By: Staff Writer

Colombo (LNW): Industrial Development Fund injects new life into micro, small and medium-scale industries.

The Industrial Development Fund (IDF), administered by the Industrial Development Board (IDB) under the purview of the Ministry of Industry has joined forces with the Regional Development Bank (RDB) to extend loans to 25 deserving individuals.

These loans, capped at a maximum of Rs.500,000 per recipient, are earmarked for the expansion and development of micro, small, and medium-scale industries. The initiative aims to invigorate Sri Lanka’s entrepreneurial landscape, paving the way for a brighter economic future.

A total sum of Rs.6.5 million will be disbursed in the initial phase, benefiting 25 entrepreneurs, each representing a distinct district. The recipients will operate under a favourable three-year payment period, subject to an annual interest rate of 6%.

The distribution of award letters took place at the Ministry of Industry, orchestrated under the astute guidance of Industry Minister Dr. Ramesh Pathirana yesterday.

The initiative finds its roots in the Industrial Development Act No. 36 of 1969, enforced by the Ceylon Industrial Development Board.

After a hiatus of 54 years, the IDF was recently unveiled at BMICH during the National Industry Week, led by Minister Pathirana. Its inauguration was marked by an initial balance of Rs. 10 million, a figure that has since grown to an impressive Rs. 15 million. Anticipations are set high, with projections indicating an escalation to an unprecedented Rs. 1 billion by next year.

During the event, the Minister articulated his vision of bolstering the IDF, ensuring accessibility for all MSMEs by the following year.

Dr. Pathirana also shed light on the bureaucratic challenges faced by industrialists in conventional banking channels, leading many to seek loans through informal means, a situation he vows to address.

The Central Bank and the Ministry of Finance is working with the Asian Development Bank to introduce a credit guarantee scheme.

Industrial Development Fund is now in place to help budding industrialists,

Entrepreneurs which consist of 2.8% of the 8.5-9 million labour force in the country must be increased to at least 10% and the ease of doing business ranking must improve to at least below 50th position from 99th place reported in 1920-21 during the next five years, for Sri Lanka to record rapid development, he said.

The Minister extended his gratitude to the IDB for their relentless efforts in elevating Sri Lanka’s micro, small, and medium-scale industries.

Regional Development Bank Chairman Susantha Silva emphasized the bank’s unwavering commitment to fostering the growth of the micro, small and medium-scale industries economy. He stressed the critical importance of business discipline in this endeavor.

By: Staff Writer

Colombo (LNW): Sri Lanka Association of Inbound Tour Operators (SLAITO) yesterday voiced its concern regarding the recent decision to impose Minimum Room Rates (MRR) for Colombo hotels.

The apex body representing Destination Management Companies (DMCs) strongly believes that market-driven rates, based on supply and demand dynamics, are vital for a thriving tourism industry and should not be subject to Government regulation.

On Friday, the Government issued an Extraordinary Gazette on MRR which will be effective from 1 October.

Sri Lanka Tourism Development Authority (SLTDA) Chairman Priyantha Fernando on Friday formally notified the General Managers of Colombo City hotels about the introduction of Minimum Room Rates (MRR) from 1 October 2023 ending speculation about a possible deferment due to protest by tour operators.

The new directive brings forth a series of guidelines aimed at standardizing room pricing across distribution channels

The MRR structure has been defined to accommodate different hotel categories: $ 100 for 5-star hotels, $ 75 for 4-star establishments, $ 50 for 3-star accommodations, $35 for 2-star hotels and $ 20 for one-star tourist hotels.

As per the Gazette notification, the prices for corporate and free independent tourists (FIT), the MRR structure has been defined to accommodate different hotel categories: $ 100 for 5-star hotels, $ 75 for 4-star establishments, $ 50 for 3-star accommodations, $35 for 2-star hotels and $ 20 for one-star tourist hotels.

However, SLAITO contends that this move could potentially impede the promotion of Colombo as a destination and might have a detrimental impact on the burgeoning Indian MICE (Meetings, Incentives, Conferences, and Exhibitions) market, which has been experiencing rapid growth in recent months.

They claimed similar sentiments were echoed by the Sri Lanka Association of Professional Conference, Exhibition & Event Organizers (SLAPCEO), the association responsible for MICE, who expressed strong objections to this regulatory decision.

Adding to the concerns is the apparent lack of consultation with SLAITO, despite the association being a key player responsible for bringing the highest number of tourists into the country. The decision to implement the MRR was made without their input or participation in any prior discussions.

“Regrettably, SLAITO (which brings in most tourists into this country) had neither been consulted nor included in any discussion before this arbitrary decision was taken,” the statement added.

The industry body further noted that the consequences of imposing these rates have not been thoroughly assessed or strategically considered. SLAITO suggests that this decision may have been influenced by a ‘select group of hoteliers’, potentially with vested interests.

“SLAITO is of the view that it will result in irreversible long-term damage to the tourism industry for which the regulator will have to take full responsibility,” the association asserted.

The United States and Sri Lanka marked the fourteenth Trade and Investment Framework Agreement (TIFA) Council Meeting in Colombo yesterday (18), solidifying their commitment to enhancing trade and investment relations.

The technical level meeting, co-chaired by Mr. K.J. Weerasinghe of the Government of Sri Lanka and Mr. Brendan Lynch, Acting Assistant United States Trade Representative for South and Central Asia, witnessed productive discussions on a wide range of crucial issues.

Her Excellency Julie Chung, U.S. Ambassador to Sri Lanka and Mrs. Chandanie Wijayawardhana, Acting Secretary to the President, set the tone with their opening remarks, acknowledging the 75th anniversary of bilateral relations between the two nations.

During the TIFA Council meeting, both delegations addressed policies impacting the investment climate, recent labour reforms, intellectual property protection and enforcement, customs and trade facilitation, technical barriers to trade and market access for apparel, gem and jewellery and agricultural products. The discussions also extended to collaboration and technical assistance in areas such as the digital economy, gem and jewellery industry, floriculture, boat building sectors and the Coconut Research Institute’s technology transfer and research commercialization.

Transparency and efficiency in approving foreign direct investment (FDI) were emphasized as key drivers of domestic economic growth and foreign investment attraction. The United States underscored the importance of adopting robust anti-corruption measures and Sri Lanka provided updates on its proposed anticorruption legislation, seeking technical assistance and training from the U.S. government.

The Biden-Harris Administration’s commitment to workers’ rights was highlighted and Sri Lanka outlined its ongoing labour law reform efforts. The United States stressed the importance of consulting relevant stakeholders and ensuring public review and comment in the process. Sri Lanka detailed its procedures for labour law reforms, with the United States expressing readiness to support these efforts.

Both nations discussed the reduction of agricultural trade barriers to enhance food security in Sri Lanka. The United States advocated for greater market access for U.S. exports of agricultural products, including animal feed. Biotechnology’s role in sustainable agriculture and food security was also explored.
Intellectual property (IP) protection and enforcement were affirmed as crucial for bilateral trade and innovation. Sri Lanka shared updates on its IP legislative reforms and the United States offered capacity building support.

The meeting concluded with both governments committing to making sustained progress on trade issues, looking ahead to the next TIFA Council Meeting scheduled for 2024. The fourteenth TIFA Council Meeting served as a testament to the United States and Sri Lanka’s dedication to strengthening their economic ties and fostering mutual prosperity.

  (PMD)

 meeting between the delegation headed by Minister of Employment and Labor of the Republic of Korea, Mr. Lee Jung-sik and the Hon. Speaker, Mahinda Yapa Abeywardana was held recently (15) in Parliament. The Secretary General of the Parliament Ms. Kushani Rohanadeera and the Korean Ambassador to Sri Lanka Ms. Miyon Lee was also present at this occasion.

The Korean Minister of Employment and Labor Mr. Lee Jung-sik, stated that according to the current economic and social changes, the Korean Employment Permit System will be restructured and thus expected to increase the employment quota given to Sri Lankan workers. He further stated that through this restructuring, he hopes to expand the opportunities available to Sri Lanka, especially in various industrial sectors and specialized service sectors.

Furthermore, the Korean Minister of Employment and Labor expressed his appreciation for the measures taken by the Sri Lankan government to teach Korean language to Sri Lankans and stated that he hopes to continue the Korea International Cooperation Agency (KOICA) and other cooperation programs.

Hon. Speaker, Mahinda Yapa Abeywardana making a request that more opportunities be given to Sri Lankan workers for employment through various employment sectors as the economy of Sri Lanka will benefit greatly given that Sri Lankan workers are engaged in Korean jobs. The Hon. Speaker also expressed his gratitude for the support provided by Korea International Cooperation Agency (KOICA) to Sri Lanka.

The Surcharge Appeals Committee is the appellate authority to be established under Section 21 of the National Audit Act, No. 19 of 2018 to which any person aggrieved by a decision made by the Chief Accounting Officer of an auditee entity specified in the above Act may appeal against such decision.

Accordingly, applications are called from persons with experience in the fields of auditing, law and public finance management, public administration and engineering, to be considered for the appointment as Members of the Surcharge Appeals Committee, to hear and determine appeals of any person aggrieved by a decision referred above.

Members of the National Audit Office and the Sri Lanka State Audit Service are not eligible for the appointment as members of this Committee.
The applications should be prepared in accordance with the sample which is available on the Parliament Web Site ( www.parliament.lk ) and the duly completed applications should be sent to; Secretary-General to the Constitutional Council, Parliament of Sri Lanka, Sri Jayewardenepura Kotte on or before 9 th October 2023 by registered post, or by email to [email protected] .

Indicate ‘Constitutional Council re: Surcharge Appeals Committee’ on the top left-hand corner of the envelope, or as the subject if emailing.

The Sri Lankan Rupee experienced a depreciation against the US Dollar at various commercial banks in Sri Lanka on September 19, in comparison to rates observed on the previous Monday.

At Peoples Bank, the buying and selling rates for the US Dollar have risen from Rs. 315.93 to Rs. 316.67 and from Rs. 330.12 to Rs. 330.89, respectively.

According to the Commercial Bank, the buying rate for the US Dollar has increased to Rs. 317.68, while the selling rate has climbed to Rs. 328.

Sampath Bank has also witnessed an increase in the buying and selling rates of the US Dollar, now at Rs. 319 and Rs. 329, respectively. This shift reflects the ongoing fluctuations in currency exchange rates, impacting the value of the Sri Lankan Rupee against the US Dollar in the local market.

Emirates and SriLankan Airlines have forged a reciprocal interline agreement to provide a significant boost to passenger connectivity for both carriers. This collaboration enables passengers to access new destinations on each other’s networks through seamless travel via Colombo and Dubai, all while utilizing a single ticket and benefiting from the convenience of baggage transfers.

Effective immediately, tickets are available for purchase, granting access to 15 regional destinations operated by SriLankan Airlines via Colombo. Emirates passengers now have the option to explore two new Indian destinations, Madurai and Tiruchirapally, along with Gan Island in the Maldives, all on a single ticket. This partnership also allows for hassle-free baggage check-through to the final destination, making travel more convenient. Additional destinations in the Far East and South Asia include Cochin, Chennai, Bangalore, Hyderabad, Malé, Bangkok, Kuala Lumpur, Singapore, Jakarta, Guangzhou, Seoul, and Tokyo.

SriLankan Airlines’ customers also stand to benefit significantly from this collaboration, gaining access to Emirates’ expansive global network. They can now connect to 15 cities operated by Emirates beyond Dubai, spanning regions such as the Middle East, Africa, Russia, and the United States. Notable destinations for SriLankan’s passengers include Bahrain, Amman, Dammam, Medina, Cairo, Muscat, Nairobi, Moscow, Tel Aviv, and various U.S. cities, including New York JFK, Los Angeles, San Francisco, Chicago, Boston, and Houston.

Travel itineraries are readily available for booking through emirates.com, srilankan.com, and preferred online and offline travel agencies.

Emirates’ Chief Commercial Officer, Adnan Kazim, expressed his satisfaction with the interline partnership, stating, “We are pleased to activate an interline partnership with SriLankan and provide our customers with more choice and access to additional destinations to suit their travel plans. This partnership enables customers to seamlessly fly to unique destinations in India and the Maldives, via Colombo. We look forward to further developing our cooperation in the near future and enhancing benefits that customers can enjoy when traveling with Emirates and SriLankan on one ticket.”

Richard Nuttall, Chief Executive Officer of SriLankan Airlines, also shared his enthusiasm, saying, “We are happy to announce our renewed interline collaboration with Emirates. SriLankan is committed to providing connectivity to Sri Lanka from around the world, and we work with many partners to access cities we don’t fly to. Emirates is a truly global airline and has a long history in Sri Lanka, and it gives us real pleasure to work with them. The partnership provides more options to connect to and from Sri Lanka, assisting both Sri Lankan passengers at home and abroad, and supports tourism growth to the Pearl of the Indian Ocean.”

Emirates has been a vital part of Sri Lanka’s aviation network for many years, serving nearly 140 destinations worldwide. With a presence in Sri Lanka dating back to 1986, Emirates has transported more than 11 million passengers to and from Colombo. The airline currently offers two direct daily flights to Colombo, employing the Boeing 777-300ER aircraft, along with an additional daily service via Malé, providing passengers with flexibility in choosing flights and minimizing connection times. Furthermore, Emirates is the sole international carrier offering First Class services to the country, ensuring passengers enjoy world-class products and superior comfort both in the air and on the ground.

Please note that travelers flying to U.S. destinations on Emirates and SriLankan interline tickets are required to clear their baggage with U.S. Customs at the first point of entry in the country.

1. Countrywide survey reveals that approximately 45% of Sri Lankans believe the USD2.9bn IMF programme will make matters worse for the economy in the future: 28% believe it will make matters better.
2. Former SLPP Chairman and rebel MP Professor G L Peiris asks as to whether President Wickremesinghe intends to postpone the next Presidential election by claiming the Govt lacked sufficient funds for conducting elections: says he is raising the issue since UNP Chairman MP Vajira Abeywardena has recently said the Govt wouldn’t be able to meet the basic requirements of the people if funds were allocated through the 2024 Budget for the Presidential election.
3. Tourism Development Authority Chairman Priantha Fernando notifies General Managers of the Colombo City tourist hotels that Minimum Room Rates have been introduced from 1 October 2023 for different hotel categories: $100 for 5-star hotels, $75 for 4-star, $50 for 3-star, $35 for 2-star, & $20 for 1-star.
4. Police arrest 6 persons on suspicion of being involved in the assault on TNPF MP Selvarajah Kajendren in Trincomalee while the MP was taking part in a procession to commemorate the death anniversary of LTTE member Rasaiah Parthipan also known as Thileepan.
5. Former CB Governor Ajith Nivard Cabraal says he had warned in April’22 that the external debt re-structuring attempt by the Govt would definitely lead to local debt re-structuring as well, although many persons in authority had rejected such warning and claimed that will never happen: also says that unfortunate outcome has now happened, and the local retirement funds have been badly affected, as fore-warned.
6. Analysts warn the expected 0.5% of GDP equivalent reduction in retirement funds earnings each year over a 10-year period, will amount to about 30% loss in the future value of retirement funds, and that the dollar value loss over 10-years will be a staggering USD4.5bn, which is 50% more than IMF loan: say that, in effect, the Govt is forcing a “bailout” from the working people to satisfy the IMF and external bondholders.
7. United National Businesses Alliance Chairperson Tania Abeysundara says the policy decisions taken by the Govt and Central Bank have resulted in a gradual and painful decline in the country’s SME sector: also says their organisation had cautioned that by the end of 2023, at least 1 million people would be left unemployed, and that today, it has sadly become a reality.
8. President Ranil Wickremesinghe participates at the United Nations 2023 SDG Summit, under the auspices of UN General Assembly.
9. Secretary to the Minister of Higher Education Dilshan Jayakody says Minister Suren Raghavan has introduced an advisory committee consisting of the Police, Ministry of Defense, Presidential Secretariat and the Human Rights Commission, to deal with bullying and ragging in universities.
10. SJB National Organizer and MP Tissa Attanayake says an investigation has to be conducted to determine as to whether politics was involved in Sri Lanka’s defeat in the Asia Cup Final on Sunday: asks whether Sri Lanka’s defeat on Sunday was a “birthday gift” for Indian PM Narendra Modi whose birthday fell on Sunday, September 17.

President Ranil Wickremesinghe engaged in a productive meeting with World Bank President Ajay Banga on September 18 at the United Nations headquarters in New York. This encounter brought together key figures to discuss crucial matters on the sidelines of the United Nations 2023 SDG Summit, a prestigious two-day political forum dedicated to sustainable development. The summit commenced on the same day under the auspices of the United Nations General Assembly (UNGA).

The distinguished gathering included Minister of Foreign Affairs Ali Sabry, Secretary to the President Saman Ekanayake, Sri Lankan Ambassador to the United States Mahinda Samarasinghe, and Permanent Representative of Sri Lanka to the United Nations Mohan Peiris.

President Wickremesinghe’s presence in the United States was part of his attendance at the 78th session of the UNGA. The overarching theme for this session was “Rebuilding Trust and Reigniting Global Solidarity: Accelerating Action on the 2030 Agenda and its Sustainable Development Goals Towards Peace, Prosperity, Progress, and Sustainability For All.” This significant event spanned from September 18 to 21 and aimed to gather world leaders to deliberate on pressing global challenges and chart a course towards a more sustainable and prosperous future for all.

President Ranil Wickremesinghe represented Sri Lanka at the United Nations 2023 SDG Summit, a prominent event focused on sustainable development. The summit, held as part of the United Nations General Assembly (UNGA), convened world leaders under the theme “Rebuilding trust and reigniting global solidarity: Accelerating action on the 2030 Agenda and its Sustainable Development Goals towards peace, prosperity, progress, and sustainability for all.” This pivotal gathering took place from September 18 to 21 in the United States.

Hosted at the UN headquarters in New York during the high-level week of the UNGA, the SDG Summit sought to bring together heads of state and government to address critical issues. As the world reaches the midpoint of the 2030 Agenda for Sustainable Development, leaders were tasked with conducting a comprehensive review of the 17 Sustainable Development Goals (SDGs). They were also expected to respond to the complex challenges posed by climate disasters, conflicts, economic downturns, and the lingering effects of the COVID-19 pandemic.

The United Nations emphasized that, for the first time in decades, development progress has regressed due to these multifaceted crises. Consequently, the SDG Summit served as a call to action, urging world leaders to unite, assess the current status, and commit to more transformative and accelerated actions leading up to 2030.

This summit was a focal point of the UNGA’s high-level week, aiming to address the world’s interconnected challenges and reignite hope, optimism, and enthusiasm for the 2030 Agenda. It offered nations, both individually and collectively, the opportunity to chart a sustainable development course, emphasizing inclusivity and leaving no one behind.

The United Nations stressed that the international community should seize this moment to enact substantial transformations in how societies produce, consume, and distribute benefits and risks. The SDG Summit had a forward-looking, action-oriented approach, intended to accelerate global efforts to enhance people’s lives and rekindle the spirit of hope, optimism, and enthusiasm that characterized the adoption of the SDGs and the 2030 Agenda. Its expected outcome document was a concise, action-focused political declaration.