By: Staff Writer

June 30, Colombo (LNW):The Advocata Institute has called on the Sri Lankan government to withdraw and redraft the proposed Gambling Regulatory Authority Bill, warning that the current version threatens the integrity and credibility of the gambling sector due to excessive control vested in the Minister of Finance.

According to Advocata Research Consultant Sudaraka Ariyaratne, the draft law fails to establish a truly independent regulatory body, a key principle in maintaining transparency and preventing political interference. “In its current form, the Bill does not create a regulator; it creates a proxy,” he said, noting that the proposed framework grants unchecked powers to the Minister, who would control the appointment of the Director General and board members, issue binding directives, and formulate regulations unilaterally.

Such centralized authority undermines international regulatory best practices, which emphasize impartiality, consistency, and separation from political influence. Advocata recommends that board appointments be subject to Constitutional Council approval, that the Director General be selected through a competitive process, and that regulatory power rest with the Authority itself—similar to models like Sri Lanka’s Securities and Exchange Commission.

Beyond the issue of independence, Advocata has also identified several other policy flaws in the Bill. One key concern is the lack of representation from the tourism sector, despite the close ties between gaming and tourism. The Bill fails to include the Sri Lanka Tourism Development Authority (SLTDA) as an ex-officio member and does not consider hospitality experience as a qualification for board appointments.

The draft also exempts the National and Development Lotteries Boards from regulatory oversight, even though lotteries are widely recognized as a form of gambling. This loophole leaves state-run lotteries unregulated, raising concerns over financial mismanagement and consumer protection.

Another major oversight is the absence of provisions for regulating online gambling. The Bill does not address online platforms or require user registration, nor does it consider how to manage cross-border gambling sites that often partner with local sporting bodies. Advocata stresses the need for clear rules to monitor digital platforms and minimize harm to consumers.

Additionally, the current draft lacks effective mechanisms to trace revenues or enforce taxation, raising fears of underreporting and significant revenue leakage. Penalties for violations are also deemed too weak, with fines as low as Rs. 100,000 and limited imprisonment terms—far too lenient for an industry valued in billions.

While Advocata acknowledges the importance of establishing a regulatory authority, it insists that the legislation must be fundamentally revised. The institute is calling for broad public consultation and expert input to ensure the final Bill promotes a credible, independent, and modern regulatory regime that serves both the industry and the public interest.

By: Staff Writer

June 30, Colombo (LNW):Sri Lanka has lost a rare opportunity to advance its marine research and bolster long-term food security, following bureaucratic delays and indecisive political coordination that led to the cancellation of a high-level UN-supported marine expedition.

The UN-flagged research vessel Dr. Fridtjof Nansen, operated by the Food and Agriculture Organization (FAO), was scheduled to carry out a major marine ecosystem study in Sri Lankan waters between July 15 and August 20. However, the mission was aborted due to delays in granting official clearance, and the vessel was redeployed to Madagascar, which responded more swiftly, UN sources confirmed.

Originally proposed by the Ministry of Fisheries in 2023, the initiative had received initial clearance from the ministry itself. But this approval was later withdrawn after intervention by the Ministry of Foreign Affairs (MFA), which insisted that no permissions would be issued for foreign research vessels until a new Standard Operating Procedure (SOP) was finalized. A committee chaired by Foreign Minister Vijitha Herath was tasked with developing this SOP.

President Ranil Wickremesinghe later intervened, consulting the National Security Council and instructing the Fisheries Ministry to grant clearance. However, by the time the decision reached the relevant authorities, it was too late for the vessel to proceed with its Sri Lanka mission.

The UN Resident Coordinator’s Office had formally written to the MFA on June 12, urgently seeking permission to proceed based on the original government request. The letter also offered to provide further information in an urgent meeting. Despite this, only verbal confirmation was given on June 23—over ten days later—rendering the mission unviable.

This cancellation represents a significant scientific and economic loss. The FAO conducts such research missions only every six to ten years, with the previous visit to Sri Lanka occurring in 2018. The UN Resident Coordinator’s Office expressed deep concern in a letter to the MFA, noting that the mission’s cancellation would result in direct losses of over USD 1 million and undermine crucial climate resilience programs supported by the Green Climate Fund, which relied on the data expected from the F. Nansen expedition.

The mission would have involved collaboration between FAO experts, Sri Lankan scientists from the National Aquatic Resources Research and Development Agency (NARA), and Sri Lanka Navy officers, all working under strict national regulations. The FAO also clarified that all data would have been published only with prior government approval.

A letter dated May 19, 2025, from the Ministry of Fisheries formally cancelled the vessel’s visit, citing the pending SOP development—a delay that now pushes any future mission possibility to beyond 2030.

By: Staff Writer

June 30, Colombo (LNW): As geopolitical tensions in the Middle East flare up once again—this time triggered by the intensifying conflict between Iran and Israel—global oil markets are facing renewed volatility. Oil prices have already spiked amid fears that the crisis could escalate, especially with reports of the United States considering military action on Iranian nuclear facilities in Fordow. At the heart of these fears lies the potential disruption of the Strait of Hormuz, a strategic chokepoint for the global oil trade.

Roughly 20 million barrels per day of oil and petroleum products—around 20% of the world’s petroleum liquid consumption—pass through the Strait of Hormuz. While Saudi Arabia and the UAE maintain limited alternative pipeline routes, any closure of this strait could severely disrupt global energy supplies, as the majority of regional oil exports—including spare capacity from major producers—must pass through this narrow waterway.

Despite the global uncertainty, Sri Lanka’s government has moved quickly to allay public fears over a possible domestic fuel shortage. Ceylon Petroleum Corporation (CPC) Chairman D. J. Rajakaruna stated on Sunday that the country has already secured sufficient fuel supplies for the next two months, insulating the island nation from any immediate impact of the Middle East crisis.

“We have ordered fuel for two more months without any problems. Those orders have been confirmed,” Rajakaruna said, assuring that there will be no immediate shortage regardless of developments in the conflict. He added, however, that the situation beyond this two-month period remains contingent on the global impact of the ongoing war.

Importantly, the CPC emphasized that most of Sri Lanka’s petrol and diesel supplies are sourced from countries not directly involved in the conflict. The majority of 92-octane petrol shipments come from Malaysia, Singapore, and India, with only one recent shipment sourced from Oman. Diesel, meanwhile, is imported as a finished product and similarly avoids war-affected zones.

Rajakaruna further issued a stern warning against individuals or groups attempting to hoard fuel amidst the current uncertainty. Legal action, he said, will be taken against anyone found accumulating illegal fuel reserves, as such actions only add unnecessary pressure to the domestic market.

In tandem with supply-side assurances, the Sri Lankan government has also taken steps to ensure order at the consumer level. Acting Inspector General of Police Priyantha Weerasuriya has instructed all Senior Deputy Inspector Generals (DIGs) to assign police officers to monitor fuel stations across the country. This follows a formal request from Energy Ministry Secretary Professor Udayanga Hemapala, who expressed concern over rising tensions at filling stations.

Professor Hemapala noted that the public has been explicitly advised not to fill barrels or cans with fuel, a practice that could exacerbate public fears and lead to potential unrest. To mitigate risks, the police have now been directed to provide security at Sri Lanka’s 1,300 fuel stations to maintain stability and enforce regulations.

While Sri Lanka’s immediate fuel needs appear safeguarded, the broader uncertainty in the Middle East presents a looming risk. If the Strait of Hormuz were to be blocked or heavily militarized, even countries like Sri Lanka—who source fuel from outside the Gulf—could face secondary impacts, such as supply chain disruptions and price hikes.

For now, government officials remain confident in the country’s short-term energy security. However, with tensions mounting in one of the world’s most volatile regions, continued vigilance, strategic procurement, and public cooperation will be crucial to weathering any shocks that may emerge from the unfolding Iran-Israel conflict.

June 30, Colombo (LNW): Consumer price inflation in Colombo showed a marginal uptick in June 2025, with figures revealing a slight easing of the deflationary trend that has characterised recent months.

According to the latest report from Sri Lanka’s Department of Census and Statistics, the year-on-year inflation rate stood at -0.6 per cent for June, up from -0.7 per cent in May.

The Colombo Consumer Price Index (CCPI), which serves as a key benchmark for gauging inflation, reached 194.5 points in June, marking an increase of 1.7 points from May’s figure of 192.8.

This rise in the index indicates a mild shift in the cost of living for urban households, though the overall inflation rate remains in negative territory.

Breaking down the figures, the annual inflation rate for food items slowed to 4.3 per cent in June, down from 5.2 per cent in the previous month.

This moderation suggests that prices of essential foodstuffs may be stabilising after recent fluctuations. In contrast, the non-food category saw its deflation ease to -2.8 per cent from -3.3 per cent in May, pointing to a slight recovery in that sector.

Food prices continued to play a central role in influencing overall inflation trends, contributing approximately 1.37 percentage points to the year-on-year rate for June.