May 20, Colombo (LNW): United Kingdom and Sri Lanka joined hands to protect and enhance marine ecosystems to support biodiversity and good water quality, whilst also providing sustainable seafood for Sri Lankans.
The UK Government’s Department for the Environment, Food and Rural Affairs and Sri Lanka’s Ministry of the Environment have signed a Memorandum of Understanding (MoU) between the two nations, to protect and enhance the marine environment.
Prabath Chadrakeerthi, Secretary, Ministry of Environment and Sara Rusling, Deputy Director for the UK’s Department for Environment, Food and Rural Affairs (Defra) signed the agreement that represents a united effort to work together to protect and enhance marine ecosystems to support biodiversity and good water quality, whilst also providing sustainable seafood for Sri Lankans.
Through the UK’s Ocean Country Partnership Programme (OCPP), Sri Lanka and the UK will be collaborating to tackle the three key challenges of marine biodiversity, marine pollution and sustainable seafood.
The OCPP aims to support the marine environment and to make a positive impact on the livelihoods of coastal communities that depend on healthy marine ecosystems.
The MoU recognises work that has been taking place over the last few years that includes joint research on plastic pollution, setting up new microplastics laboratories, knowledge exchange on scientific methods to support water quality monitoring and collaboration.
It is aimed at enhancing Sri Lanka’s Marine Protected Areas to meet the country’s conservation ambitions and biodiversity commitments.
The programme also focuses on marine pollution emergency response techniques, with a focus on the environmental aspects of prevention, preparedness and response.
Joint work has also taken place around enabling safe and sustainable seafood production, particularly with regards to aquaculture.
The OCPP programme also includes work with the Association of Commonwealth Universities (ACU), providing scholarships for Masters students hosted by the University of Kelaniya and University of Peradeniya.
The scholarships will enable scholars from Sri Lanka to harness their regional knowledge and conduct vital research that will contribute to the conservation and sustainable management of marine resources, and strengthen responses to marine environmental challenges.
The UK Marine Minister, Lord Benyon said the UK and Sri Lanka have a long history of collaboration, and through our joint work have already made important progress on tackling marine pollution and supporting the biodiversity of Sri Lanka’s waters.
Lord Benyo said the agreement formalises efforts to secure a healthy marine environment, and through the UK’s Ocean Country Partnership Programme, will help us tackle the pivotal challenges faced by marine life and coastal communities in the future.
May 20, Colombo (LNW): Indian Guru and Spiritual Leader Sri Sri Ravi Shankar participated in the Kumbabhishekham Pooja at the Seetha Amman Kovil in Nuwara Eliya.He was joined by a large delegation of 154 people who also arrived for the ceremony.
“Sri Lanka is such a beautiful place, and this is a historic place and very emotionally connected for people from the Indian subcontinent,” he said upon arrival.
“There is a lot of interest in tourism and pilgrimage for Sri Lanka, and this will be one of the first steps we would like to bring here.”
Gurudev addressed a public meeting at an event titled ‘Ekamuthuva: An Evening of Music, Meditation and Wisdom’ at Taj Samudra on 19th May.
At the event, 12 skill development centers of The Art of Living across the country have been inaugurated. These centers aim to empower over 5000 youth with skills to make them job-ready. At the same event, Gurudev also virtually inaugurated The Art of Living Center in Wattala.
Under the skills development project, skills training workshops will be organized at 12 technical colleges of Sri Lanka, where
The Art of Living has equipped the centers with learning labs based on the latest technology. In phase one of the project, The Art of Living is providing skills training to over 5000 youth to make them ready for jobs.
Gurudev Sri Sri Ravi Shankar is a globally revered spiritual master and humanitarian leader. His vision of a violence-free and stress-free society has broadened the sphere of responsibility for over 500 million people in 184 countries and counting, encouraging them to work for the betterment of the world, through a reawakening of human values, for the last four decades.
A procession of chariots carrying water and offerings from the Sarayu River in Ayodhya, India, considered the birthplace of Lord Rama, arrived at the Seetha Amman Kovil in Nuwara Eliya yesterday.
These offerings are for the Kumbabhishekham Pooja held on Sunday (19).The Seetha Amman Temple is a Hindu temple located in Seetha Eliya village in Nuwara Eliya.
This place is believed to be the site where Sita was held captive by the rakshasa king Ravana, and where she prayed daily for her husband Rama to come and rescue her in the Hindu epic, the Ramayana.
A pooja was held testerday at the Seetha Amman Kovil, with a large number of devotees participating from home and abroad.A group recently brought holy water from the Sarayu River in Ayodhya, India, to Sri Lanka for the Kumbhabhishekam Pooja.
The procession carrying the water and offerings began its journey yesterday at the Mayurapathy Temple in Colombo.Today, following a pooja at the Hanuman Temple in Ramboda, it was brought to the Seetha Amman Kovil.
May 20, Colombo (LNW): The Sri Lanka All Union Alliance of the Board of Investment (BOI) has issued a stark warning against the proposed Economic Transformation Bill, set to be submitted to Parliament on May 22.
The alliance cautions that the Bill will severely destabilize the investment sector, which is already grappling with economic challenges.
According to the coalition, the Bill caters to a select few individuals without consulting field experts or investors. This could prompt the departure of existing investors, further jeopardizing the sector.
The alliance calls for a transparent revision of the Bill, involving affected parties and economic experts.
While proponents claim the act will drive significant economic transformation, the alliance argues that its true aim is to secure financial gains by transferring 15 profitable investment zones under BOI control to private associates before upcoming elections.
A critical aspect of the bill is the immediate repeal of the Sri Lanka Board of Investment Act No. 4 of 1978, which would disrupt operations for both foreign and domestic companies currently under BOI governance.
The act proposes the creation of five new entities: the Sri Lanka Economic Commission, Sri Lanka Investment Zones, Office for International Trade, National Productivity Commission, and the Sri Lanka Institute of Economics and International Trade.
It includes the appointment of three separate boards of directors and 25 senior positions, likely filled by political affiliates, according to the alliance.
This restructuring will split the BOI into two entities—one managing investment zones and the other handling external investment projects—potentially undermining the integrated support system that currently facilitates over 2000 projects.
The alliance highlights that the BOI has been instrumental in maintaining investment zone operations during crises, including the COVID-19 pandemic, and questions the logic behind privatizing profitable zones.
They warn that privatization will increase operational costs for investors and jeopardize employee rights, as the BOI currently liaises with the Labor Department to safeguard occupational rights.
Furthermore, the bill grants the Minister of Investment, with Finance Minister Approval, the authority to approve projects rejected by other agencies, bypassing cabinet scrutiny. This could open avenues for corruption and environmentally or socially harmful projects.
The alliance argues that the primary barrier to attracting investment is the lack of a consistent policy, not the structure of the BOI. They call for strategic changes to improve the investment environment rather than resorting to privatization and restructuring.
This article is based on views expressed by two globally leading business persons this week regarding operations of the US central bank, Federal Reserve (Fed), which can be applied in general to central banking.
According to an article published in yahoo!finance website on 17 May 2024, Elon Musk, the third richest businessman in the US, has compared the Fed’s money printer to a game of monopoly (see article here) (It was reported that the President of Sri Lanka also met him today in Indonesia). This view is based on generally limitless amount of money that the Fed can supply and, therefore, the Fed never goes bankrupt. He also has raised concerns over the US fiscal deficit which is expansionary in money.
According to an article published in Fortune website on 18 May 2024, Rick Rieder, Chief Investment Officer at Blackrock, has proposed (at a Bloomberg interview) that the Fed reverse the tight monetary policy course and cut interest rates now to tame inflationary pressures at the present stage (see article here). This is the opposite to the world view of central banks and conventional monetarists on inflation control.
The credibility of both gentlemen is not doubted for their comments. Therefore, this short article is designed to have an insight into the two views above on central banking to establish that central banks in the present model are significant misfits to the modern monetary economies and living standards.
Evolution of central banks and monetary policy
Invention
Central banks commenced evolving from commercial banking to unify multi-currency systems under the single legal tender or sovereign currency issued by central banks on behalf of the governments while performing as bankers’ bank and banker to the government. Accordingly, central banks became the monopoly printers of currency to drive the monetary system. Therefore, the public duty of early central banks was to maintain the stability of the monetary and banking system.
Monetary policy
However, the creation of money through credit operations by banks on the use of currency as the reserve became the major source of the money stock circulating to fund real business activities. Therefore, central banks later started practicing the monetary policy or money printing to regulate the stock of money for various economic objectives such as the control of inflation and promotion of growth and employment.
The monetary policy at the beginning was primarily about how central banks regulated the country’s stock of currency through their conscious actions such interest rates charged on loans given to member banks and restrictions imposed on such loans. Depending on the tightness of the availability of currency issued by central banks (monetary policy), credit conditions in the economy are affected as currency reserves kept by banks to support credit operations also are affected by the monetary policy.
Control of bank reserves
In present monetary systems with IT-based payment systems and fund management applications, banks maintain and operate their reserves at respective current accounts held with the central bank as the key conduit to manage their cash flows. Accordingly, these reserve balances are used for managing liquidity of banks including payment settlements taking place through inter-banks. This is especially required as the inter-bank payment system is operated and maintained by central banks where the settlement takes place through bank current accounts held with the central banks.
Policy interest rates
Therefore, in controlling of bank reserves in modern market-based monetary policies, central banks target the aggregate amount of bank reserves available or flowing in bank accounts with them to be in line with relevant economic policy objects. The central bank interest rate or policy rate is the key policy instrument used to regulate bank reserves. The amount of reserves banks use in currency form depends on cash requirements of banks to meet the currency demand of their customers.
Present monetary policy model
In the present model of policy rates-based monetary policies, central banks have the common habit of changing policy rates by looking at deviations of annual change of the consumer price index from the inflation target, i.e., 2% in developed market economies. This is based on the questionable, old monetary concept of inflation as a monetary result arising from the direct impact of the money stock on the demand side of the economy, i.e., aggregate demand for goods and services.
Accordingly, the common monetary policy prescription adopted world over is to raise policy interest rates to bring down inflation when it rises above the target inflation and vise versa. This instrument is envisaged to target the range of overnight inter-bank interest rate to deliver all macroeconomic wonders expected in the monetary theory.
Acceptability of Elan Musk’s view on monopoly money printing game
Therefore, monopoly money printing of present central banks imply the discretionary ability of central banks to expand or contract reserves or funds in bank accounts held with them. If one sees how central banks conduct monetary operations or so called open market operations, it is really a game of money printing as stated by Elan Musk because the way central banks behave in money printing and talk about underling monetary policies are confusing. Several instances are given below.
While standing facilities are available to provide reserve to banks, various other devices including trade of government securities also are adopted to provide reserves as well as to take out reserves from banks simultaneously.
These devices are operated on overnight basis and various term basis that nobody understands the specific purpose where central banks talk about short-term liquidity (or reserves) and long-term liquidity at times.
Special lending/liquidity facilities at favourable rates are provided covertly without any public communications.
For inter-bank settlements, interest-free, limitless lending facilities are provided for within the day repayment and interest is charged if not settled at the end of the day. Therefore, a huge amount of free reserves is provided for financing daily business operations as required by banks, irrespective of central bank targets of bank reserves.
Interest is paid on bank reserve balances overnight.
The trade of government securities and thereby the fiscal deficit are largely used conduits to to change the level of bank reserves and interest rates in the economy.
Policy interest rates and total reserve operations are inconsistent with the monetary policy story.
Ad-hoc change in interest rates on various grounds in cycles is a major part of the game as nobody can figure out their actual effects even after years of interest rate cycles.
Central banks although they fund their asset operations through money printing report diverse figures of profits and losses.
Irrespective of losses and erosion of capital, no central bank goes bankrupt as they do not have to repay their currency liabilities. Even if the public reject currency as money or legal tender, for instance Zimbabwe and Venezuela, central banks neither go bankrupt nor get closed down.
The Fed’s money printing game can be understood by looking at irregular movements of Fed assets funded through money printing during last 15 years (see the chart below).
Rick Rieder’s view to cut interest rates to tame persistent inflationary pressures
Rick Rieder is a leading market player betting on interest rate and money printing game of the Fed and other central banks, given the wide investment profile of the Blackrock (also an investor in Sri Lankan Sovereign Bonds under default). Therefore, he has observed the presently unprecedented inflationary pressures reported after 1970s and highest levels of interest rates reported after 2001 to fight inflation in line with the old monetary book. A few highlights of the problem are as follows.
The US inflation which was mostly below 2% until the pandemic period since 2007/09 financial crisis rose precipitously to the peak of 9.1% in June 2023 as compared with 1.4% in January 2021 and fallen to 3.4% in April 2024.
The policy interest rate has been raised to 5.25%-5.5% at present from 0-0.25% in February 2022. The increase cycle has passed 11 consecutive hikes in total of 5.25%. The present level of 5.25%-5.5% has remained for the past 10 months.
The Fed keeps telling that interest rates are appropriate at current level and will stay longer until the full confidence is received towards inflation falling sustainably to 2% target. Therefore, inflation control still lays long way behind as inflation seems to be persistent and downward rigid.
In contrast to expectations in the monetary theory, the growth and employment remain strong with an unemployment rate below 4% at 50 years low.
The position is similar in the UK and Euro Zone too (see two charts below). Inflation in all three countries is persistent above 2% target while policy rates have been in the range of high 4.75% – 5.50% for the past 8-10 months.
In this background, Rick Rieder proposes to cut policy rates now to tame persistent inflation. His view is supported by several facts.
First, non-response of inflation to so tight monetary policy to bring inflation back to the target of 2% even after two years of monetary tightening shows the strong existence of non-monetary and supply side factors behind high and persistent inflationary pressures.
Second, high interest rates have led to rising interest income on investments of the middle and high income classes and they have tended to use this income to raise spending on services products. Therefore, services inflation continues to stay high and transmit further inflationary pressures to other demand sectors.
Third, in modern monetary economies, interest rate is a fundamental component in the cost of production and product pricing where production activities are not significantly sensitive to interest rate changes. This position is proved by the continued strong growth and tight labor market conditions. Therefore, high interest rates is a part of the problem of high prices and persistent inflationary pressures through cost-push factors. This is the position strongly taken by the present Turkish President who sacked three central bank governors in the row on the allegation of raising interest rates to control inflationary pressures. He has been continuously advocating for lower interest rates to reduce cost and increase production which jointly reduce inflation. That is the reason why the US government now implements the Inflation Reduction Act to fix supply bottlenecks behind structural inflation although inflation control is the Fed responsibility.
Accordingly, Rick Rieder’s view is that cutting policy rates now will revise inflation dynamics such as sectoral inflation differences and cost of production/productivity in the US economy which will help ease present inflationary pressures. This is a very practical position that is not provided for in the monetary theory of inflation. Therefore, this view is against the present model of interest rates-based monetary policy.
Remarks – The need to redesign central banking service
World over, public agitations are rising against unbearably high interest rates and inflationary pressures although central banks promise to tame inflation over medium-term.
In the UK, central bank’s interest rate setting monetary independence has already been challenged by Conservative MPs.
In the US, Presidential candidate Donald Trump has promised to abolish the present interest rate setting system of the Fed and to take it under the President. There are allegations that the Fed purposely delays cutting interest rates now despite significant disinflation path as it could drive political benefits to the incumbent President at the election due in November this years.
Overall, monetary and economic perspectives of modern economies are vastly different from those at the inception of central banks and development of monetary/inflation theory and market-based monetary policies in 1980s. The policy model was spread to developing countries by the IMF/World Bank subsequently through conditions imposed on their lending programs.
The pandemic has challenged the validity of the policy model as central banks did not have experience in dealing with economies confronted with global health pandemics. They have policy experiences only in dealing with business cycles and financial crises and connected price pressures. That is why central banks in advanced market economies have miserably failed to arrest post-pandemic inflationary pressures being confronted from the middle of 2021.
Central bank inflation control/price stability work is only a statistical exercise in estimation of inflation as well as analysis of dynamics and forecast of inflation. What is important for the price stability is to control the cost of living of general public. However, central banks do not have instruments to bring back prices to previous levels after changes. Therefore, inflation control or price stability object of the monetary policy is meaningless for stable cost of living.
Financial stability also is a broken mandate of central banks in view of the history of financial crises. They talk about strong and resilient financial systems until crises touch down unexpectedly.
Markets have invented a lot of electronic moneys operated by private markets cross border leading to falling needs of cash reserves and, therefore, theoretical monetary policy stories have become redundant in evolving markets.
Therefore, central banking of the present model has become a deep design problem of the state confronting economies and societies driven by the modern technological advances with the latest being Artificial Intelligence that central bank bureaucracies will not be ready to adopt soon.
Therefore, unless central banks are redesigned to be effective in modern market mechanism and monetary and financial needs of the public, they will remain to be another deep state bureaucracy not serving the general public in improvement for their living standards. As such, the wide spread notion of the central bank independence will be a threat to the national security too as independent central bank managers do not fall from the divine world.
It is unthinkable why Sri Lankan lawmakers gave a brand new independence to the central bank which has miserably failed in its stability mandate on all fronts pushing the country into bankruptcy in 2022.
This article is released in the interest of participating in the professional dialogue to find out solutions to present economic crisis confronted by the general public consequent to the global Corona pandemic, subsequent economic disruptions and shocks both local and global and policy failures. All are personal views of the author based on his research in the subject of Economics which have no intension to personally or maliciously discredit characters of any individuals.)
P Samarasiri
Former Deputy Governor, Central Bank of Sri Lanka
(Former Director of Bank Supervision, Assistant Governor, Secretary to the Monetary Board and Compliance Officer of the Central Bank, Former Chairman of the Sri Lanka Accounting and Auditing Standards Board and Credit Information Bureau, Former Chairman and Vice Chairman of the Institute of Bankers of Sri Lanka, Former Member of the Securities and Exchange Commission and Insurance Regulatory Commission and the Author of 12 Economics and Banking Books and a large number of articles published.
President Ranil Wickremesinghe conveys Sri Lanka’s profound shock and sorrow over the tragic death of Iranian President Ebrahim Raisi, Foreign Minister Amir Abdollahian, and other senior Iranian officials: expresses his deepest sympathies and sincere condolences to the bereaved families, the government, and the people of Iran: notes Sri Lanka’s thoughts and prayers are with the families of President Raisi and his entourage during this difficult time.
Political sources indicate that the so called secretive meetings between SLPP’s Basil Rajapaksa and President Ranil Wickremesinghe about the upcoming presidential election ended in a deadlock: add Wickremesinghe had promised to bring 25 SJB members into the government, but this hasn’t happened: reveal Rajapaksa urged the President to fulfil this pledge by June 15: With the Election Commission expected to call the election by mid-July, SLPP insists on immediate preparations: If Wickremesinghe fails, SLPP will proceed with its own plans for the election, sources add.
NPP Leader Anura Kumara Dissanayake says his Party is ready to face any upcoming election, regardless of which one, the Presidential Election or the General Election, being held first: asserts according to the Constitution, the President can dissolve Parliament and hold a General Election, but the Presidential Election must be held on a date between September 17 and October 16: stresses both the SLPP and the SJB wish to hold the General Election first, in what he described as ‘the fate of both parties being already known’ in the event of a Presidential Election being held first.
The Meteorology Department warns due to South-West monsoon conditions are gradually establishing across the island, prevailing showery and windy conditions will continue further: issues ‘Red Alert’ warning that very heavy showers above 100mm are likely at some places in Western, Sabaragamuwa and North-Western provinces and in Galle, Matara, Kandy, Nuwara-Eliya and Mannar districts: urges the public to stay vigilant and take adequate measures to prevent any damages.
HNB CEO Jonathan Alles predicts larger banks in Sri Lanka can secure long-term borrowing rates below 10% for unsecured instruments, with short-term rates closer to 11%: foresees a gradual decline in interest rates but no significant cuts in the near term: notes recent corporate debentures priced around 13.05% due to smaller issuing institutions and advised against locking in high rates: Treasury bond rates have recently dropped, and the next major issuance is on June 13: Analysts highlight an illiquidity premium on corporate debentures due to a lack of active market.
The All-Ceylon Prison Officers’ Union commences a strike from May 20 to 22, demanding a Rs. 25,000 salary increase: This action underscores prison officers’ dissatisfaction with their pay: Meanwhile, the strike by non-academic university staff continues, causing major disruptions across the university system, according to T. A. D. Suranjeeva, General Secretary of the Peradeniya University Trade Union Federation.
Reports emerge that over 600 employees at Sri Lanka’s Sapugaskanda Refinery face potential job losses as it transitions into an independent public enterprise: Only around 200 workers will be retained, with the rest being placed in a pool for potential selection: The Cabinet approved this change to modernise the refinery and extend its life by 25 years: GOSL seeks a strategic investment partner for upgrading the facility: Future plans include possibly relocating the refinery to Trincomalee with enhanced facilities.
Renowned Sri Lankan Family Medicine Specialist Dr. Sanath Hettige has been awarded the WONCA South Asia Regional Five Star Doctor Award 2024 for his excellence as a team member, care provider, decision maker, communicator, and community leader in the field of Family Medicine in Sri Lanka: He has received national and international recognition for his contributions, including awards for medical inventions such as Papaya Leaf Capsule for Dengue Fever and the Corona Hat: also recognised for his research, teaching, and entrepreneurial ventures in medicine, cosmetics, tourism, and estates plantations.
The Sri Lanka-China Friendship Association (SLCFA) launches the book “Sri Lanka Cheena Mithudama” at the National Library: The event featured speeches from former Speaker of Parliament Karu Jayasuriya and Chinese Ambassador Qi Zhenhong: The book explores the historical, cultural, and economic ties between Sri Lanka and China.
The Sri Lanka Para athletics team led by Paralympic gold medalist Dinesh Priyantha Herath departs for the World Para Athletic Championship in Kobe, Japan: The event is crucial for athletes seeking to qualify for the Paris Paralympics: While Herath and Samitha Dulan have already qualified, other team members, including Janani Dhananjana, aim to meet qualification standards: The Sports Development Department has provided financial support for this tour: Four athletes are competing, and the team is hopeful for strong performances, especially from Commonwealth bronze medalist Palith Bandara.
May 20, Colombo (LNW): Under the present conditions, larger banks could secure borrowing rates below 10 per cent over the long term for unsecured or subordinated instruments, such as corporate debentures, said Jonathan Alles, the Chief Executive Officer (CEO) of Hatton National Bank, in an expression of his views on the current borrowing environment for major banks in Sri Lanka.
He added that in the short term, a significant bank could issue an instrument at a rate closer to 11 per cent.
Speaking exclusively in Thimbirigasyaya on May 19, Alles advised patience, predicting that interest rates would eventually decrease.
He anticipated a gradual decline in interest rates in the coming period, although he did not foresee significant cuts by the Monetary Board at their upcoming meeting on May 28.
He also mentioned the possibility of increased rate volatility as elections approach.
Commenting on recent corporate debentures being priced around 13.05 per cent, Alles attributed this to the smaller scale of the issuing institutions.
Despite this, he recognised that such rates were still impressive compared to other market rates, likely due to the strong balance sheets of the issuers’ ultimate owners.
Alles cautioned against locking in rates when they are above long-term averages, a sentiment echoed by other analysts who have criticised the issuance of fixed-rate instruments in such scenarios.
He recalled resisting pressure to issue instruments at rates as high as 26 per cent during last year’s crisis, opting instead to wait for more favourable conditions.
He predicted a slow but steady decline in interest rates moving forward.
Following significant drops in treasury bond rates during the May 13 issuance, the next major bond issuance is scheduled for June 13, after the Monetary Policy decision on May 28.
In the previous issuance, the Weighted Average Yield Rate for bonds maturing in 2028 decreased by 0.71 per cent, for those maturing in 2030 by 0.53 per cent, and for those maturing in 2032 by 0.30 per cent.
Other analysts have noted that an illiquidity premium has been applied to corporate debentures due to the lack of an active market.
The Securities and Exchange Commission of Sri Lanka, along with other entities, has restricted client access to the corporate debenture board on the Atrad system.
Primary dealers and banks have their own proprietary systems for transacting government securities, excluding the Colombo Stock Exchange’s system, which supports repurchase transactions.
May 20, Colombo (LNW): The Sri Lankan Rupee (LKR) has slightly appreciated against the US Dollar today (20) in comparison to last week, as per leading commercial banks in the country.
At Peoples Bank, the buying and selling prices of the US Dollar have dropped to Rs. 294.24 from Rs. 294.68 and to Rs. 304.20 from Rs. 304.66, respectively.
At Commercial Bank, the buying and selling prices of the US Dollar have dropped to Rs. 293.33 from Rs. 294.21 and to Rs. 303.50 from Rs. 304.50, respectively.
Sampath Bank also indicates a similar trend, with the buying and selling prices of the US Dollar dropping to Rs. 295 from Rs. 295.50 and to Rs. 304 from Rs. 304.50, respectively.
May 20, Colombo (LNW): The Sri Lanka-China Friendship Association (SLCFA) recently hosted a ceremonial event to launch the book “Sri Lanka Cheena Mithudama” (ශ්රී ලංකා චීන මිතුදම) at the National Library and Documentation Services Board Auditorium in Sri Lanka.
The event was attended by distinguished guests, including former Speaker of Parliament Deshabandu Karu Jayasuriya, who delivered the keynote address, and Qi Zhenhong, Ambassador of the People’s Republic of China to Sri Lanka, who was the guest of honour.
Ananda Goonatilleke, President of the SLCFA and Attorney-at-Law, chaired the event, underscoring the longstanding relationship between Sri Lanka and China.
The SLCFA, initially established as the “Ceylon-China Friendship Union” on September 21, 1950, by the Ceylon Communist Party, has been instrumental in fostering people-to-people diplomatic ties.
The union’s first president was Lady Kusuma Gunawardena, mother of the current Prime Minister of Sri Lanka, Dinesh Gunawardena.
In his welcome address, Goonatilleke highlighted the comprehensive content of the book, which covers a variety of subjects including historical connections, Buddhist ties, diplomatic relations, literature, economic and cultural cooperation, Chinese cuisine, China’s support in the conflict against the LTTE, media, philately, photography, and more.
He expressed appreciation for the contributors and acknowledged the ongoing support from the Chinese Embassy in Sri Lanka.
Jayasuriya, in his keynote speech, emphasised the significance of the Rice and Rubber Pact in cementing the strong bond between Sri Lanka and China.
He praised the SLCFA for its seven decades of commitment to enhancing people-to-people relations between the two nations.
A notable moment of the event was the formal presentation of the first copies of “Sri Lanka Cheena Mithudama” by Goonatilleke to Karu Jayasuriya and Ambassador Qi Zhenhong.
The event also featured prominent individuals such as Dr. G. Weerasinghe, General Secretary of the Communist Party of Sri Lanka; Aruna Goonatilleke, SLCFA Executive Vice President; Vice Presidents Thilak Botheju, Daya Lankapura, and Premadara Dissanayake; along with SLCFA office bearers, civil society activists, and members of the public.
Attendees were presented with a complimentary copy of “Sri Lanka Cheena Mithudama,” commemorating the enduring friendship between Sri Lanka and China.
May 20, Colombo (LNW): President Ranil Wickremesinghe has conveyed Sri Lanka’s profound shock and sorrow over the tragic death of President Ebrahim Raisi, Foreign Minister Amir Abdollahian, and other senior Iranian officials.
In a message on X, President Wickremesinghe stated, “I express my deepest sympathies and sincere condolences to the bereaved families, the government, and the people of Iran. Our thoughts and prayers are with the families of President Raisi and his entourage during this difficult time.”
Sri Lanka is deeply shocked and saddened by the tragic death of President Ebrahim Raisi, Foreign Minister Amir Abdollahian and other senior Irani officials. I express my deepest sympathies and sincere condolences to the bereaved families, the government and the people of Iran.…
May 20, Colombo (LNW): During an official visit to Indonesia, President Ranil Wickremesinghe met with Luhut Binsar Pandjaitan, Indonesia’s Coordinating Minister of Maritime and Investment Affairs.
The meeting occurred on Sunday, 19 May, at the United In Diversity Bali Campus on Kura Kura Bali Island, the President’s Media Division (PMD) reported.
Discussions focused on critical issues such as the Global Blended Finance Alliance, Sri Lanka’s Tropical Belt Initiative, the Blue Economy, and the Seaweed Industry.
The conversation also highlighted the importance of enhancing cooperation among Global South nations and establishing a collaborative research programme on mangrove cultivation.
Both parties agreed on the necessity of creating a bilateral task force to oversee these initiatives, considering Sri Lanka’s current role as the chair of the Indian Ocean Rim Association (IORA).
The Sri Lankan delegation included Minister of Water Supply and Estates Infrastructure Development Jeevan Thondaman, Senior Advisor to the President on Climate Change Ruwan Wijewardene, Secretary of the Ministry of Foreign Affairs Aruni Wijewardane, Sri Lankan Ambassador to Indonesia Admiral Prof. Jayanath Colombage, and Chief Executive Officer of the Office of Climate Change Dr. Anil Jasinghe.
The Indonesian delegation comprised Ayodhia G.L. Kalake, Secretary of the Coordinating Ministry of Maritime Affairs and Investments; Nani Hendiarti, Deputy Minister for Environment and Forestry Managements; Rachmat Kaimuddin, Deputy Coordinating Minister of Maritime Affairs and Investments in Infrastructure and Transportation; Firman Hidayat, Deputy Coordinating Minister for Maritime Resources; and Cherie Nursalim, Special Advisor on Climate Change.
