The Sri Lankan economy has displayed clear signs of recovery in 2024, with notable growth in real Gross Domestic Product (GDP) during the first half of the year, higher tax revenues, lower inflation, and increased foreign currency reserves.
The Sri Lankan rupee strengthened, recording an overall appreciation of 8.2percent up to the end September 2024, finance ministry sources said .
The reforms implemented under the Extended Fund Facility arrangement of the International Monetary Fund (IMFEFF) supported the economic recovery benefiting the living conditions ofthe people.
Maintaining macro stability and restoring debt sustainability has been a cornerstone for improving fiscal operations in 2025 and beyond to reach medium term primary balance target of 2.3 percent of GDP by end 2025
Government revenue, including grants, rose by 40.5% (or Rs. 739.3 billion) in the first eight months of 2024 compared to the same period in 2023, driven largely by a 41.4% increase in tax revenue.
Tax revenue from goods and services, which constitute 60.5% of the total tax revenue, surged by 59.8% (Rs. 531.9 billion), totaling Rs. 1,421.3 billion by August 2024, up from Rs. 889.5 billion in the previous year.
The increase is partly attributable to Sri Lanka’s commitment under the IMF’s Extended Fund Facility (EFF), which aims to raise tax revenue to 15.1% of GDP by 2025.
Despite these gains, the country still faces challenges due to its persistent tax gap, which is the difference between potential and actual tax collections, finance ministry claimed .
This gap is caused by outdated tax policies, weak enforcement, and a lack of data necessary for evaluating tax performance accurately.
To address these issues, the Ministry of Finance acknowledges the importance of conducting a comprehensive tax gap analysis to refine tax policies and enforcement, focusing on personal income tax, corporate income tax, and value-added tax (VAT).
Revenue from income taxes grew by 16.3% to Rs. 624.7 billion during the first eight months of 2024, largely driven by changes in tax policies and improved administration.
Personal and corporate income taxes also saw a 16.3% rise compared to the same period in 2023, with revenue from the Advance Personal Income Tax (APIT) increasing by 32.6% to Rs. 31.7 billion.
These improvements reflect a combination of better enforcement measures, including mandatory electronic tax filing and enhanced information-sharing between financial institutions and the Inland Revenue Department.
October 25, Colombo (LNW): The Australian Government has donated a Royal Australian Air Force Beechcraft King Air 350 surveillance aircraft to the Sri Lanka Air Force (SLAF) on a gratis basis. This aircraft will bolster SLAF’s maritime surveillance and reconnaissance capabilities, supporting Sri Lanka’s efforts to ensure a peaceful and secure Indian Ocean region.
The SLAF noted that this donation highlights the strong partnership between Australia and Sri Lanka, reinforcing their shared commitment to combating human smuggling and enhancing regional stability.
October 25, Colombo (LNW): The Supreme Court has scheduled the hearing of the Fundamental Rights (FR) petition, which seeks to prevent the release of the 2024 Grade 05 Scholarship Examination results and cut-off marks, for November 18. The petitioners, who are parents of students who took the exam on September 15, 2024, allege that certain questions from Paper 01 were leaked and have requested the court to invalidate the paper and order a re-examination.
The case was taken up before Supreme Court Justice Arjuna Obeysekera yesterday (24). The court has instructed the respondents to submit their objections by November 5, with any additional objections to be filed by November 12. The court will review the facts of the case during the next hearing on November 18.
The petition aims to address concerns over the integrity of the exam process following the alleged leak.
President Anura Kumara Dissanayake has stated that the government has taken all necessary measures in response to recent intelligence reports and assures the security of all citizens. The President made these remarks while addressing a public meeting held in Puttalam
Public Security Minister Vijitha Herath says that the travel advisories issued by several foreign countries for Sri Lanka could be lifted within the next two to three days.Minister Herath stated this during a special press conference held in Colombo, to brief on the steps taken following information received on possible attacks targeting foreign tourists in Sri Lanka.
The Ceylon Electricity Board (CEB) said it submitted a proposal to the Public Utilities Commission of Sri Lanka (PUCSL) to reduce electricity tariffs. According to the CEB, the proposal has been formulated based on the current pricing formula. The PUCSL will review the proposal and, upon approval, will announce the percentage reductions in electricity tariffs.
Samagi Jana Balawegaya (SJB) Leader Sajith Premadasa has criticized the current government’s inability to control the rising cost of living. He emphasized that the government’s mismanagement of economic policies has led to shortages of food and other essential items, making it difficult for the public to afford basic necessities.
Prime Minister Harini Amarasuriya engaged in a discussion with the heads of Sri Lanka’s defence forces at the Prime Minister’s Office in Colombo today. Chief of Defense Staff, General Shavendra Silva, Commander of the Army, Lieutenant General Vikum Liyanage, and Commander of the Navy Vice Admiral Priyantha Perera participated in the meeting.
The Supreme Court has ordered for the Fundamental Rights (FR) petition filed seeking an order preventing the release of the 2024 Grade 05 Scholarship Examination results and the cut-off marks, to be taken up for consideration on November 18. The petitioners have requested the Supreme Court through their FR petition that an order be issued invalidating question paper 01 of the 2024 Grade 05 Scholarship Examination of which certain questions are alleged to have been leaked, and that the exam be held again.
The National Election Commission has announced the finger-marking process of voters at the upcoming 2024 General Election. Issuing a statement, the Election Commission said that the Index finger on the left hand will be marked for the Parliamentary Election.
High Court Judge Sujeewa Nishshanka is set to issue a ruling on the 29th of November on whether or not to release two defendants without calling for evidence from the plaintiff, namely Former Health Minister Rajitha Senaratne and Former Chairman of the State Pharmaceutical Corporation Mohammad Tasim Mohammad Rumi.
The Australian Government provided a Royal Australian Air Force surveillance aircraft, Beechcraft King Air 350, to the Sri Lanka Air Force (SLAF) on a gratis basis. The aircraft will expand SLAF’s aerial maritime surveillance and reconnaissance capabilities and contribute to Sri Lanka’s ongoing efforts in maintaining a peaceful and secure Indian Ocean region.
Reshan Algama, who made a stunning comeback to claim victory by four strokes at the PRIMA Sunrise Bread Hambantota Regional Junior Golf Championship, propelled him to the top of Sri Lanka’s amateur golf rankings. The 16-year-old climbed an impressive 75 places in the World Amateur Golf Ranking (WAGR) to become Sri Lanka’s highest-ranked golfer, now positioned at 535th in the world. Reshan Algama has had an outstanding year in junior golf, displaying his talent in multiple tournaments.
October 25, Colombo (LNW): India’s Prime Minister Narendra Modi expressed his gratitude to the scholars and monks in Colombo for participating in the celebration organized by the Indian High Commission in Colombo to mark the Indian Government’s recognition of Pali as a Classical Language. In a post on ‘X’ (formerly Twitter), Modi shared his appreciation, saying, “Glad that the Indian Government’s decision of conferring Classical Language status on Pali has ignited a spirit of joy among those who believe in the thoughts of Bhagwan Buddha. Grateful to the scholars and monks from different nations who took part in this programme in Colombo.”
The celebration, held on Wednesday (23) at the Swami Vivekananda Cultural Centre (SVCC), the cultural arm of the Indian High Commission, featured a panel discussion on “Pali as a Classical Language.” India’s Deputy High Commissioner, Dr. Satyanjal Pandey, attended the event, with Ranjith Ariyaratne, Secretary to the Ministry of Buddha Sasana, Religious and Cultural Affairs, National Integration, Social Security, and Mass Media, serving as the Chief Guest. Dr. Ven. Kirinde Assaji Thera, Chief Incumbent of the Gangaramaya Temple, delivered the inaugural address, followed by a panel discussion involving prominent scholars.
The panel included experts such as Prof. Anand Singh from the Central University of South Bihar, Bodhgaya (via video presentation), and several renowned Sri Lankan scholars: Ven. Prof. Miriswaththe Wimalagnana Thera, Ven. Prof. Gonadeniye Pannarathana Thera, Ven. Dr. Deniyaye Pannaloka Buddharakkitha Thera, and Ven. Dr. M. Sugathasiri Thera. The Sri Lankan scholars praised the Indian Government’s decision, emphasizing it as a significant milestone in India’s commitment to preserving and promoting Buddhist heritage and culture.
October 25, Colombo (LNW): The Election Commission (EC) has issued a statement regarding the finger marking process for the upcoming Parliamentary Election on November 14. EC Chairman R. M. A. L. Rathnayake announced that voters will have their left index finger marked, instead of the usual left little finger, during the 2024 Parliamentary Election.
For voters who do not have a left index finger, the marking will be done on the thumb or any other finger on the right hand. This adjustment, made under Section 38(3)(b) of the Parliamentary Elections Act 1 of 1981, aims to prevent confusion, as the left little finger was already marked for the 2024 Presidential Election. Additionally, the left thumb will be used for marking at the Elpitiya Pradeshiya Sabha Election, scheduled for tomorrow (26).
In related news, Elections Commissioner General Saman Sri Ratnayake stated that the expenditure reports of the candidates who ran for the 2024 Presidential Election have been made public as of yesterday (24). The income and expenditure reports of the 35 candidates who submitted them on time will be available for public viewing at all District Secretariat offices nationwide.
October 25, Colombo (LNW): Showers or thundershowers will occur at times in Western, Sabaragamuwa, North-western and Northern provinces and in Galle and Matara districts. Fairly heavy showers above 75 mm are likely at some places in Puttalam, Mannar, Jaffna and Kilinochchi districts.
Showers or thundershowers will occur at several places in the other areas of the island during the evening or night.
Strong winds about (40-45)kmph can be expected at times over Northern, North-central and North-western provinces and in Trincomalee and Hambantota districts.
The general public is kindly requested to take adequate precautions to minimize damages caused by temporary localized strong winds and lightning during thundershowers.
October 24, Colombo (LNW): Hela Apparel Holdings PLC, a Sri Lanka-based publicly-listed fashion conglomerate, has announced a long-term exclusive partnership with Authentic Brands Group to design, manufacture, and sell Reebok-branded outerwear in the UK and Europe.
This collaboration is a significant step for Hela Group, as it combines their expertise in design, manufacturing, and distribution with Reebok’s iconic style, aiming to provide high-quality, performance-driven outerwear that meets modern consumer demands.
This partnership will enhance Hela’s presence in the athleisure and activewear sectors while paving the way for future licensing agreements with other global brands.
Focus Brands, Hela Group’s brand licensing division, will act as the exclusive brand management partner for Reebok’s outerwear category in the UK and Europe.
The product lineup will feature outdoor jackets, soft shells, bonded fleeces, and padded jackets for men, women, and children, available through specialty retailers, department stores, and e-commerce platforms across the region.
Ray Evans, CEO of Focus Brands, expressed enthusiasm for the partnership, emphasizing the potential to enhance Reebok’s offerings by leveraging their innovative design capabilities alongside Hela’s manufacturing strengths.
He stated, “We are excited about this strategic collaboration with Reebok in the outerwear category and look forward to delivering high-quality, cutting-edge products that resonate with evolving consumer demands across the UK and Europe.”
This partnership also solidifies Focus Brands’ existing relationship with Authentic Brands Group, reinforcing Hela Group’s position as a key player in the global apparel market.
For Reebok, known for its sports and fitness heritage, this collaboration presents an opportunity to refresh its outerwear line with innovative designs tailored to consumer preferences.
Yohan Lawrence, Secretary General of the Joint Apparel Association Forum (JAAF), noted that this partnership signifies a new chapter for Hela, highlighting innovation and collaboration as central to its growth. He remarked, “This partnership with Reebok marks a pivotal moment, not just for Hela, but for Sri Lanka’s apparel industry as a whole.
It demonstrates our ability to deliver world-class products that meet the dynamic needs of global consumers, reinforcing our position as a leader in sustainable and innovative manufacturing.”
Hela’s recent acquisition of Focus Brands has allowed the Group to connect more closely with end consumers while creating synergies between its manufacturing and brand licensing divisions.
This strategy fosters seamless collaboration, resulting in technically advanced and visually appealing products that showcase Hela’s capabilities as a globally recognized fashion conglomerate.
October 24, Colombo (LNW): Sri Lanka’s tax landscape is undergoing a significant transformation with the introduction of the Tax Identification Number (TIN) and accompanying policy changes, said a senior official of the Inland Revenue Department,.
“Earlier, it had different categories of tax numbers, and they were subject to changes with time. For example, there was region-based tax number issuance; sometimes, tax numbers were issued based on the trade in which people were involved.
With the introduction of the TIN, a streamlined system came into place. TIN will lead us towards digitalisation and automation of tax processes to improve efficiency and transparency. Most importantly, the TIN broadens the tax base and improves tax administration with the introduction of RAMIS,” he said.
He elucidated that obtaining a TIN doesn’t automatically translate to tax obligations. “For income tax, only those earning above Rs. 1.2 million annually fall under the radar.
The Sri Lanka Taxpayer Identification Number (TIN) is issued by the Inland Revenue Department (IRD) to register businesses and individuals as taxpayers. It helps the IRD track taxpayers and streamline tax compliance. To obtain a TIN for your business, follow these steps outlined by the department.
The deadline to file personal income tax returns for the Year of Assessment 2023/24 is fast approaching on 30 November 2024, causing many to rush to assess their tax obligations. Having a TIN is essential for paying taxes, importing/exporting, or obtaining services from the IRD. Once you have a TIN, you must register for applicable tax types and other services depending on your requirements.
While the deadline for self-assessed tax payments for the Year of Assessment 2023/24 has already passed, it’s widely acknowledged that many individuals work best under pressure, after the deadline has passed.
It’s also important to note that under Section 113 (1B) of the Inland Revenue Act No. 24 of 2017 and its amendments, individuals must file their tax returns online via the IRD’s e-services portal starting from the Year of Assessment 2023/24. Manual submissions will no longer be accepted, though the Commissioner General of Inland Revenue (CGIR) may allow manual filing under “just and equitable” circumstances. However, this permission is discretionary and not guaranteed.
Starting 1 January 2024, all individuals over the age of 18 must obtain a TIN. This can be done either manually or online through RAMIS, the IRD’s electronic tax services portal, by completing the specified form and submitting supporting documents like a copy of your NIC and a utility bill or rent agreement to verify your residential address if it differs from the one on your NIC.
Sri Lanka’s tax landscape is undergoing a significant transformation with the introduction of the Tax Identification Number (TIN) and accompanying policy changes, said a senior official of the Inland Revenue Department.
“Earlier,it had different categories of tax numbers, and they were subject to changes with time. For example, there was region-based tax number issuance; sometimes, tax numbers were issued based on the trade in which people were involved.
With the introduction of the TIN, a streamlined system came into place. TIN will lead us towards digitalisation and automation of tax processes to improve efficiency and transparency.
Most importantly, the TIN broadens the tax base and improves tax administration with the introduction of RAMIS,” he said.
He elucidated that obtaining a TIN doesn’t automatically translate to tax obligations. “For income tax, only those earning above Rs. 1.2 million annually fall under the radar.
The Sri Lanka Taxpayer Identification Number (TIN) is issued by the Inland Revenue Department (IRD) to register businesses and individuals as taxpayers.
It helps the IRD track taxpayers and streamline tax compliance. To obtain a TIN for your business, follow these steps outlined by the department.
The deadline to file personal income tax returns for the Year of Assessment 2023/24 is fast approaching on 30 November 2024, causing many to rush to assess their tax obligations.
Having a TIN is essential for paying taxes, importing/exporting, or obtaining services from the IRD. Once you have a TIN, you must register for applicable tax types and other services depending on your requirements.
While the deadline for self-assessed tax payments for the Year of Assessment 2023/24 has already passed, it’s widely acknowledged that many individuals work best under pressure, after the deadline has passed.
It’s also important to note that under Section 113 (1B) of the Inland Revenue Act No. 24 of 2017 and its amendments, individuals must file their tax returns online via the IRD’s e-services portal starting from the Year of Assessment 2023/24.
Manual submissions will no longer be accepted, though the Commissioner General of Inland Revenue (CGIR) may allow manual filing under “just and equitable” circumstances. However, this permission is discretionary and not guaranteed.
Starting 1 January 2024, all individuals over the age of 18 must obtain a TIN.
This can be done either manually or online through RAMIS, the IRD’s electronic tax services portal, by completing the specified form and submitting supporting documents like a copy of your NIC and a utility bill or rent agreement to verify your residential address if it differs from the one on your NIC.
October 24, Colombo (LNW): The United Nations World Food Programme (WFP), in collaboration with the Ministries of Environment of India and Sri Lanka, has launched a program aimed at improving the food security and livelihoods of farming communities in both nations.
The initiative, known as the Adaptation for Resilience (ADAPT4R) project, spans five years and focuses on enhancing the resilience of farmers facing climate-related challenges.
Funded by a US$ 14 million contribution from the Adaptation Fund, the project targets districts in both India and Sri Lanka where agriculture and rural livelihoods are most affected by adverse weather conditions.
ADAPT4R will empower farmers, particularly women, by providing climate services and utilizing existing systems to make their farming practices more resilient to climate change.
The Ministry of Environment, Forest and Climate Change (MoEFCC) of India and the Ministry of Environment, Wildlife, Forest Resources, Water Supply, Plantation, and Community Infrastructure of Sri Lanka will work together with WFP to implement this initiative.
According to Ms. Rajasree Ray, Economic Advisor at MoEFCC, India, the country is particularly vulnerable to climate events, ranking among the top 10 globally, as per the Global Climate Risk Index (2021). She emphasized that this partnership would help smallholder farmers in dryland regions of India build adaptive capacities to face climate risks.
Mrs. W.G. Kumaragama, Additional Secretary for Environment Projects & Education Training in Sri Lanka, noted that the ADAPT4R project is a significant step in the collaborative efforts between Sri Lanka and WFP. She highlighted the importance of cross-border learning between India and Sri Lanka to help at-risk communities build climate resilience.
The launch event featured a regional inception meeting, where government officials and experts from both countries discussed implementation strategies. Ms. Elisabeth Faure, Country Director for WFP in India, explained that the project will empower economically disadvantaged farming households to adopt localized adaptation strategies, diversify their livelihoods, and employ climate-resilient agricultural practices.
Gerard Rebello, WFP Sri Lanka’s Deputy Country Director, stressed the importance of preparing vulnerable communities for unpredictable weather, noting that boosting resilience will not only protect lives and livelihoods but also ensure the continuity of food systems amidst the impacts of climate change.
