Sri Lanka’s socialist leader Anura Kumara Dissanayake assumed office as president on Monday, vowing reform in the island nation long run by powerful political dynasties and is emerging from its worst economic crisis in more than seven decades.
Millions of Sri Lankans had voted for the opposition politician, putting faith in his graft-fighting pledge and vow to support a shaky economic recovery.
During his inauguration speech at the president’s office, 55-year-old Dissanayake declared, “I pledge… to demonstrate dedication to protecting and upholding democracy,” acknowledging that he was assuming office during a difficult period.
“Our politics needs to be cleaner, and the people have called for a different political culture,” he stated. “I am ready to commit to that change.”
Numerous fans displayed banners outside with his image, with some waving the Sri Lankan flag and chanting “AKD,” the initials of the new president, who displaces the incumbent, veteran politician Ranil Wickremesinghe.
One of them, beautician Iroma Nilanthi Liyanage, said, “I’m very happy,” and added that Dissanayake gave her supporters hope. “We put forth a lot of effort to win this. The impoverished people now have a champion for the first time.”
His current responsibilities include forming a new cabinet and courting lawmakers in parliament, where his party holds only three of 225 members, to approve a budget in accordance with the conditions of an IMF bailout of $2.9 billion.
To make room for the new prime minister and his cabinet, Prime Minister Dinesh Gunawardena resigned prior to Monday’s swearing-in.
After former President Gotabaya Rajapaksa left the Indian Ocean island and resigned after protests sparked by the crisis, Gunawardena, 75, became prime minister in July 2022, which caused shortages of essential items and a debt default.
Dissanayake was declared the new president late on Sunday,
removing Wickremesinghe, the parliamentarian designated to complete Rajapaksa’s remaining term.
In early trade on Monday, Sri Lanka’s sovereign dollar bonds fell 2.88 to 3.28 cents against the dollar, bidding between 49.14 and 49.77 cents.
Investors fear that Marxist-leaning Dissanayake may try to renegotiate a debt agreement with bondholders that was finalized last week and that his intention to review the conditions of the nation’s IMF rescue could delay future payments.
China, the biggest bilateral creditor, and Sri Lanka’s immediate neighbors, India, Pakistan, and the Maldives, also congratulated Dissanayake on his victory.
(Reuters)
