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“Usually Late” SriLankan Airlines done it again?

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Colombo (LNW): On the sidelines of the government’s dialogue of privatising loss-incurring state bodies, SriLankan Airlines has once again been dragged into the centre of attention due to what concerned travellers claimed as having ample evidence for the reasons behind the National Carrier being a loss incurring body.

A source on the condition of anonymity told LNW that the flight (UL 455) of SriLankan Airlines from Narita, Japan to Colombo a day ago (April 08, 2023) got delayed for three hours, an announcement that was made only in the last minute.

Below is the statement produced to LNW by a concerned traveller on the experience:

Usually Late Sri Lankan Airlines (UL 455 from Narita)

We have ample evidences for the reasons of Loss making National Carrier.  

Very recently on the 8th of April we experienced one of them regarding the flight from Narita Japan to Colombo.  

Passengers were at Narita Airport to board the Flight UL 455 scheduled to takeoff at 11.35 am.

It was only at the Airport they were informed that this particular flight will be delayed until 2.30 pm (by 3 hours). At that time there were foreigners who had booked this flight expecting to catch connecting flights from Colombo. They were furious and it was heard that they would not travel Sri Lankan again but would not recommend to any body to fly Our national Carrier. 

Japanese staff at Checking in Counters were seen apologising on behalf of Sri Lankan Airlines for the delay. To Compensate this each passenger was give a 1,200 Yen voucher to have Meals & drinks from the Airport Cafes. (Imagine the unnecessary monetary loss).

The flight came, delayed by another one hour to turnaround before allowing passengers in. Flight resumed around 2.40 pm.

However I must say the in-flight service were excellent led by two able stewards namely Buddhi & Shehan.

They were seen chatting and serving plenty of alcohol to please the passengers as a damage control effort. Even the two meals served was excellent (prepared in Japan) compared to Horrible meals served in the Colombo Narita sector. The Cabin Crew was out of this world again compared to the Crew mainly ladies who were very rude with an attitude on the coming trip (UL 454) only good thing was the Captain Embuldeniya had landed in Narita 40 Minutes earlier than the scheduled time.

It is high time that Directors / Senior Administration Managers must pull up their socks to turnaround our National Carrier, to work towards profits from the present situation  of being a burden to the Tax payers of our Country. Even to sell it, no proper Airline would look at that with the present inefficiencies, Nepotism and with politically connected job appointments etc.

We may have to wean them out as a priority to get in to the past glory of Air Ceylon & Air Lanka time.

Travellers Dilemma at Bandaranaike International Airport

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Colombo (LNW): Concerned citizens begin to highlight certain inconveniences which they claim to have occurred at the Katunayake Bandaranaike International Airport, accusing some of the staff members of being inefficient, rude and mannerless.

These individuals urge the authorities to make an immediate intervention for the implementation of a smooth process which can make the national Airport a proud body to carry the Sri Lankan flag, in what they propose as the deployment of quality youngsters who could replace these ‘disgruntled inefficient’ staff members.

Below is a collective statement sent to LNW by these concerned citizens:

“We highlight these issue for the Authorities to intervene and implement  a smooth process where we could be proud of our Airport and our Country. Please do not deploy inefficient, rude and mannerless staff with Connections to these points. Sri Lanka has plenty of quality youngsters who could replace these disgruntled inefficient staff. Over to you Minister and Airport Authorities.

It is a real inconvenience to any travellers who fly out from the Katunayake. To start with just to enter the airport is a severe struggle Security have opened only two tiny doors and checking the Passports & air ticket at these entrances inconveniencing the travellers. After struggling to enter they have to put their baggage through a scanner, this is the first scanner inside probably introduced during 30 years War. After entering again, before checking in travellers have to go through another baggage scan. Not to mention another scanning process before boarding the Plane .Authorities must do a system study and shall learn from other airports how they accept travellers in to an airport. This could avoid huge queues and do away with at least one scanning. If so any late traveller could catch the flight without missing any. 

Our Sri Lankan Checking in Counters are manned by inefficient, Rude & Arrogant staff who cannot converse properly in English. Again where are the Trainers who supposed to train them. Recently we have observed there were huge queues at Sri Lankan counters and manning staff takes 10 to 15 minutes to check in one passenger . Funniest part is , this Is same for the already checked in travellers when they  come to drop their baggage and to print the boarding pass.

Then Come the next dilemma. Certain Countries like Japan need to conform 3 Vaccines before coming to Japan. This aspect is being monitored by the above mentioned inefficient staff. Very recently a family travelling to Japan was interrogated by a lady ground staff at the baggage drop counter. Unfortunately  a lady who travelled had her 3 Vaccines by the Army at Viharamaha Devi park and since there was no Seal in her card this staff member didn’t allow her  check in. To add to this the E Vaccine  Card was showing as only 2 Vaccines were administered. This is a blunder by the MOH Colombo. After many arguments Finally she was allowed to check in. However again at the boarding gate she was stopped and this particular lady came and shouted and wanted her to be offloaded mentioning she had made a mistake by allowing her to check in and already she has refused many passengers who didn’t have proof of 3 vaccines. At this point the lady travelling insisted that  this staff member shall escalate this issue to her higher up and as a result another gentleman came and after listening to the story of mistake by the army for not sealing the cards and MOH not mentioning 3 Vaccines despite the application, allowed this group to travel and insisted a indemnity/ Guarantee.  After providing that this group was allowed to board the plane . It was later revealed that this group was travelling for a series of scheduled meeting with Japanese buyers to promote Exports from Sri Lanka.  It was learned that this group were back in Sri Lanka after a Successful tour meeting Japanese buyers.

Last but not least must mention the Immigration counters where again manned by thoroughly inefficient staff who are glued to their Mobile phones whilst on duty and their rude attitudes.  This is same for when returning to the Country. This is the first impression giving about our Country to a foreigner. We feel these counters shall be manned by pleasant efficient young crowd like any other country. This is the way our Countrymen treat them. It was a real harassment from the time entering the Airport up to the boarding the flight.  And to many Visitors visiting our Mother Land. 

We highlight these issue for the Authorities to intervene and implement  a smooth process where we could be proud of our Airport and our Country. Please do not deploy inefficient, rude and mannerless staff with Connections to these points. Sri Lanka has plenty of quality youngsters who could replace these disgruntled inefficient staff. Over to you Minister and Airport Authorities.”

Sri Lankan Economy in 2023 : World Bank release new update

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Colombo (LNW): Sri Lanka’s heightened fiscal, external, and financial sector imbalances and its fluid political situation pose significant uncertainty for the country’s economic outlook, says the World Bank in its twice-a-year update, underscoring the need to address the root causes of the country’s economic crisis and build a strong and resilient economy to prevent future crises.

Released today, the Sri Lanka Development Update (SLDU), Time to Reset projects the country’s economy to contract by 4.3 percent in 2023, as demand continues to be subdued, job and income losses intensify, and supply-side constraints adversely affect production.

“The economic crisis in Sri Lanka has had deep impacts with over half a million jobs lost and 2.7 million additional people falling into poverty between 2021 and 2022,” said Faris H. Hadad-Zervos, World Bank Country Director for Maldives, Nepal, and Sri Lanka. “The prolonged recovery from the scarring effects of this crisis in addition to a slow debt restructuring process, limited external financing support, and an uncertain global environment pose significant risks to the country’s economic growth.”

The economy will continue to face significant challenges in 2023 and beyond. A lower-level external trade equilibrium could have contagion effects on domestic trade, economic activity, jobs and incomes. Combined with adverse effects from revenue-mobilization efforts, which are essential for regaining fiscal sustainability, poverty projections could worsen. The financial sector needs to be managed carefully, given rising non-preforming loans and large public sector exposures.

Mitigating the impacts on the poor and vulnerable remains critical during the adjustment. Reducing poverty requires better-targeted social assistance, an expansion of employment in industry and services, and a recovery in the real value of incomes. However, strong and effective implementation of the government’s reform program, supported by financing from international partners, could boost confidence and attract fresh capital inflows that are key to improve job prospects and restore livelihoods.

“The current crisis is not a temporary liquidity shock that can be resolved by external financing support from outside. Instead, the crisis provides a unique opportunity to implement deep and permanent structural reforms that may be difficult in normal circumstances,” added Hadad-Zervos. “Sri Lanka can use this opportunity to build a strong and resilient economy.”

The SLDU is a companion piece to the latest South Asia Economic Focus, Expanding Opportunities: Toward Inclusive Growth, which projects regional growth to average 5.6 percent in 2023, a slight downward revision from the October 2022 forecast. Growth is expected to remain moderate at 5.9 percent in 2024, following an initial post-pandemic recovery of 8.2 percent in 2021.

The report notes that to go from recovery to sustained growth, South Asia needs to ensure economic development is inclusive. The region has among the world’s highest inequality of opportunity. Between 40 and 60 percent of total inequality in South Asia is driven by circumstances out of an individual’s control such as place of birth, family background, caste, ethnicity, and gender. Intergenerational mobility is also among the world’s lowest. Data highlighted in the report shows that less than 9 percent of individuals whose parents have low levels of education reach education levels of the upper 25 percent. Such disparities lead to differences in access to jobs, earnings, consumption, and welfare and to calls for redistributive policies.

The report recommends continuing to improve the quality of primary education and expanding access to secondary and higher education, evaluate and strengthen affirmative action policies targeted to “low opportunity” groups, and policies to improve the business climate for small and medium enterprises, who account for the bulk of job opportunities for the less well-off. In addition, reducing barriers to labor mobility can have a powerful equalizing impact as urban areas tend to offer more opportunities for social mobility.

Pathfinder Foundation urges Sri Lanka to adhere Indo-Japanese collaboration

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By: Staff Writer

Colombo (LNW):The report has suggested a strategic response to transforming the economy, focusing on four priority sectors in which Indo-Japanese collaboration is sought to put the country on a sustainable growth trajectory for a structural shift.

In his welcome remarks at the launching ceremony of the report, Pathfinder Foundation Chairman Bernard Goonetilleke, highlighted that two countries – India and Japan as very close development partners of Sri Lanka, who have much to contribute to reviving Sri Lanka’s economy.

He added, “India’s interest in the welfare of the country and its people was evident in the granting of generous credit and other facilities amounting to almost $ 4 billion in the recent past to overcome the economic crisis.

Likewise, Japan has been a country which has generously provided economic support going back many decades.”

The Official Launch of the Report on “A Medium and Long-term Strategy for Indo-Japanese Collaboration to Support the Economic Transformation of Sri Lanka”, prepared by the Pathfinder Foundation with the assistance of a panel of experts, was held in Colombo.

Foreign Affairs Minister Ali Sabri was the event›s Chief Guest, with High Commissioner of India Gopal Bagley, and Ambassador of Japan Mizukoshi Hideaki gracing the occasion.

The event was organised in collaboration with the International Trade Centre (ITC), Geneva and attended by representatives from several government and private sector agencies. Bernard Goonetilleke. Chairman, Pathfinder Foundation; handed over the Report to Foreign Affairs Minister Ali Sabri.

The report has suggested a strategic response to transforming the economy, focusing on four priority sectors in which Indo-Japanese collaboration is sought to put the country on a sustainable growth trajectory for a structural shift

In his address, Foreign Affairs Minister Ali Sabry, highlighted some important points for consideration.

He urged all think tanks, such as the Pathfinder Foundation, to look into areas a typical politician would not comprehend and push for necessary changes.

He also reiterated that a politician should have the humility to listen and learn from experts on the subject, encouraging think tanks to engage with the public and share populist policies.

Ambassador Gopal Bagley pointed out that Sri Lanka occupies a unique place in India’s foreign policy mainly due to the neighbourhood-first policy of India. He added that India stands ready to assist Sri Lanka in overcoming the current economic crisis.

Ambassador Mizukoshi Hideaki expressed his hope that this year will be the beginning of an economic revival providing a springboard for future development for Sri Lanka.

He also mentioned that Japan had been a long-standing partner in Sri Lanka’s socioeconomic development.

SL Treasury Secretary calls on every one strive to rebuild the economy

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By: Staff Writer

Colombo (LNW):Treasury Secretary Mahinda Siriwardene has made a clarion call to every citizen to strive diligently to rebuild and put the economy on a stable trajectory beyond the International Monetary Fund (IMF) program.

Noting that Sri Lanka has progressed substantially from last year, with the implementation of corrective measures and monetary tightening, the Treasury Secretary emphasized staying the course to achieve sustainable economic development beyond the IMF program.

Siriwardena also said the tight expenditure controls and inflation helped Sri Lanka over-perform its primary deficit target for 2022 in an interim budget created ahead of the IMF program.

“Sri Lanka was asked to maintain a 4% primary deficit, but we ended with a 3.8% of gross domestic product (GDP) for 2022. However, this included lending to the Ceylon Petroleum Corporation of $ 700 million and had it not been there we could have ended about 2.7% of the GDP,” he added.

Sri Lanka’s recovery from the crisis now hinges on timely progress on debt relief and implementation of economic reforms.

The needed reforms include enhancing domestic resource mobilization, improving the performance of state-owned enterprises, strengthening public financial management, encouraging private sector activities, strengthening anti corruption legislation, building strong institutions, and increasing transparency.

However, he said cash flow management remains a very tedious and challenging task without sufficient State revenue inflows.

In 2022, Sri Lanka’s economy contracted by 7.8% and is further expected to shrink by 3% in 2023 as it continues to grapple with the challenge of debt restructuring and balance of payments difficulties.

“We receive around Rs. 160 to 170 billion each month as tax revenue, but the State expenditure is around Rs. 193 billion. The State sector salaries are the biggest, which is about Rs.93 to 94 billion.

Then another Rs. 30 to 35 billion is for pensions and social welfare Samurdhi payments. For services particularly for the health sector to import medicines we need about Rs. 7 to 10 billion,” he explained.

Despite the significant adjustments made to meet the revenue target, he said last year the Treasury saw a considerable tax revenue increase which was about 20% of the total revenue, amidst a very high nominal GDP.

“We did not see a significant increase in tax revenue as a percentage of the GDP in 2022, but this year we have seen a considerable improvement especially indirect taxes like VAT,” he said.

The Treasury Secretary, however, was concerned if Sri Lanka would be able to make the annual revenue target, adding that it remains the main concern of the Government.

He also said steps are being taken to introduce the Public Finance Management Bill, whilst noting that the Policy Framework of the Government will be announced by the end of the month.

On the Cabinet decisions to file a case in a Singapore Court against the X-Press Pearl vessel owners, Attorney-at-Law/Legal Counsel, an expert in Law of the Sea and Maritime Law Dr. Dan Malika Gunasekera said, going to Singapore has its disadvantages for Sri Lanka as there are many International Conventions that apply in Singapore, as opposed to Sri Lanka.

China proposes setting up of a radar base in Sri Lanka: Report

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By: Staff Writer

Colombo (LNW): China has proposed setting up a radar base in Sri Lanka, aiming to counter India’s naval presence and strategic oversight in the Indian Ocean region, a report has claimed.

The proposed radar base will focus on monitoring the activities of the Indian Navy while also evaluating New Delhi’s strategic assets in the region, Economic Times reported.

The paper reported that Aerospace Information Research of the Chinese Academy of Sciences is the likely agency which is steering this project in the forests of Dondra Bay, Sri Lanka, about 155 km southeast of Colombo.

The proposed radar will have the capability to track US military movements at its military base in Diego Garcia, an island of the British Indian Ocean Territory, an overseas territory of the United Kingdom, located over 1700 km southwest of Dondra Bay.

The report, while citing people familiar with the developments related to the Chinese proposal, said that the radar set-up, if successfully established by Beijing, would be detrimental to Indian military installations as they will be in the range of the proposed radar.

The proposed Chinese oversight installation in Sri Lanka is likely to have the range as far as the Andaman and Nicobar Islands to its east.

Sri Lanka remains vulnerable to Chinese designs in the region because of the Chinese debt owed to the country. Dondra Bay is located at the southernmost tip of Sri Lanka. It forms a significant part of Sri Lanka’s history.

The report, while citing people familiar with the developments related to the Chinese proposal, said that the radar set-up, if successfully established by Beijing, would be detrimental to Indian military installations as they will be in the range of the proposed radar.

The proposed Chinese oversight installation in Sri Lanka is likely to have the range as far as the Andaman and Nicobar Islands to its east.

Sri Lanka remains vulnerable to Chinese designs in the region because of the Chinese debt owed to the country.

Dondra Bay is located at the southernmost tip of Sri Lanka. It forms a significant part of Sri Lanka’s history.

Last year, Chinese surveillance vessel Yuan Wang 5 docked at the Hambantota Port after the Sri Lankan government conceded to the Chinese request despite Indian warnings.

Sri Lanka allowed the vessel to dock at Hambantota and remain for six days for refueling and logistics supplies.

Trade Ministry kills chicken and egg with importation of Indian eggs

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By: Staff Writer

Colombo (LNW):Sri Lanka’s Government has failed to settle the massive egg shortage and its unbearable price of around Rs: 55-60 for consumers even after the continuation of egg imports from India with the intention of compelling local producers to bring down prices and increase supply.

On the other hand, the State Trading Corporation (STC) (Government) is making a clear cut profit of Rs 13 -15 per egg from the egg imports from India, All-Island Poultry Farmers’ Association chairman Ajith Gunasekara said.

The real benefits of importing these eggs have not been felt by the people, he claimed, adding that most shops still do not have eggs despite imports.The State Trading Corporation said that imported Indian eggs will be sold to bakeries and confectioneries at Rs 35 rupees each.

The All-Island Poultry Farmers’ Association chairman said that the government could have sold an imported Indian egg at 25 rupees.

According to LNW fact check the value of an Indian egg is Rs. 17.46 and its CFI value is around Rs 3.50 and the export cost is in the region of .Rs.20.96 around Rs21 and the the tax on those eggs is Rs 1 per egg.

According to the National Egg Coordination Committee (NECC) Egg Price report, the wholesale price of an egg in the Namakkal area in South India has increased from INR 4 to INR 4.40 and a little more from mid-February to March 2.

If so, even if two million eggs are bought at 4.40 Indian rupees, the value of one egg is 0.051USD at the rate of Rs 365.65 per US Dollar. According to the State Ministry of Finance internal sources, an Indian egg costs Rs.28 rupees when it arrives in Sri Lanka. .

Even under this scenario The STC /Government is getting profit by this deal and it is not becoming for the present administration to allow the consumers suffering at the expense of taxpayers money by allowing the trade ministry to kill the egg importers and consumers by this type of transactions.

“The plan of the government was to destroy the local poultry industry. Gunasekera said that the government should help the local poultry farmers boost their production.

“Gunasekara said the production of eggs and chicken had dropped drastically because of high costs. He added that the daily production of eggs, which was around 800,000 per day, had dropped to about 400,000..

Sri Lanka’s cabinet of ministers have given the go ahead to import eggs Trade Minister Nalin Fernando said as domestic prices rose steeply after price controls disrupted farming on top of a currency collapse.

Finance Ministry noted that that eggs can be imported from India for about 35 rupees. Sri Lanka’s eggs were around 20 to 25 rupees before the rupee collapsed from 200 to 360 to the US dollar.

Spearhead-Class Expeditionary Fast Transport vessel USNS Brunswick arrives in SL

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Colombo (LNW): USNS Brunswick (T – EPF 6), a Spearhead-Class Expeditionary Fast Transport ship of the U.S. Navy arrived at the port of Trincomalee yesterday (08).

The U.S. Navy ship which arrived in Trincomalee for replenishment, is expected to depart the island on 12th April.

Source: SL Navy

Naval personnel donate blood to replenish blood bank supplies

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Colombo (LNW): In a move to replenish blood bank supplies, Naval personnel have come forward for the donation of blood, as part of the celebration of the 72nd Anniversary of the Sri Lanka Navy.

Another blood donation campaign, organised in view of the 72nd Anniversary of the Sri Lanka Navy, was successfully held at the Command Naval Hospital (North Central) at SLNS Pandukabhaya in Poonewa on three days ago (06).

Sri Lanka Navy celebrated its 72nd Anniversary, giving pride of place to religious and social responsibility initiatives. This blood donation programme served as another step of the series of social responsibility initiatives that were run concurrently.

At the directives of Commander of the Navy Vice Admiral Priyantha Perera and under the supervision of Commander North Central Naval Command Rear Admiral Janaka Nissanka, the campaign was set in motion to replenish the blood stocks at the Blood Transfusion Centre, Anuradhapura Teaching Hospital. The medical staffs of the Anuradhapura Teaching Hospital and Command Naval Hospital worked tirelessly to make the campaign a success.

Also, the event was a great success as a result of the generous contribution of a large group of naval personnel of the North Central Naval Command who voluntarily donated blood.

Source: SL Navy

Sri Lanka Original Narrative Summary: 09/04

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  1. US District Court Judge of the Southern District of New York Denise Cote rejects Sri Lanka’s attempt to dismiss Hamilton Reserve Bank’s claim for the repayment of USD 250 million plus interest out of the ISB that was due to be paid on 25th July 2022: analysts say this US Federal Court order would be a huge setback in Sri Lanka’s debt re-structuring exercise.
  2. IMF says there is a significant financial risk to Sri Lanka’s capacity to repay its loan to the IMF: expresses concern that social unrest and tension could pose operational risks to its staff missions and its local field office: warns the public may view the Program as being too tight.
  3. All-Island Poultry Farmers’ Association Chairman Ajith Gunasekara says the Govt makes Rs.13 from each egg imported from India: claims the real benefit of importing these eggs have not been felt by the people: also says most shops still do not have eggs despite imports.
  4. USNS Brunswick, a Spearhead-Class Expeditionary Fast Transport ship of the US Navy arrives at the Port of Trincomalee: it is a Military Sealift Command expeditionary fast-transport vessel capable of providing rapid intra-theater transport of troops and military equipment: it is expected to depart on 12th April.
  5. Sun expected to be directly over Sri Lanka from April 5 to 15.
  6. Expert in Law of the Sea and Maritime Law Dr Dan Malika Gunasekera says the Cabinet decision to file a case in a Singapore Court against the MV X-Press Pearl vessel owners has disadvantages for Sri Lanka as there are many International Conventions that apply in Singapore, as opposed to litigating in Sri Lanka.
  7. Ports, Shipping, and Aviation Minister Nimal Siripala de Silva says his Ministry is awaiting a report from the int’l financial advisory firm Lazard to determine the best way to re-structure SriLankan Airlines: also says it will take at least another 3 months to finalise the report.
  8. Govt includes trousers and skirts as legally accepted dress codes in courts for women Judges and Attorneys-at-Laws: initially permitted frocks removed from the list: accordingly, lawyers and judges are now permitted to wear a saree and jacket in white, black, off-white, grey or mauve, black trouser or skirt with white blouse, black coat and shoes.
  9. Professor Emerita of Paediatrics at the University of Colombo, Professor Priyani Soysa, 97, passes away: from 1966-1991, she served as the Professor of Paediatrics, becoming the first woman in Sri Lanka to be appointed to a Professorial chair.
  10. New Zealand wins 3rd Cricket T20I against Sri Lanka by 4 wickets: SL 182/6 (20 overs) & NZ 183/6 (19.5 overs): NZ win series 2-1.