In its standing as the National Body of Accountants, the Institute of Chartered Accountants of Sri Lanka (CA Sri Lanka) on Thursday submitted a comprehensive set of proposals to the Ministry of Finance focusing on reviving the country’s economy from the ongoing crisis.

A high-level delegation from CA Sri Lanka led by the Institute’s President Mr. Sanjaya Bandara met the Secretary to the Treasury Mr. K.M.M. Siriwardana where the wide-ranging recommendations developed by CA Sri Lanka were handed over.

CA Sri Lanka’s Vice President Mr. Heshana Kuruppu, Chief Executive Officer Ms. Dulani Fernando and Chairman of the Task Force to Submit Proposals to the Government – 2022 Mr. Lakshman Athukorala were also present at the meeting.

The recommendations span short-term, medium-term, and long-term solutions compiled following extensive engagements with Chartered Accountants, as well as overseas chapters of CA Sri Lanka. 

The recommendations comprised four sets of proposals on how to improve the balance of payment and increase foreign reserves, how to improve the Government’s fiscal situation (increase Government revenue and decrease Government expenditure), as well as proposals in relation to reforms and several other recommendations.

During an existence spanning over 63 years, CA Sri Lanka, in its capacity as a Parliament approved body and as the sole authority in the country to promulgate accounting and auditing standards, has played a catalyst role in helping enhance the country’s financial landscape in line with international accounting and auditing framework.

Mr. Bandara highlighted that as a responsible professional body, CA Sri Lanka took it upon its duty to develop these comprehensive proposals as part of an important national endeavour to advise on what steps the Ministry of Finance must take to come out of this ongoing economic crisis. 

“We believe these wide-ranging recommendations presented by CA Sri Lanka will help lay a firm foundation to revive the economy, apart from further mitigating the negative effects of the ongoing crisis,” he said.

Mr. Bandara stressed that, as the National Body of Accountants, CA Sri Lanka is always committed to the best interest of the nation and will provide the required expertise and knowledge to provide a long-lasting solution to the ongoing economic crisis.

 The Bangladesh Bank has stepped in to assist  Sri Lanka in an immediate response, to help the sufferings of the people due to the economic crisis made by the government led by President Gotabaya Rajakasa  by taking back firing decisions  ignoring the economic fundamentals.

The Bangladesh Bank on Sunday extended the loan repayment tenure for crisis-stricken Sri Lanka by one year as the island nation is in default on its entire $ 51 billion foreign loans.

The decision on the extension was made at a board meeting of the central bank held on Sunday, with its governor Fazle Kabir in the chair, sources said.

In August 2021, Bangladesh extended the credit facility amounting to $ 200 million under a currency swap deal with Sri Lanka.

The loans were released in three phases on August 19, August 30 and September 21 in 2021.

Under the initial conditions, Sri Lanka was allowed to use the loans for up to one year with a renewal clause in three-month intervals.

So Sri Lanka was supposed to clear the loans in three phases by September, 2022.

Under Sunday’s board decision, the island nation would get one year on top of the repayment deadline of August, October and November of 2022.

As per the currency swap agreement, Bangladesh will receive 2 per cent plus LIBOR as interest on the loan amount.

If the instalment principal remains unpaid even after six months, the applicable interest rate was set at 2.5 per cent plus LIBOR.

The loan was sanctioned to Sri Lanka when the Bangladesh Bank’s reserve reached a record high of $ 48.06 billion in August 2021.

The country’s reserve, however, eroded by more than $ 6 billion in the past eight months, with the asset dropping to $ 41.9 billion amid an unusual surge in import payments in the first nine months of the current fiscal year of 2021-2022.

The gradual decline in the country’s reserve also deteriorated the country’s import payment capacity.

With the reserve in August 2021, Bangladesh was capable of paying import bills for 8.39 months, but the drop in reserve worsened the country’s capacity in recent months.

The Bangladesh Bank data showed that the country in March this year was capable of paying import bills for 6.1 months when its foreign exchange reserve was $ 45.15 billion.

On the other hand, the Sri Lankan government is facing massive public protests due to its failure to finance imports of basic goods and commodities, forcing the authority to announce an emergency to tackle the situation.

The country was also seeking finance from international donor agencies and friendly countries to tackle the situation. The country’s foreign exchange reserve was hovering around $ 2 billion with its due loan payment of around $ 8 billion in 2022.

Meanwhile, the central bank at Sunday’s meeting also rejected a plea of Eastern Bank Limited to reconsider a BB decision that slapped Tk 5 lakh in fine on the bank.

The Bangladesh Bank slapped the penalty for issuance of loans by the EBL in violation of the single borrower exposure limit.

03^rd May 2022

Photo Caption:

1. Seen here are the members of BTC together with the Board members of Baurs and officials from District 82 Toastmasters International

With the view of building and instilling effective communication and leadership competencies among its employees, A. Baur & Co. (Pvt.) Ltd., also known as Baurs, a leader with diversified business interests in the country, recently incepted the Baurs Toastmasters Club (BTC) and held an installation ceremony of its Executive Committee. 

The event held at Hotel Kingsbury on 29th April commenced by lighting the traditional oil lamp, graced by Chief Guest, the Managing Director/CEO of Baurs Mr. Rolf Blaser and Guest of Honor District Director DTM Srianthie Salgado, with the presence of the board members of Baurs and distinguished officials from District 82 Toastmasters International including DTM Shyamalie Jayasekera, President of The Colombo Toastmasters Club.

Mr. Rolf Blaser, speaking at the ceremony, said ‘It is truly a remarkable moment to be witnessing the installation of the Baurs Toastmasters Club. This is a steppingstone towards a journey which will see many of our members being effective communicators and leaders and most importantly to share their learning with others and contribute to the communities they serve.’

Baurs is no stranger to Toastmasters International, having engaged in various Speechcraft programs across its many divisions over the years, with the guidance rendered by the Colombo Toastmasters Club. 

These programs have undoubtedly created an impactful experience, enabling many employees gain skills and confidence in developing their public speaking abilities and a wide array of communication etiquettes including written and impromptu speeches, body language, active listening, and critical evaluation. The learning experience was highly interactive with continuous guidance and constructive feedbacks from the experienced Toastmasters. 

The event inducted the Charter Members of BTC by the Communication Chair of District 82 DTM Sarmaa Mahalingam, and Area Director Toastmaster Vinodini Durgabakshi went onto conduct the installation of the BTC EXCO members. 

The appointees elect Toastmasters to the EXCO include President Rasika Amarasinghe (Manager, Administration), VP Education Harshi Wijendra (Senior Executive, Learning & Development), VP Public Relations Madushan Alwis (Product Manager, Baurs Healthcare Division representing Roche Biotech), VP Membership Tashiya Wijeyakulasuriya (Executive Office Coordinator), Secretary Chathurini Kariyawasam (PA to Deputy MD/Director-Agriculture), Treasurer Dilshan Warusamana (Assistant Accountant), and Sergeant at arms Deepika Ramaraj (Administration Executive). 

This historical event marks yet another historical moment for the Baurs family, in a year where it celebrates 125 years of progressive growth and innovation. This reflects the company’s continued efforts in not just embracing an inclusive and diverse workplace but also creating a stimulating environment that spurs individual growth and personal development at its best.