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Japan Reaffirms Support for Sri Lanka’s Recovery with Yen Loan Backing

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By: Staff Writer

July 06, Colombo (LNW): Japan has pledged continued support for Sri Lanka’s economic recovery and development agenda through a multi-pronged approach that emphasizes fiscal reform, social resilience, and peace-building.

The commitment was reiterated during the Japan-Sri Lanka Economic Cooperation Policy Dialogue held in Colombo on Friday, July 4, 2025.

The meeting marked a crucial step in strengthening bilateral ties as Sri Lanka actively seeks international support to navigate its ongoing economic stabilization program, aligned with the International Monetary Fund (IMF)’s Extended Fund Facility.

The Sri Lankan delegation, led by newly appointed Treasury Secretary Harshana Suriyapperuma, formally requested Japan’s sustained cooperation in backing existing yen-loan funded projects and bridging financing gaps to attract further foreign investment.

Japan was represented by Ishizuki Hideo, Assistant Minister and Director General of the International Cooperation Bureau at the Ministry of Foreign Affairs.

He highlighted Japan’s commitment to supporting Sri Lanka’s efforts to recover from the 2022 economic collapse, rebuild its financial systems, and reduce poverty and inequalities—all under the broader umbrella of achieving the Sustainable Development Goals (SDGs) and promoting human security.

Ishizuki outlined three strategic pillars guiding Japan’s assistance: implementing fiscal and structural reforms for long-term stability, strengthening social resilience, and ensuring peace and good governance.

“Japan will continue to provide support to the people of Sri Lanka to help the country fully recover from the economic crisis and return to a path of progressive development,” he said.

Sri Lanka has been a major beneficiary of Japan’s Official Development Assistance (ODA) over the decades. Currently, Japan’s active yen loan portfolio in Sri Lanka exceeds ¥350 billion (approximately US$ 2.3 billion or Rs. 710 billion), funding key infrastructure and development projects.

These include the New Kelani Bridge, the Bandaranaike International Airport Expansion Project, the Anuradhapura Integrated Water Supply Project, and the Greater Colombo Transmission and Distribution Loss Reduction Project.

While many of these projects are ongoing, some have faced delays due to Sri Lanka’s economic and foreign exchange crisis in recent years. The Japanese delegation’s visit signals a renewed interest in resuming and accelerating stalled initiatives, provided that governance, transparency, and reform assurances are met.

Treasury Secretary Suriyapperuma emphasized the urgent need for both technical expertise and financial aid to support reforms, including those aimed at strengthening debt sustainability, public sector efficiency, and climate resilience.

The Finance Ministry said the dialogue fostered positive discussions on future economic cooperation, with both sides acknowledging the importance of deepening development ties amid evolving global and regional challenges.

BIA gets Japanese Equipment Grant for Airport Security and Health Readiness

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By: Staff Writer

July 06, Colombo (LNW): In a major boost to Sri Lanka’s aviation infrastructure and border health preparedness, the Government of Japan has extended critical support to Bandaranaike International Airport (BIA) through the donation of state-of-the-art screening and sanitation equipment. This initiative not only strengthens national resilience against future health crises but also underscores Japan’s continued commitment to improving the island nation’s aviation sector.

The equipment, officially handed over at a ceremony held at BIA’s Silk Route Lounge, is part of a broader USD 8.4 million regional grant from the Japanese government, implemented in collaboration with the International Organization for Migration (IOM). The donation falls under the regional project titled “Strengthening Capacity of Border Control for Responding to Infectious Diseases in Southwest Asia.”

This is the third phase of Japan’s contributions under the program and includes several high-tech installations designed to enhance both passenger safety and airport operations. These include 13 advanced baggage and cargo scanners—introducing C2-level screening technology in Sri Lanka for the first time—alongside a fully equipped isolation room for emergency medical responses.

Also included in the package is a compact refuse collection truck and 50 modern Euro carts to significantly upgrade BIA’s waste management system. These additions aim to facilitate faster, contactless passenger processing and boost the airport’s sanitation capabilities, making it more resilient to potential future pandemics.

Senior officials from the Government of Sri Lanka, the Japanese Embassy, Airport and Aviation Services (Sri Lanka) Ltd. (AASL), and IOM leadership participated in the handover event. The gathering was accompanied by a walkthrough showcasing the new installations, featuring live technical demonstrations by IOM and airport staff.

The event also coincided with the visit of IOM’s Regional Director for Asia and the Pacific, highlighting the agency’s ongoing collaboration with Sri Lankan authorities to align national mobility systems with global health and security benchmarks.

Japan has long supported Sri Lanka’s airport development. Past assistance includes modernization projects at BIA and Mattala Rajapaksa International Airport, as well as feasibility studies and funding for the expansion of the airport’s terminals and runways.

Further equipment handovers under this initiative are scheduled throughout 2025, with deliveries planned for BIA, Colombo Port, and the Ministry of Foreign Affairs. A formal closing event for the project will be held later this year, cementing Japan’s role as a key partner in Sri Lanka’s aviation and public health resilience strategy.

Over 120 schools flagged in mosquito breeding crackdown amid dengue concerns

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July 06, Colombo (LNW): Health authorities have raised concerns after uncovering potential mosquito breeding environments in over 120 schools during an intensified anti-dengue initiative being carried out across Sri Lanka.

The findings emerged as part of a nationwide mosquito control campaign, which has been ongoing over the past week in an effort to curb the spread of dengue fever.

According to the National Dengue Control Unit, targeted inspections were conducted over a three-day period in high-risk Medical Officer of Health (MOH) divisions across eight districts.

A total of 229 schools were visited during this special operation, and of those, 121 were flagged for having conditions conducive to mosquito breeding. Alarmingly, active mosquito larvae were discovered in 29 of the institutions.

Dr Anoja Dheerasinghe, Consultant Community Physician at the Dengue Control Unit, described the situation as highly concerning.

She called for immediate and sustained action from school administrators and local health authorities, emphasising that educational institutions must be particularly vigilant given the vulnerability of children and the high transmission risk in densely populated settings.

The broader campaign has seen nearly 20,000 premises inspected in a single day alone—July 05—with inspectors identifying 5,085 locations as potential breeding sites for dengue-carrying mosquitoes. Larvae were found in 567 of these sites, prompting calls for stronger public cooperation and stricter enforcement of sanitation standards.

Officials have reiterated that mosquito breeding can occur in even the smallest collections of stagnant water, often in overlooked areas such as gutters, plant pots, discarded containers, and school playgrounds.

With the monsoon season intensifying across several parts of the country, the conditions are ripe for mosquito populations to spike if timely preventive action is not taken.

The Dengue Control Unit has urged school staff, parents, and community leaders to treat the issue with urgency and to engage in regular cleaning drives.

Traffic restrictions in Borella for Cardinal’s Golden Jubilee Celebration

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July 06, Colombo (LNW): Motorists travelling through Borella on Sunday evening are advised to expect traffic diversions and temporary restrictions due to a high-profile religious event taking place in the area.

Authorities have announced special traffic arrangements to accommodate the 50th anniversary of priestly service of His Holiness the Cardinal, a significant occasion that will draw a wide range of attendees, including senior clergy, state officials, and religious leaders from various communities.

The event will be held at the Archbishop’s House in Colombo and is expected to attract a substantial gathering.

To facilitate the smooth flow of traffic and ensure security for the ceremony, police will implement a restriction on heavy vehicles entering the stretch between Kinsey Road Junction and Nandadasa Kodagoda Junction via Ward Place.

These measures will be in effect from 3:00 p.m. to 9:00 p.m. and will apply throughout the Borella Police Division.

Commuters and transport operators are urged to plan ahead and seek alternate routes during the restricted hours to avoid delays. Police officials have also encouraged the public to cooperate with officers on duty and follow all directions given to ensure safety and minimal disruption.

Australia appoints Matthew Duckworth as new envoy to strengthen ties with Sri Lanka

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July 06, Colombo (LNW): Australia has appointed seasoned diplomat Matthew Duckworth as its incoming High Commissioner to Sri Lanka, signalling a continued commitment to deepening diplomatic, economic, and security ties with the South Asian nation.

The announcement was made by Australia’s Minister for Foreign Affairs, Senator Penny Wong, who highlighted the strategic importance of the bilateral relationship, particularly in the context of the Northeast Indian Ocean.

Duckworth, a long-serving official within the Department of Foreign Affairs and Trade (DFAT), brings with him a wealth of experience in international negotiations and regional affairs.

Most recently, he held senior roles as Assistant Secretary of the United States Trade Taskforce and Deputy Chief Negotiator for the Australia-European Union Free Trade Agreement. His previous overseas postings include assignments in Indonesia and Cambodia, where he worked on issues ranging from regional diplomacy to trade facilitation and international development.

In her statement, Senator Wong underscored the multifaceted nature of Australia’s relationship with Sri Lanka, built on decades of cooperation in areas such as development assistance, maritime security, and humanitarian engagement.

She noted that the partnership is underpinned not only by institutional collaboration but also by enduring social and cultural bonds, shaped significantly by Australia’s vibrant Sri Lankan diaspora, which now exceeds 160,000 people.

“Our engagement with Sri Lanka is broad and deep,” Senator Wong remarked. “We work together on matters of mutual concern, including transnational crime, maritime security, and irregular migration. Our people-to-people links continue to grow, enriching both nations and fostering lasting connections.”

She also took the opportunity to extend her appreciation to outgoing High Commissioner Paul Stephens, who has served in the role since 2022. His tenure was marked by efforts to strengthen bilateral trade, expand regional cooperation, and support Sri Lanka’s economic recovery during a period of domestic challenges.

State-run Thriposha Company thrives after major overhaul

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July 06, Colombo (LNW): Sri Lanka Thriposha Limited, a government-backed nutritional supplement manufacturer, has ramped up operations to a 24-hour production schedule in a renewed effort to enhance nationwide food security and public health outcomes.

Health and Mass Media Minister Dr Nalinda Jayatissa confirmed the move during a recent visit to the production facility located in Kandana.

The manufacturer, known for its signature fortified food product widely distributed among vulnerable groups, is now functioning at full capacity following a comprehensive recovery and expansion plan. The minister, accompanied by senior officials, toured the facility to inspect the round-the-clock production cycle, which is aimed at ensuring uninterrupted distribution of nutritional supplements to communities across the country.

The revitalisation of the factory comes amid broader government efforts to reposition the once-struggling entity as a financially viable public enterprise. During the visit, Dr Jayatissa held in-depth discussions with the company’s newly appointed Chairman, Amal Aththanayake, addressing various aspects of the operation, including raw material procurement, logistics, staffing, marketing, and financial sustainability.

One of the most ambitious elements of the revival strategy is the planned launch of 100 dedicated retail outlets under the Suposha brand. These shops, expected to be rolled out in phases over the coming months, will not only make the product more widely accessible but also support efforts to diversify its market presence.

Officials confirmed that distribution has already resumed to multiple districts—among them Badulla, Matale, Nuwara Eliya, Kegalle, Kalutara, Colombo, Gampaha, Kilinochchi, and Puttalam—via an integrated network of railway and road transport.

In addition, the Ministry of Health is overseeing direct delivery of supplements to targeted groups such as young children, expectant mothers, and breastfeeding women.

Despite rumours earlier this year that the company faced closure due to financial strain, the government insists it has turned the situation around. Dr Jayatissa stated that over the past nine months, coordinated intervention has transformed the facility into a profit-making venture, silencing critics who had questioned the company’s viability.

“Thanks to robust leadership and a commitment to accountability, we now have over 230 staff members working across a streamlined operation that has already contributed upwards of Rs. 300 million to the national Treasury,” the minister remarked.

Chairman Aththanayake noted that new products are also being introduced to expand the nutritional brand’s appeal, including a calorie-rich “Suposha Bar” available in multiple variants, including cupcakes. These new items are currently being sold at the flagship outlet in Ja-Ela, with nationwide availability to follow as part of the retail expansion drive.

Twelve-hour water disruption scheduled across parts of Gampaha District

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July 06, Colombo (LNW): Residents in numerous parts of Sri Lanka’s Gampaha District are set to experience a 12-hour interruption to their water supply on Monday (07), due to planned infrastructure maintenance.

The National Water Supply and Drainage Board (NWSDB) has issued a public notice confirming the suspension, which will take place between 8:30 a.m. and 8:30 p.m.

The temporary disruption will affect a wide stretch of areas, including the towns and suburbs under the jurisdiction of the Peliyagoda, Wattala, Ja-Ela, and Katunayake-Seeduwa Urban Councils.

Additionally, water services will be unavailable across several Pradeshiya Sabha regions, namely Kelaniya, Biyagama, Mahara, Dompe, Katana, Minuwangoda, and Gampaha.

According to the NWSDB, the shutdown is necessary to enable critical maintenance and upgrade work at the Sapugaskanda Grid Substation—an essential hub in the region’s utility infrastructure.

Over 300 detained in overnight security sweep across Western Sri Lanka

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July 06, Colombo (LNW): In an extensive overnight crackdown across several urban areas in western Sri Lanka, security forces apprehended more than 300 individuals suspected of engaging in criminal activity.

The coordinated operation, which unfolded on the night of July 04, targeted the localities of Kandana, Ja-Ela, Wattala, and Ragama—regions flagged in recent weeks due to an uptick in lawlessness and drug-related violence.

This large-scale effort was carried out under the supervision of the Ministry of Public Security and drew on combined manpower from the Sri Lanka Police, Special Task Force (STF), the Sri Lanka Army, and the Sri Lanka Navy.

Authorities described the mission as a strategic intervention in areas deemed high-risk due to escalating reports of gang activity, drug trafficking, and violent altercations.

Amongst those taken into custody were individuals allegedly connected to narcotics distribution networks, as well as several wanted in connection with prior offences ranging from theft to assault.

A cache of illicit substances and several unregistered motorcycles and weapons were also recovered during the sweep, according to preliminary reports.

Central Bank prolongs market ban on controversial Perpetual Treasuries

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July 06, Colombo (LNW): The Central Bank of Sri Lanka (CBSL) has prolonged its prohibition on Perpetual Treasuries Limited (PTL) from functioning as a Primary Dealer, extending the ban for a further six months beginning at 4.30 p.m. on July 05, 2025.

This latest decision, made public through an official announcement, comes under the purview of the Registered Stock and Securities Ordinance alongside the Local Treasury Bills Ordinance—two key legislative frameworks that govern market operations in the island nation.

According to the CBSL, this extension will provide additional time to pursue ongoing investigative efforts into PTL’s financial dealings.

PTL has remained at the centre of scrutiny since its suspension in 2017 following serious allegations tied to a high-profile government bond issuance scandal that rocked Sri Lanka’s financial and political spheres.

The firm, which once held a prominent position in the country’s government securities market, has seen its reputation diminished as details of the alleged misconduct came to light.

Several spells of showers to occur across island (Jul 06)

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July 06, Colombo (LNW): Several spells of showers will occur in the Western, Sabaragamuwa and North-western provinces and in Nuwara-Eliya, Kandy, Galle and Matara districts, the Department of Meteorology said in its daily weather forecast today (06).

Showers or thundershowers may occur at a few places in the Uva province and in Ampara and Batticaloa districts during the afternoon or night.

Fairly strong winds of about (35-45) kmph can be expected at times over Western slopes of the central hills and in Northern, North-central and North-western provinces and in Trincomalee and Hambantota districts.

The 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 will occur at several places in the sea areas off the coast extending from Puttalam to Matara via Colombo and Galle.

Winds:
Winds will be Westerly to South-westerly and wind speed will be (30-40) kmph.

Wind speed can increase up to (55-60) kmph at times in the sea areas off the coast extending from Chilaw to Kankasanthurai via Mannar and from Matara to Pottuvil via Hambantota.

Wind speed can increase up to (45-50) kmph at times in the sea areas off the coast extending from Chilaw to Matara via Colombo and Galle and from Kankasanthurai to Trincomalee via Mullaittivu.

State of Sea:
The sea areas off the coast extending from Chilaw to Kankasanthurai via Mannar and from Matara to Pottuvil via Hambantota will be very rough at times. The sea areas off the coast extending from Chilaw to Matara via Colombo and Galle and from Kankasanthurai to Trincomalee via Mullaittivu may be fairly rough at times.

The wave height (about 2.0–2.5 m) may increase in the sea areas off the coast extending from Puttalam to Pottuvil via Colombo, Galle and Hambantota (this is not for land area).

Naval and fishing communities are requested to be vigilant in this regard.