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Crisis intensifies – Universities close down!

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The normal lives of the people has been disrupted due to a number of crises including the fuel crisis in the country. Public servants have been given a two-week break and work from home will begin next Monday.

No definite decision has been taken yet regarding the conduct of the schools and it is to be decided today whether the schools will also be given a two week holiday.

Meanwhile, the university administration has taken steps to close the Peradeniya University due to difficulties. It is reported that all academic activities and examinations have been postponed.

The hostels have also been closed and the Vice Chancellor Prof. MD Lamawansa has instructed the students to vacate the hostels.

Money printing competition: Nandalal the winner by miles..

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(Status at 17th June 2022)

During Governor Dr. Nandalal Weerasinghe’s period in office of 73 days so far upto 17th June 2022, a staggering amount of Rs.316 billion has been printed at an average Rs.4.3 billion per day (double that of Lakshman or Cabraal’s periods). Mind you, this is even after he pompously announced that he is “fiercely independent” of the government and after he increased interest rates by an unprecedented 7%. Also, since he got Sri Lanka to default on it’s Forex debt from 12th April 2022, no money has been needed to buy Forex to settle foreign debt as well.

In contrast, during Governor Lakshman’s period of 551 days after Covid from 12th March 2020 to 14th September 2021, Rs.1,206 billion was printed at an average of Rs.2.2 billion per day. Further, during Governor Cabraal’s tenure in office of 203 days from 15th September 2021 to 5th April 2022, Rs.446 billion was printed at an average Rs.2.2 billion per day. During the period in office of those two, interest rates were 7% less, and money had to be allocated to buy the Forex to settle the foreign debt as well.

22% of the SL population is undernourished – World Food Program

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The World Food Program (WFP) has decided to implement humanitarian assistance programs in the wake of the escalating food crisis in Sri Lanka. Observations by the institute have revealed that more than 22% of the population in the country is unable to get even the least nutritious food.

According to surveys, more than 86% of the country’s population is facing a food crisis. The World Food Program (WFP) says they have had to go for solutions such as reducing the amount of food they eat, eating something instead of nutritious food, and reducing the number of meals they eat daily.

The World Food Program (WFP) says it needs $ 60 million to provide food to 3 million people in Sri Lanka, whose food supply has been severely hampered. The agency plans to provide these people with vouchers, food or cash to buy food. The program will be operational during June-December this year.

Under this, their primary focus is on pregnant women. Pregnant mothers should be provided with nutritious food on a daily basis, but pregnant women from poor families have not been able to meet those needs. According to the World Food Program, this condition affects not only the health of the mother but also the health of the unborn child.

As the first step in this program, selected pregnant women in the Colombo District will be given vouchers worth Rs. 15,000 per month.

A special press conference on the rice crisis to be held today by Dudley Sirisena

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Prominent businessman Dudley Sirisena is preparing to hold a special press conference today. It is reported that this media briefing will be held at 10 am today at the Ramada Hotel in Colombo.

It is reported that Sirisena is preparing to make a special revelation at this media briefing regarding the current rice crisis.

The High Commission of Sri Lanka in Ottawa explores avenues for cooperation with Canadian Universities

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The High Commission of Sri Lanka in Ottawa together with Vice Provost and Associate Vice President (International) of the University of Calgary Prof. Janaka Ruwanpura, and the University Grant Commission of Sri Lanka organized three virtual meetings to explore cooperation with Canadian Universities and academics.

The first meeting was to link U15 Universities with seventeen Sri Lankan State Universities.  The U15 Group of Canadian Research Universities is a collective of some of Canada’s most research-intensive universities, fostering the development and delivery of long-term, sustainable higher education and research policy in Canada and around the world. 

The second meeting was with MITACS, which powers research and development creation by connecting private sector with the best post-secondary institutions to solve organizational challenges.  The discussion focused on exploring the possibility of including Sri Lankan academics in its collaborative projects and the Globalink Research Award (GRA) Programme. 

The third meeting was with Canadian Sri Lankan academics on building networks and partnerships to identify and address immediate mid-term and long-term needs of Sri Lankan universities.

The meetings were attended by ViceProvosts and Directors of International Relations of the Universities of Alberta, Calgary, British Columbia, Dalhousie, Manitoba, McGill, McMaster, Ottawa, Saskatchewan, Waterloo, and Western in Canada and Chairman of University Grant Commission and Vice Chancellors of all State Universities of Sri Lanka and Heads of Sri Lankan Missions in Italy and Los Angeles.  

High Commission of Sri Lanka

Ottawa

8th International Day of Yoga in Sri Lanka on 21 June 2022

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  1. High Commission of India in Colombo, Consulate General of India in Jaffna, Consulate General of India in Hambantota and the Assistant High Commission of India in Kandy will organize a series of events across different parts of Sri Lanka to mark the 8th International Day of Yoga on 21 June 2022. 

2.     A mega public event under the theme “Yoga for Humanity” would be held at the Independence Square in Colombo from 6 am onwards to mark the Day. Participation in the event, which is being held in collaboration with various partners including Ministry of Culture, Government of Sri Lanka, is free for public. 

3.     An innovative programme, named “Guardian Ring”, under which participation of yoga enthusiasts from different countries, linked to the movement of the sun from, from east to west, will be the hallmark of the 8th edition of International Day of Yoga. 

4.     It may be recalled that United Nations General Assembly adopted a resolution, piloted by India in 2014, declaring June 21 each year as the “International Day of Yoga”. The resolution was supported by more than 170 countries, with Sri Lanka being one of the co-sponsors of the resolution. 

5.     Yoga, like Ayurveda, forms a part of shared heritage of India and Sri Lanka.Indian diplomatic offices in Sri Lanka have been celebrating International Day of Yoga with the participation of the Sri Lankan leadership and public since 2015 with great fervour. Average footfall for the event over the years has been in thousands. There was also enthusiastic participation at the virtual events held in 2020 and 2021, when there were restrictions in conducting physical events due to COVID-19.

Hambantota Port industrial park progress retards amid current crisis

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Amid multiple crises in the country, the progress of the Hambantota International Port’s (HIP) industrial park is facing several challenges in the construction front as well as delays in investment flows, according to the company officials.

During a recent inspection tour made by Ports, Shipping and Aviation Minister Nimal Siripala de Silva to the Hambantota Port, the HIP officials revealed that the construction of the port’s adjoining industrial park has significantly slowed down amid the fuel crisis and import restrictions.

Further, they noted that investment flows are also being delayed, due to the effects of the pandemic as well as due to the on-going crisis in the country.

Despite the persisting challenges, the HIP officials noted that the industrial park has already taken the initial steps to set up a luxury yacht manufacturing plant, a large-scale bonded warehousing complex and a duty free trade centre.

The minister agreed to take up these matters with the relevant state institutes shortly, in order to find expedited solution for these matters.

The industrial park aims to replicate the success of China Merchants Port’s strategic Port, Park and City model, which was initially implemented in the renowned industrial zone Shekou, in Shenzhen, in China.  

By 2025, HIP aims to develop the industrial park to an area of 228.53 hectares, which is demarcated and classified into three industry clusters—heavy industries, light industries and food processing industries.

Further, it includes a service area and an artificial island as a green belt.According to the minister, the government has already handed over a 500-acre land to HIP for the development of the industrial park. The Hambantota Port and the adjoining industrial park remain key projects under China’s Belt and Road Initiative

SL Fuel supply becomes extremely challenging amidst dollar crisis    

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Power and Energy Minister Kanchana Wijesekara says  fuel supply had become extremely challenging  since the release of sufficient foreign exchange  by the Central Bank had been limited .

He said the credit lines of US $ 700 million had been exhausted , and discussions were underway to secure another US$ 550 million from India .

Also , the Minister alternate arrangements had been worked out  to secure fresh supplies of fuel in the future .

Minister Wijesekara also said some buses operate on kerosene instead of diesel and therefore the release of kerosene will also be rationalized.

The fuel distribution in the country will not be streamlined until the fuel price increase comes into effect by June 24, Samagi United Trade Union Force (SUTUF) convener and media spokesman Ananda Palitha said.

He noted that there is a possibility of increasing the price of fuel vby more than Rs. 60.

According to the power and energy ministry secretary, the fuel price increase should take effect on the 24th of each month.The most recent fuel price increase was on May 24.

Plans have been made to increase the price of a litre of 92 Octane petrol by Rs.74,95 Octane petrol by Rs.78, a litre of diesel by Rs.56, a litre of super diesel by Rs.65 and a litre of kerosene by Rs.210, Palitha said.

Therefore, the responsible authorities are not in a position to distribute fuel until the price increase comes into effect on June 24.

“As a result, 5,500 MT of petrol and 11,000 MT of diesel are currently in hand at Ceylon Petroleum Corporation (CPC) storage facilities. The last shipment of diesel (40,000MT) arrived in the country yesterday under the Indian Credit Line facility,” he said.

The country needs 6,000 MT of diesel and 5,000 MT of petrol daily for the smooth running of the economy, he said.

With the receipt of the last diesel shipment, there are no more petrol or diesel freight scheduled to arrive. Moreover, Palitha said that a total of 520,000MT (13 shipments) of diesel and petrol have been received.

With the fuel distribution has been curtailed, we can see the longest fuel queues in history, Palitha added.

WFP ramps up emergency support to Sri Lanka

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The UN and partners launched a joint Humanitarian Needs and Priorities Plan(HNP) requesting more than $47 million, to aid some 1.7 million worst hit by the spiraling economic crisis, which has seen the country struggling to pay for essential imports, amid rising debt, food, fuel and medical supply shortages.

The multi-pronged crisis that has led to widespread protests, was exacerbated by the COVID-19 pandemic and associated collapse of the tourism sector across the South Asian island nation.

Food inflation in Colombo rose to a record high of 57.4 percent in May, said WFP in a press release, and widespread shortages of fuel for cooking and transport, means that poorer families are struggling to feed themselves.

Nearly five million people, or 22 percent of the Sri Lankan population, are food insecure and in need of assistance, the agency said. Nutritious foods, such as vegetables, fruits and protein-rich products are now out of reach for many.

Under this setup the United Nations World Food Programme (WFP) initiated a program to distribute food vouchers to pregnant women in underserved districts of Colombo, marking the start of WFP’s emergency response in the country.

WFP is working to provide life-saving food, cash and voucher assistance to three million of the most vulnerable people who can no longer meet their food needs due to Sri Lanka’s unprecedented economic crisis.

According to the WFP, the monthly vouchers are valued at Rs.15,000 (US$ 40) and will enable more than 2,000 women to buy much-needed food, and are delivered alongside antenatal care provided by the Public Health Division of the Colombo Municipal Council (CMC).

The WFP, pointing out that the food inflation in Colombo set a record high of 57.4% in May, said that widespread shortages of fuel for cooking and transport means poor families are struggling to afford food. Nearly five million people, or 22% of the Sri Lankan population, are food insecure and in need of assistance.

Nutritious foods, such as vegetables, fruits and protein-rich products are now out of reach for many low-income families. WFP’s recent surveys indicated that 86% of families are resorting to at least one coping mechanism, including eating less, eating less nutritious food and even skipping meals altogether.

“Pregnant mothers need to eat nutritious meals every day, but the poorest find it harder and harder to afford the basics. When they skip meals they’re putting their and their children’s health at risk,” said Anthea Webb, WFP Deputy Regional Director for Asia and the Pacific from Colombo.

“Poor families in cities and those who work on estates have seen their incomes plummet while market prices have soared. Each day that passes sees an increase in food and fuel prices globally, making it vital that we act now,” she noted.

WFP has long supported the Sri Lankan Government’s national nutrition programmes, but they are severely constrained by the economic crisis.

To bolster existing social safety net programmes, WFP’s emergency response programme aims to assist one million children through the national school meal programme, one million people participating in the Thriposha programme which provides nutritionally-fortified food to mothers and children, and one million people in need of emergency food rations through food, cash or vouchers.

Given its concern that food and nutrition needs will persist beyond September, WFP estimates it will require US $60 million to assist three million people from June through December 2022.

Existing donors to WFP’s Sri Lanka programme include Australia, Canada, China, Denmark, Japan, Korea, Mastercard, Russia, Switzerland, United Nations Peacebuilding Fund and the United States.

US grants $6 million in emergency assistance to avert SL’s economic crisis

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Policymakers in Washington have stepped forward with a financial package that will not only provide desperately needed aid for ordinary Sri Lankans but help the U.S. meet some of its long-term strategic objectives in the Indo-Pacific.

The United States announced today that it will provide $6 million in emergency assistance to address the needs of marginalized and vulnerable communities impacted by Sri Lanka’s economic crisis. 

This new funding will also provide technical assistance to the Government of Sri Lanka as it implements economic and financial reform measures to stabilize the economy, in line with an anticipated International Monetary Fund (IMF) package, the US Embassy in Colombo said. 

“The U.S. is committed to supporting the Sri Lankan people as they face today’s economic and political challenges,” said Julie Chung, U.S. Ambassador to Sri Lanka. 

“As a longstanding development partner, we will continue to champion efforts that promote sustainable economic growth and good governance.”

This emergency funding through the U.S. government’s development arm, the U.S. Agency for International Development (USAID), responds to emerging or unforeseen complex crises overseas. 

Part of this funding will go to USAID’s social cohesion and reconciliation project (SCORE) to support small-scale agricultural productivity and microenterprises in communities that traditionally experience high poverty rates and are especially impacted by the crisis. 

This funding will also support public sector efficiency and resource management through USAID’s project to accelerate results in trade, national expenditure, and revenue (PARTNER).

The $6 million in new assistance is part of a much larger package of foreign assistance from the American people to meet the current need.  That support is part of a shared history that has seen the United States provide over $2 billion in economic and humanitarian support since 1956.  

The U.S. will continue to add to its significant ongoing investments and assistance projects in Sri Lanka to help meet the immediate and long-term needs of the people of Sri Lanka, the statement said.

Sri Lanka also presents an opportunity for the U.S. and India to work together to prevent the humanitarian crisis from worsening. One possible area of collaboration is food security.

Here, the U.S. and India can work together to identify what food products Sri Lanka urgently needs and what each can provide. Success here could be a template for the growing Quad partnership that includes Japan and Australia and lay the foundation for a potential Quad working group on food security.

Whatever help the U.S. ultimately gives, it should extensively publicize what it is doing to help Sri Lanka. In the past, U.S. policies have been derailed in Sri Lanka due to misinformation, such as a $480 million Millennium Challenge Corporation grant that was ultimately canceled by the U.S. after the Rajapaksa government said it did not want the funds.

Effective messaging about the help offered to Sri Lanka to alleviate the crisis would also set the U.S. up for a post-Rajapaksa-era, as American aid at a time like this will not be forgotten.