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Sri Lanka Original Narrative Summary: 06/04

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01. Speaker Mahinda Yapa Abeywardena says the ballot papers used in the secret ballot to elect a MP to the Office of President on 20.07.2022 has been destroyed; adds the action was taken by the Parliament Secretary General following the procedure in terms of provisions of Section 18 of the said Act and with the approval of the Committee on Parliamentary Business.

02. A South Korean delegation led by Kim Byong Boo, CEO of “Hyundai Marine Company”, arrives in Sri Lanka to inspect the interview process and training related to the selection of Sri Lankan youth for South Korean jobs; asserts the Company expects to provide more job opportunities to SL youth in SK.

03. Labour and Foreign Employment Minister Manusha Nanayakkara says measures are being taken to obtain assets and liabilities statements from TU leaders who are yet to submit their declarations; adds TU leaders of government and semi-government institutions are required to submit their assets and liabilities statements according to the Declarations of Assets and Liabilities Act; laments no TU leader has provided such a statement so far.

04. The World Bank warns the Sri Lankan economy will continue to face significant challenges in 2023 and beyond: The baseline scenario projects the economy to contract by 4.3 per cent in 2023, following the contraction of 7.8 per cent in the previous year, as demand continues to be subdued, jobs and income losses intensify, and supply side constraints adversely affect production: WB stresses the restructuring of external debt and certain domestic debt will be needed to restore debt sustainability.

05. Emeritus Professor Jayadeva Uyangoda warns the proposed “Anti-Terrorism Bill” paves the way to label common citizens as terrorists; alleges that in order to implement the IMF requirements to solve the country’s economic crisis, the government has placed the burden on the poor and vulnerable, working and middle classes; laments the ruling elite wants to suppress the protests and demonstrations launched by the people, and the said bill is one of the undemocratic ways the government will follow to crack down on dissent.  

06. Finance State Minister Shehan Semasinghe says the Treasury can no longer tolerate the operation of loss incurring public bodies or ones that have failed to reach the expected targets; stresses 39 out of 52 public bodies of ‘strategic’ importance incur profits and 13 losses; laments the loss incurred by the said 13 amounts to Rs. 1,029 million, and the profit by the said 39 Rs. 218 billion; reveals the total loss per annum amounts to over Rs. 811 billion, and profit-making bodies have paid only Rs. 29 million as taxes required by the Treasury.

07. The Bar Association says the powers and the privileges of Parliament have not been violated by the Supreme Court order on the LG Polls; stresses the Supreme Court, being a sovereign body, should not be called upon to explain judicial orders to any other person or institution; calls for all governmental and other institutions to respect and observe the independence of the Judiciary, and any interference in the judicial process, sets a dangerous precedent.

08. ADB’s annual flagship economic publication, the Asian Development Outlook (ADO) April 2023, forecasts Sri Lanka’s economy to contract further in 2023 before it begins a gradual recovery in 2024, as the country navigates an unprecedented economic crisis: The economy contracted by 7.8 per cent in 2022 and is forecast to contract by 3 per cent in 2023 as it continues to grapple with the challenge of debt restructuring and balance of payments difficulties: Suggests reform measures, such as the reversal of the tax cuts of 2019, and the IMF’s EFF will support the country’s efforts to stabilise economy.  

09. CID’s Crime Branch submitting its final report on the case of underworld gangster Maddumage Lasantha Chandana Perera alias ‘Angoda Lokka’ to the Chief Judicial Magistrate court says he died due to cardiac arrest: Lokka was found dead in a rented house at Balaji Nagar near Cheran Ma Nagar in July, 2020.

10. Sony Pictures Networks India (SPN) extends its exclusive global media rights partnership to broadcast Sri Lanka Cricket matches for the next four years until March 2027: From mid-April, the broadcaster will exclusively televise and livestream the senior men’s cricket matches hosted by SLC globally, except in Sri Lanka, where it has only pay television rights.

New Sri Lankan Envoy meets with Australian Parliamentarian of Sri Lankan Origin

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Sri Lanka High Commissioner to Australia Chitranganee Wagiswara called on Federal Parliamentarian, Cassandra Fernando.


The High Commissioner congratulated Cassandra Fernando, MP on being elected to the Federal Parliament last year and stated that Sri Lanka is happy and proud to have an Australian of Sri Lankan origin in the Australian Parliament.


High Commissioner Wagiswara and Cassandra Fernando discussed the present political and economic developments in Sri Lanka and exchanged views on Australia -Sri Lanka relations. They agreed to explore opportunities to enhance links between the two countries.


The High Commissioner was accompanied by Deputy High Commissioner Chamari Rodrigo.

Deputy High Commissioner takes part in the Coordination Forum of Development Partners of Sri Lanka

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Deputy High Commissioner of India, Mr. Vinod K Jacob participated in the Coordination Forum of Development Partners of Sri Lanka, chaired by Mr. Shehan Semasinghe, State Minister for Finance at the premises of the Treasury in Colombo on 4 April 2023. In his intervention, Mr. Vinod K Jacob welcomed the initiative of the Treasury and supported the proposal to convene such a Coordination Forum once in six months. He stated that India had steadfastly supported the people of Sri Lanka through the economic crisis as well as at the IMF and expressed hope that Sri Lanka will achieve early economic recovery. 

2.     Explaining the flagship development cooperation partnership between India and Sri Lanka, Deputy High Commissioner Jacob said that the engagement was based on the principles of South South cooperation between friendly neighbours. The projects are selected in line with the priorities of the Sri Lankan side and pertain to socio-economic sectors like the Indian Housing projects, 1990 Suwaseriya Ambulance, Kandyan Dancing Academy, SL UDI, fishery harbours, hospitals, schools and the like. The total development cooperation portfolio stands at USD 600 million and in the past 8 years, more than 20 projects have been completed. 

3.     Elaborating on the challenges faced, Deputy High Commissioner Jacob said that during the past few years import restrictions and capacity issues have impacted the pace of execution. Further, on some occasions lack of availability of local resources have been an impediment to progress. An unique characteristic of Indian projects are its reliance on Sri Lanka partners for supply of locally available and environmentally sustainable materials. India remains confident of jointly resolving these concerns with the Sri Lankan side.

Farming community expresses concern over the government’s decision to move away from fertilizer distribution

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Minister of Agriculture, Mahinda Amaraweera, has announced that the Sri Lankan government will be moving away from the distribution of fertilizer during the ‘Maha Season’, and instead providing financial allocations for farmers under a subsidy system. This decision comes as part of the government’s efforts to transition the distribution of fertilizer to the private sector.

During a recent press conference, Minister Amaraweera stated that the government will no longer be involved in fertilizer distribution activities, and instead, these activities will be handed over to the private sector. The goal of this move is to provide financial allocations as subsidies to facilitate farmers in purchasing the required fertilizers.

The Sri Lankan government had spent Rs. 6.5 billion on the distribution of urea and MOP fertilizer during the recent cultivation season, while Rs. 2 billion was spent on the distribution of TSP fertilizer during the Yala cultivation season.

Minister Amaraweera highlighted the purpose of this program is to provide financial allocations as subsidies to farmers. This will help to ensure that they have access to the fertilizers they need to grow crops successfully.

This announcement by the Minister of Agriculture comes as a significant development in the country’s agricultural sector. It is expected to promote greater private sector involvement in the distribution of fertilizer, while also improving the livelihoods of farmers.

WB says timely, credible structural reforms vital for Sri Lanka

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By: Staff Writer

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.

It has underscored 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 last night (April 04), 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, the World Bank Country Director for Maldives, Nepal, and Sri Lanka. “

He added that 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-performing 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 improving job prospects and restoring 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.”

SLT Chief clarifies his position over reports on welcoming a luxury vehicle

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By: Isuru Parakrama

Colombo (LNW): Mr. Rohan Fernando, Chairman of Sri Lanka Telecom PLC clarified on reports on him receiving a luxury vehicle, stating that the said vehicle is provided by the Company not on a demand or personal request by him but to the position itself.

Speaking to LNW, Mr. Fernando clarified that in the case of current vehicle used by the state telecommunication service provider’s chief a suitable vehicle was sourced in 2020 as the existing vehicle, a Land Cruiser V8 was over six years old and had clocked closed to 300,000 km requiring major repairs.

Below is the full statement made with LNW by the SLT Chief in response to the reports:

Chairman’s vehicle is provided by the Company and not on a demand or personal request by the Chairman.

In the case of current vehicle used by the chairman a suitable vehicle was sourced in 2020 as the existing vehicle a Land Cruiser V8 was over six years old and had clocked closed to 300,000 km requiring major repairs.

When checking the prices they (Company) found that Land Cruiser V8 prices as a replacement to be 10 million Rs more than Range Rover prices.

I was only asked whether it’s OK by me to go for the cheaper option and if so to inspect the vehicle as it was imported one year before by a private car importer.
The old Land Cruiser allocated as the chairman’s vehicle was sold by auction and I believe it yielded 23 Million Rs. Hence the total outflow needs to calculated taking this amount as well.

As the Chairman of SLTMOBITEL I use only one official vehicle and at night it’s parked at Mobitel premises.

When in such situation and when the official vehicle is sent for service or repairs I use my private vehicle.

On the contrary the Chairman before 2020 had a fleet of vehicles for his use as well as back up vehicles for security provided by the PSD.

Now this should clear the picture from my side but anyone can check with the Company

Why or should a vehicle be given to the chairman of the second largest market cap listed entity, running at best profits and categorized amongst the 10 best Companies in SL.

What should be the ideal vehicle a Chairman should be given to use considering travel to far corners of the island including remote locations such as Kytes and Delft islands where Company installations and switches are located.

Is it the public or board of directors who should decide this issue in the first instance.

I am sure all procedures and board approvals have been received by the Company procurement sections in this regard.

Has their been a fraud or alleged fraud in the purchase of the vehicle and if so what legal action could be instituted as opposed to writing stories in social media.

South Korea shall provide more job opportunities for Sri Lankan youth

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A high-ranking representatives of the well-known South Korean company ”Hyundai”; stated that it is expected to provide more job opportunities to Sri Lankan youth in South Korea. This was stated when the said representatives met with the Hon. Ajith Rajapakse, Deputy Speaker yesterday (04).

A delegation including the Chief Executive Officer (CEO) of Hyundai Marine Company, Mr. Kim Byong Boo, who came to Sri Lanka to look into the interview process and training related to the selection of Sri Lankan youth for South Korean jobs, mentioned the above when they met the Deputy Speaker Hon. Ajith Rajapakse in Parliament.

The delegation stated that the youth of this country are highly skilled and they expect to bring more trained Sri Lankan youth for jobs in the country. They further emphasized that it is important for these workers to be disciplined young persons with good qualities.

The delegation pointed out the need for the government to intervene and provide proper vocational training in the country and send trained workers to South Korea as soon as possible without delay. It was also assured that the facilities and safety of the workers in South Korea will be provided to the maximum extent.

Accordingly, the delegation pointed out that there is a high demand for trained workers in the fields of ship construction and repair, electricians, welding etc. and they are entitled to high salaries. The Deputy Speaker Hon. Ajith Rajapakse addressing the gathering requested to provide support for the construction of a fully equipped training center for skilled workers in Sri Lanka.

He also said that in addition to professional skills, it is expected to provide an understanding of the Korean language, culture, etc. through this.
The delegation who expressed their interest for it pointed out that they expect to provide more job opportunities in South Korea to the talented youth of this country. Members of Parliament Hon. Weerasumana Weerasinghe and Hon. Sampath Athukorala, were also present on this occasion.

Sri Lanka explores the possibility of buying Russian oil & fertilizers

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By: Staff Writer

Colombo (LNW): The Sri Lankan government is seeking Russian cooperation in multiple sectors, namely, tourism, air traffic, and locomotive construction, besides eyeing crude from Moscow.

Colombo is negotiating a deal to buy discounted crude from Moscow, Sri Lankan Minister of Transport and Highways and Minister of Mass Media Bandula Gunawardana told Sputnik on Sunday.

“Sri Lanka today does not buy Russian oil and gas, but this issue is on the agenda of the Ministry of Power and Energy of our country, and in case of successful completion of discussions on this topic, a mutually beneficial agreement can be reached. Our authorities will discuss this issue with Russia,” the minister said.

Gunawardana added that Sri Lankan Ambassador to Russia Janitha Liyanage was still in talks with President Vladimir Putin’s government for a previously requested loan for purchasing fuel from Moscow.

The minister also assured Russia that its ships and personnel will not be arrested due to Western sanctions imposed on Moscow following the launch of its special military operation in Ukraine last February.

The minister revealed that Sri Lanka has already lifted the ban on chemical fertilizers and would like to buy them from Russia.

But he elaborated that the South Asian country would make payments in local currency because it doesn’t have dollars to pay for Russian fertilizer purchases.

President, Ranil Wickremesinghe, reversed this decision [to ban chemical fertilizers]. And fertilizers’ prices are now more affordable to the farmers, and it’s possible to consider [buying] fertilizers from Russia. It is way more economical,” he said.

Sri Lanka is pursuing the option of purchasing crude oil from Russia at discounted rates and has had several rounds of talks with Moscow in that regard, Foreign Minister Ali Sabry said.

“We have been disproportionately affected by the Russian conflict, so we pray and urge everybody to quickly and diplomatically and by dialogue resolve this. We have been affected big time in terms of petroleum, crude oil and coal prices, as well as grain prices and escalating prices of fertilizer,” said Sabry.

“These are lifelines for our people. There are 33 percent of Sri Lankans involved in agriculture,” he added.

The minister reiterated that the ongoing conflict between Russia and Ukraine has disportionately impacted Sri Lanka on top of its ongoing currency crisis, the worst in decades.

“On top of that, Russia and Ukraine both had been among our top 10 countries in tourism arrivals to Sri Lanka,” he said, noting that the two countries are two important export destinations for Sri Lanka as well.

CB maintains interest rates at current level with tight monetary policy.

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By: Staff Writer

Colombo (LNW): The Monetary Board of the Central Bank of Sri Lanka decided to maintain the Standing Deposit Facility Rate (SDFR) and the Standing Lending Facility Rate (SLFR) of the Central Bank at their current levels of 15.50 per cent and 16.50 per cent, respectively.

Having considered the recent and expected economic developments, and macroeconomic projections on domestic and global fronts, the Board viewed that the maintenance of the prevailing tight monetary policy stance is necessary.

It was of the opinion that that the monetary conditions must remain sufficiently tight to facilitate the continuation of the ongoing disinflation process amidst the improvements in market sentiments following the finalization of the Extended Fund Facility (EFF) from the International Monetary Fund (IMF) and the downward shift in elevated market interest rates reflecting the falling risk premia

Headline inflation (year-on-year) based on the Colombo Consumer Price Index (CCPI) continued to decelerate for the sixth consecutive month in March 2023.

Despite a sizeable impact from the recent hike in electricity tariffs and envisaged second round effects of previous hikes, headline inflation moderated in March 2023, mainly reflecting a larger-than-expected reduction in food inflation.

Meanwhile, core inflation also decelerated for the sixth consecutive month in March 2023, reflecting the continued moderation in underlying demand pressures in the economy.

A faster deceleration of inflation is expected from April 2023 with the reduction in domestic prices of essentials following the greater pass through of the moderation of global commodity prices and the recent appreciation of the Sri Lanka rupee, and the large disinflationary impact arising from the base effect.

A notable moderation in the yields on government securities was also observed driven by the improvements in market sentiments.

As the broader framework of the envisaged domestic debt optimization operation has now been made public, the large risk premia attached to the government securities are expected to dissipate in the near term, paving the way for other market interest rates that are benchmarked to the yields on government securities to moderate further.

The economy is projected to recover gradually towards the latter part of 2023, supported by improvements in domestic supply conditions, enhancement in business and investor sentiments along with the anticipated improvements in foreign exchange inflows, envisaged reduction of market interest rates, and the impact of policy measures being implemented to strengthen the growth outlook.

The recovery of activity is expected to sustain in the medium term underpinned by the implementation of the economic adjustment programme outlined in the IMF-EFF.

All Ceylon Canteen Owners Association Amends Food Prices Following Gas Price Reduction

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In response to the recent reduction in gas prices in Sri Lanka, the All Ceylon Canteen Owners Association has announced a reduction in the prices of certain food items. Chairman of the Association, Asela Sampath, stated that the price of a rice packet, Koththu, and Fried Rice will be reduced by 20% from midnight on April 5th.

Asela Sampath also announced that the price of a cup of plain tea will be reduced by Rs. 10, with the new price being set at Rs. 30. Additionally, a cup of milk tea will now cost Rs. 90.

This decision by the All Ceylon Canteen Owners Association comes as a relief to many customers who have been struggling with rising food costs. With the reduction in gas prices, it is hoped that more canteens and restaurants will follow suit and reduce their prices.

The Association has called on all its members to implement the new prices as soon as possible to benefit customers. This move is expected to boost customer satisfaction and promote more business for canteens and restaurants.

The public is encouraged to check with their local canteen or restaurant for the updated prices of food items. The All Ceylon Canteen Owners Association has assured customers that they will continue to monitor prices and make necessary adjustments to support the public during these challenging times.