Home Blog Page 249

Sri Lanka’s Passport Slides Further in Global Mobility Rankings

0

October 16, Colombo (LNW): Sri Lanka’s position on the global travel stage has weakened further, with the country’s passport dropping to 98th place in the 2025 Henley Passport Index—two places lower than its previous ranking. This decline highlights the continuing constraints Sri Lankan citizens face in terms of international mobility.

According to the latest update of the index, holders of a Sri Lankan passport now have visa-free or visa-on-arrival access to only 41 countries. This limited access places Sri Lanka among the lower tier of passports worldwide, underscoring ongoing diplomatic and policy challenges affecting travel freedoms.

The Henley Passport Index, a widely recognised global ranking of passport power, assesses 199 passports based on their access to 227 international destinations. It is used as a key reference for understanding the relative ease—or difficulty—of global travel for citizens of different countries.

In stark contrast, Singapore has once again claimed the top spot in the 2025 rankings, with its passport offering visa-free entry to an impressive 193 destinations. South Korea follows closely in second place with 190 countries, while Japan sits in third, granting access to 189 destinations without prior visa requirements.

UNP Appoints Committee to Initiate Talks with SJB

0

October 16, Colombo (LNW): The United National Party (UNP) has taken steps to open formal dialogue with the Samagi Jana Balawegaya (SJB) by appointing a three-member committee tasked with initiating discussions between the two parties.

The committee is composed of senior UNP figures: Deputy Leader Ruwan Wijewardene, General Secretary Thalatha Atukorale, and President’s Counsel Ronald C. Perera, reflecting the party’s intent to engage at a high level.

In a statement accompanying the announcement, the UNP reaffirmed its longstanding position that all democratic parties must set aside differences and unite in defence of the country’s multi-party system.

Calls Grow for Tax Reform in Sri Lanka as Report Links Revenue Shortfalls to Declining Public Services

0

October 16, Colombo (LNW): A new report has raised serious concerns about Sri Lanka’s taxation system, arguing that decades of low revenue collection and preferential treatment for businesses and the wealthy have undermined vital public services and contributed to the country’s economic collapse in 2022.

The study highlights how successive policy choices, stretching back several decades, have eroded state capacity—particularly in education—while disproportionately burdening lower-income citizens.

The 101-page report, published by Human Rights Watch, draws a sharp connection between the island’s long-standing fiscal choices and the erosion of its social infrastructure. It contends that Sri Lanka’s tax system, shaped by waves of deregulation and generous exemptions, has failed to generate the necessary revenue to sustain equitable development.

While GDP figures have often painted a picture of growth, public investment—especially in education—has been allowed to stagnate, leaving behind a legacy of inequality and missed opportunity.

One of the central arguments of the report is that a narrow tax base, skewed in favour of indirect taxes such as VAT and other consumption levies, has placed a heavier burden on the country’s poorest communities. It notes that in recent years, nearly 80 percent of all tax revenue has come from goods and services, while collections from personal income and wealth remain strikingly low.

As a result, citizens with the fewest means are paying a disproportionately high share of national taxes.

At the same time, vast corporate tax exemptions—often granted without transparency—have continued to drain state finances. In 2022 alone, these exemptions were estimated to cost the equivalent of over half of the government’s total revenue, nearly triple what was allocated to education that year.

The study paints a stark picture of the toll these policies have taken on Sri Lanka’s education system. Once a leader in the developing world for access to free education, the country has seen its public education spending drop from between 3 to 5 percent of GDP in the decades following independence to just 1.5 percent in 2022—now among the lowest in the world. This has led to public schools increasingly charging fees for basic materials and resources, compounding financial pressure on low-income families.

Field interviews included in the report detail the lived reality of these pressures. One woman, a domestic worker in the central hill country, spoke of earning a modest income of around Rs.14,000 a month while struggling to pay monthly school fees and tuition expenses for her two children.

“When teachers ask for books or school supplies, I often cannot provide them,” she said, noting that the economic strain has even affected her ability to provide nutritious meals for her children.

Sri Lanka’s recent history of economic mismanagement came to a head in April 2022, when the country defaulted on its foreign debt for the first time. The default triggered widespread hardship, fuel shortages, and a spike in the cost of living. Although a bailout package from the International Monetary Fund was secured in 2023, the government continues to dedicate a large share of its revenue—over half in 2024—to debt servicing, leaving limited fiscal room for investment in public welfare.

In January 2025, the National People’s Power (NPP) coalition led by President Anura Kumara Dissanayake came to power on a promise to overhaul the economy, reduce inequality, and re-invest in public services. Since then, some modest steps have been taken, including the introduction of a bursary for families with school-aged children. However, education spending remains well below international targets, and structural reforms have only just begun.

The report urges the government to take bolder action, including phasing out costly and ineffective corporate tax holidays, enhancing tax administration capacity, and introducing more progressive tax instruments such as a wealth tax. These measures, it argues, are essential not just for economic stability but to meet Sri Lanka’s obligations under international human rights law, which requires states to use their resources to progressively realise rights to education, health, and a decent standard of living.

The findings also resonate more broadly, reflecting challenges faced by many low- and middle-income countries in a global tax environment that encourages competition for foreign investment at the expense of social development. The report supports ongoing efforts to create a new international tax agreement under the United Nations framework, which would aim to promote fairer and more transparent tax practices across borders.

Human Rights Watch concludes that economic growth alone is not a sufficient condition for social progress. Without a fair and effective tax system, it warns, governments risk deepening inequality and undermining the very rights they are bound to uphold.

IPS Urges Sri Lanka to Convert Recovery Into Sustained Growth

0

October 16, Colombo (LNW): Sri Lanka’s economic recovery is showing encouraging signs of resilience, with stronger-than-expected GDP growth of 4.9 per cent recorded in the first half of 2025. This rebound, supported by improving macroeconomic conditions and a more stable policy environment, is fuelling optimism. Yet, questions remain about the long-term sustainability of this momentum and the structural reforms needed to support it.

The Institute of Policy Studies (IPS), in its flagship publication Sri Lanka: State of the Economy 2025, explores this critical juncture in the country’s post-crisis path, highlighting how gains in productivity and economic efficiency will be essential to transforming the current cyclical upswing into durable, broad-based growth.

While sound monetary and fiscal policies have provided much-needed stability, deeper reforms—particularly in land use, labour regulations, and market access—are seen as central to unlocking further economic potential. However, implementing such changes is politically sensitive and often constrained by short-term socio-economic demands, especially in a nation still grappling with the aftershocks of a financial crisis.

Against this backdrop, the IPS report identifies technology and digital transformation as pivotal in accelerating productivity improvements across sectors. Although national computer literacy remains relatively low at 39 per cent, with stark inequalities such as a 17.9 per cent rate in estate communities, the potential for digital technologies to drive inclusive development is considerable.

Digitalisation offers practical, cost-effective pathways to bridge service gaps in education, health, agriculture, and transport. For example, expanding internet access and digital tools in underserved schools could help reduce disparities in learning outcomes. Encouragingly, nearly 42 per cent of Sri Lanka’s lowest-income earners already use digital payments—an indication that digital adoption is growing at the grassroots level.

This trend opens up opportunities to enhance the country’s e-commerce landscape, modernise public services, and extend critical support to farmers through scalable digital extension services. Moreover, improving digital infrastructure can help Sri Lankan exporters adapt to global regulatory shifts, such as traceability requirements and supply chain transparency, thereby improving competitiveness.

Ultimately, the IPS underscores that while policy reform remains a complex and gradual process, embracing digital innovation can deliver measurable gains in the near term. With the right investments in infrastructure, digital literacy, and regulatory support, Sri Lanka can lay the foundation for a more resilient, inclusive, and future-ready economy.

Adverse Weather Impacts Over 100 Families Across Four Districts

0

October 16, Colombo (LNW): More than 100 families have been affected by severe weather conditions currently sweeping across several parts of Sri Lanka, with flash floods and strong winds disrupting daily life in multiple regions.

According to the latest situation report from the Disaster Management Centre (DMC), a total of 368 individuals from the districts of Colombo, Kalutara, Galle, and Hambantota have been directly impacted.

In addition to the displacement and disruptions caused, at least 17 homes have sustained partial damage due to the prevailing conditions.

The Department of Meteorology has warned that the unstable weather pattern is expected to continue throughout the day. Widespread showers or thundershowers are forecast to develop after 1.00 p.m. across most areas of the island.

Notably heavy rainfall — exceeding 100 mm — is anticipated in parts of the Western, Sabaragamuwa, Central, Southern, Uva, and North-Western provinces.

Morning showers are also likely in the Western, Southern, and Northern provinces, as well as in the Ampara district, adding to the challenges faced by communities already grappling with the effects of the weather.

Authorities have urged the public to exercise caution, particularly during periods of heavy rainfall and thunderstorms. The DMC has advised taking preventive measures to reduce the risk of injury and property damage caused by temporary strong winds, lightning strikes, and sudden flooding.

New Self-Rehabilitation Centre for Drug Recovery Opens in Polonnaruwa

0

October 16, Colombo (LNW): A dedicated facility aimed at supporting individuals battling drug addiction has officially opened its doors today (16) at the Senapura Rehabilitation Centre in Polonnaruwa.

The new initiative is designed to provide a structured environment for those who voluntarily seek help to overcome substance dependency.

Commissioner General of Rehabilitation Shiran Amit announced that individuals interested in entering the programme can register by contacting 076 96 277 61. The facility will cater specifically to those opting for self-rehabilitation, offering a supportive and non-judgemental setting for recovery.

This move stems from the national strategy to address the growing demand for addiction treatment services, as more individuals across Sri Lanka actively seek pathways to recovery. According to the Bureau of Rehabilitation, approximately 600 people are currently receiving treatment across the country’s three operational centres, a number that continues to rise.

U.S. Maintains Travel Advisory for Sri Lanka Amid Routine Review

0

October 16, Colombo (LNW): The United States Department of State has confirmed that its travel advisory status for Sri Lanka remains unchanged, following a routine update issued on October 09.

The country continues to be listed under Level 2: Exercise Increased Caution, a categorisation that encourages travellers to remain alert but does not suggest an elevated threat.

U.S. Ambassador to Sri Lanka, Julie Chung, addressed public speculation surrounding the update, clarifying that no adjustments have been made to the advisory level itself.

In a message shared via social media, she explained that the Department of State conducts regular assessments of global travel advisories to ensure U.S. citizens have up-to-date information when making travel plans.

Colombo Dockyard Reshapes Rights Issue Structure Ahead of Shareholder Vote

0

October 16, Colombo (LNW): Colombo Dockyard PLC has confirmed its intention to move forward with its previously announced rights issue valued at Rs. 12.93 billion, though the company has introduced key revisions to the transaction’s structure ahead of seeking shareholder approval.

In a disclosure made to the Colombo Stock Exchange, the shipbuilding and repair company clarified that its principal shareholder, Japan-based Onomichi Dockyard Company Limited, will no longer assign its rights entitlement to India’s Mazagon Dock Shipbuilders Limited, contrary to the original proposal.

Instead, Onomichi has opted to abstain from subscribing to its portion of the rights issue. As a result, the voting shares arising from that entitlement will now be directly allocated to Mazagon Dock Shipbuilders, provided that shareholders pass a special resolution approving the arrangement.

Colombo Dockyard further noted that these specific shares will be set aside solely for Mazagon and will not be redistributed among other shareholders who apply for excess shares.

The company’s board gave its formal approval for this revised structure on October 01, indicating a strategic shift in the capital-raising process.

Originally unveiled in July 2025, the rights issue was designed to offer approximately 323.4 million new ordinary voting shares at a price of Rs. 40 per share. The proposed share offering was structured on a basis of nine new shares for every two shares currently held, with the primary aim of bolstering the company’s working capital and addressing liquidity constraints.

The initiative faced a temporary setback in August when it was postponed due to what the company described as “unavoidable circumstances.” However, with the revised terms now in place, Colombo Dockyard appears prepared to proceed, contingent on shareholder endorsement.

Expert Panel Appointed to Overhaul Academic Programmes at UNIVOTEC

0

October 16, Colombo (LNW): A six-member committee of specialists has been formally appointed to evaluate and enhance the academic programmes offered by the University of Vocational Technology (UNIVOTEC) in Ratmalana.

The initiative, led by the Ministry of Education, Higher Education, and Vocational Education, is aimed at raising the university’s academic standards to better align with both national priorities and global benchmarks.

The expert panel has been commissioned to submit a comprehensive set of recommendations to the Minister, focusing on improving the quality, relevance, and international competitiveness of UNIVOTEC’s course offerings. The appointments were made by the Secretary to the Ministry, Mr Nalaka Kaluwewa, as part of a broader effort to reform vocational and technical education in the country.

Heading the committee is Dr Janaka Jayalath, a seasoned academic and current member of the Ministry’s Advisory Board. He will be joined by Prof Thushara Chaminda from the Faculty of Engineering at the University of Ruhuna, and Prof J.C.N. Rajendra, a member of UNIVOTEC’s governing council.

The panel also includes Dr K.A. Lalithatheera, Director General of the Tertiary and Vocational Education Commission, as well as Eng. S.B. Anura Deshapriya Semasinghe, CEO of Central Engineering Services (Private) Ltd., who brings international industry experience from both Sri Lanka and Abu Dhabi. Serving as convener is Himali W.K. Athaudage, Additional Secretary of the Ministry’s Vocational Education Division.

The committee is expected to deliver strategic guidance on curriculum development, accreditation, industry linkages, and capacity building, with the ultimate goal of ensuring that UNIVOTEC’s academic pathways are competitive, responsive to labour market needs, and recognised internationally.

Hulftsdorp Court Killing: Deported ‘Ishara Sewwandi’ Handed Over to CCD

0

October 16, Colombo (LNW): A key female suspect linked to the assassination of notorious underworld figure Sanjeewa Kumara Samararatne, better known by his alias ‘Ganemulla Sanjeewa’, has been brought back to Sri Lanka following her arrest in Nepal earlier this week.

Latest developments on the story suggest that the suspect, 25-year-old Pingpura Dewage Ishara Sewwandi, arrived at Bandaranaike International Airport last evening at approximately 6.54 p.m., accompanied by five others, has been handed over to the Colombo Crimes Division (CCD).

All six individuals were apprehended in Nepal on October 14 during a joint operation conducted by the Criminal Investigation Department (CID) and the Nepal Police. Among those arrested is reportedly a close associate of ‘Kehelbaddara Padme’, an underworld figure currently in Sri Lankan police custody.

Two specially assigned officers from the Special Task Force had travelled to Nepal in recent days to assist the CID in overseeing the transfer of the suspects back to Sri Lanka. Upon their return, the group was immediately taken into the custody of the Colombo Crimes Division for further questioning and legal proceedings.

The murder in question occurred on February 19, 2025 inside courtroom No. 05 of the Hulftsdorp Magistrate’s Court complex, where ‘Ganemulla Sanjeewa’ was shot dead in a brazen attack that stunned the legal community and public alike. Investigators believe Ishara Sewwandi played a supporting role in the killing, allegedly aiding the gunman who carried out the fatal shooting.

Following the attack, Sewwandi managed to evade capture and remained a fugitive for nearly eight months. Authorities had struggled to track her movements until a breakthrough came last month, when interrogations of several high-profile detainees—including ‘Kehelbaddara Padme’ and others arrested in Jakarta—revealed that she had escaped the country shortly after the shooting.

Law enforcement officials have described her arrest and extradition as a major development in the case, which has shed light on deeper networks within Sri Lanka’s criminal underworld. The suspects are now expected to face extensive interrogation, with further arrests and legal action likely as investigations unfold.