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IMF executive board to consider SL’s progress in meeting quantitative targets

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By: Staff Writer

Colombo (LNW): Sri Lanka has made “good progress” in meeting quantitative targets in a number of commitments made to the International Monetary Fund (IMF) ahead of its executive board review tomorrow, Central Bank sources claimed.

The government has made good progress in terms of quantitative targets. Except for revenue targets, all targets have been met including inflation, reserves, etc on a quantitative basis,” a senior finance ministry official said.

Structural reforms such as the recently passed central bank act are also being met, he added.

Sri Lanka has made significant progress in its debt restructuring efforts, reaching agreements with domestic and foreign creditors to reduce the country’s unsustainable debt burden.

In July 2023, Sri Lanka completed the restructuring of its domestic debt. The restructuring involved extending the maturities of domestic bonds and reducing interest rates.

Sri Lanka has also made progress in restructuring its external debt, which amounted to around 61% of GDP in 2022. The government has reached agreements with the Paris Club of creditor nations and is in negotiations with private creditors.

Completion of the review by the IMF’s Executive Board requires important matters.The first if the implementation by the authorities of all prior actions; and the second is the completion of financing assurances reviews.

The IMF Executive Board will consider the agreement in principle between the Sri Lankan authorities and their official creditors represented by the Official Creditor Committee (OCC) on a debt treatment by December 12, Foreign Affairs Minister Ali Sabri said today.

He told Parliament that there is a high possibility of Sri Lanka getting the second tranch of the IMF extended fund facility within the next couple of weeks.

The Minister said it was a remarkable international victory that Sri Lanka was able to get the OCC agreement on debt treatment.

The transparency in Sri Lanka’s ongoing International Monetary Fund (IMF) programme improved in November following the publication of several supporting documents with the 2024 budget, according to the latest update of Verité Research’s ‘IMF Tracker’.

The supporting documents have provided information on the progress of six commitments that were previously classified as ‘unknown’. Five of the commitments have now been reclassified as ‘met’ and one – the tax revenue target – as ‘not met’, Verité Research said.

“Of the 73 commitments due by end-November,12 are ‘not met’, 15 are classified as ‘unknown’, and 46 as ‘met’. Therefore, 63% of the commitments due by end November have been verifiably completed. This means, however, that Sri Lanka’s overall performance remains less than impressive, it said.

The IMF board will vote tomorrow (12 December) on the disbursement of the programme’s second tranche of around USD 330 million, which was originally expected in September.

IMF Tracker will be updated with the revised set of commitments and timeframes that are likely to emerge from the request for board approval to disburse the tranche.

Three cruise ships bring 4,000 passengers to Colombo

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By: Staff Writer

Colombo (LNW): Sri Lanka is now harnessing the maximum potential of the cruise destination with scenic beauty, diversity of its product offering, access to sea ports located in Colombo, Galle, Hambantota, and Trincomalee.

In the wake of significant growth of cruise tourism this year three cruise ships arranged by Aitken Spence Travels have arrived in a single day to port of Colombo yesterday.

Vasco Da Gama and Mein Schiff 5 and MS Seven Seas Navigator have brought approximately 4,000 passengers from all three vessels on a single day, the company said.

The cruise season began last month with the arrival of ‘Resilient Lady’ from Virgin Voyages, a part of Sir Richard Branson’s renowned group.

The visit of Marella Discovery 2 that arrived in early had special significance, marking its first return to Sri Lanka post-Covid and the first turnaround operation in the country.

Operated by TUI, this cruise brought three flights to Colombo for disembarking cruise passengers.

Notably, the Vasco Da Gama cruise marks its maiden call to Sri Lankan shores allowing its passengers an opportunity to immerse themselves in the vibrant city of Colombo before continuing their voyage to the Trincomalee port.

They will explore the wonders of Minneriya, Dambulla, Sigiriya, Polonnaruwa, and the enchanting sights of the East Coast. Further, this cruise will have turnaround operation in Male, Maldives.

The seamless arrangement of hosting three cruise ships at the same time all in one day is a testament to Aitken Spence Travels’ exceptional ability to cater to the diverse desires of large groups of concurrent visitors.

As the month progresses, the company looks forward to the arrival of MS Nautica on December 17th. This vessel is set to navigate the waters of Sri Lanka for three days, making stops at the ports of Colombo and Hambantota.

Aitken Spence Travels is committed to providing an extensive array of curated excursions, inviting all visitors to indulge in the diverse landscapes and rich culture of Sri Lanka

The lineup of 14 cruise calls to the ports of Colombo, Hambantota, and Trincomalee with the various cruise agents will continue till the end of December 2023 bringing in seas of tourists to the country.

Commenting on this significant achievement Mr. Nalin Jayasundera, Managing Director of Aitken Spence Travels stated that “the company is hoping to serve over 10,000 cruise passengers throughout these two months.

Ms. Stasshani Jayawardena, Jt. Deputy Chairperson of Aitken Spence, expressed the belief that the Government would develop infrastructure of the Colombo port to be a cruise hub.

Dollar rate at commercial banks today (Dec 11)

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Colombo (LNW): The Sri Lankan Rupee (LKR) indicates depreciation against the US Dollar today (11) in comparison to last week’s Friday, as per the exchange rates of leading commercial banks in the country.

At Peoples Bank, the buying price of the US Dollar has increased to Rs. 321.42 from Rs. 320.94, and the selling price to Rs. 332.63 from Rs. 332.12.

Commercial Bank indicates a different drive, with the buying price of the US Dollar dropping to Rs. 319.99 from Rs. 320.86, and the selling price remaining unchanged at Rs. 331.

At Sampath Bank, the buying price of the US Dollar has increased to Rs. 323 from Rs. 322, and the selling price to Rs. 332 from Rs. 331.

Sri Lanka Original Narrative Summary: 11/12

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  1. State Defence Minister Pramitha Bandara Tennakoon says all 252 Security Forces from the Navy, Civil Defence Forces & Army will be withdrawn with immediate effect from the Mihintale sacred site: explains this decision was based on statements by Chief Incumbent of Mihintale Rajamaha Viharaya & Opposition Leader Sajith Premadasa.
  2. National Chamber of Exporters Chairman Jayantha Karunaratne says exporters are grappling with various challenges, such as unreasonable taxes imposed at an inappropriate time which are impacting their operations.
  3. State Minister Indika Anuruddha says separate inquiries by Ministry of Power & Ceylon Electricity Board will be held into the recent islandwide power breakdown: CEB spokesman says initial data shows that lightning strikes on the Kotmale to Biyagama transmission line caused the power breakdown.
  4. Parliament adjourns till 9.30am today (Monday) due to the lack of a quorum during the VAT (Amendment) Bill debate: Chief Government Whip Prasanna Ranatunga says the Bill will be debated in Parliament today & passed.
  5. Justice Minister Wijeyadasa Rajapakshe says 3 new Bills that will make it easier to get a divorce will be presented to Parliament next month: namely, Matrimonial Causes Act, Recognition of Foreign Divorce Judgements Act and Code of Civil Procedure.
  6. Project to install solar panels for schools to start from next year: pilot
    programme in the Minuwangoda Education Division: aim is to provide relief to schools with electricity bills of more than Rs.20,000 per month.
  7. SJB “Economic Guru” & main advocate for higher taxes MP Harsha de Silva now laments the Govt is to impose VAT on 97 additional goods: such goods & services to include infant food “Thriposha”, local coconut milk products, medical equipment, ambulances, mobile phones, tractors, locally manufactured
    textiles, eggs, milk, mammotees, petrol, diesel, gas, fertilizer, tea green leaf, copra, solar panels, & locally manufactured software.
  8. State Minister of Finance Ranjith Siyambalapitiya says the VAT increase to 18% from Jan’24 onwards, the reduction of the VAT threshold to Rs.60 mn, & removal of VAT exemptions from 97 items, is expected to increase inflation by only 2.5% as per the information from the Central Bank.
  9. Parliament Select Committee on Gender Equity and Equality learns that, at present, women constitute over 15% of the Police Service and despite undergoing identical recruitment, training, deployment, & retirement processes as their male counterparts, the female officers report systemic injustice specifically in the promotion phase.
  10. SL Under-19 Cricket team cruises to a comfortable 7-wicket win against cricketing minnows Japan to open their Asian Cricket Council Under-19’s Asia Cup campaign, in Dubai: SL now tops Group ‘B’ where Bangladesh and United Arab Emirates are also part of.

Postal workers continue strike action

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Colombo (LNW): Postal workers across the island will continue an island-wide token strike today (11), confirmed the Joint Convener of the Joint Postal Trade Union Collective, Chinthaka Bandara.

The strike has been initiated in protest against the sale of Department of Posts buildings to foreign companies, a move that has garnered support from 27,000 postal workers.

The collective stance also includes a demand for a Rs.20,000 allowance for government employees starting January 2024.

The nationwide postal strike, which commenced at 4:00 pm on Sunday (10), is slated to persist until midnight on Tuesday (12).

Kelaniya Uni faculties to reopen for academic activities from today (11)

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Colombo (LNW): Academic activities at the University of Kelaniya which has been temporarily shut down due to security breach will recommence from today (11) under several steps, announced the campus administration.

All faculties of the university except the Faculty of Medicine had been closed on December 04, following the abduction and assault of a security officer attached to the campus.

Commenting on the incident, Vice Chancellor of the university Senior Professor Nilanthi De Silva asserted that any party willing to lodge a complaint on the matter can attend to it on Tuesday at 9 – 11 am. Reopening of the faculties for academic activities will take under several steps, and accordingly, students of Science, Computer and Technology, Commerce and Management faculties can attend to their academic activities from today, she added.

Social Science and Human Arts faculties will reopen for studies on December 18.

SLFP takes stand against VAT Bill in today’s (Dec 11) vote

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Colombo (LNW): The Sri Lanka Freedom Party (SLFP) has declared its intention to cast a dissenting vote against the Value-Added Tax (Amendment) Bill during the parliamentary debate scheduled for today (11).

In an official statement, Thisara Gunasinghe, the Publicity Secretary of the SLFP, emphasised the party’s firm position in opposing the bill during the parliamentary proceedings.

Women Police officers subjected to mistreatment in promotion process, Committee exposes injustice

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Colombo (LNW): A recent session of the Select Committee of Parliament, chaired by MP (Dr.) Sudarshini Fernandopulle, brought to light startling revelations of gender-based discrimination within the ranks of the Sri Lanka Police Force, particularly in the realm of promotions for women officers.

Despite uniformity in recruitment, training, deployment, and retirement procedures between men and women Police officers, the committee exposed instances of injustice in the promotion process.

Surprisingly, even though 92 women Chief Inspectors have fulfilled the requisite 26 years of service and four years in their current position, a lack of specific systems or identified vacancies for their promotions was revealed.

The recruitment process, salary levels, and training for women officers mirror those of their male counterparts, but when it comes to promotions, a stark disparity emerges.

Women officers highlighted that while there are no issues with vacancies for promoting men officers, women counterparts consistently face hurdles in this regard. This discrepancy leaves women officers stagnating in their positions for extended periods, while less senior male officers progress.

In an effort to rectify this situation, a proposal was made to allocate 15 per cent of all positions for female representation, considering that over 15 per cent of the Sri Lanka Police Force is comprised of female officers.

The committee further emphasised the urgent need to devise a systematic approach to promotions, ensuring a fair and timely process that addresses the qualifications required for respective positions.

Officials from the Ministry of Public Security acknowledged that proposals for creating new vacancies had been submitted to the Department of Management Services. The Committee Chair recommended that 15 per cent of total force representation in the Police Service be reserved for women officers to mitigate the longstanding issues faced by women in the force.

President allocates Rs 1.5 bn for advancement of AI technology

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Colombo (LNW): President Ranil Wickremesinghe has announced a substantial budget allocation in the country’s history for technology, science, and research during the 100th memorial birthday celebration of the late Professor Stanley Wijesundara.

The Sri Lankan President emphasised the importance of innovation and research for national progress, with a focus on bringing artificial intelligence (AI) technology to Sri Lanka.

The budget aims to cultivate a digital and green economy, positioning the country globally.

The President inaugurated the “Stanley Wijesundara AI Corner” at the University of Colombo and unveiled a statue, commemorative stamp, and first-day cover in honour of the scholar.

Reflecting on their collaboration, President Wickremesinghe acknowledged Professor Wijesundara’s contributions to Colombo University. The President lamented tragic events during that era and urged reflection on the loss of contributors to education and science.

Highlighting the global importance of AI, Wickremesinghe discussed international efforts to regulate its use. A significant budget has been allocated for AI technology, signaling Sri Lanka’s venture into advancing capabilities.

The government commits to addressing climate change, promoting green energy, and establishing the Technology and Innovation Council. Pending approval, plans include a digital transformation agency and the AI Corner at the University of Colombo, aiming for a new scientific and green economy in Sri Lanka, he added.

The President concluded by urging the nation to embrace technological changes, emphasising the government’s commitment to innovation, sustainability, and global competitiveness.

The memorial celebration symbolises a transformative moment for Sri Lanka’s technological and scientific advancements.

Today’s (Dec 11) weather: Heavy showers above 75 mm, misty conditions expected

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By: Isuru Parakrama

Colombo (LNW): Showers will occur at times in Northern, North-central and Eastern provinces, whilst showers or thundershowers being expected at several places in the other areas of the island after 1.00 p.m, the Department of Meteorology said in its daily weather forecast today (11).

Fairly heavy showers above 75mm are likely at some places in Central, Sabaragamuwa and Western provinces and in Galle and Matara districts, the statement added, revealing that misty condition can be expected at some places in Western, Sabaragamuwa, Central, Southern and Uva provinces in the morning.

The public is kindly requested to take adequate precautions to minimise damages caused by temporary localised strong winds and lightning during thundershowers.

Marine Weather:

Condition of Rain:
Showers or thundershowers will occur at several places in the sea areas off the coast extending from Pottuvil to Mannar via Batticaloa, Trincomalee and Kankasanthurai. Showers or thundershowers will occur at several places in the other sea areas around the island particularly during the evening or night.
Winds:
Winds will be North-easterly in direction and wind speed will be (25-35) kmph.
State of Sea:
The sea areas around the island will be slight to moderate. Temporarily strong gusty winds and very rough seas can be expected during thundershowers.