Businesses and people live in hope for better seasons to come, and both the LMD-NielsenIQ Business Confidence Index (BCI) and Consumer Confidence Index (CCI) reflect this sentiment.
NielsenIQ Director – Consumer Insights Therica Miyanadeniya said in the latest edition of leading business magazine LMD: “The pressure on businesses and consumers due to high inflation is phenomenal.
The BCI – though still at a relatively low range – has increased by 13 basis points to 89 – from 76 in September. The CCI has also gained 13 basis points from 25 in September to 38 in October,” she noted.
LMD reported: “Only 14% of respondents (drawn from the island’s corporates) to the exclusive BCI survey carried out in the first week of October say they expect the economy to improve in the 12 months to come (a dip in opinion from September’s 22%), and nearly two in 10 anticipate the economy will stagnate and ‘stay the same’.”
But despite the price hikes, 45% of business executives polled believed their sales volumes would increase in the next year, compared to only a third who felt this way in September, LMD observed.
“Executive opinion that there’s been an increase in business compared to the same time last year improved by five percentage points to 27 in October and 6% fewer reported a drop in sales volumes – i.e. 60% compared to 66% in September’s 66% – in a comparable period, at the time of the poll,” it added.
LMD also note that “optimism about an improvement in business prospects in the next quarter has also risen – perhaps in anticipation of the forthcoming festive season – to 28% from 11%; and businesses anticipating fewer sales have dropped further from 48% to 42%.”
Media Services, LMD’s publisher, said the latest edition of the magazine has been released. Its digital edition is also available on WhatsApp and the publisher’s social media platforms.
SL Businesses and people hope for the better seasons soon : Survey
SL celebs summoned to CID in connection with probe into Thilini Priyamali Scandal
Veteran Actor and former politician Jeewan Kumaratunga and veteran actress Sangeetha Weeraratne were summoned to the Criminal Investigation Department (CID) for questioning in connection with the probe into businesswoman Thilini Priyamali, who was arrested several weeks ago involving a grand financial scandal.
Kumaratunga was questioned by the CID yesterday (07), and a statement was recorded from the actor in connection with the self-directed movie “Jeewa”, which is believed to have been funded by Priyamali.
Weeraratne was also questioned by the CID yesterday in connection with an alleged financial transaction between her and Priyamali.
MIAP
Parliament responds to President’s query on current status of implementation of far-reaching systematic changes
Parliament responds to President’s query on the current status of implementation of far-reaching systematic changes
Following President Ranil Wickremesinghe’s reminder to the Speaker Mahinda Yapa Abeywardena regarding the delay in the implementation of proposals to bring about far-reaching systematic changes, the Speaker has made a clarification regarding the current situation of the implementation of the resolutions of the Parliament of Sri Lanka.
According to the proposal brought to the Parliament by the Prime Minister on September 20, 2022, the Office of the Chief Organiser of the ruling party informs that the National Assembly of 34 members including the Speaker has been appointed and two sub-committees have been appointed under it.
The 13 member sub-committee has been appointed to identify the priorities for formulation of short, medium and long-term national policies headed by Mr. Namal Rajapaksa and its progress has been reported to the National Assembly.
The sub-committee for identifying short and medium-term programs related to economic stabilisation has been appointed with 12 members under the chairmanship of MP Patali Champika Ranawaka. The progress of this sub-committee has also been reported to the National Assembly.
The Parliament has approved the standing orders related to the appointment of sectoral monitoring committees on 2022-10-05, where 17 sectoral monitoring committees have been approved. Furthermore, for the appointment of 17 committees under Standing Orders 111, the Secretary General of the Parliament has called for nominations of 05 members of the ruling party and 03 members of the opposition through letter No. CO/9/3/COS/1 and dated 2022-10-26. However, the members have not been appointed so far.
Accordingly, 17 Sectoral Oversight Committees have been appointed which are : Economic Development, International Relations, National Security, Sustainable Development and Environment & Natural Resources, Women & Gender, Education & Human Resource Development, Health & Human Welfare, Social Empowerment, Transport & Communication, Agriculture & Lands, Legal Affairs (anti-corruption) & Media, Youth, Sports, Arts & Heritage, Business & Commerce, Energy
Manufacturing & Services, Internal Administration & Public Management, Reconciliation & North and East Reconstruction Committees under Standing Orders 119, 120 and 121 have been appointed so far. Mr. Kabir Hashim was elected as the Chairman of the Committee on Government Accounts, while Mr. Ranjith Bandara was appointed as the Chairman of the Committee on Public Enterprises and Dr. Harsha De Silva as the Chairman of the Committee on Government Finance.
The policy agreement related to the establishment of the Standing Committees namely the Committee on Economic Stabilisation, the Committee on Ways and Means, and the Committee on Banking & Financial Services has been given in the Committee on Parliamentary Affairs and the Party leaders have agreed to present their observations on the related standing orders. After the approval of the Committee on Standing Orders it has to be submitted to the Parliament. However, it has not been appointed so far.
The President has presented this Cabinet paper dated 2022-10-28. Accordingly, the approval of the Cabinet has been received to give instructions to the legal draftsman to finalise the draft for the establishment of the Parliamentary Budget Office, and to obtain the Governor’s certificate for submission to Parliament.
PMD
President RW meets with UK Premier Sunak
Sri Lankan President Ranil Wickremesinghe yesterday (07) met with Prime Minister of the United Kingdom Rishi Sunak, during the COP-27 Climate Change summit in Sharm El Sheikh, Egypt.
President Wickremesinghe extended his congratulations on Sunak for his position as the new Premier of the UK.
MIAP
Thundershowers, with showers about 100 mm, to continue
Showers or thundershowers will occur over most parts of the island during the afternoon or night. Heavy showers about 100 mm can be expected at some places, said the Department of Meteorology in a statement today (08).
Showers will occur in Eastern province and in Polonnaruwa and Mullaitivu districts during the morning.
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 several places in the sea areas around the island. |
| Winds: |
| Winds will be North-easterly or variable in direction. Wind speed will be (20-30) kmph. Wind speed may increase up to 40 kmph at times in the sea areas off the coast extending from Kankasanturai to Colombo via Mannar and Puttalam. |
| State of Sea: |
| The sea areas off the coast extending from Kankasanturai to Colombo via Mannar and Puttalam will be fairly rough at times. The other sea areas around the island will be slight. Temporarily strong gusty winds and very rough seas can be expected during thundershowers. |
MIAP
President proposes meeting of Agriculture Ministers of all countries to evaluate food requirements over next two years
President Wickremesinghe proposes meeting of Agriculture Ministers of all countries to evaluate the food requirements over the next two years.
President Ranil Wickremesinghe urged the Secretary-General of the UN and Egypt, as the head of the COP27, to summon a meeting of all Ministers of Agriculture of all the countries to assess the food requirements of 2023 and 2024 and submit a report on the food situation. The President also emphasized the need on working closely with the multilaterals, sources of funding and the need to formulate a sustainable debt relief plan immediately to ensure the global food security.
The President further stated that it is essential to finalize this plan by February 2023 and should be implemented by the end of the 1st quarter of 2023, if not the damage caused to the political and social structures of countries will be irreparable. He also highlighted the urgent need of compiling a medium-term plan to ensure global food security At COP28.
President Ranil Wickremesinghe made these remarks while participating at the Round Table discussion on “Food Security” at the ongoing COP-27 Conference on Climate Change, in Sharm El Sheikh, Egypt.
The full text is as follows:
“There are nearly one billion people who are suffering from hunger today, and according to the IMF, over 300 million people’s livelihoods are in danger. Countries affected fall into two categories,
1. Countries where food is no longer available. These countries either have no means to buy the food due to rising costs or are unable to produce their own food.
2. Countries which traditionally had an adequate food supply but now find these sources of food out of reach due to rising costs.
There was a time when Sri Lanka had no fertilizer and was unable to produce our own food. However, the successful food security program is a combined mechanism for food security and the recently accessible fertilizer stocks that was made possible thanks to the international community. Nevertheless, there is a sizeable group who do not have the economic resources to access food.
All must ensure that food is made available to countries that fall within these two categories. Secondly, they require financial assistance to provide food for their populations.
Common to both categories is the rising levels of debt servicing. The increasing cost of debt has meant that it is more difficult for the developing countries to ensure affordable food for the total population.
The IMF estimate that the food and fertilizer price shock, coupled with the rising costs of debt servicing, will add US $9bn to the food import bills of the 48 worst affected countries. This means that a resolution to the debt crisis is needed to tackle both these categories.
Currently we are seeing that there is no overall plan to address this situation, and no focal point. The UN together with COP and the FAO, the World Food Program, the World Bank, and the IMF, must form that focal point.
I urge the Secretary-General of the UN and Egypt, as the head of the COP27, to call a meeting of the Ministers of Agriculture of all countries to assess the food requirements of 2023 and 2024 and submit a report on the food position. Working together with the multilaterals, sources of funding and a sustainable debt relief plan must be formulated. It is essential that this plan is finalized by February 2023 and taken up for implementation by the end of the 1st quarter of 2023.
We must act fast; otherwise, the damage caused to the political and social structures of countries will be irreparable. At COP28, it is of utmost importance that we compile a medium-term plan to ensure global food security.”
PMD
SL President attracts the attention of world leaders on food security
President Ranil Wickremesinghe has been able to attract the attention of the countries world wide when he urged the Secretary-General of the UN and Egypt, as the head of the COP27, to summon a meeting of all Ministers of Agriculture of all the countries to assess the food requirements of 2023 and 2024 and submit a report on the food situation.
The President also emphasized the need on working closely with the multilaterals, sources of funding and the need to formulate a sustainable debt relief plan immediately to ensure the global food security.
Sri Lankan President also met British Prime Minister Rishi Sunak, a short while ago, on the sidelines of COP27 in Egypt and exchanged views on bilateral relations of both countries and he has also held discussions with Special Presidential Envoy for Climate and Environment, Head of the delegation from the Republic of Korea, Na Kyung-Won at COP27 the President’s Media Division reported
The President left the island for Egypt on Monday (06) to attend the 2022 United Nations Climate Change Conference (COP 27) being held in Sharm el-Sheikh.
However in an unexpected development, Maldives Parliament speaker Mohamed Nasheed has come under fire for representing Sri Lanka at COP27, the UN’s climate change summit which kicked off Sunday in the Egyptian resort town of Sharm El Sheikh.
Nasheed left the Maldives on Friday morning for the COP27 summit. Regarding his visit, the parliament issued a statement the same day stating that he will attend COP27 as a representative of the Sri Lankan national delegation.
He came under severe critisim of Maldives parliamentarians and interested parties in that country. However his participation at the summit as member of Sri Lankan delegation came as surprise for Sri Lankans.
One of the first to criticise Nasheed was former Attorney General Dr Mohamed Munawwar. He questioned Nasheed’s representation of another country while being paid by the people of Maldives as speaker.“Where’s the country? What about being loyal to the state?,” Munawwar said in a tweet.
Munawwar’s comments were echoed by former president Maumoon Abdul Gayoom on Twitter. Former Attorney General Diyana Saeed also defended the tweet and said Munawwar’s remarks were not personal.
“It’s a matter with legal burden, it’s actually a legit issue,” said Diyana, the first attorney general of Nasheed’s government. As justification, she cited Articles 73 and 75 of the Constitution.
“In view of what these two articles say, the question is whether this is permissible (the Speaker of the parliament representing another country),” Diyana said in a statement.
Addu Maradhoo MP Mohamed Shareef also said that the constitution states that citizens of another country cannot be a member of the Maldives’ parliament for certain reasons.
One of the reasons, he said, was to reduce the space for the interests of another country to take precedence over the interests of Maldives. Shareef believes that Nasheed’s conduct is against the spirit of the constitution.
Some also questioned whether the state had spent any money on Nasheed’s visit. Those who expressed their views said it needed to be cleared, and that they did not approve of any budgetary expenditure on Nasheed’s visit to represent another country.
Parliament’s Communications Director Hassan Ziyau said that all expenses of Nasheed’s trip are taken care of by the Climate Vulnerable Forum (CVF), a group of countries most affected by climate change.
Responding to the criticism, Nasheed’s supporters said that environmental issues are related to humanity as a whole and it is not a problem for Nasheed to represent and advocate for another country in such a humanitarian matter. Those who expressed such views said the Maldives and Sri Lanka share the same policy on climate issues.
Sri Lanka Original Narrative Summary: 08/11
- Chinese Ambassador in Sri Lanka Qi Zhenhong reiterates China’s continued and concrete support to Sri Lanka to overcome challenges.
- President Ranil Wickremesinghe meets US Special Presidential Envoy for Climate- John Kerry, UK PM Rishi Sunak and President of Slovenia Borut Pahor, at COP27 in Egypt.
- President Ranil Wickremesinghe requests UN Secretary General and the Egyptian President to convene a meeting of Agriculture Ministers of all countries to assess food needs for the next 2 years and submit a report to ensure food security.
- Elections Commission Chairman S G Punchihewa says Rs.10 bn has been allocated for the EC in the budget: asserts EC has no financial issue to hold LG polls soon.
- Top Cricketer Danushka Gunathilaka denies committing offences he is charged with: Sydney Police confiscate his passport: legal proceedings likely to take 10-12 months: several legal watchers say the cricketer has been “set up”.
- CB data shows Sri Lanka’s tourism earnings in the first 10 months of 2022 surpassed USD 1 bn: forex reserves drop to USD 1.7 bn by end October.
- Navy conducts operation in coordination with the Police and Narcotic Bureau: intercepts local fishing trawler carrying over 331kg of heroin and apprehends 6 suspects.
- Opposition parties allege the National Delimitation Committee chaired by former Elections Commission Chairman Mahinda Deshapriya is a ploy by Government to postpone Local Government elections: Deshapriya refuses to comment on the matter.
- New Bill is to be introduced to expedite recovery of premises under lease agreements and regulate collection of arrears of lease rentals.
- Party leaders to meet today re. appointing members to the Constitutional Council established under the newly passed 21st Amendment: Speaker Mahinda Yapa Abeywardena to preside.
Sri Lanka seeks financing assurances of creditors for debt restructuring
Sri Lanka held a productive meeting with its bilateral creditors, which include India and China, on Thursday as the country looks to restructure its debt and carve a path out of its worst financial crisis in decades.
As at end-June 2022, Sri Lanka’s total public debt was US$ equiv. 79.9bn including arrears. The end-June 2022 foreign and local currency stock (including arrears) of Central Government debt, guaranteed SOEs loans and CBSL debt, amounted to $ 70.1bn, $ 6.6bn and $ 3.2bn, respectively.
It also reported that the country’s total debt was US $ 36 billion at the end of 2021. Of this, Sri Lanka owes $ 7.1 billion to China, which is 20% percent of its debt.
The total public debt, which was 115.3% of the gross domestic product (GDP) at the end of December 2021, has now gone up to 143.7% of GDP by end-June 2022. Of this, the bilateral debt has climbed from 12.7% of GDP to 20.4% of GDP.
Sri Lanka held a “productive” second round of crucial talks with its bilateral creditors, the finance ministry said on Thursday, as the crisis-hit island nation attempts to get assurances on debt restructuring from them to close a deal with the IMF.
It has now engaged with all its official bilateral creditors as well as International Financing Institutions (IFIs) with a view to obtain financing assurances for debt restructuring, Finance Ministry sources revealed.
In practice, financing assurances from official bilateral creditors are obtained once each bilateral creditor (or all official bilateral creditors collectively) officially confirms its (or their) commitment to grant Sri Lanka a debt treatment compatible with the macroeconomic and debt sustainability frameworks supporting the IMF programme.
In order obtain these creditors consent and assurances as soon as possible the Finance Ministry has made a virtual investor Presentation on October 23 2022 with 637 registered attendees and it enabled the Sri Lankan Authorities (the “Authorities” or “we”) to provide an update on the ongoing process and the next steps related to the engagement with the IMF and the creditors.
Continuing this process Sri Lankan authorities held a virtual meeting with Sri Lanka’s official creditors on Thursday (3). The meeting was chaired by the Secretary to the Treasury and the Ministry of Finance, K M Mahinda Siriwardana, and the Governor of the Central Bank P. Nandalal Weerasinghe.
Addressing the meeting State Finance Minister Shehan Semasinghe said that Sri Lanka is at a critical stage, and we are seeking IMF program approval as soon as possible to restore macroeconomic stability.
Since the IMF Staff Level Agreement (“SLA”) is still pending, the government authorities have intensified their efforts to complete the prior actions agreed with IMF staff and to obtain bilateral creditors’ financing assurances, to ensure that Sri Lanka’s IMF program can be formally adopted by the IMF Board in the targeted timeframe before mid-December 2022.
However Sri Lanka is likely to miss the December deadline for securing an IMF loan, as the main bilateral debtor, China, was involved in the 20th Chinese Communist Party (CCP) National Congress, and had little time for holding debt restructuring talks with Sri Lanka government.
The next meeting of the IMF Executive Board is in March 2023 and therefore the consent of the Board is expected in that meeting.
The IMF programme and economic reform agenda will reconstitute Sri Lanka’s financial buffers, Central Bank Governor Nandalal Weerasinghe.said adding that the official creditors have been given an opportunity to discuss Sri Lanka’s current financial position and progress on reforms.
Regarding prior actions, the Authorities are working hand in hand with IMF staff to ensure that all prior actions are satisfied as soon as possible.
Sri Lanka is currently on track to complete all prior actions before yearend. Prior actions included parliament approval of a revised 2022 budget, revenue measures to support fiscal consolidation and annual budget for 2023 in line with the IMF programme
Musk bans Twitter accounts that impersonate others – as comedian falls victim to new rule
The social media platform’s new owner issued the warning after some celebrities changed their Twitter display names – not their account names – to “Elon Musk” in reaction to the billionaire’s decision to offer verified accounts to all comers for $8 month.
Elon Musk says Twitter will permanently suspend any account that impersonates another – unless it clearly states it is a “parody”.
The social media platform’s new owner issued the warning after some celebrities changed their Twitter display names – not their account names – to “Elon Musk” in reaction to the billionaire’s decision to offer verified accounts to all users for $8 month.
Comedian Kathy Griffin had her account suspended on Sunday for switching her display name to Musk’s.
Actor Valerie Bertinelli did the same before switching it back to her real name. But first, she posted a series of tweets in support of Democratic candidates.
Comedian Sarah Silverman also appeared to have her account locked as she shared a screenshot of her Twitter page with the display name “Sarah K Silverman”.
Musk said Twitter previously issued a warning before suspension, but as the social media giant is rolling out widespread verification, there will be no warning as well as “no exceptions.”
“This will be clearly identified as a condition for signing up to Twitter Blue,” Musk said, adding any name change at all will cause temporary loss of verified checkmark.
On Saturday Twitter updated its app in Apple’s App Store to begin charging $8 for sought-after blue check verification marks, in Musk’s first major revision of the social media platform.
Tesla Inc boss Musk, who also will serve as chief executive of Twitter, last month said the social media platform will be forming a content moderation council with “widely diverse viewpoints”.
“No major content decisions or account reinstatements will happen before that council convenes,” he added.
On the topic of banned accounts, Musk last week said they will not be allowed back onto Twitter until the social media platform has “a clear process for doing so.”
Creating such a process would take at least a few more weeks, Musk had tweeted, giving more clarity about the potential return of Twitter’s most famous banned user, former US President Donald Trump.