by Raj Sivanathan, Groundviews, Colombo, March 26, 2026
A version of this article is also on Jaffna Post at The NPP Must Deliver Devolution and Economic Justice Now – Sri Lanka News
Sri Lanka stands today at a decisive and defining moment in its post-war political and economic journey. For more than three decades, the national discourse surrounding the Tamil question has remained narrowly confined to constitutional reform, devolution and the implementation of the 13th Amendment. While these discussions have occupied political platforms, international forums and academic circles, they have failed to deliver meaningful and lasting change to the lived realities of the people in the Northern and Eastern Provinces.
This reality forces us to confront a fundamental and uncomfortable question: what is the value of political structures that exist only in theory but fail in practice?
The 13th Amendment, introduced under the Indo-Lanka Accord in 1987, continues to stand as the primary constitutional framework for devolution. Provincial Councils were established with the intention of decentralising power and enabling regional self-governance. However, the promise of devolution has remained largely unfulfilled. Key administrative, financial and land-related powers continue to be held by the central government, severely limiting the effectiveness of provincial institutions.
From Jaffna Post
More concerning is the prolonged delay in conducting Provincial Council elections. This has created a governance vacuum in the regions, depriving citizens of democratic representation and weakening institutional accountability. Without elected representatives, governance becomes distant and public confidence continues to erode.
In recent times, the emergence of alternative administrative mechanisms such as Praja Shakthi has added another layer of complexity. While presented as development-focused initiatives, these structures risk bypassing elected bodies and normalising a parallel governance framework. Over time, such mechanisms can weaken the very foundation of democratic governance and devolution.
Sri Lanka’s history has shown that temporary administrative solutions often become permanent. If these parallel systems continue to expand, they may gradually replace or dilute the authority of Provincial Councils, resulting in a silent but significant erosion of devolution.
While constitutional debates have dominated the national conversation, one critical dimension has been consistently neglected: economic empowerment.
The Northern and Eastern Provinces continue to face deep structural economic challenges. Industrial development remains limited, the private sector is weak, and employment opportunities are scarce. Youth migration continues at an alarming rate as young people seek better prospects overseas. At the same time, valuable regional assets remain underutilised and investor confidence remains low.
Economic activity in these regions is still largely dependent on agriculture, fisheries and public sector employment. While these sectors are important, they cannot sustain long term economic growth or provide sufficient employment opportunities for future generations.
The consequences of this imbalance are clear. Economic stagnation leads to social instability, dependency increases and the gap between regions continues to widen. Without economic power, political authority becomes merely symbolic.
Even if Provincial Councils are fully operational, their ability to deliver meaningful outcomes will remain limited without financial autonomy and economic strength. Political rights cannot be sustained in a society where economic opportunities are absent.
This highlights a critical truth: devolution must go beyond political arrangements. It must be anchored in economic transformation.
A comprehensive and forward looking development strategy for the North and East must include region-specific investment zones that leverage local strengths, the development of strategic infrastructure such as ports and airports and the creation of industrial and export-oriented hubs. Connectivity, both physical and digital, must be strengthened to integrate these regions into national and global markets.
Equally important is the establishment of efficient, transparent and accountable governance systems that inspire confidence among investors.
The Tamil diaspora represents one of the most significant untapped resources in this context. With global exposure, financial capacity and technical expertise, diaspora communities have the potential to play a transformative role in regional development. However, investment decisions are driven by confidence, not sentiment.
Diaspora investors require policy clarity, institutional stability, legal protection and ease of doing business. Without these conditions, investment will remain limited, and opportunities will continue to be lost.
Sri Lanka must recognise that economic development in the North and East is not a concession to a minority community. It is a strategic national priority that can contribute to overall economic growth, foreign exchange earnings and regional stability.
The NPP government, with its strong parliamentary mandate, is uniquely positioned to break from the cycle of promises and inaction that has characterised previous administrations.
For decades, successive governments have pledged to address the Tamil question through devolution and development. Yet implementation has consistently fallen short. This has resulted in deep scepticism and a lack of trust among affected communities.
Rebuilding that trust is now essential. The credibility of the government will depend not on statements or commitments but on concrete actions and measurable outcomes.
Several immediate steps are required. These include the full and meaningful implementation of the 13th Amendment, the urgent conduct of Provincial Council elections and the regulation of parallel administrative structures. At the same time, economic policy must be aligned with devolution, ensuring that regional development is not treated as an afterthought.
Structured mechanisms must also be established to facilitate diaspora investment, including one stop investment platforms, transparent approval processes and investment protection frameworks.
The Northern and Eastern Provinces must be repositioned as strategic economic zones within the national development framework. Regions such as Jaffna, Kankesanthurai (KKS) and Trincomalee hold immense potential. The development of KKS Port, the expansion of Jaffna International Airport and improved connectivity with regional markets can transform these areas into key economic gateways. These initiatives would not only generate employment and investment but also strengthen national economic resilience.
Importantly, meaningful economic development can also contribute to political reconciliation. When communities experience tangible improvements in their quality of life, it strengthens social cohesion and reduces long standing grievances.
Sri Lanka now stands at a crossroads. It can continue with incremental and symbolic approaches that fail to address the root causes of regional disparity or it can adopt a bold and integrated strategy that combines political reform with economic transformation.
The choice is clear. Devolution without economic power will not deliver dignity. Economic growth without political inclusion will not deliver stability. Both must advance together. The time for delay has passed. The time for decisive action is now.
Raj Sivanathan is an economic development advocate and commentator focused on Northern Sri Lanka’s industrial revival, diaspora engagement, and sustainable investment initiatives. He is affiliated with WTSL and TMC (NIS26), promoting structured investment and regional development.