Colombo (LNW): The Cabinet has granted special approval to include the Japanese language into the school curriculum, in a move to groom future migrant workers targeting career opportunities in Japan, announced Foreign Employment and Labour Minister Manusha Nanayakkara in Parliament today (22).
Accordingly, measures are being taken together with the Education Ministry to include the Japanese language as a subject from Grade 06 at schools, the Minister revealed.
He added that the government of Sri Lanka has taken various measures with regard to foreign employment, including the launching of a programme to start a pool of 5,000 Japanese language trainees aiming the foreign market.
Colombo (LNW): Water supply will be interrupted for 16 hours in several parts of Colombo tomorrow (23), announced the National Water Supply and Drainage Board (NWSDB).
Accordingly, water supply will be disrupted from 8 am tomorrow to midnight Saturday (24).
The move will affect Colombo 11, 12, 13, 14 and 15 areas.
Colombo (LNW): The Sri Lankan Rupee indicates further appreciation against the US Dollar as revealed by the exchange rates of a number of leading commercial banks today (21).
This appreciation comes in in comparison to yesterday (21).
Accordingly, People’s Bank reveals the buying price of the US Dollar has dropped to Rs. 298.77 from Rs. 300.71, and the selling price to Rs. 316.44 from Rs. 318.51.
At Commercial Bank, the buying price of the US Dollar has increased to Rs. 297.68 from Rs. 295.70, but the selling price has dropped to Rs. 316 from Rs. 318.
At Sampath Bank, the buying price of the US Dollar remains unchanged at Rs. 298 and the selling price has dropped to Rs. 313 from Rs. 315.
Colombo (LNW): The headline inflation based on the National Consumer Price Index (NCPI) has dropped to 22.1 per cent in the month of May, 2023, in comparison with the 33.6 per cent recorded in April this year, the Department of Census and Statistics revealed.
Meanwhile, food inflation has dropped to 15.8 per cent in May, 2023 from the 27.1 per cent recorded in the month before, and non-food inflation to 27.6 per cent in May from the 39.0 per cent in April.
Last night, I saw an interesting document ” Medium-Term Debt Management Strategy (MTDS)” displayed in the CB’s website under Public Debt Management whose link is given below.
According to recent response to the media, the CB now operates more transparently than before. In this context, readers will be surprised that how the above document of MTDS is applicable to the current debt management function of the CB.
As the CB will unload this document quietly, readers are invited to peruse it immediately.
A few highlights of the MTDS as presented in the document
Singed by RHS Samaratunga, Secretary to the Treasury, and Indrajith Coomarswamy, Governor, CB, on 05 April 2019 valid for 2019-2023. As the document is still in the CB Website, it has been effective until the present time.
Developed the Medium-Term Debt Management Strategy (MTDS) with the assistance of the International Monetary Fund and World Bank in 2018, in order to minimize the country’s vulnerability to any domestic and external risks. Foreign exchange and rollover risk were identified as the key debt portfolio risks for Sri Lanka. Therefore, the MTDS is focused on containing the foreign currency debt as a share of total debt, improving the average time to maturity (ATM) of the foreign currency debt portfolio, and limiting the debt maturing in 1 year by end-2023.
Providing a plan towards satisfying the financing needs of the Government of Sri Lanka, while reducing the debt level to more sustainable levels over time.
Main objectives of ensuring the government’s financing needs are met at the lowest possible cost consistent with a prudent degree of risk, while developing and strengthening the domestic government securities market.
Foreign debt as a share of GDP is expected to decline from 45.1 per cent at end 2018 to 38.5 per cent by end 2023 under the MTDS, a drop by 6.6 per cent.
The MTDS will be supported by the recently enacted Active Liability Management Act (ALMA).
Present status of debt management
All parties including the IMF, World Bank, CB and the Treasury have accepted that public debt stock is not sustainable despite the above plan developed by them.
Foreign debt has been defaulted since 12 April 2022.
Both domestic debt and foreign debt are now in the process of restructuring causing immense risks the financial systema and real economy.
All medium-term debt instruments and markets stated in the plan have been lost.
The government is now funded by short-term Treasury bills and monetary financing reached at unsustainable level.
Concluding Remarks
This shows the extent of the CB’s transparency and efficiency in public debt management.
The present CB Governor as the then Senior Deputy Governor would have involved in the design of this MTDS as it was assisted by the IMF and World Bank.
Overall, there is no controversy that the current economic crisis suffered by the general public is the outcome of the gross negligence and failure of the CB in managing the public debt in a sustainable manner. That has caused a failure of the Parliament also in control of public finance under the Constitution.
Therefore, an independent inquiry into the CB’s MTDS and debt crisis is necessary if the government wishes to be transparent and accountable to the public.
(This article is released in the interest of participating in the professional dialogue to find out solutions to present economic crisis confronted by the general public consequent to the global Corona pandemic, subsequent economic disruptions and shocks both local and global and policy failures.)
P Samarasiri
Former Deputy Governor, Central Bank of Sri Lanka
(Former Director of Bank Supervision, Assistant Governor, Secretary to the Monetary Board and Compliance Officer of the Central Bank, Former Chairman of the Sri Lanka Accounting and Auditing Standards Board and Credit Information Bureau, Former Chairman and Vice Chairman of the Institute of Bankers of Sri Lanka, Former Member of the Securities and Exchange Commission and Insurance Regulatory Commission and the Author of 10 Economics and Banking Books and a large number of articles published.
The author holds BA Hons in Economics from University of Colombo, MA in Economics from University of Kansas, USA, and international training exposures in economic management and financial system regulation)
Colombo (LNW): Allegations involving medicines imported to Sri Lanka will be investigated and action will be taken, if any discrepancies are identified, assured Health Minister Keheliya Rambukwella, responding to claims on Indian-manufactured drugs being the cause of several incidents of fatalities and vision impairment.
Early local reports raising much controversy claimed that 18 patients who were administered medicines imported from India had developed complications. These cases were reported from the Nuwara Eliya District Hospital. Two women who underwent cesarean and hernia surgery at the Peradeniya Teaching Hospital died, upon developing complications against being administered Indian-manufactured anaesthetic Bupivacaine, more reports claimed.
Responding to the allegations, Rambukwella asserted that he did not import the medicines and an investigation will be carried out.
The Indian-manufactured anaesthetic was imported to Sri Lanka via the emergency purchasing provisions, while the medication provided following eye surgery was imported with a registration, News1st reported.
The National Medicines Regulatory Authority (NMRA) is the pivotal body responsible for regulating medicines imported to Sri Lanka and plays a leading role in protecting and improving public health.
Colombo (LNW): The World Bank is set to provide financial assistance of US $5.5 million to crisis hit Sri Lanka for the streamlining of primary health services in the island nation.
The move comes in following concerns on a report provided to the WB on the operations of primary health services in Sri Lanka.
According to Project Director at the Ministry of Health Dr. Jayasundara Bandara, the Central Bank of Sri Lanka (CBSL) is set to receive the said financial assistance in the next few days.
Another US $3.75 million may receive in the next two months, Dr. Bandara expressed confidence.
01. The Sectoral Oversight Committee on Environment, Natural Resources & Sustainable Development says a total of 23 projects initiated by the Urban Development Authority using public funds are currently suspended: adds 11 have been halted due to issues between the institutions.
02. Agriculture Minister Mahinda Amaraweera says there have been ‘political conspiracies’ attempting to lure farmers away from their lands and cause hardship for the people: asserts despite claims by certain opposition groups that people are suffering from hunger, no one in SL is dying of starvation.
03. The Kandy Magistrate Court issues warrant for the arrest of ex MP Ranjan Ramanayake, in connection with a lawsuit filed by the Kandy Special Crimes Investigation Unit in 2010, involving money swindling amounting to Rs. 01 million: The probe is based on a complaint lodged by a teacher who accuses Ramanayake of swindling money in the promise of marrying her.
04. Prominent international lawyer associations and human rights organisations raise strong concerns about the ongoing trial of Sri Lankan lawyer and human rights defender Hejaaz Hizbullah, highlighting the violations of fair trial rights: The collectives include Lawyers for Lawyers, the Bar Rights Committee, the International Bar Association’s Human Rights Committee (IBAHRI), the International Commission of Jurists (ICJ), the Law Society of England and Wales, Lawyers’ Rights Watch Canada, the International Federation of Human Rights (FIDH), and the World Organisation Against Torture (OMCT)
05. Public Security Minister Tiran Alles issues extraordinary gazette slashing the penalty charges on foreigners overstaying their visa period: New gazette allows foreigners to stay without paying any penalty for a grace period of seven days: After the grace period, $250 charged per day for the next seven days: Anyone overstaying after 14 days since the visa period expired will have to pay a penalty of $500 in addition to visa charges.
06. Headline Inflation based on the NCPI is recorded at 22.1% for May ’23: records a drop from the 33.6% record in April ’23: Food inflation drops to 15.8% in May from the 27.1% recorded in April: Non-food inflation drops to 27.6% in May from the 39.0% recorded in April.
07. Self-crowned ‘Prophet of God’ Pastor Jerome Fernando withdraws writ application filed before the Appeal Court seeking an order preventing Police from arresting him in connection with his controversial sermon, hoping to reserve his rights to file a fresh application.
08. Justice Minister Wijeyadasa Rajapaksa says laws pertaining to divorce will be amended to meet “the needs of modern society”: Concern comes in following reports of extra-marital same-sex relationships leading to sexual bribes in the state sector being raised in Parliament: adds Sri Lankan laws have no provisions for a person to call for a divorce when a person finds out that their spouse has been in a same-sex relationship with others, and therefore, laws pertaining to divorce must be changed.
09. UN’s Deputy Human Rights Chief Nada Al-Nashif slams Sri Lanka over the misuse of ICCPR and urges the international community to use accepted principles of universal and extraterritorial jurisdiction to probe and prosecute alleged perpetrators of human rights abuses in the island.
10. Former national sevens and XV’s player Suhiru Anthony to lead the CR&FC Rugby outfit for the 2023/2024 rugby season, which will kick off later this year: Anthony represented the national XV’s team from 2012 to 2019 while representing Sri Lanka in Sevens rugby from 2012 to 2017.
Colombo (LNW): An extraordinary gazette has been issued yesterday (21) slashing the penalty charges on foreigners who are overstaying their visa period. The gazette has been declared under the signature of Public Security Minister Tiran Alles.
Previously, a penalty of US$ 500 charged per day for overstaying the visa period, but the new gazette declaration allows one to stay without paying any penalty for a period of seven days.
Following the seven-day grace period, one will have to pay a penalty of of US$ 250 per day in addition to the visa charges for the next seven days.
Anyone overstaying after 14 days since the visa period expired will have to pay a penalty of US$ 500 in addition to the visa charges.
The move has been made after considering a number of complaints made by foreigners to the Department of Immigration and Emigration on the sky-high penalty charges.
PMD: During a press briefing on the theme of ‘Collective path to a stable country’ held at the Presidential Media Centre, Minister of Agriculture Mahinda Amaraweera announced that plans aligned with President Ranil Wickremesinghe’s directives have been devised to transform the agricultural sector into an export-oriented economy by integrating technology into farming practices. The minister emphasized that these measures would enable the Ministry of Agriculture to generate foreign exchange, turning it into a significant contributor to the country’s economy.
Minister Amaraweera further highlighted that by providing necessary concessions to the agricultural sector this year, a satisfactory harvest could be attained. He also mentioned that ongoing efforts are underway to explore and adopt technological advancements that would enhance output per hectare.
Expressing confidence in the future of agriculture, Minister Mahinda Amaraweera asserted that comprehensive strategies have been formulated to meet the country’s domestic consumption demands, ensuring the success of all agricultural products. These strategies, he assured, would soon be implemented on agricultural lands, paving the way for a prosperous and sustainable agricultural sector.
Agriculture Minister further said
When the President assumed office, the country was plagued with long queues for essential items like fertilizer, fuel, and gas. As the Minister of Agriculture, I faced a significant challenge as farmers were deprived of fertilizer. Taking on this task, my first priority was to ensure that farmers received the necessary fertilizer. Under the President’s guidance, we implemented measures to support agriculture, including providing concessions. This resulted in a successful paddy harvest during the Maha season, and farmers have already received the required TSP (Mud fertilizer) and Bundi fertilizer for the Yala season.
Despite the President’s efforts, there have been political conspiracies attempting to lure farmers away from their lands and cause hardship for the people. However, the President handled the situation adeptly. Through the President’s agricultural modernization initiative, we have been able to increase yields per acre. Some farmers have achieved remarkable harvests of up to 11,000 kg in a single season. This success has inspired us to extend these techniques to vegetable and fruit crops, with the aim of meeting the food needs of all Sri Lankans. Additionally, we intend to implement a robust program to generate foreign exchange through agricultural exports, thereby transforming the Ministry of Agriculture into a foreign exchange earner.
We have also implemented measures to provide concessions for eggs and poultry, leading to the positive growth of these industries. Despite claims by certain opposition groups that people are suffering from hunger, no one in Sri Lanka is dying of starvation. The price of rice has significantly reduced since the President took office, and we continue to ensure its availability below the control price. Purchasing programs have been established, and funds from the Treasury have been allocated accordingly.
One major challenge we face is the extensive damage caused to agriculture by wild animals, with monkeys damaging three million coconuts last year alone. Unfortunately, until now, effective solutions to this issue have not been negotiated with the Ministry of Agriculture. We must collectively discuss and expedite a solution to this problem as the animal population continues to increase, as culling is not a viable option.
Overall, the President’s leadership and the collaborative efforts of the Ministry of Agriculture have resulted in significant progress and positive outcomes for the agricultural sector. We remain committed to further enhancing agricultural productivity, ensuring food security, and exploring opportunities for foreign exchange earnings through agricultural exports.
