Colombo (LNW): The Union of State and Public Service Unions today (13) staged a protest near the Battaramulla Diyatha Roundabout, urging relief measures from the 2024 Budget.
The demonstrators called for a minimum allowance of Rs. 20,000 or a salary increase, alongside the reinstatement of the full pension system, which has been absent since 2016.
Notably, the protest proceeded without any police intervention.
Photo Courtesy: Ajith Senevirathne
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Colombo (LNW): The Sri Lankan Rupee (LKR) today (13) indicates a slight appreciation against the US Dollar in comparison to last week’s Friday, as per the official exchange rates list issued by the Central Bank of Sri Lanka (CBSL).
Accordingly, the buying price of the US Dollar has dropped to Rs. 322.12 from Rs. 322.40, and the selling price to Rs. 332.47 from Rs. 332.77.
The Sri Lankan Rupee, meanwhile, also has appreciated against several other foreign currencies, including Gulf currencies.
Colombo (LNW): A winner of the ICC Men’s Cricket World Cup with Sri Lanka in 1996 and a classy batter that valued his own wicket, Aravinda de Silva joins the ICC Cricket Hall of Fame in 2023, ICC said in its official website.
The consistent right-hander scored 20 Test centuries during an 18-year international career – the third most hundreds by any Sri Lanka men’s player – and was just as adept against the white-ball with another 11 centuries coming in 50-over cricket.
The most important of those was in the 1996 World Cup final, as de Silva almost single-handedly willed his side over the line against Australia with an unbeaten 107* in what was an unforgettable run chase.
A clever batter that always respected the situation of the game, de Silva was well renowned at being able to adapt the way he played depending on the circumstances and was an integral part in Sri Lanka’s resurgence at the end of last century.
De Silva made special mention of the role his family had in helping guide his successful cricket career.
“I am filled with profound gratitude as I accept the immense honour of being inducted into the ICC Hall of Fame. This achievement is a tribute to the dedication, sacrifice, and love that have shaped my cricketing journey,” de Silva said.
“My family, my parents, my sister, my wife and children are my anchor, and deserve the deepest thanks for their unwavering support and sacrifice, which have propelled me towards success. My friends, steadfast companions throughout my highs and lows, have been my pillars of strength.
“To my coaches, teachers, fans and supporters, your relentless belief in me has fuelled my drive to succeed. My mentors and captains have guided and inspired me, and my teammates have been my extended family on this incredible journey. To the ones I have played against, thank you for enriching
my game.
“My sincere appreciation goes to the ICC, and the Hall of Fame voting committee for this extraordinary recognition. I share this honour with all who have stood by and shaped me.
“Thank you for being part of this remarkable journey.”
Colombo (LNW): Prevailing showery conditions in the island are likely to continue further due to low level atmospheric disturbance over the island, the Natural Hazards Early Warning Centre of the Department of Meteorology said in an advisory statement today (13).
Heavy showers above 100 mm are likely to occur at some places in Western, Sabaragamuwa, Central, Southern, Northern, North-Western and North Central Provinces, the statement added.
By: Staff Writer
Colombo (LNW): President Ranil Wickremesinghe presented the finalised 2024 Budget Appropriation Bill a short while ago. Within this fiscal framework, President Wickremesinghe articulated a strategic approach to salary increases for public servants, emphasising the necessity of bolstering the government’s income before considering such increments. He underscored the gravity of the matter, asserting that salary adjustments must be undertaken judiciously and responsibly.
President Wickremesinghe elucidated on potential avenues for increasing public servant salaries, stipulating that such increments should be financed through prudent measures such as ‘money printing,’ tax adjustments, new taxation, or borrowing from external sources.
Notably, he emphasised that 35 per cent of tax revenue would be earmarked to cover the costs associated with raising the salaries of government employees.
Reflecting on the economic trajectory of Sri Lanka, President Wickremesinghe acknowledged the challenges encountered in the past year and emphasised the concerted efforts required to navigate the nation back onto a sustainable path. He lamented instances where certain forces attempted to impede the collective progress achieved through the hard work of the citizenry.
The budget for the upcoming year proposes a substantial increase in the living expenses allowance for government employees, amounting to Rs. 10,000. This adjustment will bring the total allowance to Rs. 17,800, addressing the longstanding absence of salary increases for government employees since 2015.
President Wickremesinghe asserted his commitment to providing relief to government employees without disrupting the delicate balance of the state budget.
Acknowledging the significant demographic impact, with approximately 1.3 million government employees and over 5 million family members, the budget proposes a 10,000-rupee increase in the living expenses allowance, culminating in a total of Rs. 17,800.
President Wickremesinghe assured a phased implementation, with the allowance incorporated into monthly salaries from April onward, and arrears for January to March disbursed in six-month instalments commencing October.
Additionally, the budget outlines plans to increase the living allowance for pensioners by Rs. 2,500, affecting 730,000 government pensioners. The monthly living allowance for this demographic will rise from Rs. 3,525 to Rs. 6,025, effective from April 2024.
President Wickremesinghe also proposed an 8 per cent increase in the deduction from salaries for contributions to the pension of widows and orphans.
Addressing housing concerns, President Wickremesinghe announced the cessation of rent charges for low-income families in Colombo’s urban housing, with full ownership granted to eligible families.
In 2024, approximately 50,000 families in Colombo will receive home ownership, contributing to the broader objective of making 70 per cent of the country’s population land and home owners.
The budget allocates funds for various infrastructure projects, including Rs. 10 billion for public facility improvements in highlands, Rs. 4 billion for housing construction for the plantation community, and Rs. 2 billion for the maintenance of bridges and roads damaged by natural disasters.
To address economic challenges, President Wickremesinghe highlighted an additional allocation of Rs. 55 billion to restart projects stalled due to the economic crisis. He earmarked Rs. 600 million for the ‘Bimsaviya’ programme, signalling a comprehensive education reform.
The budget includes provisions for establishing four new universities, with the goal of doubling or tripling the number of universities in the next two or three years.
President Wickremesinghe emphasised the development of state universities to align with the demands of the new era, beginning with the University of Peradeniya. He allocated Rs. 500 million for this initiative and expressed openness to the establishment of non-government universities, subject to robust regulatory frameworks.
The budget introduces a loan system through commercial banks, allowing repayment after securing employment, in addition to the existing interest-free student loan system. A National Higher Education Commission will be established, endowed with decision-making and regulatory powers.
President Wickremesinghe reiterated the importance of creating opportunities for employment, both domestically and internationally, for young individuals without university education. To support this objective, he allocated Rs. 150 million to the Sri Lanka Foundation for training courses.
Furthermore, the budget allocates Rs. 500 million to enhance English language literacy, underscoring the government’s commitment to educational development.
Colombo (LNW): The benefits to be delivered via the 2024 Budget Appropriation Bill.
These were conveyed in Parliament by President Ranil Wickremesinghe in his capacity as the Minster of Finance, Economic Stabilisation and National Policies.
By: Staff Writer
Colombo (LNW): Sri Lanka Customs has warned the Finance Ministry that it will fall short of its revenue targets for 2023 by at least Rs. 450 bn unless the government abolishes the ban on vehicle imports as well as restrictions on other imports immediately.
The top Customs management recently told the Sectoral Oversight Committee (SOC) on National Economic and Physical Plans that the Finance Ministry had been appraised of their inability to meet anticipated revenue targets.
Capital Alliance Group COO Kanishke Mannakkara on Saturday suggested that the Government should open up vehicle imports which could garner Rs. 450 billion in tax revenue.
Speaking at a pre-Budget webinar organised by the Daily FT and other stakeholders, the CAP official said that given the pent up demand, import of vehicles could garner higher taxation.
He insisted this approach was more meaningful than tinkering with other smaller revenue measures or resorting to unethical retrospective and super gain taxes.
Mannakkara said that in 2024 if allowed, vehicle imports could rise to $ 1 billion enabling the Government to raise Rs. 450 billion in taxes out of Rs. 3 trillion required.
He was of the view that higher imports in 2024 would increase income from levies and taxes.
It was pointed out that despite scepticism, the motor industry is an integral part of the economy.
Sri Lanka imposed a ban on vehicle imports in early 2020 due to a severe balance of payments crisis that ultimately led to declaration of bankruptcy in April 2022.
The SOC has been told that the maximum Customs could collect this year is Rs 783 bn under the present circumstances.
The all-party committee has also been informed that approximately 20 percent of Customs revenue was earned through taxes imposed on vehicle imports.
Therefore, the vital unit couldn’t be expected to succeed unless the government created the much needed requirement.
Customs, Inland Revenue and Excise Departments account for more than 90 % of government revenue.
Customs also pointed out that since 2014 they never collected revenue more than Rs 1,000 bn. During the 2014-2022 period, 2014 had been the best year with Customs revenue collection reaching Rs 923 bn mark at the time the late Mangala Samaraweera served as the Finance Minister.
Of this amount, Rs 194 bn had been collected as taxes imposed on vehicle imports, the parliament said. The statement issued by Parliament quoted Customs as having said that Rs 150 bn could be collected by the end of this year if ban on vehicle imports was done away with immediately.
Colombo (LNW): The Cabinet of Ministers has approved the 2024 Budget proposals during a meeting held this (13) morning.
The 2024 Budget then will be tabled in Parliament by President Ranil Wickremesinghe in his capacity as the Minister of Finance, Economic Stabilisation and National Policies.
By: Staff Writer
Colombo (LNW): Foreign and local companies are to be given state lands for mega agriculture projects with tax concessions in misconceived deals involving forest lands, especially forest reserves, official documents divulged.
The government is planning to hand over thousands of acres of forest lands to several local and foreign companies under a new cabinet decision misinterpreting its contents with the connivance of top officials. Several environmentalists and local community activists complained.
According to the circular, any allocation of forest lands for development activities requires the approval of a special review board which has not been followed since the circular is invalidated.
Cabinet of Ministers approved a proposal submitted by the ministry of wildlife and forest resources conservation on January 23, 2023 to resolve problems pertaining to forests coming under the purview of forest conservation department and wild life conservation department.
According to the cabinet approval, problems of villagers residing and cultivating land allotments in reserve forests for a long period will be solved subject to stipulated conditions.
Under the first phase of this initiative land allotments in Jaffna, Vavuniya, Mulaithivu Kilinochchi, Mannar, Trincomalee, Ampara, Anuradhapura, Polonnaruwa and Monaragala Districts are to be released to present occupants.
These community settlements were initiated by the then government after the end of North East war under its resettlement programme for displaced villagers.
Further the security forces have forcibly taken over forest lands in those areas to implement the national physical plan.
The ministry of wildlife and forest resources conservation making use of this situation is now releasing forest reserve lands for mega agri development projects of foreign and local companies, several leading environmentalists said.
150 acres in Madu road Jaffna forest which was declared as a forest reserve on October10 2012 under the gazette notification No 1779/15 had been released for development activities by the ministry by issuing gazette notification No 2344/16.
In addition 29000 acres of land in Mulaithivu forest reserve, 25,000 acres in Wattegama -Kebiliththa forest reserve in the Monaragala District and over 100 acres in Rajawake forest are to be released by the ministry to private investors.
Thailand based Sutech Engineering company has invested US$ 400 million for its subsidiary Sutech Sugar Industries Pvt Ltd to implement green field sugar development project taking over 600 acres forest land for sugar factory in the Vavuniya District belonging to forest conservation department with the approval of the cabinet on June 26 2023.
This company has given 7000 acres of forest land in the area for sugar cultivation under the same cabinet approval.
Plans are under way to hand over 62,500 forest land for the Bibila sugar cultivation project in Monaragala, Badulla and Ampara Districts to IMS Holdings Pvt Ltd in accordance with the cabinet approval of February14, 2017.
By: Staff Writer
Colombo (LNW): Sri Lanka Railways is set to be restructured considering different models including turning it to authority or managing the train service under a public private partnership.
The aim is to provide a better convenient and efficient transport service for commuters in accordance with the government’s IMF dictated policy of state institution reforms.
This A-grade Government department has to be transformed into a profitable venture by streamlining operations and enhancing efficiency to ensure a better service delivery, Transport Minister Bandula Gunawardena said.
He noted that maintaining it a state entity is a burden for the country and the only option to make the Department a profitable venture was to transform Sri Lanka Railways into an Authority.
Mr Gunawardena said the country should get rid of official bureaucracy of the department and introduce a system which operates under a board of directors.
It will ensure job security of employees numbering around 17,000 and their pension would be safe guarded, he elaborated adding that the railway department restructure should be similar to partially privatisation like Sri Lanka Ports Authority (SLPA) and Sri Lanka Telecom.
The minister said that if the Railways Department is not transformed into an authority (statutory body), it will have to be sold to a private investor.
An expert committee has been appointed to obtain necessary recommendations for a complete restructure and improvement of Sri Lanka Railway’s service.
The chairman of committee appointed to put forward proposals for the restructuring of Sri Lanka Railways K.D.S. Ruwanchandra said an interim report will be sent to the Cabinet of ministers soon The committee will consider proposals to cover the operating loss of Sri Lanka Railways and ways and means of providing an efficient service.
The committee also comprises a group of university lecturers Mr.Ruwanchandra said adding that special attention will be paid to their opinions when preparing proposals of restructuring.
The committee will put forward proposals to tackle the operating loss of Sri Lanka Railways and provide an efficient service.
Although the revenue of the Railways Department was Rs. 2.6 billion in 2022, Rs.7.7 billion was spent on overtime allowances and salaries with a loss of Rs.12.43 billion, finance ministry data shows.
It has earned an income of Rs 2.7 billion in 2021 incurring a loss of Rs.10 billion. The salary and overtime payment alone was Rs.9.3 billion during the year.
The department of railways has been running at substantial losses in the 10 year period of 2010-2020 accumulating a loss of Rs 331 billion.
It maintains 1561km of rail tracks and operates 72 locomotives, 78 power sets, 565 carriages and the signaling network. With a workforce of 17,634.
The Railway Department holds around 14,000 acres of land in the island, with 9,000 acres allocated to yards and tracks.
