June 09, Colombo (LNW): The Colombo Stock Exchange witnessed a historic upswing today (09), as the All Share Price Index (ASPI) surged to its highest ever closing figure, reflecting renewed investor confidence and heightened market activity.
By the end of trading on the 9th of June, the ASPI had advanced by 105.79 points, registering a 0.61 per cent rise to settle at a remarkable 17,500.24.
This notable increase comes amid growing optimism across various sectors, suggesting sustained bullish sentiment among market participants.
In tandem, the S&P SL20 index—commonly viewed as a benchmark for Sri Lanka’s top 20 listed companies—also posted a significant gain. It rose by 33 points, ending the day at 5,208.95.
The day’s turnover exceeded Rs. 2.8 billion, underscoring a lively session of trade. Market observers cite a combination of domestic investor momentum and positive macroeconomic signals as possible drivers behind today’s performance.
June 09, Colombo (LNW): Two former senior government figures, Mahindananda Aluthgamage and Nalin Fernando, have submitted appeals to the Supreme Court, contesting lengthy prison sentences handed down by the Colombo High Court in connection with a controversial sports equipment procurement scheme during the 2015 presidential election period.
Both men were convicted in late May by a three-judge bench following a high-profile trial initiated by the Commission to Investigate Allegations of Bribery or Corruption.
Aluthgamage, a former Minister of Sports, was sentenced to 20 years of rigorous imprisonment, whilst Fernando, a former Trade Minister and ex-Chairman of Sathosa, received a 25-year sentence.
The convictions stemmed from the alleged misuse of public funds amounting to more than Rs. 53 million. Prosecutors argued that the two authorised the purchase of 14,000 Carrom boards and 11,000 draught boards through Sathosa, a government-owned retail enterprise, and distributed them to sports clubs across the country under the guise of promoting recreational activities.
However, the prosecution maintained that the purchases were politically motivated, aimed at bolstering electoral support, and executed in violation of established procurement protocols.
Both Aluthgamage and Fernando have maintained their innocence throughout the proceedings and have now sought the intervention of the Supreme Court, requesting that their convictions be overturned. The appeals were filed through legal counsel and have been formally submitted to the Colombo High Court to be referred to the apex court.
In the petition submitted on behalf of Aluthgamage, it is claimed that the High Court failed to properly evaluate evidence presented by the defence, and that key legal arguments were overlooked. The appeal further asserts that the judges misinterpreted material facts in reaching their verdict. As a result, the former minister argues that the sentence imposed upon him is not legally justifiable and has petitioned for a full acquittal.
Fernando has raised similar objections in his own appeal. His legal team contends that the court did not give adequate weight to his defence submissions and that procedural irregularities may have affected the fairness of the trial. Like Aluthgamage, he too is seeking to have the judgment set aside and his name cleared.
During the original trial, the prosecution pressed for a stern ruling, arguing that the accused had acted with deliberate intent, causing financial harm to the state and breaching public trust. They emphasised that the funds misused were taxpayer money, and called for the sentence to serve as a message to those in public office that abuse of power would not be tolerated.
Both former ministers await a decision that could either uphold their convictions or grant them reprieve from some of the most significant corruption-related sentences handed down in recent years.
June 09, Colombo (LNW): In a landmark initiative aimed at reshaping public engagement with taxation, the International Chamber of Commerce Sri Lanka (ICCSL) has released the country’s first national survey on public awareness of the Taxpayer Charter.
The survey’s findings, presented on May 28, 2025, underscore a pressing need to strengthen tax education and build public trust in Sri Lanka’s tax system.
The survey, conducted by the ICCSL Committee on Research, Knowledge Mobilisation and Taxation, was led by Prof. B.W.R. Damayanthi, Head of ICT at the University of Sri Jayewardenepura, alongside Dr. Nadee Dissanayake, Deputy Commissioner General of the Inland Revenue Department and Chair of the ICCSL Committee.
The final report was formally handed over to ICCSL Chairman Shanil Fernando and presented to board members during a special session at the Chamber’s headquarters.
While general awareness of the Taxpayer Charter exists, the study revealed a deeper concern—most respondents lacked a clear understanding of how to apply their rights and responsibilities in real-life scenarios.
“People aren’t just looking for information—they’re trying to make sense of a system that feels intimidating and complex,” said Prof. Damayanthi. “Their interpretation of tax obligations depends on their background, profession, and past experiences.”
Dr. Dissanayake highlighted that raising awareness is only the first step. “Knowing your rights is one thing, but knowing how to confidently act on them within a fair, respectful system is another. That’s where we have work to do.”
Sri Lanka’s tax-to-GDP ratio has historically remained low, hovering around 8–10%—one of the lowest in South Asia. Experts attribute this to limited awareness, lack of transparency, inefficiencies in tax collection, and low public confidence in how taxes are used. The culture of voluntary compliance remains weak, with many citizens perceiving the system as punitive rather than participatory.
The report recommends several key measures:
Launch simplified tax education campaigns that emphasize both rights and responsibilities.
Target outreach in rural and underserved communities where awareness is weakest.
Ensure transparent handling of taxpayer data to restore public trust and safeguard privacy.
Speaking at the event, ICCSL Chairman Shanil Fernando called the findings “a timely wake-up call.” He emphasized that a healthy tax system requires not just enforcement but partnership. “When citizens understand their role and feel respected, compliance follows. That’s the culture we must build.”
The ICCSL plans to collaborate with policymakers, institutions, and civil society to transform these insights into concrete actions. The Chamber is also committed to fostering dialogue around making the tax system more inclusive, transparent, and citizen-friendly—ensuring that every taxpayer is informed, empowered, and engaged.
June 09, Colombo (LNW): Sri Lanka and China are actively strengthening their trade and economic cooperation, with a renewed focus on expanding bilateral trade, investment, and infrastructure partnerships under the Belt and Road Initiative (BRI) in 2025.
This growing relationship was recently underscored by the high-profile Sri Lanka-China Trade and Investment Forum, held in Colombo, where key memorandums of understanding (MoUs) were signed to advance trade facilitation and supply chain cooperation.
The Chinese Embassy in Colombo confirmed that two MoUs were signed following bilateral talks—one to establish a trade facilitation working group and the other to enhance industrial and supply chain collaboration. The agreements are expected to streamline processes for Chinese and Sri Lankan businesses and foster long-term investment ties.
The forum, attended by 115 delegates from 77 Chinese enterprises, showcased China’s strong interest in Sri Lanka’s strategic location and economic potential.
Chinese Commerce Minister Wang Wentao met with Sri Lanka’s Minister of Trade, Commerce, Food Security and Co-operative Development, Wasantha Samarasinghe, at the China-Sri Lanka Joint Trade and Economic Commission.
Discussions focused on deepening BRI-related infrastructure projects, expanding two-way trade, and exploring the use of local currency settlements in infrastructure and energy projects to reduce foreign exchange volatility.
China’s engagement also includes a push for industrial collaboration through proposed industrial zones in Colombo and Hambantota, leveraging Sri Lanka’s ports and logistical advantages. Four leading Chinese Chambers of Commerce pledged to boost partnerships in key sectors such as machinery, agriculture, textiles, and private sector investment.
At the same time, talks are ongoing to finalize a China-Sri Lanka Free Trade Agreement (FTA), which has been under negotiation since 2014. If concluded, the FTA could offer Sri Lankan exporters greater access to the vast Chinese market, especially in areas like black tea, spices, seafood, fruits, and textiles.
Sri Lanka is also exploring cooperation in clean energy, water treatment, and environmental protection technologies to complement its sustainable development goals.
However, this increasing engagement with China has raised geopolitical concerns, particularly from India, which has traditionally considered Sri Lanka part of its strategic sphere of influence in the Indian Ocean.
New Delhi remains cautious about Beijing’s growing footprint in Sri Lanka, especially in light of past controversies surrounding Chinese infrastructure projects like the Hambantota Port lease. Indian analysts worry that closer Sino-Lanka economic ties could translate into deeper strategic influence, complicating regional security dynamics.
In parallel, Sri Lanka has relaunched the Sri Lanka-China Business Cooperation Council’s Business Star Awards 2025, aimed at recognizing and incentivizing successful collaborations.
As Sri Lanka navigates its post-crisis economic recovery, its pivot toward China for trade, investment, and development aid continues to shape its foreign and economic policy landscape—albeit with close scrutiny from regional and global stakeholders.
June 09, Colombo (LNW): Economist and Parliamentarian Dr. Harsha de Silva has strongly criticised the Ceylon Electricity Board’s (CEB) proposed electricity tariff revision for the second half of 2025, calling it fundamentally flawed and lacking transparency.
Speaking at the Public Utilities Commission of Sri Lanka’s (PUCSL) public consultation on 3 June at BMICH, Dr. de Silva dismantled several elements of the CEB’s financial assumptions, accusing the utility of misrepresenting its financial position to justify tariff hikes.
One of the key concerns raised was the CEB’s reported Rs. 144 billion loss for 2024, which, according to Dr. de Silva, includes a misleading Rs. 62 billion ‘clawback’—an advance payment collected from consumers.
Of this, Rs. 51 billion relates to the January-July period and Rs. 25.5 billion to the first quarter alone. “If these clawbacks are accounted for correctly, CEB would show a Rs. 7 billion profit in Q1, undermining their projected Rs. 42.2 billion loss for H2 2025,” he explained.
Dr. de Silva, also Chair of the Committee on Public Finance (CoPF), criticised the CEB for altering approved revenue figures mid-year—something he said is against standard financial practice. Expert analyses, he noted, also object to these revisions, highlighting that any such changes must follow proper regulatory procedures.
He further questioned the inclusion of a Rs. 14 billion finance cost in the tariff proposal, Rs. 5.2 billion of which stems from legacy debt under restructuring. “These historic debts should not burden current or future customers.
It violates the principle of cost causation,” Dr. de Silva argued, comparing it to previous government financial missteps that contributed to Sri Lanka’s Rs. 20 trillion debt crisis.
A major technical flaw, he said, is the CEB’s attempt to recover Rs. 8.3 billion in Q1 2025 losses by adjusting tariffs for the July–December period.
This approach, he warned, distorts established tariff methodology, which requires comparisons over matching timeframes—either quarter-to-quarter or half-year-to-half-year. “Mixing time periods misaligns the data and manipulates outcomes.
This cannot be accepted,” he said, urging the PUCSL to ensure consistency in any tariff adjustment model.
The CEB is currently facing financial strain, largely due to the 20–22% electricity tariff cut granted to domestic users from January to June 2025. It is now proposing a hike to recover losses, in line with the cost-reflective pricing model required under Sri Lanka’s agreement with the International Monetary Fund (IMF). This model ensures that any profits from January–June are returned to consumers, while losses can justify hikes.
Available data indicates the CEB posted a Rs. 51 billion profit during January–June 2024, and if current operations are compared year-on-year, it suggests the utility should generate Rs. 90 billion more this year. Based on this, Power and Energy expert asserted that tariffs should be reduced—not increased.
The PUCSL has asked the CEB to submit updated data on the Bulk Supply Transaction Bank Account (BSTBA) to assess its true financial state.
A final tariff decision is due by 1 July, in line with IMF structural benchmarks. Approval of the revised tariff is crucial for Sri Lanka to secure the next US$344 million tranche under the IMF’s Extended Fund Facility by June, as confirmed by IMF Mission Chief Evan Papageorgiou.
The IMF has also expressed concerns about the CEB’s financial health and the risk of further losses from past tariff reductions, adding pressure on both the utility and the regulator to get the numbers—and decisions—right.
June 09, Colombo (LNW): Sri Lanka is making major strides in renewable energy development with significant progress in wind power projects in the Mannar region, reinforcing its goal to transition to 70% renewable energy by 2030.
Spearheading this shift, Hayleys Fentons’ new wind energy subsidiary, HayWind, has secured a Power Purchase Agreement (PPA) with the Ceylon Electricity Board (CEB) to build a 50MW wind power plant in Mannar.
The project, won through a competitive bidding process at the lowest tariff of 4.65 US cents per kilowatt-hour, marks a strategic $50 million investment on a Build, Own, and Operate (BOO) basis.
Scheduled for completion within 18 months, the plant will feature 10 wind turbines, each generating 5MW.
Once operational, it is expected to deliver clean, affordable energy to the national grid and result in significant cost savings—an estimated Rs. 3 billion over 20 years compared to the next best alternative bid.
This move is part of Sri Lanka’s broader effort to reduce fossil fuel dependency, cut emissions, and ensure long-term energy affordability and sustainability.
In addition to HayWind’s project, the 100MW Thambapavani Wind Farm, already operational on Mannar Island, is generating 400 GWh of electricity annually and supplying it to the national grid.
As part of its ongoing commitment, the Sri Lanka Sustainable Energy Authority (SLSEA) is now surveying land on Mannar Island to develop an additional 200MW in a second-phase expansion.
Minister of Power, Engineer Kumara Jayakody, emphasized the government’s determination to leverage the nation’s natural resources—abundant wind and sunlight—for energy independence.
During an official inspection of Mannar’s wind project sites, he confirmed that tenders have already been called for a proposed 100MW wind plant in Mullikulam.
Senior officials from the Ministry of Energy, including Secretary Prof. K.T.M. Udayanga Hemapala, praised the HayWind initiative as a timely and strategic investment in Sri Lanka’s clean energy future.
“It exemplifies the collaborative spirit needed to meet our renewable energy goals and strengthen energy security,” he stated.
Hayleys PLC Chairman and CEO Mohan Pandithage highlighted the company’s leadership in renewable investment, noting that Hayleys is aligning with Sri Lanka’s net-zero targets while targeting net-zero operations of its own by 2035.
Hasith Prematillake, Managing Director of Hayleys Fentons, added that their vision is to become the lowest-cost renewable energy producer in the country while contributing to foreign exchange savings.
CEB General Manager Wasantha Edussuriya noted that the integration of wind energy into the national grid will help build a more resilient and sustainable power infrastructure.
Roshane Perera, Director and CEO of Hayleys Solar, further emphasized the capabilities of local companies, citing Hayleys Solar’s successful track record with over 300MW in solar EPC projects and 200MW in renewable energy investments.
This new chapter in Sri Lanka’s energy journey not only marks Hayleys Fentons’ entry into wind power but also reflects the country’s firm commitment to clean energy, economic sustainability, and climate action.
June 09, Colombo (LNW): Kushani Nanayakkara, a prominent entrepreneur and the spouse of former State Minister Dunesh Gankanda, has been apprehended by officers of the Central Crimes Investigation Bureau (CCIB) in connection with a major tax evasion inquiry.
Her arrest follows the issuance of an open warrant by the Colombo Magistrate’s Court after she failed to appear in court on multiple occasions relating to the case.
Nanayakkara, who holds directorial positions in several companies, including Green Lanka Travels, Green Seed Lanka, and Green Sri Lanka Shipping, is accused of wilfully avoiding payment of income taxes amounting to over Rs. 700 million.
The case, initiated by the Inland Revenue Department, alleges that she failed to declare substantial earnings over a number of financial years, despite receiving repeated reminders and official notices from tax authorities.
According to legal sources, the Inland Revenue Department took steps to initiate formal legal proceedings after attempts to secure voluntary compliance were unsuccessful.
The court had initially issued three separate summons for Nanayakkara to appear before a magistrate, all of which went unanswered. This led to the issuance of an open warrant and a special judicial directive to the Acting Inspector General of Police, calling for her immediate apprehension.
Following this order, a targeted operation was carried out by the CCIB under the oversight of Senior Superintendent of Police Shani Abeysekara. Nanayakkara was located and taken into custody in the Narahenpita area on Saturday.
She is expected to be brought before court to face the allegations levelled against her, with further legal proceedings likely to follow.
June 09, Colombo (LNW): Amid reports of rising COVID-19 infections in several parts of the world, including neighbouring India, Sri Lankan health officials have advised the public to remain cautious and adhere to basic preventive measures, even though no mandatory mask directive is currently in place.
Upul Rohana, President of the Public Health Inspectors’ Union, speaking during a televised interview, noted that while face coverings are no longer a legal requirement, individuals are encouraged to use their discretion, particularly in crowded or poorly ventilated environments.
He highlighted that people with respiratory conditions or chronic illnesses should strongly consider wearing masks as a personal precaution, given their increased vulnerability.
Rohana stressed that the union is not advocating for a blanket policy requiring the public to wear masks at all times, nor are they discouraging mask use altogether. Instead, he said the approach should be measured and guided by individual circumstances, cautioning against creating either unwarranted fear or a false sense of security.
Addressing concerns about large-scale testing, the health official stated that mass random PCR screenings are not being considered at this time, citing both practicality and the current epidemiological context.
He did, however, emphasise the importance of remaining vigilant and continuing to observe the hygiene habits that became commonplace during the height of the pandemic.
According to Rohana, the Sri Lankan public is already familiar with the core practices that help reduce viral transmission, such as regular handwashing and avoiding close contact with those who show symptoms of illness.
He encouraged the public to revisit these habits, especially those in high-risk categories or those planning to travel.
June 09, Colombo (LNW): Residents across several parts of the Gampaha District are being advised to prepare for a scheduled 10-hour interruption to their water supply on Wednesday (11), as announced by the National Water Supply and Drainage Board (NWSDB).
The disruption, which will take place from 8:30 a.m. to 6:30 p.m., will affect a number of key localities including Peliyagoda, Wattala, Ja-Ela, and areas governed by the Katunayake-Seeduwa Urban Council. In addition, residents living within the Kelaniya, Biyagama, Mahara, Dompe, Katana, Minuwangoda, and Gampaha Pradeshiya Sabha jurisdictions are also expected to experience a complete halt in water supply during this period.
The temporary suspension is necessary to facilitate the integration of a newly installed solar power system at the Biyagama Water Treatment Plant with the national electricity grid, according to officials from the NWSDB.
The NWSDB has expressed regret for any inconvenience caused and assured that every effort will be made to restore services promptly once the work is completed.
June 09, Colombo (LNW): Health authorities have raised concerns over a noticeable increase in respiratory illnesses across the country, attributing the trend to the persistent wet weather that has gripped several regions in recent weeks.
The Ministry of Health has reported a sharp uptick in cases of colds, flu, and other respiratory infections, particularly among vulnerable groups.
Epidemiologist Dr Athula Liyanapathirana has called on the public to remain cautious and to take proactive steps to safeguard their health.
He emphasised the importance of adhering to basic preventive measures such as maintaining good hygiene, avoiding exposure to crowded or poorly ventilated areas, and seeking medical advice early if symptoms arise.
Of particular concern are individuals with pre-existing health conditions, including diabetes, asthma, and heart disease, who are more susceptible to complications during periods of fluctuating weather.
Dr Liyanapathirana urged these high-risk groups to be especially vigilant, as their immune systems may be compromised, making them more prone to infections.
The continued damp and cool conditions have created an environment conducive to the spread of respiratory viruses, with hospitals and clinics reportedly seeing a steady rise in patient numbers over the past fortnight.
Health workers are being advised to stay alert and ensure appropriate medical interventions are offered promptly to minimise the risk of severe illness.
Authorities have also recommended that schools, workplaces, and households take simple precautions, such as keeping indoor spaces dry and well-ventilated, and ensuring that children and the elderly—who are particularly vulnerable—are protected from sudden changes in temperature.
