 3. To have enigmatic type of discussion with regard to a puzzling thing or some sort of mysterious fact. 4. To put forward an idea to the hearers so that they will not be able tograsp the meaning at once. As far back as the 13th century, and onwards, and specially during the scholastic sway of the Kotte period, the riddles have been an intellectual recreative aspect of the literary tradition in Sri Lanka, Gira Sandesa, which was composed by one of the most sure--footed poets of this period, illustrates well how people assembled in a rest-house, enjoyed themselves in solving various riddles:-- "Samaharu udara Translation. Illustrious ones, (who have assembled there), giving an opportunity to each other and having gone through each and every word, discriminately compose riddles, spontaneously, and elucidate them. This bears ample proof to the fact that during at that time, composing spontaneous poems were quite a merry past-time and that even a good cross-section of the people were able to understand them, and appreciate them. It is a pity to note that this intellectual and aesthetic aspect in Education is almost neglected at present. This general factor in the aesthetic experience related to the hypothetical general factor in intellectual experience should be given ample scope in the educational curriculum. Even during Colonial rule, the educationists have made good use of the English and Sinhala riddles to test the ingenuity of students in divining an answer, meaning, or reference pertaining to a fact, thing, or person. The famous philosopher, Alfred North Whitehead has emphatically stated that literature can produce the necessary enrichment of intellectual character more quickly than any other alternative discipline. Once I was engaged in a discussion with the most Ven. Palane, Siri Vajiragnana Maha Nayaka Thero, (as far back as 1954), with regard to some of the dactrinal riddle poems of 'Daham -- Gata -- Malawa', composed by the erudite scholar, Ven. Vidagama Maha Maithreya Thera. Ven. Palane Vajiragnana Nayaka Thera stated that, in addition to the above riddle poem, Vidagama Maha Thera composed many other riddle poems anonymously and some of these have been handed down from generation to generation and fallen into common parlance. He stressed the fact that in the oral repititions by the illiterate, some misrepresentations or distortions have crept into some of these riddles. He advised me to be careful in the revision and explanation of Daham -- Gata -- Malawa. (This has been printed by the Cultural Department in 1994). Then, he quoted this poem, indicating the birth of the Buddha. "Guruhami gasin vatuna kakulu gule As this is a symbolic presentation of the signs of the zodiac, I would like to give the English translation and elucidate it later.
This is the synopsis;--
The reader will notice that these are represented as symbols. What is a symbol? It is something which stands for something else usually by convention, association etc., or as an object used to represent something abstract. Whitehead has rightly observed that the human mind functions symbolically when some components of its experience elicit consciousness beliefs, emotions, and usages representing other components of its experience. Now note the zadiacal signs, and the symbolic presentations of planetary symbols -- Aries (ram), Taurus (bull), Gamini (twins), Cancer (crab), Leo (lion), Virgo (virgin), Libra (balance), Scorpio (scorpion), Sagittarius (archer), Capricorn (geat), Aquarius (water-bearer), Pisces (fish). In this case, I am not going to predict the future eased on zodiacal data for the birth of the Buddha. Instead I am trying to bring out the poetic and semantic, and the linguistic aspects for you to direct your attention. In the first line, 'guruhami' signifies a Hindu medicant, teacher, or precepter. Here, 'guru' sometimes known as 'amara guru', is the preceptor of the Immortals. The planet Jupiter, is also known as 'wrahaspathi, because of its discovery by him. Cancer, (crab), is supposed to be smallest and the least noticeable of the constellation of the zodiac, lying between Gemini and Leo. In the second line, the Moon is presented as a male person as 'Handahami'. This may be due to the fact that the Moon is the most important of the celestial bodies. It is said that the calendar is to a great extent based on its phase, and the tides are largely due to Lunar influence. Libra (Latin) balance, is the seventh sign of the zodiac. The name is given by the Romans. It is a small zodical constellation in the south hemisphere. It lies between Virgo and Scorpio. In the third line, 'Ratu hami', Mr. Red, refers to Mars. Here it is presented as a quarrelsome one, or as a one up in arms. The term 'dabara kara -- kara', is quite suitable here, owing to the innate nature of this planet recognised as the Roman god of war. It is in the asterism of Capricorn, the zodical constellation lying between Sagitarius and Aquarius. This is represented as the fore -- feet of a goat, with the tail of a fish. In the fourth line, ‘kalu hami' implies Saturn. The adjective 'Kalu' does not indicate the colour black. Instead, it suggests the meaning given in the word black- art implying black-magic. According to astrology, Saturn produces a cold, gloomy, temperament. This also signifies unpleasant realities of life. The word 'nondi' meaning limping, (to walk with an uneven step), may be suggesting the ring-system, and the ever varying spectacle. The asterism of Aquarius, implies a water -- bearer. His place has been depicted by an ancient poet, as follows:-- "Down from vega cast your glance across the dolphin's space, Then just as far again you'll find the water-bearer's place". In the fifth line, 'manamalaya' implies 'sikuru', the planet 'venus', the Roman godess of love, suggesting sexual love, amorous desires, and influences. It is in the asterism of Pisces. This is the 12th constellation of the zodiac. It does not contain any bright stars. This lies between Aquarius and Aries on the eleptic -- the Sun's orbit. In the sixth line, nanawathi', and 'dines' signify 'buda' and 'eru', namely Mercury and Sun. Sun suggests a wise, learned one and 'budh' in Sanskrit infers awareness, thinking power, inspiration, and restraint etc. Mercury, is the Roman god of skill, eloquence, and theft. He is the son of Zeus, and Atlas supposed to be swift, and graceful. Sun is the colossal display of solar energy, with which all life is possible on earth. It is the light and heat which kept the earth warm and give life to growth. it is the source of all energy, with which life is possible on earth. |
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