By: Isuru Parakrama
Colombo (LNW): There is no threat of the occurrence of a tsunami following the earthquake at the Indian ocean, and the coastal area of Sri Lanka, therefore, is declared safe, announced the National Tsunami Early Warning Centre of the Department of Meteorology today (25).
In a statement, the Centre said that the public is further informed that this message is announced in consultation with national and international agencies.
Colombo (LNW): The gold prices have dropped in response to the recent appreciation of the Sri Lanka Rupee against the US Dollar, local merchants revealed.
Accordingly, the price of a 22-karat gold sovereign has dropped to Rs. 145,000 in the local market.
A 24-karat sovereign is sold for between Rs. 150,000 and Rs. 155,000, according to merchants.
Colombo (LNW): The Controller General of Immigration and Emigration has reportedly confirmed that special counters will be opened at the Katunayake Bandaranaike International Airport (BIA) to provide services for tourists arriving in Sri Lanka from foreign countries.
The decision comes in following recommendations by the Tourism Development Committee appointed by the President.
Meanwhile, inside sources confirm that there are still no counters in operation for passengers arriving in the Business Class and the First Class.
LNW was the first to make an exclusive disclosure about the inconveniences passengers and customers had to face at the Katunayake Airport in a detailed report titled “Travellers Dilemma at Bandaranaike International Airport” published on April 09, 2023.
We should be thankful that prompt steps have been taken by the authorities to rectify this issue up to some point instead of letting the nation’s main landing strip rot amidst ever-growing complaints.
Previous report:
By: Isuru Parakrama
Colombo (LNW): The Court of Appeal today (24) issued an interim order barring the Terrorism Investigation Division (TID) from recording a statement from ex Attorney Genera, Dappula De Livera.
The interim order also bars the TID from arresting the former AG.
The order comes in following earlier reports that Livera was summoned to the TID on three separate occasions over a comment he had allegedly made on the 2019 Easter Sunday Massacre, but did not appear.
Livera had filed legal obligations pertaining to the TID’s summoning at the Court of Appeal, and the aforementioned interim order was made as they were taken up for consideration by Appeal Court Justices Nissanka Bandula Karunaratne and A. Marikkar today.
By: Staff Writer
Colombo (LNW): Japanese farms are recruiting workers from Sri Lanka and other countries in South and Southeast Asia especially for the modern agriculture sector in that country, Foreign Employment Ministry revealed.
The Government of Japan has agreed to provide employment opportunities to 1,000 Sri Lankan youth in the field of agriculture.
The related Memorandum of Understanding (MoU) has already signed by the two countries provide these jobs for youths in the country
The Japanese Farmworker Jobs for foreigners with Airfare Tickets, Lodging, and Month-to-month salaries Are now opened under a new Visa system.
More than 80% of foreigners are working in Japan in all sectors. Nonetheless the Agriculture sector is rapidly rising in Japan.
And the demand for Farmers is rising day by day. Some examples of the duties on the farm are feeding and cleaning animals, planting fruit and veggies (much like potatoes, lettuce, leeks, tomatoes, strawberry, melons, and lots of others.), and harvesting crops.
Japan has an important agriculture enterprise. The everyday pay for Farmer is JPY 7,900,345 a 12 months and JPY 3,798 an hour in Tokyo, Japan. No IELTS or TOEFL is required.
According to Nikkei Asia, farms across Japan are increasingly turning to temporary workers from Southeast Asia and beyond for help during the busy seasons, as a shrinking rural population and ageing local workforce stoke labour shortages at home.
As part of this shift, Persol Holdings, one of Japan’s largest temporary staffing firms, in March launched a service to send foreign workers to farms for seasonal jobs such as harvesting.
Persol Global Workforce, a unit of the broader company, recruits workers from Indonesia and other Southeast Asian nations who have studied in places such as agricultural schools.
They enter Japan on “specified skilled worker” visas, with Persol offering them the chance to “refine their skills” on a variety of farms around Japan.
That means Japanese farmers can reduce costs by only taking on staff for periods when they are needed, with the recruitment agency sending workers from site to site as harvest times often differ by region.
For example, cabbage is harvested in Gunma and Nagano prefectures from June to October, but Chiba and Aichi prefectures gather the crop from November to May.
“It will be difficult for our country to secure enough farmworkers solely from a local population that is continuing to decline,” said Morihiro Tada, CEO of Persol Global Workforce. “We need to take a whole new approach to maintaining the agriculture that is essential to our lives.”
Persol in November acquired a foreign worker dispatch business from Tokyo-based agricultural staffing company Sharagri as the foundation for its push into the sector.
The company plans to attract new customers by capitalizing on Sharagri’s relationship network with farmers across the country, as well as by cooperating with local governments.
By: Staff Writer
Colombo (LNW):The United States District Court, Southern District of New York last week ordered the Sri Lankan Government and its sovereign bondholder Hamilton Reserve Bank (HRB) to submit a joint status letter by 12 May 2023.
The decision by US District Judge Denise Cote follows a conference held involving the two parties on 20 April.
The Government in early April in its answers to HRB’s Amended Complaint, denied almost all the allegations.
Via its attorneys Clifford Chance US LLP, the Government said the Plaintiff HRB’s claim is barred, in whole or in part, by reason of Sri Lanka’s sovereign immunity.
Furthermore the Plaintiff’s claim is barred, in whole or in part, because Plaintiff lacks standing to sue and Plaintiff’s claim is barred, in whole or in part, and/or should be stayed, on the grounds of international comity.
Therefore, Sri Lankan Government respectfully requested the US Court to dismiss HRB’s Amended Complaint with prejudice or, in the alternative, staying proceedings; as well as award Defendant its costs, attorneys’ fees, and such other and further legal and equitable relief as the Court may deem just and proper.
United States District Court, Southern District of New York has taken decision on April 10 to deny Sri Lanka Government’s motion to dismiss the case filed by HRB.
HRB owns over US $ 250 million in principal of the $ 1 billion worth International Sovereign Bonds (ISBs) issued in 2012.
The Bonds matured on 25 July 2022. Hamilton alleged that as a result of Sri Lanka’s default, it is owed $ 250.19 million in principle and $ 7.349 million in accrued interest (before accounting for pre-and post-judgement interest).
HRB, represented by Bleichmar Fonti and Auld LLP and Jenner and Block LLP, initiated this action on 21 June 2022 after which on 21 September Sri Lanka filed a motion to dismiss the complaint.
Sri Lanka in mid-April announced a moratorium on foreign debt repayments including the Bonds and since then has made no payments on the Bonds.
By: Isuru Parakrama
Colombo (LNW): The Federation of Media Employees’ Trade Union (FMETU) called on delivering justice for Ms. Ishara Devendra, a former senior journalist of the Independent Television Network (ITN), who disclosed on her Facebook that her resignation from one of the oldest media institutions in Sri Lanka was due to sexual harassment.
“It is a common tragedy in our country that such persons get political protection and live in freely those institutions by committing sexual violence against women,” the FMETU said in a statement.
The Union emphasised that violence against women and sexual harassment is a serious offense under the Penal Code of Sri Lanka, adding that the country’s political leadership should conduct a formal investigation into this incident.
The incident involving Ms. Devendra, the free conduct of such persons by doing such activities, is another occasion that reveals the weaknesses in the governance of this country, it pointed out.
Full statement:
By: Staff Writer
Colombo (LNW): Sri Lanka’s key corporates continue to suffer following the Covid -19 outbreak and man made economic crisis.
Listed Sri Lankan corporates in consumer-goods retail, power generation and homebuilding will be among the most affected if the economic crisis deepens or is sustained for a prolonged period, market analysts said.
Significant cost inflation affecting demand and profitability, import restrictions disrupting operations, and high interest rates are key risks faced by domestic corporates in the next 18 months, they pointed out.
According to analytical reports, several analysts project that most other corporates will be able to weather the current economic downturn, supported by their presence in defensive industries, weakened competition, strong balance sheets, and adequate liquidity.
The December 2022 quarter earnings of listed companies suffered their first decline since 2020 by 44% to Rs. 96.4 billion, according to First Capital Research.
The results were for 281 listed companies and First Capital said the dip was owing to sluggish performance primarily in the Capital Goods (-82.6%YoY to Rs. 5 billion), Transportation (-87%YoY to Rs. 3 billion), Telecommunications (-226.8%YoY to a loss of Rs. 9.6 billion) and Diversified Financials (-38.9%YoY to Rs. 20.3 billion) segments.
The December 2022 quarter also puts an end to seven consecutive quarters of earnings growth enjoyed by the companies.
However upbeat quarterly performance was only witnessed in the Energy (14,183.9%YoY to Rs. 12.8 billion), Banking (38.9%YoY to Rs. 30 billion), Food, Beverage and Tobacco (12.3%YoY to Rs. 26.6 billion) and Utilities (28.1%YoY to Rs. 2.1 billion) sectors.
First Capital said Capital Goods saw an 82.6%YoY decline to Rs. 5 billion largely driven by the poor performance of Browns (-3430.4%YoY) and HAYL (-99.6%YoY) due to the significant rupee depreciation which caused a significant increase in the cost of materials
The Transportation sector recorded an 87%YoY decline to Rs. 3 billion primarily led by Expolanka Holdings (-87%YoY) due to the reduction in operating volumes across both air freight and ocean freight products,
Telecommunications sector also witnessed a downfall in net income by 226.8%YoY to a loss of Rs. 9.68 billion largely led by Dialog (-280.8%YoY) .
On the other hand, Diversified Financials sector earnings dipped by 38.9%YoY to Rs. 20.3 billion mainly due to the losses made in LOLC (-41.8%YoY).
This was a result of a significant impairment adjustment for its fair value measurement of financial assets primarily in the financial services and manufacturing and trading segments.
The lacklustre performance in this sector during the quarter was also driven by an increase in corporate tax rates to 30% from 24% w.e.f. effective from October 2022.
The Energy sector recorded a growth of 14,183.9% YoY to Rs. 12.8 billion largely driven by excellent performance of Lanka IOC which recorded an increase in earnings of 825.4% YoY to Rs. 8.2 billion.
The Banking sector witnessed a profit surge of 38.9%YoY to record Rs. 29.9 billion led by Commercial Bank of Ceylon which saw a significant increase in net income by 68.2% YoY to Rs. 8.8 billion.
The Food, Beverage and Tobacco sector earnings gained by 12% to Rs. 26.5 billion due to improved performance in DIST (193.3%YoY) and MELS (125.3%YoY) which were aided by high food inflation.
Addressing the 30 year development plan of the Colombo North Port workshop, on Friday (21) in Colombo, President Ranil Wickremesinghe emphasized that the government’s intention is to make Sri Lanka an air and sea hub in the region. The country has to focus on its future in the next 25 years on how to make Sri Lanka a developed country, he added.
The President also stressed that the attention should be drawn to the development in India, Pakistan, Iran, and the entire Makran coast, in assessing the role that Sri Lanka.
President Wickremesinghe also highlighted the adjustments to be taken in making Sri Lanka the hub of the Indian Ocean when the whole logistics and transportation in the region changes with the Chinese involvement in the East to West Railways in the African nation.
The President also revealed that by 2050, India will be the most populous country in the world from 1.4 billion increasing to 1.7 billion people. The industrialization of India is on a fast track, especially in some areas such as Gujarat, Maharashtra and especially Tamil Nadu.
Highlighting the importance of probing the development in India to find the connectivity that’s going to take place between India and Sri Lanka, President Wickremesinghe pointed out the opportunities that Sri Lanka would receive.
This event was attended by Minister of Minister of Ports, Shipping and Aviation Mr. Nimal Siripala de Silva, Chief of Staff to the President and Senior Adviser on National Security Mr. Sagala Ratnayake, Secretary of Ministry of Ports, Shipping and Aviation Mr. K. D. S. Ruwanchandra, Chairman of the Sri Lanka Port Authority Mr. Keith D. Bernard, Directors of AECOM Infrastructure and Environment UK Ltd, Past Chairmen of the Port Authority and other Senior officials.
Following is the full speech made by President Ranil Wickremesinghe at the 30 Year Development plan of the North Port of Colombo workshop on Friday (21) at Bandaranaike Memorial International Conference Hall (BMICH).
I must first commend the Minister and the Sri Lanka Port Authority for the work they have done. This ministry is now called the Ministry of Shipping and Aviation. Some people have asked me why don’t we split it and have two Ministries, one for shipping and one for aviation. I said no, our intention is to make Sri Lanka an air and sea hub. So we will have one Ministry of Shipping and Aviation. So we’ve got to think differently and I think the Minister is the best person to be in charge.
Sri Lanka has to think of the future, what we will do in the next 25 years, how we are going ahead to make this a developed country. We have to look at the developments in India, in Pakistan, in Iran, and total Makran coast, in assessing the role that Sri Lanka has to play as an important hub.
So in addition to Colombo, we have the Galle Port, which has great potential for tourism, the Hambantota Port and the Trincomalee Port. With the Trincomalee Port, we are discussing with India on the development of the Trincomalee Port on the basis that in the next 25 years there will be vast development in the Bay of Bengal, both on the Indian side, the Bangladeshi side, Malaysia and even Myanmar.
So we have to look at the Trincomalee Port and also its capacity to be a point for cruise tourism in the Bay of Bengal. Hambantota at the moment we have the port functioning not at its full capacity, but the development in Hambantota in the next 10 – 15 years, where about 4000 acres will be set aside just for manufacturing not taking into account the development of agriculture and fisheries. This will mean and the fact that there’s going to be at least one refinery indicative that the activities there will increase.
We have the airports which we are developing. Katunayake airport, which has to be further developed, Mattala airport, which has to be commercially viable. Then with those two airports, we’ve just opened up Palali and development of Hingurakgoda as the main domestic airport for the Eastern region and the North Central Province.
So within this it’s a role that the North port has to play. We have to think now of what the development should be. The SLPA and the consultants have given us a report on the feasibility of the north port. We have to remember one thing only that what is going to take place in India, what’s the development in Pakistan and what’s the development going to be in Iran.
Those three will decide the capacity, the number of TUs that we can have, the number of containers, the units we have would depend on that. As it is now, people have a very bright forecast for India, and that’s possible if it can be achieved.
By 2050, India will be the most populous country in the world from 1.4 billion it will be up to 1.7 billion people. The industrialization of India is happening fast, especially in some areas. You find Gujarat, Maharashtra and other one in the Southern India, especially in Tamil Nadu.
But this is the beginning. From there it should spread to other areas. So industrialization manufacturing is now taking place in India. It still hasn’t reached the level that China reached somewhere in 2010.It still has to go there. So if at all at some stage it will be that the progress will be not arithmetic but geometrical progression.
So we will have the development in India. Then what is the connectivity that’s going to take place between India and Sri Lanka. Our closest point is in the north. Are we going to have a role on role of ferries? Are we going to have more permanent structures? These are issues that we have to resolve and that will also determine the viability of our ports, especially of the port of Colombo. So in looking at the port there’s only two issues which came to my mind. Firstly is the environment, especially the impact on fishing that we have to take seriously. Because before you start building you have to get the support of the people in the area.
Secondly, we are also discussing with India. But at the end of it the projections show that the development will be fast and there’ll be a need for more, certainly a larger capacity for containers. Then we may have to make adjustments that we will know we’ll be going into India and having talks with them. So we will have an idea of what is the low growth scenario and what is the high growth scenario and where and where will it take place. Because India also has to develop its port, but Sri Lanka’s advantage is the port we have.
Secondly is Pakistan, though it may be going through a financial crisis now like us in time to come when you look at the population, it has a great capacity for development, followed by Iran. And if Iran goes ahead with the Chabahar Port which will join up to Central Asia and Russia, then Makran coast itself is something to look at. So these are all areas we have to think of development.
In the meantime, remember that the Chinese are undertaking east to West Railways in Africa together with the African nations. One which will go from Kenya all the way to West African coast and another which will most probably go through Congo. So the whole logistics and transport in the region will change and we have to take that into account and make whatever adjustments we do now to ensure that Sri Lanka becomes the hub of the Indian Ocean. We can do it, we should do it, and we did that over a thousand years ago. I’m sure we make up our mind, go ahead. So I must thank the Minister for all the effort that he has taken in and we can also start discussing what the future steps should be.
