Colombo (LNW): Sri Lanka Customs has submitted a comprehensive report regarding the recent questionable affairs involving MP Ali Sabri Raheem, announced Speaker Mahinda Yapa Abeywardena.
The report contains details pertaining to an incident involving the MP in which he was apprehended at the Katunayake Bandaranaike International Airport (BIA) on May 23, 2023 for allegedly bringing in an undeclared stack of gold and mobile phones worth around Rs. 80 million from Dubai.
The report was submitted by the Customs based on a request made by the Speaker.
The report will be shared during the upcoming Party Leaders’ meeting and a final decision will be taken with regard to the situation, Abeywardena said.
MP Ali Sabri Raheem, who has been requested to produce show cause on the event in question, is yet to respond, according to reports.
Colombo (LNW): Sri Lanka welcomed a significant 100,388 portion of tourist arrivals in June, 2023, marking the first time in four years that tourist arrivals surpassed 100,000, a report by DailyFT disclosed.
Signalling a positive momentum for the Tourism Sector in the crisis-hit Sri Lanka, the new arrivals have largely been influenced by the Indian travellers, following the successful series of roadshows conducted in select cities of India over the past couple of months, the report added.
That being said, India emerged as the biggest source market year-to-date after finally relegating Russia to second place.
624,874 tourist arrivals were reported in the first half of 2023, however, the performance is still considered down by 46 per cent compared to the corresponding period in the benchmark year 2018.
“With 95,104 tourists or 13% remaining to catch up to last year’s arrival target, Sri Lanka aims to achieve its set target of two million arrivals by the end of the year. Despite the ambitious target, the industry anticipates over 1.4 million tourists within the next six months and encouragingly, the stakeholders expressed optimism about accomplishing this target,” the DailyFT report said.
India topped the tourist traffic to Sri Lanka in June, with 26,830 visitors, accounting for 27 per cent of the total visits for June, followed by the United Kingdom with 7,981 visitors (08 per cent), Russia with 7,968 visitors (08 per cent), Australia with 6,195 visitors (06 per cent), and China with 5,105 visitors (05 per cent).
Additionally, tourists from Germany, Canada, Maldives, the United States, and France also visited Sri Lanka in June.
The daily average arrivals have also improved moderately to 3,346 in June, compared to 2,687 in May, showing signs of off-peak demand.
Colombo (LNW): The Sri Lankan Rupee indicates a slight appreciation against the US Dollar compared to last week, as revealed by the official exchange rates list of the Central Bank of Sri Lanka today (04).
Accordingly, the buying price of the US Dollar has dropped to Rs. 299.87, and the selling price Rs. 314.98.
Colombo (LNW): President Ranil Wickremesinghe in his capacity as the Minister of Finance has issued an extraordinary gazette on the recently approved Domestic Debt Optimisation strategy.
The gazette issued under the Registered Stock and Securities Ordinance, No. 07 of 1937, describes regulations as the “Registered Stock and Securities (Conversion of Securities) Regulations, No. 02 of 2023.
The President has also declared and authorised the Secretary to the Ministry of Finance, Economic Stabilisation and National Policies, and the Registrar of Public Debt the following powers;
to offer to any holder of any stock or securities issued in Sri Lanka under the provisions of the Ordinance or any other enactment the option of converting or exchanging, as the case may be, the holding as of 28th June 2023 or part thereof.
to convert or exchange, as the case may be, any stock or securities issued in Sri Lanka under the provisions of the Ordinance or any other enactment held by holders into Treasury Bonds to be issued under the Ordinance.
to specify the manner in which payment of interest is made and the conditions subject to which such Treasury Bonds may be converted or exchanged, as the case may be, under the Ordinance.
Colombo (LNW): Sri Lanka has received the first disbursement of US$ 250 million for budget support from the World Bank, announced Finance State Minister Shehan Semasinghe today (04).
“We are pleased the confirm that the first disbursement of US$ 250 million for budget support from the World Bank has been received,” Semasinghe wrote on Twitter.
We are pleased to confirm that the 1st disbursement of US$ 250 out of US$ 500 Mn for budget support from the World Bank has been received. pic.twitter.com/8SVYkUmbnC
Colombo (LNW): State-run LP gas vendor LITRO has announced that the prices of domestic LP gas cylinders will be reduced from midnight today (04).
Accordingly, the price of a 12.5kg domestic gas cylinder has been slashed to Rs. 2,982.
The price of a 05kg cylinder has been slashed to Rs. 1,198, and the price of a 2.5kg cylinder, to Rs. 561.
The state-run LP gas vendor will be revising the prices of gas in the first week of every month, and according to LITRO Chief Muditha Peiris, the price reduction may tally with the prices that had existed before the occurrence of the financial crisis in Sri Lanka.
01. President Ranil Wickremesinghe calls on Leader of the Opposition Sajith Premadasa and the whole Opposition to take prompt action and rebuild nation together without resorting to “fallacious arguments”: stresses the Opposition’s allegations regarding the restructuring of domestic debt have been proven false.
02. China’s flag carrier Air China reinstates services between Colombo Bandaranaike International Airport (BIA) and Chengdu Tianfu International Airport with three flights a week from Chengdu-Colombo-Chengdu on July 03, 2023: First flight arrived at BIA at 20.20 hrs. on 3rd July with 142 passengers.
03. Finance State Minister Ranjith Siyambalapitiya says the calling of applications for the interest-free student loan scheme for those who have sat for the GCE AL exam in 2019, 2020 and 2021 to pursue higher education in private universities will commence from today; stresses those who wish to obtain this scheme should follow job-oriented courses: 5,000 eligible students expected to apply.
04. State-run LP Gas vendor LITRO announces that the price of a 12.5kg domestic gas cylinder will be slashed below Rs. 3,000 from midnight today: This will be the fourth consecutive price reduction approved by LITRO this year.
05. CB Governor Nandalal Weerasinghe says SL must adopt new industrial strategies to direct the country’s industries towards a growth path; adds the industrial sector must focus on export-oriented growth in the necessity to revisit the National Industrial Strategy in line with dynamics in international markets; stresses SL should transform into an industrial sector of high-technological development, and the entrepreneurs should be supported to gain access to global markets.
06. CoPF Chairman and SJB economic guru MP (Dr.) Harsha De Silva says the government’s DDO strategy should be carried out in a manner in which it affects both the ordinary working people and the rich people alike; adds in the government’s failure to comply with this necessity, the Opposition had opposed the DDO plan; laments the EPF, which the ordinary working people will resort to following their retirement for the rest of their lives, has been affected by the DDO plan.
07. Civil Aviation Minister Nimal Siripala De Silva says the restructuring of state-owned SriLankan Airlines will be completed in six months; warns the jobs of the employees at the flag carrier are at stake if immediate restructuring measures are not implemented: The State-Owned Enterprises Restructuring Unit of the Finance Ministry has taken key initiatives to provide recommendations on restructuring SriLankan Airlines.
08. Finance Ministry sources say government treasury cash flow management assures the availability of adequate funds to operationalise government fiscal policy during the 1Q’23 via implementing agencies efficiently and effectively: The Ministry’s total receipts to the treasury in the form of revenue and other sources amount to Rs. 650 billion in the 1Q’23, with a tax revenue realisation of Rs. 578 billion, an increase of 56% from Rs. 370 billion in the corresponding period last year.
09. The Asian Development Bank appoints Takafumi Kadono as the new Country Director for Sri Lanka: Kadono who assumed office on Monday, succeeds his predecessor Chen Chen who ended his term on June 30, 2023.
10. Skipper Chamari Athapaththu strikes fantastic unbeaten knock of 140 in 80 balls with 13 fours and 9 sixes as Sri Lanka Women’s Cricket Team recorded eight wickets win with 13 balls to spare (D/L method) over New Zealand Women’s Team in their third and final ODI game played at Galle International Cricket Stadium: SL Women’s Cricket Team also records first series win 2-1 with this victory.
PMD: Foreign Affairs Minister Mr. Ali Sabry stated that investors from across the world are ready to invest in Sri Lanka if essential reforms are implemented to establish a favourable environment for investors.
The minister also stated that, while some people are waiting for the country’s banking system to collapse, the government’s economic development agenda has received international acclaim.
Minister Ali Sabry, Minister of Foreign Affairs stated this yesterday (03) at the Presidential Media Center (PMC) during a press conference themed “One Way to a Stable Country.”
He stated that during his recent visit to China, he met with the Chinese Ministers of Finance and Foreign Affairs, as well as the Chairman of the Exim Bank of China, who expressed their admiration for the efforts taken to promote economic stability and progress in this country.
The Minister also stated that the chairman of China Harbor Engineering Corporation has stated his willingness to invest US $ 1.2 billion in the Port City of Colombo.
Meanwhile, he pointed out that the Bloomberg newspaper, which was published in China, on June 20th, stated that Sri Lanka is effectively managing a challenging economic issue and creating an acceptable economic situation.
Minister Ali Sabry further commented,
Inflation in our country was 80% last year. It is a very difficult situation as a country. In such a background, the value of your money is severely devalued. The value of 2 million will decrease to 1.2 million. Such a situation should be avoided as a country.
We wanted to keep Sri Lanka from turning into another Lebanon or Venezuela. That is why we sought assistance.
Lebanon’s inflation rate this year is 485%. Venezuela has 285% inflation. However, inflation in Sri Lanka is 12%. It is expected to fall to 7%-8% by the end of the month. We’ve stopped the current economic incompetence from continuing. There are still power outages in Lebanon. Even if there is a power outage in Sri Lanka, this is not the case right now.
We had a declining economy that had gone off the rails. It is dangerous to continue. The government has initiated numerous steps to prevent it.
In the face of the crisis, the government has successfully managed inflation. The International Monetary Fund determined that we would be unable to repay the debt by 2020. They continued to inform it. We have to pay USD 203 million as of 2021-04-17. However, the government was unable to pay it. The government has $20 million in cash. As a result, the country was declared bankrupt.
We had a governmental debt of 128% of GDP at the time. By 2032, we should have reduced that to 95%. It’s an obvious challenge. The debt should be lowered in order to meet the government’s objectives. It is essential to manage the country’s economy so that debt may be serviced from income. Domestic and foreign loans should be optimized for this purpose.
Loans from the International Monetary Fund, World Bank, Asian Development Bank, and others cannot be restructured. The reason for this is that they made loans with long-term payments at a relatively low-interest rate. No country in the world has written off those parties’ loans. Nobody else in the world will lend to us if they don’t. We have also received financing from India, Japan, China, and countries representing the Paris Club. At the moment, they are having fruitful discussions about debt optimization.
Also, there are groups that have given commercial loans at high interest rates. There is a reason we have to take commercial loans. That is, our country changed from being a low-income country to a middle-income country in 1997. Since then, we have stopped giving loans at low interest rates. That is the reason why commercial loans have to be taken at higher interest rates.
However, the companies who provided us with loans have agreed to assist us with debt optimization. They stated that by receiving this relief, Sri Lanka will be able to develop its economy as a debt-paying country. If this is not done, the country risks going bankrupt once more.
To avoid going bankrupt again, we must optimize our domestic debt. Contributions from funds such as the banking system, employee benefit factors, and employee trust funds should be considered. In addition, our 57 million bank depositors must be safeguarded.
Politicians do not practice credit optimization. It is being prepared with the participation of the Treasury, the Central Bank, and international financial consultants. However, many misinterpretations of this process and its outcomes are made both within and outside of Parliament. It is not a positive position for the country.
Last year was claimed to have had the highest bank interest rate in history. It was between 30% and 36%. However, bank interest is currently declining. Treasury bill interest has fallen to 16% as of today.
Bank interest rates are falling from 29% to 16%-17%. It could fall to 11%-12% by the end of the year. As a result, the interpretations held by various parties are incorrect.
If the country’s debt is not constantly restructured, investors will not come. In such circumstances, inflation becomes unmanageable.
Although some individuals are expecting the country’s financial system to fail, the government’s economic development initiative has been praised internationally.
Investors from all over the world are eager to invest in Sri Lanka if we are willing to implement the required reforms and create an investor-friendly environment.
During my recent visit to China, I had discussions with the Minister of Finance, the Minister of Foreign Affairs and the Chairman of the Exim Bank of China. They expressed appreciation for the measures taken for economic stabilization and progress in this country.
During my recent visit to China, I had discussions with the Minister of Finance, the Minister of Foreign Affairs and the Chairman of the Exim Bank of China. They expressed appreciation for the measures taken for economic stabilization and progress in this country.
Also, in the discussion held with the chairman of China Harbor Engineering Corporation, it was mentioned that he is ready to invest 1.2 billion dollars in the port city of Colombo. Also, China’s Sinopac Company informed about their readiness to start a fuel refinery in this country.
Not only that, the Chinese Bloomberg newspaper published on June 20 has also mentioned that Sri Lanka is successfully facing the severe economic challenge and is creating a good economic situation.
Air China reinstated services between Colombo Bandaranaike International Airport and Chengdu Tianfu International Airport with 3 flights a week from Chengdu-Colombo-Chengdu on 03rd July 2023.
Resuming its operations the first flight arrived at BIA at 20.20 hrs. on 3rd July with 142 passengers. The passengers were warmly welcomed with traditional Kandyan dancing performance and Ceylon tea gift packs.
Air China Limited is the flag carrier of the People’s Republic of China and one of the “Big Three” mainland Chinese airlines (alongside China Southern Airlines and China Eastern Airlines). Air China’s headquarters are in Shunyi District, Beijing.
Air China’s flight operations are based primarily at Beijing Capital International Airport. In 2017, the airline carried 102 million domestic and international passengers with an average load factor of 81%. The airline joined Star Alliance in 2007.
Colombo (LNW): In the occurrence of strong winds and rough seas, it is dangerous to engage in the sea areas off the coast extending from Kankasanthurai to Pottuvil via Mannar, Puttalam, Colombo, Galle and Hambantota, and naval and fishing communities, therefore, are requested to be vigilant in this regard, announced the Natural Hazards Early Warning Centre of the Department of Meteorology in an ‘Amber’ level advisory statement today (04).
Meanwhile, prevailing showery condition over the south western parts of the island is expected to continue, the Department said in its daily weather forecast, elaborating that showers will occur at times in Western, Sabaragamuwa, Central and North-Western provinces and in Galle and Matara districts.
Heavy showers above 100 mm are likely at some places in the Sabaragamuwa province and in Kandy and Nuwara-Eliya districts, and fairly heavy showers above 75 mm are likely at some places in the Western province and in Galle and Matara districts.
Few showers are likely in the Northern province as well, it added.
Showers or thundershowers may occur at a few places in the Uva province and in Ampara and Batticaloa districts during the evening or night.
Fairly strong winds about (40-45) kmph can be expected at times in western slopes of the central hills, North-Central province and in Puttalam, Hambantota and Trincomalee districts.
General public is kindly requested to take adequate precautions to minimise damages caused by temporary localised strong winds and lightning during thundershowers.
Marine Weather:
Condition of Rain:
Showers or thundershowers will occur at times in the sea areas off the coast extending from Puttalam to Hambantota via Colombo and Galle. A few showers will occur in the other sea areas around the island.
Winds:
Winds will be south-westerly and speed will be (30-40) kmph. Wind speed may increase up to (50-60) kmph at times in the sea areasoff the coast extending from Trincomalee to Pottuvil via Kankasanthurai, Mannar, Colombo, Galle and Hambanthota.
State of Sea:
The sea areasoff the coast extending from Mannar to Pottuvil via Colombo, Galle and Hambanthota will be rough at times. The sea areasoff the coast extending from Trincomalee to Mannar via Kankasanthurai will be fairly rough at times. Temporarily strong gusty winds and very rough seas can be expected during thundershowers.
