January 01, Colombo (LNW): The Central Bank of Sri Lanka (CBSL) has announced a major reorganisation of its debt management operations, effective January 01, 2026.
The move includes the closure of the Public Debt Department (PDD) and the transfer of its LankaSecure Division to the Payments and Settlements Department (PSD).
This change follows the establishment of the Public Debt Management Office (PDMO) within the Ministry of Finance, Planning and Economic Development under the Public Debt Management Act No. 33 of 2024.
The PDMO became fully operational in December 2025, taking over all debt management responsibilities previously handled by the PDD. The CBSL stated that the transition aims to improve accountability, transparency, and operational efficiency in managing the nation’s debt.
Despite the closure of the PDD, the CBSL will continue to maintain critical systems for government securities under the PSD. This includes the Scripless Securities Settlement System and the Central Depository System, with the PSD Director formally appointed as Registrar of Government Securities.
The Bank indicated that this arrangement will ensure the smooth functioning of government securities operations while centralising oversight under the restructured framework.
Sri Lanka Central Bank Restructures Debt Management Operations
Parliament Set to Resume Sessions in Early January
January 01, Colombo (LNW): The Parliamentary Business Committee has confirmed that lawmakers will return to the chamber for the first sitting of January 2026, scheduled to run from January 06 to 09.
The announcement came following a meeting of the Committee on Parliamentary Business, which was presided over by Speaker Dr Jagath Wickramaratne.
Aviation Gains Altitude as Passenger and Flight Numbers Climb
January 01, Colombo (LNW): Sri Lanka’s aviation industry appears to be regaining momentum, with the first eleven months of 2025 delivering markedly stronger results than the same period last year.
Official figures indicate that international passenger traffic reached approximately 9.23 million movements between January and November 2025, representing a robust increase of just over 15 per cent compared with the corresponding months of 2024.
Aircraft activity also rose steadily, with 58,454 international flight movements recorded during the period, reflecting growth of nearly 15 per cent year on year.
Tourism arrivals by air mirrored this upward trend. Around 2.1 million visitors entered the country by air during the January–November 2025 timeframe, an improvement of close to 17 per cent from the previous year, signalling renewed confidence among travellers and airlines alike.
Industry observers attribute this resurgence to renewed policy focus following the change in government, which placed aviation high on its economic recovery agenda. Targeted interventions, operational reforms and improved coordination across agencies are said to have helped ease earlier bottlenecks and restore stability.
The progress achieved under the direction of the responsible ministers, together with the sustained efforts of airport authorities, airline partners and frontline staff, is increasingly being viewed as the early stages of a broader revival.
If current trends continue, the aviation sector is expected to play a central role in strengthening connectivity, tourism growth and overall economic performance in the year ahead.
Foreign Navies Commended for Swift Response on Sri Lanka’s Weather Disaster
January 01, Colombo (LNW): The Sri Lanka Navy has paid tribute to the vital role played by overseas naval forces that sailed into Colombo for the International Fleet Review 2025, an event staged alongside celebrations marking the Navy’s 75th year of service.
Beyond ceremonial duties, the visiting warships proved their value on the ground by assisting Sri Lanka during a spell of severe weather that affected several parts of the island.
Held off the waters of Galle Face under the banner “Sailing Strong – Together”, the fleet review brought together regional and extra-regional partners in a show of maritime solidarity. Prime Minister Dr Harini Amarasuriya attended as the Government’s representative and took the customary naval salute aboard SLNS Gajabahu, as ships from friendly nations lined up in formation offshore.
A total of eight foreign vessels participated in the review, representing Bangladesh, India, Iran, the Maldives, Malaysia, Pakistan and Russia. Among them were India’s aircraft carrier INS Vikrant, Pakistan’s PNS Saif and Russia’s Gremyashchiy, highlighting the breadth of international engagement with Sri Lanka’s navy.
When heavy rains and rough conditions struck soon after, the visiting ships swiftly shifted from pageantry to practical support. Aircraft and crews from the Indian and Pakistani navies were deployed for search and rescue operations, assisting local authorities to reach stranded residents and assess damage in affected areas.
Naval officials noted that the episode underscored the real-world value of multinational cooperation at sea, particularly as climate-related disasters become more frequent. The fleet review, they said, was not only a celebration of history and tradition but also a reminder of shared responsibility in responding to humanitarian emergencies and emerging maritime challenges.
Addressing diplomats and senior officers present, Prime Minister Amarasuriya expressed appreciation to the High Commissions and Embassies of the participating nations for their swift assistance and continued partnership, describing the collective response as a reflection of enduring goodwill and regional friendship.
Curriculum Controversy and Cultural Fault Lines: Real Issue Versus Growth of Maggots on Rotting Flesh
By: Isuru Parakrama
January 01, Colombo (LNW): The recent uproar over a Grade 6 English language module in Sri Lanka has ignited intense public debate, intersecting educational policy, cultural norms, and the politics of LGBTQIA+ rights. At the centre of the controversy is a reference in the module to a website that, when accessed, directs users to content aimed at a gay audience — material widely deemed inappropriate for young learners.
The Telecommunications Regulatory Commission of Sri Lanka (TRCSL) responded by blocking access to the site, whilst the Ministry of Education has launched internal and Criminal Investigation Department (CID) inquiries to determine how it was included in the first place and who bears responsibility.
This episode is far more than an isolated curriculum oversight. It has become a flashpoint in the broader dialogue about how sensitive topics, such as sexual orientation and gender identity, intersect with traditional cultural values in a deeply religious and conservative society.
But it also raises important questions about how best to educate children about human diversity and respect, without sensationalising, politicising or misunderstanding the goals of inclusive education.
Not the “Right Way” to Advocate LGBTQIA+ Rights
Critics have argued that even well-intentioned efforts to promote inclusivity can be undermined when presented carelessly. Introducing a link that inadvertently leads to adult content – regardless of its audience – into school materials for 11- and 12-year-olds is not appropriate advocacy.
Children at this age require protection and guidance suited to their developmental stages, and unexpected exposure to material perceived as explicit naturally alarms parents and carers. Moreover, conflating the promotion of LGBTQIA+ rights with unsuitable content fuels misunderstanding and resistance, reinforcing the very prejudices proponents aim to challenge.
Promoting awareness and acceptance of LGBTQIA+ individuals in society is both legitimate and important, but doing so via a schoolbook link that was not properly vetted undermines credibility and obscures the educational intent with controversy and backlash.
What “Right” Sex Education Looks Like
Effective sex and relationship education for children is age-appropriate, scientifically grounded, and delivered transparently with parental and community involvement. It should focus on respect, consent, emotional intelligence, and diversity without dwelling on explicit material that could confuse or distress young learners.
In curricula around the world, themes such as recognising diversity, understanding families of different structures, and nurturing empathy can be introduced gradually, with sensitivity to cultural context and community expectations. Importantly, such content is typically accompanied by teacher training and guidance for parents so that learning is not isolated within the classroom but supported at home.
Sri Lanka’s education reforms aimed at modernising curricula provide an opportunity to embed such principles. But reforms must be comprehensive and built on consultation, piloting, quality assurance and clear age-appropriateness checks before publication.
Minimising Public Uproar: Transparency and Dialogue
The scale of public reaction to this textbook issue reflects deeper anxieties about cultural change, the influence of Western norms, and a perceived lack of transparency in curriculum reform. Measures to minimise similar disputes should include robust review processes involving educators, parents and subject experts. Education authorities should proactively communicate the rationale behind curriculum content and establish feedback mechanisms that can pre-empt misunderstandings.
Open town halls, explanatory releases, and transparent editorial oversight can help diffuse misinformation and reassure the public that reforms are thoughtful and safeguards are in place. In this instance, the Ministry’s swift suspension of the module’s distribution and CID referral is a start, but broader engagement with stakeholders is also crucial.
Socio-Political Reality: Cultural Norms Versus Rights Advocacy
The controversy cannot be disentangled from Sri Lanka’s socio-political landscape, where conservative cultural norms, strong religious influences, and legal constraints on same-sex relations shape public perception of LGBTQIA+ issues. Many religious leaders have voiced opposition to what they see as “Western influence” eroding traditional values; such sentiments can be mobilised politically to stoke concern whenever LGBTQIA+ topics enter public discourse.
In this context, any perceived advocacy for queer rights — even through legitimate educational content — is likely to be scrutinised and contested. This tension underscores the challenge of advancing human rights in a setting where cultural preservation is interpreted as a bulwark against moral decline.
Political Homophobia or Political Strategy?
Amid the debate, there are voices questioning whether the scandal is being leveraged for partisan advantage. Calls for the Prime Minister’s resignation and allegations of sabotage suggest a willingness amongst some political actors to weaponise fear of LGBTQIA+ issues to embarrass the government and erode public confidence in its reforms. Whether out of genuine concern or strategic calculation, political homophobia — exploiting prejudices against queer individuals to score points — risks deepening social divisions and detracting from rational discussion about educational quality. This is not something new, for decades queerbaiting has been a sharp weapon against regimes in power, to weaken them, outsmart them, or even oust them.
Growth of Maggots on Rotting Flesh
Disturbingly, the controversy has also created fertile ground for openly anti-LGBTQIA+ groups that had previously remained relatively dormant due to limited platforms or public traction. Seizing on the textbook issue, these groups have launched coordinated hate campaigns across the country, using social media, religious gatherings and political rhetoric to vilify queer communities.
Under the guise of “protecting children” and “defending culture”, they have amplified fear-laden narratives that conflate education with moral corruption, further marginalising an already vulnerable population and poisoning the broader public discourse.
The dispute cannot be divorced from Sri Lanka’s socio-political realities. Conservative cultural norms, powerful religious institutions and the criminalisation of same-sex relations shape how LGBTQIA+ issues are perceived. In such an environment, even neutral or human-rights-based discussions of sexuality can be framed as cultural aggression. This tension highlights the difficulty of advancing equality in a society where tradition is often positioned as being under siege.
Demanding a Thorough, Transparent Probe
Given the complexity and sensitivity of the matter, an immediate, thorough, and transparent investigation is essential. The CID probe and internal review should not merely apportion blame but examine systemic weaknesses in curriculum development, review processes, and quality control. Findings should be shared publicly to rebuild trust.
This episode is a reminder that curriculum reform touches the nerves of society’s values, beliefs and aspirations. A nuanced, respectful and inclusive approach — underpinned by rigorous safeguards and open communication — is indispensable for navigating these fault-lines in a way that enriches education without fracturing social cohesion.
Website Linked in School Textbook Blocked as Education Row Sparks Political Fallout
January 01, Colombo (LNW): Sri Lanka’s telecommunications authorities have moved to block access to a website mistakenly cited in a Grade 6 English language textbook, as the controversy surrounding the error escalated into a political dispute and prompted calls for ministerial accountability.
The Telecommunications Regulatory Commission of Sri Lanka instructed local internet service providers to restrict access to the site after widespread concern was raised over its appearance in printed learning material used in schools. The reference, included in a language lesson, was intended to direct students to an educational resource but instead led to an unrelated website, triggering public alarm.
Former minister Wimal Weerawansa has demanded the resignation of Prime Minister and Education Minister Harini Amarasuriya, arguing that the incident exposed children to unsuitable online material. He told reporters that even an indirect reference of this nature could spark curiosity among young students and potentially place them at risk, describing the lapse as a serious failure of oversight. He further warned of public demonstrations targeting the Education Ministry if firm action is not taken.
The Ministry of Education has since confirmed that a formal complaint has been lodged with the Criminal Investigation Department. Ministry Secretary Nalaka Kaluwewa said there is reason to suspect that the inclusion of the web reference may not have been accidental, noting that opposition to ongoing education reforms has intensified in recent months. He stated that investigators are examining whether external interference or deliberate manipulation played a role.
Officials explained that the Grade 6 English module, developed by the National Institute of Education, had already been printed when the error was discovered. Distribution was immediately halted, and an internal inquiry was launched to establish responsibility and prevent similar incidents in future curriculum updates.
The issue came to light after a social activist pointed out that a typing error repeated in several places within the new syllabus redirected users to an unintended website rather than the intended educational application. Subsequent checks by authorities confirmed the mismatch, leading to swift remedial action.
Education officials said corrective measures are already under way and stressed that further steps, including disciplinary or legal action, will depend on the findings of the CID investigation. They also assured parents that additional safeguards will be introduced to strengthen quality control in future textbook revisions.
Sri Lanka Name Under-19 Squad for World Cup
January 01, Colombo (LNW): Sri Lanka Cricket has finalised a 15-member squad to represent the country at the ICC Under-19 Men’s Cricket World Cup, which will be staged in southern Africa early next year.
The youth tournament is scheduled to run from January 15 to February 06, 2026, with matches taking place across venues in Namibia and Zimbabwe.
The competition is expected to bring together the world’s leading emerging cricketers, offering a key platform for future international stars.
According to Sri Lanka Cricket, the selected players will leave the island on January 01, 2026 to allow time for acclimatisation and final preparations ahead of the opening fixtures. Team officials expressed confidence that the squad, drawn from schools across the country, has the talent and discipline to mount a strong challenge at the global event.
Army Races to Repair Damaged Sri Pada Pathway Ahead of Peak Pilgrimage Period
January 01, Colombo (LNW): The Sri Lanka Army has launched an extensive operation to restore damaged steps along the main approach to Sri Pada, after severe weather triggered landslides that left sections of the Mahagiridamba route unsafe for pilgrims.
Although this year’s pilgrimage season began on December 04, 2025, heavy rains and unstable ground conditions disrupted access, prompting urgent safety concerns for devotees travelling to the sacred site. In response, Army engineering teams were mobilised from December 11 to stabilise the pathway and carry out essential repairs.
Nearly 400 troops are currently working in challenging conditions, manually transporting construction materials across steep and slippery terrain where machinery cannot be used. Their efforts are focused on reinforcing the route to ensure uninterrupted and secure passage during the height of the pilgrimage.
According to the Army, construction of a 300-millimetre side wall has already been completed, while work on a 500-millimetre wall was almost finished by the end of December. Progress is also being made on the main retaining wall, which is now more than halfway complete, alongside the installation of new handrails to improve safety.
The Army expects all remaining work to be wrapped up by January 05, 2026, allowing pilgrims to continue their journey to Sri Pada with greater confidence and security.
Oil Prices Close 2025 Sharply Lower Amid Oversupply Fears and Market Turbulence
January 01, Colombo (LNW): Global oil prices slid on Wednesday, rounding off a volatile year with losses approaching 20 per cent, as mounting concerns over excess supply overshadowed a backdrop of conflict, sanctions and shifting production policies.
Brent crude ended the year nearly a fifth lower, marking its steepest annual fall since 2020 and extending a record run of three consecutive yearly declines. US benchmark West Texas Intermediate mirrored the trend, also shedding close to 20 per cent over the course of 2025.
On the final trading day of the year, Brent settled at $60.85 a barrel, down 48 cents, while WTI slipped 53 cents to $57.42. The late-year weakness reflected growing unease about the balance between supply and demand heading into 2026.
Analysts at BNP Paribas expect further pressure in the near term, forecasting Brent could slide to around $55 a barrel in the first quarter before stabilising near $60 later in the year as supply growth evens out and demand remains subdued. The bank noted that US shale producers, having locked in higher prices through hedging, are likely to maintain steady output regardless of short-term price swings.
Recent data from the US Energy Information Administration offered a mixed picture. While crude inventories fell by nearly two million barrels in the final week of December, stocks of petrol and distillates rose sharply, exceeding market expectations and pointing to softer seasonal demand after the holiday period. US oil production also reached a record high in October, reinforcing concerns about abundant supply.
The oil market’s trajectory in 2025 was shaped by a complex mix of geopolitical shocks and policy shifts. Prices surged early in the year following tougher sanctions imposed on Russia, which disrupted flows to major buyers such as China and India. Tensions were further inflamed by attacks on energy infrastructure linked to the Ukraine war and a brief but intense Iran–Israel conflict that threatened shipping through the Strait of Hormuz.
More recently, disputes involving key Middle Eastern producers, renewed pressure on Venezuelan exports and heightened rhetoric from Washington added to uncertainty. However, these risks were ultimately outweighed by the decision of OPEC+ to accelerate production increases, releasing millions of barrels a day into the market since April.
The producer group has since opted to pause further output hikes in the first quarter of 2026, with its next policy meeting scheduled for early January. Even so, most forecasts suggest supply will outstrip demand next year, with estimates of the surplus ranging from around two to nearly four million barrels per day.
Some analysts believe prices would need to fall into the low $50 range to prompt meaningful production cuts, while others caution that geopolitical flashpoints could still lend support to the market. Despite expectations of weaker fundamentals into 2026, many observers warn that political risk — particularly from an unpredictable global landscape — remains a factor investors cannot afford to ignore.
Colombo Inflation Holds Steady in December 2025
January 01, Colombo (LNW): Consumer inflation in Colombo showed little movement at the close of 2025, with the annual rate remaining unchanged at 2.1 per cent in December, according to the latest figures issued by the Department of Census and Statistics.
The Colombo Consumer Price Index for all items rose to 195.8 in December, up from 193.4 in November, reflecting a modest month-on-month increase despite the stable year-on-year trend.
Food prices continued to record an annual rise of 2.1 per cent, matching the rate seen a month earlier, indicating relative stability in essential items. Meanwhile, non-food inflation edged up slightly to 1.8 per cent, compared with 1.7 per cent recorded in October, suggesting mild upward pressure in areas such as services and household expenses.
In terms of overall impact, food items accounted for just under one percentage point of the annual inflation rate, contributing 0.97 per cent, while non-food categories made up a slightly larger share at 1.18 per cent.