Sri Lanka President Wickremesinghe fails to get backing of largest party for election

Sri Lanka’s President Ranil Wickremesinghe failed on Monday to secure the backing of the biggest political party in parliament for his re-election bid, posing a major challenge to his prospects in the Sept.21 vote.

Nearly 17 million of Sri Lanka’s 22 million population is eligible to cast its ballots in the vote that is crucial to determine the future of reforms in the South Asian island nation weathering its worst financial crisis in decades.

Of the multiple candidates, Wickremesinghe, who took over the top job in July 2022 as the economy crumbled under a severe financial crisis triggered by a record shortfall of foreign exchange reserves, is seen as the most market- and reform-friendly option.

But with just one seat in parliament, he needs the support of the Sri Lanka Podujana Peramuna (SLPP), which holds a parliamentary majority and counts former President Mahinda Rajapaksa and his brother as key members, to be a stronger contender.

“The politburo decided by a significant majority that Sri Lanka Podujana Peramuna will present a candidate under the SLPP party symbol,” SLPP General Secretary Salaga Kariyawasam told reporters after the party’s politburo meeting.

The SLPP candidate would be announced in the next few days, Kariyawasam added.

There was no immediate comment from Wickremesinghe or his office in response to the SLPP decision.

Although the SLPP decision is a blow to Wickremesinghe, it doesn’t take him out of the race entirely as he is contesting as an independent candidate and a breakaway faction of the SLPP and other opposition parties could end up supporting him.

His predecessor, Gotabaya Rajapaksa, was the first sitting president to be ousted from power after thousands of disgruntled protesters occupied his office and official residence forcing him to flee the country and later resign.

Over the past two years Wickremesinghe has overseen a fragile economic recovery securing a $2.9 billion International Monetary Fund (IMF) bailout program that helped stem a fall in the rupee, tame runaway inflation, and rebuild dollar reserves.

Wickremesinghe also set the groundwork for Sri Lanka to start debt restructuring talks with its official creditors and bondholders.

But pain from the financial fallout is far from over. Under the IMF program Sri Lanka still has to increase tax revenue, fix loss making state companies and finalize a $12.5 billion debt rework with bondholders.

Rising poverty levels, corruption and policy gridlocks are also among key concerns, analysts said, adding that the crisis may have also eroded the previously strong SLPP vote base, making the outcome of its alliance with Wickremesinghe unpredictable.

“People are silently waiting to give their decision on election day,” said political scientist Prof. Jayadeva Uyangoda.

“It is actually judgement time for Sri Lanka.”