Changing the world begins with changing our minds. In the midst of growing global crises, including climate change, increasing polarization, inequality, and an overarching sense of disconnection from those around us and the natural world, it’s not a stretch to say that humanity needs change. Without question, the external systems and structures of our world need to be examined and adjusted. Yet a more hidden source of our current problems runs so deep that it is often overlooked. The very mindset that has enabled today’s crises lies inside of us. As we wrestle with the question of how to create change, there are many levels on which to work—ecological, political, organizational, societal, and individual. ~ Wendy Hasenkamp, PhD, Science Director, Mind & Life Institute, and host of the Mind & Life podcast
Whether one likes it or not and irrespective of whoever to blame for it, the financial bankruptcy experienced by the country in 2022 was a defining moment for the country when not only its financial situation but its economic, health, and social wellbeing were disastrously affected. If one thought laterally and “outside the box,” it was an opportunity to chart a course for the future economic and social wellbeing of the country different from the path that led to the bankruptcy. The question, though, is whether the collective of those responsible, including the people themselves, the political establishment, the bureaucracy, the private sector, members of the clergy, and other civil society entities and others within the fabric of society, recognized the enormity and repercussions of financial bankruptcy with futuristic eyes or whether they are still looking backwards, more intent on maintaining the status quo with superficial, cosmetic changes. In Einstein’s words, are they being fools expecting different results by doing the same thing?
As Dr. Wendy Hasencamp has stated, the very mindset that enabled today’s crises lies inside of us. It follows, or should follow, that a future crisis could only be avoided by changing one’s mindset, as that is what is inside us. System change without a mindset change will be futile, as such changed systems will revert to past practices when conditions, especially self-serving political conditions and practices, resurface, as has been experienced in Sri Lanka.
Without any debate, the all-pervading cancer of corruption, drug proliferation, the all-powerful drug mafia—which survives and thrives due to the symbiotic relationship between it and some members of the political establishment, sections of the Police, the judiciary, the bureaucracy and customs, and very distressingly, even some within religious institutions—contributed to the degradation of society and financial bankruptcy. One could say, without debate, if one were honest in their assessments, that the NPP government is at least trying to address some of these contributory factors, but unfortunately, to the onlooker, it does not appear that within the political establishment, those outside of the NPP government are demonstrating their understanding of the cancer nor a willingness to join hands in eradicating it. It does beg the question why, and what compulsions are preventing them from addressing something so obvious to many.
The above all-pervading cancer has had an impact on virtually every aspect of the society’s economic fundamentals. Unaffordable, unproductive, unsustainable borrowings, huge spending well above earnings, lack of government savings, both in foreign currency and Sri Lankan rupees, absence of a mechanism to invest and grow savings like Singapore had done, a politicized Central Bank until recently that compromised the integrity of the country’s monetary policy, a fluctuating currency exchange rate that drove away potential investors with a sound mind, the uncertainty surrounding policies applicable to investment projects, etc., are but some of the key economic fundamentals that were mismanaged by successive governments that finally sunk the Sri Lankan ship in 2022.
The challenges before the country to eradicate corruption, the drug industry and its mafia; to give life to a bureaucracy that, besides its corruption, has followed the motto, “more work, more blame; no work, no blame”; to renew and foster the growth of a private sector which has, by and large, been focused on an internal base that is debt-ridden to further their profits and growth; to energize the less-than-productive agriculture and plantation sectors based on technology and higher productivity following the maxim of obtaining more with less, meaning making better use of available land, including a futuristic assessment of the productivity of land used by the plantation industry and options that could produce more with less land, and more broadly, how best research and development could increase productivity with less land and with different crops and intercropping; besides this industry, re-energizing the general industrial base of the country with technological advancements and innovations, and working to reach the full potential of the fisheries industry that has a potential catchment area up to 200 kilometers from the shore.
The potential to grow Sri Lanka’s economy and increase the country’s per capita income is substantial. However, it is unlikely that this potential will be realized unless a change in the mindset leads to a system change that is essential to achieve the potential that is clearly there. There is no question that unless this happens, and the country earns more, saves more and manages expenditure within its income, it will be following Einstein’s dictum of expecting different results while doing the same thing. The NPP government has commenced some activities to achieve the potential, but it does not appear there is a comprehensive strategic plan that identifies the goals and objectives and action plans that are linked to the objectives in respect of the key areas that will propel the economy to a higher and more sustainable platform. Such plans are needed for key areas of the economy such as agriculture and the plantation industry, fisheries industry, the export industry, the tourism industry, among others. Such strategic plans, publicly available, will increase confidence amongst the public and will also serve to provide information to potential investors, local and foreign.
While the NPP government has been in power for just a year, some of its initiatives are commendable. However, perhaps due to a gap between actual activities and publicity for them, a general perception of there being more talk and less action appears to be feeding various social media platforms. Perhaps websites that are publicly accessible and which contain regularly updated strategic plans as outlined above will assist the public to be informed directly about the progress of key areas of reform driven by system change.
From the broader perspective of mindset-driven system change in operational activity, initiatives such as digitalization are very much in the sphere of such a change. It is a far-reaching change that will drive a mindset change. This is indeed the type of mindset-linked system change that is needed to introduce a technology-driven operational activity that is bound to change its dynamics, reduce costs, reduce opportunities for corrupt activity, and improve the efficiency and effectiveness of operations.
Mindset change needed to drive system change in areas such as within the political establishment, in investment policies and practices, in widening the role of the private sector, and in restructuring the diplomatic services of the country for it to be focal points in overseas locations to promote the investment potential in Sri Lanka, are far more challenging than some of the above-mentioned areas.
The political establishment: Changes in the political establishment and changes in political governance thinking are essential areas needed to transform virtually all other areas that need a mindset-driven system change as it is the pivotal entity that drives what is good, what is bad, and what is ugly. The Lincolnian phrase “that government of the people, by the people, for the people, shall not perish from the earth” seems more a myth than reality in many countries today. In the USA, supposedly the citadel of democracy, one person makes decisions that not only affect its own population but the rest of the world. To varying degrees, people have no connection with whom they have elected, perhaps except during periodic elections. Sri Lanka is no exception. Despite recent elections in the country, both to the National Parliament and to local government bodies, most constituents have no avenue to reach elected members who supposedly represent them. In many instances, the supposed servant of the people has become the master. Besides this structural weakness, elected representatives, particularly to the National Parliament, sit in judgment as adjudicators on national policies irrespective of whether they are competent to do so or not. A new constitution that empowers entities that have the expertise to do such adjudication is one mindset-driven system change that is imperative if national policies are to be driven by expertise rather than a Parliamentary majority where, in effect, people have no opportunity or a voice in policy formulation.
Investment policies and practices: Another key area that requires a major shift in thinking if serious investors are to be attracted to the country. Firstly, such serious investors will not invest in the country if it’s driven by corrupt practices. The effort of the NPP government to address this issue is paramount and should be commended and supported. Secondly, if investments are to be long term, policies pertaining to them have to be long term and not be amended whenever governments change in between such long-term periods. Investors need such certainty, as only short-term investors, some of whom could be dubious investors, will be interested in investing in a corrupt, uncertain climate. Thirdly, the criteria for potential investments have to be clearly and unambiguously provided as publicly available documents, and the application processing time has to be clearly specified and implemented.
Every effort should be made to make it conditional that a specified local staffing and material component is essential, especially in respect of foreign direct investments. This will help the country to develop its human resources and also its industries that would provide at least some materials required by the investors. Finally, the infrastructure required for setting up particular categories of industries has to be ready and operational for the investors to begin operations within a specified period after the investment application has been approved. No doubt there are many examples where all or some of these criteria have not been adhered to.
Role of the private sector: Its impact within the country and abroad via exports has to become a pivotal component of the country’s economic future. The current level of manufacture and investment by the private sector and the amount of value-added exports is hardly sufficient to raise the country’s economic platform and transform it to a higher income status. Often private sector entities have been supported if they had the right political connections, or their attempts to broaden portfolios thwarted if they did not. While policy formulation is the responsibility of the government, it should not have an operational role, and a system change that provides government departments the freedom to engage in policy implementation without political interference should be seriously pursued. In essence, the private sector should have the freedom to operate freely as long as they comply with policy, and they too should have had a role in formulating them.
Restructuring the diplomatic service: Shifting its emphasis to promoting and advancing trade and commercial opportunities on behalf of Sri Lanka is a system change that is imperative as a more productive return on the costs associated with the foreign service. Today, global political dynamics are such that a Sri Lankan High Commissioner or an ambassador could do very little if not nothing to influence decisions taken by foreign countries whether such decisions are adverse or otherwise to Sri Lanka. In the context of the suggested system change, and a change in the emphasis of the foreign service, the personnel assigned to foreign missions, including High Commissioners and ambassadors, should be more commercially oriented in order to have a mindset that senses commercial opportunities for Sri Lanka in the countries they are assigned to. No doubt there would be some exceptions, particularly in countries like the USA, China, Russia, India, and Japan, where very high-level astute diplomats should be co-located along with high-level commercially astute representatives. Capable and competent representations in key international bodies and trade organizations are perhaps more important than having diplomatic posts in some countries.
Research and development: In a world fast becoming technologically and AI-driven, Sri Lanka’s economic future must also be driven by research and development based on technology. Whether it is agriculture, the plantation industry, fisheries, or other industries that provide food security for the country and export-oriented industries, research has to be the cornerstone that drives these industries to the future. Such research could provide information to would-be investors, both local and foreign, about opportunities for value addition rather than simply exporting raw materials to other countries. Research and development should also be the cornerstone for guiding how the environment could be better protected, managed, and sustained, as ad hoc, uninformed strategies are bound to fail.
Finally, in order to raise Sri Lanka’s economic platform and increase its ability to serve its people and improve quality of life, new thinking and new approaches are essential. George Bernard Shaw’s quotation that “some people look at things as they are and ask why, while others look at things as they never were, and ask why not?” should be the theme and guide for the future. Mindset-driven system change is a long-term, ongoing exercise, and opportunities for upcoming generations to acquire knowledge and live in such an environment should become the goal of all political representatives and civil society in general. If one were to listen to proceedings in Parliament today, it does not appear that such a goal is within the sight of many Parliamentarians and political parties, particularly Opposition parties. They must talk about the future and offer more ideas to the public than even the government, as such an approach would help in propelling the country toward a new beginning. The past is important to the extent of learning how things could have been done better. Charting a course for the future requires new thinking, innovations, and strategies for how the country could move with the emerging environment.
