The United Kingdom recognises the difficult economic situation in Sri Lanka and welcomes the start of in-depth discussions with the International Monetary Fund (IMF) on reforms needed to bring the economy back to a sustainable path, the British Minister claimed. .
UK Foreign Office Minister Vicky Ford said the UK is closely monitoring the economic situation in Sri Lanka, including foreign exchange data reported by Central Bank of Sri Lanka a
Vicky Ford said the UK regularly discussed economic policy with the Sri Lankan Government authorities and encourage efforts to improve economic growth and protect vital economic interests such as key industries, commodities, employment and livelihoods
In a written response to the UK House of Commons, Ford said that prior to the Covid-19 pandemic, tourism was a key export sector for Sri Lanka, making up almost 30% of total export revenues.
However, Sri Lanka’s tourism receipts declined by almost 80% in 2020 and fell by a further 60% in 2021.
The UK is a key contributor to Sri Lanka’s tourism sector. It has been among the top three source markets in the past three years, placed as the second major country of origin for tourists in Sri Lanka in 2019 and 2020, and third in 2021.
Remittances from overseas workers have also been an important contributor to Sri Lanka’s economy in the past three years, worth around 8% and 9% of Sri Lanka’s total GDP in 2019 and 2020, respectively.
Despite initially remaining constant in 2020, remittances fell by over 20% in 2021, down to their lowest levels since 2011, the UK Minister said.
She said the UK recognises the difficult economic situation in Sri Lanka and welcomes the start in-depth discussions with the International Monetary Fund (IMF) on reforms needed to bring the economy back to a sustainable path.
“The Prime Minister spoke to the Prime Minister of Sri Lanka Ranil Wickremesinghe on 30 May, and underlined the UK’s continued support for the people of Sri Lanka during their current economic difficulties,” she said.
Ford said the UK recognises the economic challenges that Sri Lanka is facing and continues to monitor the situation in Sri Lanka closely, including the impact economic issues are having on food security and livelihoods.
“The existing social protection systems, including the Samurdhi programme, provide essential support to the most vulnerable communities in Sri Lanka and will be crucial at this difficult time,” she said.
The UK Minister added that the Sri Lankan authorities have taken a number of measures to help support the public, including an economic relief package of Rs. 200bn ($1bn) announced in January 2022.
This package includes a Rs. 5000 ($25) monthly allowance for public sector employees, pensioners and disabled soldiers.
Under the scheme, Rs. 1000 ($5) has been allocated to the beneficiaries of the government’s largest welfare programme ‘Samurdhi’, and a number of taxes and levies have been removed from essential foods and medicines.
The Government of Sri Lanka agreed on May 2 to provide a special three-month cash allowance from May to July worth Rs. 13.36 billion to 3.34 million families affected by the current economic crisis, with funding from the World Bank of which the UK is a major donor.
UK recognises Sri Lanka’s current economic challenges
WB assists to purchase gas for the country for 04 months
Litro Gas Company has entered into an agreement to import 100,000 metric tons of LP Gas. The Supreme Media Unit says that this agreement was signed today.
The value of this gas stock is 90 million US dollars. The World Bank has provided funding of $70 million and Litro has provided the remaining $20 million.
This gas stock will be enough to meet the gas requirement for the next 04 months.
It is planned to provide 70% of the gas stock to domestic customers. 12.5 kg is estimated to get 5 million cylinders, 5 kg 1 million cylinders and 2.5 kg 1 million cylinders. The remaining 30% will be used for commercial purposes.
An initial stock of 33,000 tons of LPG obtained by the Litro Company at a cost of 20 million dollars will arrive in Sri Lanka by the first week of July and the authorities of the Litro Company say that the distribution activities will begin as soon as the gas stock arrives.
Rumors circulating about former the PM are untrue
Sources say that rumors circulating on social media that former Prime Minister Mahinda Rajapaksa has been admitted to Colombo’s Navaloka Hospital in a critical condition are false.
Sources said that no such incident has happened.
LITRO GAS LANKA ADDRESSES CONCERNS RAISED OVER STAFF SALARIES
PRESS RELEASE
Litro Gas Lanka, Sri Lanka’s national LPG provider that generated over Rs 500 million in profits prior to 2019, seeks to clarify vague concerns raised about the salary structure of its staff, says Mr Muditha Peiris, Chairman / CEO of Litro Gas Lanka.
The Company has been severely impacted by rising global LPG prices, foreign currency fluctuations and not increasing prices of LPG in Sri Lanka in keeping with changing international rates of LPG. The once robust entity that consistently performed as a leading SOE with growth potential, has been incurring losses recently, having passed on the cost benefit to the consumers for a considerable period of time, adds Mr. Peiris.
As a fully owned subsidiary of The Sri Lanka Insurance Corporation, Litro Gas Lanka has been a major contributor towards the Treasury coffers since inception. The Company is built on a model of efficiency and professionalism and has inculcated in its staff ethics of efficiency, effectiveness and being result oriented, factors that have played a major role in its success.
The Company spends less than 2% of its annual turn- over on salaries for its less than 200 member staff. Many on the Litro Gas Lanka team have continued their career from Lanka Gas Co and Royal Shell Gas and have been serving for well over 20 years. The Litro Gas Lanka employees have always taken pride in their core values of delivering performance as a sustainable and tightly knit team.
“ Our team includes experts and professionals with global and local experience in their chosen field of expertise and are not paid state backed pensions or other tax free incentives or facilities available for government employees,” points out Mr Peiris.
While the salary structure of Litro Gas Lanka is governed by the Companies Act of 2007 No 07, and regulated to be on par with other state owned enterprises, it is in no way as per the incorrect and false information shared on social media, he reiterates.
Litro Gas Lanka believes that such baseless allegations have been made with the intention of causing a negative impact on the goodwill generated by the Company in the minds of the consumers. The company vehemently denies the allegations and reiterates that such deliberate acts of sabotage are aimed at causing great harm and damage to the good name and reputation Litro Gas Lanka has cultivated over the years as the country’s leading LPG provider.
ENDS
Bus fares to be increased from midnight today!
It has been decided to increase bus fares from midnight today (30).
Accordingly, the director general of the National Transport Board Thilan Mirando said that bus fares will be increased by 22%.
Also, the minimum bus fare has been increased to 40 rupees.
It is stated that this increase has been done under the annual bus fare revision effective July 1st.
Jayantha de Silva appointed as the Secretary to the Ministry of Technology
Jayantha de Silva has been appointed as the Secretary to the Ministry of Technology.
Jayantha de Silva received his letter of appointment from President Gotabhaya Rajapaksa at the President’s House in Colombo Fort this morning, according to the Presidential Media Unit.
Jayantha de Silva is also the Chairman of the Information and Communication Technology Agency of Sri Lanka and has over 30 years of experience in the field of Information Technology.
Two finance companies fined Rs.1.5 mn for violating Central Bank rules
Two finance companies have been filed a total of Rs.1.5 million by the Central Bank (CB) for violating anti-money laundering and terrorist financing regulations imposed by the banking regulator (CB). The fines were imposed in September 2021.
The CB in a statement on Wednesday June 29 said Orient Finance PLC was imposed a fine of Rs.1 million on September 14, 2021 while on the same day Lanka Credit and Business Finance Ltd as imposed a fine of Rs.500,000. The CB didn’t give any explanation for the late announcement of these fines imposed in September 2021.
Although lapses in systems and procedures were observed, instances of business relationships with designated individuals or entities by Lanka Credit and Business Finance Limited were not revealed during the on-site examination. Since then, Lanka Credit and Business Finance Limited has taken initiatives to rectify the identified deficiencies.
Sri Lanka’s regulator for Anti-Money Laundering and Countering the Financing of Terrorism (AML/CFT), the Financial Intelligence Unit (FIU) collected the above penalties to enforce compliance on financial institutions. The money collected as penalties were credited to the Consolidated Fund.
The FIU gave the same reason for fining Lanka Credit and Business Finance Ltd for violating anti-money laundering and terrorist financing regulations
“The FIU observed during the on-site examination that Orient Finance PLC had failed to implement systems and procedures to maintain the complete list of designated persons and entities under relevant United Nations Security Council Resolutions (UNSCRs).
It will , screen prospective customers at the time of onboarding as required by the CDD Rules and to screen the existing customer base or existing business relationships when any of the relevant UNSCR lists were updated in order to ensure that no business relationship was held by or linked to any of the entities or individuals included in the updated designated lists,” the statement said.
SJB prepares to hold a massive public protest today
The Samagi Jana Balawegaya has made arrangements to hold a massive public protest this afternoon (30).
Accordingly, all the people of Colombo are invited to come near the Fort Railway Station at 3.00 pm today to raid the Presidential Residence where President Gotabhaya Rajapaksa is staying, said UNP MP Mujibur Rahuman.
“We brought motions of no-confidence in the parliament to remove this government in the democratic system, but in everyone that was brought, Rajapaksa supporters. If so, what do we have to do? In that case, the people will have to use the sovereign power of the people of this country outside the parliament. The people of this country have the right to overthrow this government. That is all that is left for the people of this country now. We appeal to oust these rulers through the sovereign power of the people and come near the Fort railway station by 3.00 pm on the 30th.”
Mujibar Rahman said this while addressing a press conference held yesterday (29).
AKD says he is ready to solve the problems of the country by getting the govt. power for a short time
Anura Kumara Dissanayake, the leader of Janatha Vimukthi Peramuna, says that he is ready to solve the basic problems of the country by getting the government power for a short time.
“In the world, governments and rulers who cannot fulfill the basic needs of people like this resign. That’s why we say now Gotabaya Rajapaksa must resign, Ranil Wickramasinghe must resign. We are ready to take the government even for a short time. If a cabinet of our choice is allowed to be elected by this parliament, we will make plans to solve the basic problem of this economy within a short period of time and bring the economy up. We invite all to abandon all party affiliations of all colors and form one People’s Movement, the People’s Movement for Building This Country. The people’s struggle against these corrupt and destructive people should be launched until the people’s rulers are ousted.”
Anura Kumara Dissanayake said this while addressing a rally held in Matara yesterday (28).
Deployment of workers to Japan is accelerated
Manusha Nanayakkara, Minister of Labor and Foreign Employment, has implemented a practical program with the goal of bringing five hundred million US dollars monthly from expatriate workers into the country to solve the country’s problems.
At the same time, efforts have been made to speed up the program of dispatching workers to high-income countries such as Japan.
Air tickets were awarded yesterday (29) to five trainees for nursing jobs in Japan.
A group of 22 people have been training to leave for work in Japan since yesterday, and will leave on the 20th with eight nurses and 14 construction workers.
The Minister emphasized that the Sri Lanka Bureau of Foreign Employment is sending workers to Japan for employment and that Japanese job seekers who send such workers will never have to pay intermediaries.