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Thai Airways will resume its flights to Sri Lanka from next month

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By: Staff Writer

March 18, Colombo (LNW) After a four-year hiatus prompted by the COVID pandemic, Thai Airways is set to resume its flight operations between Thailand and Sri Lanka from next month.

The move will boost the tourism industry, which has seen substantial growth in international tourist arrivals during the first two months of 2024. In January and February, the airport handled a total of 207,182 and 218,350 visitors, respectively.

Travellers will have the opportunity to enjoy top-notch service and connectivity with Thai Airways and explore over 60 cities in 28 countries from Bangkok.

MAC Holdings Ltd., is appointed as the General Sales Agent (GSA) representing the airline in Sri Lanka and the Maldives. Thai Airways operates flights to key destinations across Europe, Australia, Asia, and within Thailand.

Airport and Aviation Services (Sri Lanka) Ltd., expressed its delight in welcoming Thai Airways back to its main gateway.

As of February 2024, Sri Lanka’s airports had served 36 esteemed airlines conducting scheduled international operations, further solidifying their pivotal role in the aviation industry.

The decision to restart the service was announced by Royal Thai Airways at a ceremony held at Hilton last Friday, attended by several dignitaries, including Ports, Shipping and Aviation Minister Nimal Siripala De Silva, Foreign Affairs Minister Ali Sabri, Thailand Ambassador to Sri Lanka Paitoon Mahapannaporn, and representatives from Thai Airways’ senior management.

The inaugural flight is scheduled to touch down at Bandaranaike International Airport (BIA) from Bangkok on 1 April.

With daily flights scheduled between Bangkok and Colombo, Thai Airways aims to provide convenient and reliable air travel options for passengers, further strengthening the economic and cultural bonds between the two nations.

Minister de Silva expressed his delight at the return of Thai Airways to Sri Lanka, heralding a new chapter in bilateral air connectivity between Thailand and Sri Lanka.

He highlighted the longstanding friendship and cultural ties between the two countries such as Buddhism, trade and agriculture occupying a major place among them. He also underscored the significance of the renewed air link in strengthening closer relations and facilitating increased travel between Thailand and Sri Lanka.

Highlighting the quality of service provided by Thai Airways before the pandemic-induced downturn in the aviation industry, the Minister acknowledged the challenges faced by the sector and welcomed the airline’s return amidst efforts to revitalise the Sri Lankan economy under the leadership of President Ranil Wickremesinghe.

Sri Lanka manufacturing, and services grew strongly in February 2024

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By: Staff Writer

March 18, Colombo (LNW): Sri Lanka’s manufacturing and services grew strongly last month partly helped by seasonal factors, based on a Purchasing Managers’ Index compiled by the Central bank.

“Further, Employment and Stock of Purchases also increased on a month-on-month basis in line with the improvements in New Orders and Production.”

Manufacturing sector recorded remarkable recovery in its performances on February 2024, indicating a continued expansion in production activities, Central Bank report revealed. .

The expansion in New Orders and Production was mainly driven by the manufacture of food & beverages sector.

 Many respondents mentioned that they are preparing for the upcoming festive demand. However, New Orders and Production in the manufacture of textiles& apparel sector decreased on a month-on-month basis he report added.

Meanwhile, Employment and Stock of Purchases expanded during the month in line with the New Orders and Production. Further, Suppliers’ Delivery Time continued to lengthen in February, on par with the expansion in manufacturing activities and prolonged shipping disruptions caused by the Red Sea crisis

Expectations for the manufacturing activities for the next three months remain positive, mainly due to the upcoming festive season, Central Bank claimed.

Services sector indicated an expansion in services activities in February 2024 as reflected by the Business Activity Index, which recorded an index value of 53.0.

The continued expansion in Business Activities was driven by the improvements observed across several sub-sectors.

Accordingly, business activities in financial services sub-sector increased further aligning with the prevailing low market interest rates.

Further, positive developments were also recorded in transportation and education sub-sectors during the month. Meanwhile ,accommodation, food and beverage sub-sector continued to grow amid tourist arrivals recording the highest since January 2020.

New Businesses increased in February, particularly with the increases observed in transportation and financial services sub-sectors. Employment increased due to new recruitments made by several companies ahead of the festive season. Meanwhile, Backlogs of Work continued to decline during February. Expectations for Business Activities for the next three months continued to rise in February due to upcoming New Year and Ramadan season, Central Bank disclosed.

Fully fledged Development Bank on the cards with Rs. 500 billion Tier 1 capital

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By: Staff Writer

March 18, Colombo (LNW): A fully fledged Development Bank is to be set up in Sri Lanka mainly for the serving of SME/Manufacturing and Tourism sector.

It is being considered by President Ranil Wickremasighe as the finance minister to kick start the economy, according to official sources.

The proposed Development Bank will have a minimum Rs. 500 billion Tier 1 capital, total assets of around Rs. 1 trillion, a rationalised branch network of around 150 – 200 and a staff of around 2,000 and governed by an independent board comprising professionals and FDI partners.

State Minister of Finance Shehan Semasinghe will lead the initiative according to ministry sources.

“A committee of experts will propose the way forward. The Government will look at the stakes in several private banks and Government banks in structuring the development bank. Several international funds have shown interest,” a senior official added.

The new Development Bank’s business profile reflects the elevated vulnerability to heightened risks in the domestic market, which continue to affect its ability to generate and defend business volumes.

The finance ministry expects the new DB’s earnings and profitability to remain challenged by asset quality, loan growth prospects, sharp downward adjustment of interest rates and any potential impact to earnings from the proposed domestic debt optimisation strategy.

It believes that the bank’s overall funding and liquidity position is prone to sudden changes amid already weak creditor sentiment, similar to peers.

However stress on foreign-currency liquidity has somewhat eased. Even so, the bank’s access to foreign-currency wholesale funding remains as its strength the bank’s local-currency funding and liquidity position is also susceptible to any setbacks to the domestic debt restructuring.

Forthcoming laws and commissions would enhance market access, foster trade and investment and ensure the competitiveness of the island’s economy becessating the importance of a development bank.

President Ranil Wickremesinghe sought to reassure foreign investors by mentioning the removal of restrictions and ongoing economic reforms.

He pointed out the country’s ongoing and pending FTAs with Singapore, Thailand, India and China, its initiatives to join the Regional Comprehensive Economic Partnership (RCEP), and the benefits of GSP Plus for access to European markets.

with an affirmation could be driven by our view that risks from funding and capital stresses have abated, at both the individual bank and the sector level, to the extent that the bank’s ability to service its obligations in local and foreign currency is not hindered and/or banks are able to continue as a going concern and avoid failure.

Official exchange rates in SL today (March 18)

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March 18, Colombo (LNW): The Sri Lankan Rupee (LKR) indicates slight appreciation against the US Dollar today (18) in comparison to last week’s Friday, as per the official exchange rates released by the Central Bank of Sri Lanka.

Accordingly, the buying price of the US Dollar has dropped to Rs. 300.05 from Rs. 300.60, and the selling price to Rs. 309.67 from Rs. 310.20.

The Sri Lankan Rupee also appreciated against several other foreign currencies as well.

Tamil Nadu Chief Minister criticises PM Modi over handling of Tamil Nadu fishermen’s rights

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March 18, Colombo (LNW): Tamil Nadu Chief Minister M.K. Stalin criticised Prime Minister Narendra Modi on Saturday, questioning the Union Government’s apparent lack of assertiveness in pressuring the Sri Lankan government to restore traditional fishing rights for Indian fishermen in the Palk Straits, contrasting it with the vigorous defense of business interests involving Gautam Adani.

Stalin’s remarks were prompted by Prime Minister Modi’s recent statements attributing the plight of Tamil Nadu fishermen to the ‘sins’ of the Dravida Munnetra Kazhagam (DMK).

He demanded clarity on the steps taken by the Union Government over the past decade to address the issue, as reported by the Deccan Herald.

“The Prime Minister, who proclaims himself as a ‘vishwa guru’ (world teacher), remains silent when questioned about his government’s actions to prevent atrocities against Tamil Nadu fishermen by Sri Lanka,” Stalin asserted in a strongly-worded statement.

The Chief Minister’s response followed Modi’s comments during a public address in Kanyakumari, a BJP stronghold, on March 15, where he indirectly linked the challenges faced by Tamil Nadu fishermen to the historical cession of Katchatheevu island to Sri Lanka in 1974, which occurred during the tenure of the DMK and Congress.

Stalin underscored the fact that Katchatheevu was handed over to Sri Lanka despite opposition from the then DMK-led state government headed by M. Karunanidhi, dismissing the notion that a state government could unilaterally transfer territory to another nation.

He further pressed the Union Government, particularly the BJP-led administration, to outline efforts made in the past decade to reclaim Katchatheevu and to safeguard Tamil Nadu fishermen from imprisonment by Sri Lanka.

Stalin pointedly questioned the absence of official condemnation from the Indian government regarding the seizure and nationalisation of Indian fishing boats by Sri Lanka, highlighting the lack of substantive action on critical issues affecting Tamil Nadu fishermen.

“The unanswered questions and the silence of the Prime Minister, who presents himself as a ‘vishwa guru,’ raise serious concerns,” Stalin concluded.

Sri Lanka Original Narrative Summary: 18/03

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  1. The deadline for the Presidential Scholarship Programme 2024/25 extended to April 01: The initiative, guided by President Ranil Wickremesinghe and President’s Secretary Saman Ekanayake, supports students facing economic challenges in pursuing education: Zonal education directors have shared details with schools and encouraged parents to submit applications: The programme aims to assist 100,000 students with a budget of Rs. 3600 million.
  2. Opposition Leader Sajith Premadasa says politicians who follow the traditional promise-based politics cannot be relied upon, and the Samagi Jana Balawegaya (SJB) is the only party that detached itself from such politics and proved that work can be done in its capacity as the Opposition: asserts the SJB dismissed traditional politics and implemented the tremendously successful ‘Sakwala’ initiative as a preface to what it can achieve as a government.
  3. NPP MP Dr. Harini Amarasuriya addresses the London women’s convention, asserting that a small elite group in Sri Lanka has long controlled the country’s affairs and will resist change: urges the Sri Lankan community to recognise their collective strength and work together to end this era of control, emphasising the need for unified action to bring about change.
  4. CID arrests two Deputy Controllers of Immigration & Emigration for allegedly providing passports to underworld figures with false information: One suspect, a current Deputy Controller, to appear before Vavuniya Magistrate’s Court; the other, a former Deputy Controller, faces proceedings at Kaduwela Magistrate’s Court. Investigations found that fake passports were issued using fabricated details: One suspect arrested while undergoing treatment at Sri Jayawardenepura Hospital; another suspect, now a Deputy Director at the Pensions Department, is accused of fraudulent activity.
  5. A recent survey by the Centre for Policy Alternatives (CPA) reveals a decline in public trust in Sri Lanka’s parliamentary institutions and political parties: Trust in parliament stands at 22%, and political parties at 19%: The Army and Courts are the most trusted institutions, while the police receive comparatively lower trust.
  6. Speaker Mahinda Yapa Abeywardena, who is under scrutiny with facing a no-confidence motion, plans to disclose details about the ‘Aragalaya’ incident and what he described as ‘pressure from politicians’ to violate the constitution by assuming the presidency: ready to make a special statement in Parliament after the vote, as he cannot participate in the debate under standing orders.
  7. Lanka Private Bus Owners’ Association Chairman Gemunu Wijerathne says private buses will be available for election campaigns without stickers or posters: adds candidates or parties renting the buses must maintain them: Concerns raised about damages from past campaigns; appeal made for repairs by Central Bank Governor.
  8. Tamil Nadu Chief Minister M.K. Stalin criticises Indian Prime Minister Narendra Modi for not pressuring Sri Lanka to restore traditional fishing rights for Indian fishermen in the Palk Straits while protecting Gautam Adani’s business interests: Stalin’s remarks came after Modi suggested that DMK’s “sins” were causing fishermen’s suffering: questions Modi’s actions in the last decade and demanded answers on retrieving Katchatheevu island: further criticises the lack of action against Sri Lanka’s seizure of Indian boats and called out Modi’s silence on the matter.
  9. Mourners gather at Ottawa’s Infinity Convention Centre to bid farewell to the Sri Lankan family tragically slain in a mass killing: The somber service, attended by over a hundred people, paid respects to the six victims, including four children.
  10. The Colombo Chief Magistrate Court orders two team managers of the Legend Cricket League to stay in the country for one month following match-fixing allegations: The court’s decision comes in response to complaints from former cricketers participating in the tournament, with travel restrictions imposed on the accused managers Yoni Patel and P. Akash.

UNICEF reveals over 13,000 children lost their lives in Gaza

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Al Jazeera: Israel has killed more than 13,000 children in Gaza since October 7 while others are suffering from severe malnutrition and do not “even have the energy to cry”, says the United Nations Children’s Fund (UNICEF).

“Thousands more have been injured or we can’t even determine where they are. They may be stuck under rubble … We haven’t seen that rate of death among children in almost any other conflict in the world,” UNICEF Executive Director Catherine Russell told the CBS News network on Sunday.

“I have been in wards of children who are suffering from severe anaemia malnutrition, the whole ward is absolutely quiet. Because the children, the babies … don’t even have the energy to cry.”

Russell said there were “very great bureaucratic challenges” moving trucks into Gaza for aid and assistance as famine stalks more than two million Palestinians since Israel’s “genocidal” war began.

Moreover, according to the UN Relief and Works Agency for Palestine Refugees (UNRWA), one in three children under the age of two in northern Gaza is now acutely malnourished. The agency also warned that famine is looming in the besieged enclave facing relentless Israeli bombing for more than five months.

International criticism has mounted on Israel due to the death toll of the war, the starvation crisis in Gaza, and allegations of blocking aid deliveries into the enclave.

On Sunday, Israeli Prime Minister Benjamin Netanyahu repeated his threat of a ground assault on Rafah, the town bordering Egypt where more than a million Palestinians have taken refuge.

“No amount of international pressure will stop us from realising all the goals of the war: eliminating Hamas, releasing all our hostages and ensuring that Gaza will no longer pose a threat against Israel,” Netanyahu said in a video released by his office.

“To do this, we will also operate in Rafah,” he said.

Since October 7, Israel’s military campaign has killed at least 31,645 Palestinians in Gaza, mostly women and children, according to Gaza’s health ministry, and displaced nearly two million of its residents.

The Israeli operation has also led to accusations of genocide, being probed at the UN’s International Court of Justice.

Israel has repeatedly denied the genocide charges and stressed that it is acting in self-defence after the October 7 attack by Hamas that it says killed more than 1,130 people and took more than 200 as captives.

Dollar rate at SL banks today (March 18)

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March 18, Colombo (LNW): The Sri Lankan Rupee (LKR) remains heavily steady against the US Dollar today (18) in comparison to last week’s Friday, as per leading commercial banks in the country.

At Peoples Bank, the buying price of the US Dollar has dropped to Rs. 299.59 from Rs. 299.84, and the selling price to Rs. 309.73 from Rs. 310.29.

At Commercial Bank, the buying price of the US Dollar has dropped to Rs. 298.67 from Rs. 299.17, and the selling price to Rs. 308 from Rs. 308.50.

At Sampath Bank, the buying price of the US Dollar has dropped to Rs. 300 from Rs. 300.50, and the selling price to Rs. 309 from Rs. 309.50.

Survey reveals sharp decline in public trust in SL’s parliamentary bodies and political parties

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March 18, Colombo (LNW): A recent survey conducted by the Centre for Policy Alternatives (CPA) has disclosed a concerning decline in public trust in parliamentary institutions and political parties in Sri Lanka.

The survey, titled ‘Survey on Democracy and Reconciliation in Sri Lanka,’ encompassed 1,350 participants across 25 districts in January.

According to the findings, public trust in parliament stands at a mere 22 per cent, while trust in political parties has plummeted to 19 per cent.

This decline in trust reflects shifting attitudes toward democratic institutions and an emerging preference for authoritarianism among some segments of the population.

The survey identified the Army and Courts as the most trusted institutions in the country, with the police receiving relatively lower levels of trust compared to these entities.

However, despite the Army and Courts maintaining high levels of public trust, trust in legislative bodies and political parties has experienced a significant downturn over the past decade.

In 2011, 63 per cent of Sri Lankans expressed trust in parliament, a figure that has now dwindled to 22 per cent in 2024. Similarly, trust in political parties has declined from 56 per cent in 2011 to a mere 19 per cent in 2024.

The survey also noted a noteworthy increase in the preference for authoritarian rule, with approximately one in ten Sri Lankans expressing support for authoritarian governance.

This trend has seen a significant uptick since 2018, coinciding with political upheavals during the Sirisena-Wickremesinghe government.

Despite the majority of Sri Lankans still favoring democratic governance, the survey underscores a concerning sentiment suggesting that some individuals view a dictatorial government as preferable under certain circumstances.

The CPA, a leading policy think-tank headquartered in Colombo, emphasised the need for addressing these trends and fostering greater trust in democratic institutions to uphold the principles of democracy and reconciliation in Sri Lanka.

Hundreds gather to mourn slain Sri Lankan family in Ottawa, Canada

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March 18, Canada (LNW): A somber gathering took place on Sunday as mourners, numbering more than a hundred, converged at the Infinity Convention Centre to bid farewell to the Sri Lankan family tragically slain in one of Ottawa’s most devastating mass killings.

During the multi-faith service, attendees paid their respects to the six victims, including four children, whose lives were cut short on March 6 within a townhouse in Ottawa’s Barrhaven suburb.

Addressing the grieving assembly, Ajahn Viradhammo, a monk, implored those mourning worldwide to find solace in supporting each other rather than succumbing to despair or anger.

“While we in the Ottawa area grapple with this tragedy, its reverberations are felt across the globe,” he remarked. “In these moments of darkness, let us draw strength from the compassion and wisdom inherent in our faith. We gather united by our shared humanity and our steadfast commitment to compassion.”

Among the victims were 35-year-old Darshani Ekanayake and her four children, aged between two months and seven years, as well as a close family friend.

Ekanayake’s husband and the father of the children, Dhanushka Wickramasinghe, remains hospitalised with injuries to his hands and face.

Wickramasinghe, visibly distraught, was seen praying at the ceremony, surrounded by grieving relatives. Funeral organisers noted his request for privacy to mourn his family’s loss while expressing gratitude for the overwhelming public support received.

The ceremony, marked by poignant moments, featured five coffins at the forefront, including three smaller ones for the children and two larger ones.

The heartfelt service included Buddhist rituals and reflections from clergy of diverse faiths, offering prayers for strength to the surviving relatives.

Dignitaries from various levels of government echoed calls for unity, emphasising the need to support the grieving families through their trying times.

“We must continue to embrace these two families,” remarked Ottawa Mayor Mark Sutcliffe. “They face many difficult days and challenges ahead.”

The Wickramasinghe family, recent immigrants to Canada from Sri Lanka, included a child born in the country.

Police swiftly arrested a 19-year-old Sri Lankan man, Febrio De-Zoysa, on the evening of the attack, charging him with six counts of first-degree murder and one count of attempted murder.

De-Zoysa, an international student who had been residing with the family, remains in protective custody as the investigation unfolds.