By: Staff Writer
August 12, Colombo (LNW): Sri Lanka Customs (SLC) is set to take over import and export clearance functions from the Board of Investment (BOI) by October 2025, a move buried in the latest International Monetary Fund (IMF) program review that has triggered alarm among investors.
The IMF’s July 2025 report reveals that the Government, citing “possible revenue leakage,” agreed to shift the BOI’s long-standing trade facilitation role to Customs—despite offering no proof and without this being part of the original IMF commitments.
Critics warn that this decision will severely undermine Sri Lanka’s competitiveness against major investment hubs such as the UAE, Singapore, Hong Kong, Malaysia, Vietnam, and India, all of which operate special economic zones designed to expedite global trade.
The BOI’s trade facilitation system, established over three decades ago, was intended to attract investment in Free Trade Zones, streamline export processing, and avoid outdated laws that often breed corruption.
Although BOI already operates on Customs’ ASYCUDA system and Customs officers oversee compliance within zones, the final documentation and clearance functions have remained with the BOI, enabling faster processing. Customs, however, retains authority to inspect, audit, and monitor cargo when warranted.
By fully transferring control to Customs, stakeholders fear trade facilitation will give way to bureaucratic delays and increased opportunities for corruption. Non-BOI traders have long complained about inefficiencies, congestion, and abuse of power under Customs’ century-old ordinance. The Sri Lanka Shippers’ Council has repeatedly highlighted how Customs’ practices disrupt supply chains under various pretexts.
Investor representatives say they were not consulted before the Government committed to this reform, and BOI management has expressed strong opposition, warning that such changes—introduced without offering special concessions—will make Sri Lanka a far less attractive investment destination. Sources indicate that investors have already urged the Government to reverse the move.
This takeover bid is not new. For over 25 years, Customs has sought to absorb BOI’s clearance functions, with two Supreme Court rulings between 1999 and 2003 blocking earlier attempts. The current push, insiders allege, comes after lobbying by Customs unions and a senior government official sympathetic to their cause, using IMF reforms as political cover.
With no evidence of revenue leakage, no digitalisation drive, and no overhaul of outdated Customs laws, critics see the move as a power grab rather than a genuine efficiency measure—one that risks dismantling investor-friendly systems that have been in place for decades.
Customs Takeover of BOI Trade Clearance Sparks Investor Backlash
UN Rights Chief to present key report on Sri Lanka at upcoming Geneva session
August 12, Colombo (LNW): United Nations High Commissioner for Human Rights Volker Türk is set to deliver a comprehensive report on the state of human rights in Sri Lanka at the opening of the 60th session of the UN Human Rights Council, scheduled to begin in Geneva on 8 September and continue until 8 October.
The report, titled “Situation of Human Rights in Sri Lanka,” will reflect the findings of Türk’s official visit to the country in June. His four-day tour included meetings with government officials, civil society actors, and survivors of past conflicts, as well as a visit to the site of the Chemmani mass graves in the Northern Province — a location linked to longstanding allegations of wartime atrocities. This site visit is expected to feature prominently in his presentation, adding further weight to calls for accountability and justice.
The report is anticipated to outline current human rights concerns, including issues related to post-conflict reconciliation, transitional justice, land rights, and civil liberties. Türk’s observations will likely shape the tone of the session’s broader discussions on Sri Lanka, particularly given increasing international scrutiny of the country’s progress on human rights commitments.
In a development that may intensify diplomatic pressure, both the United Kingdom and Canada are reportedly preparing to table a new resolution concerning Sri Lanka during the session. The proposed resolution is expected to address gaps in justice mechanisms, ongoing concerns about surveillance and harassment, and the need for credible reform.
Representing the Sri Lankan government at the Council will be Foreign Minister Vijitha Herath, who is scheduled to deliver the official national statement in response to the High Commissioner’s report and any subsequent proposals put forward by member states.
Ex-Election Commission Chief urges youth quota in national and provincial elections
August 12, Colombo (LNW): Former Election Commissioner Mahinda Deshapriya has renewed calls for the introduction of a dedicated youth quota in both parliamentary and provincial council elections, arguing that meaningful youth participation is essential to revitalising the country’s political landscape.
Speaking to the media on the eve of International Youth Day, Deshapriya expressed concern over the limited space available for young voices in mainstream politics. While local government elections currently include provisions to ensure youth representation, no such mechanism exists at higher levels of governance.
“Young people need democracy, and democracy, in turn, needs young people,” he remarked, stressing that without a generational shift in political involvement, democratic institutions risk becoming disconnected from the evolving needs of society.
Deshapriya’s appeal is receiving growing support from civic organisations such as Volunteer Initiatives for Election Watch (VIEW) and the Association of Friendship and Love (AFRIEL).
Both groups are set to launch awareness campaigns on Tuesday in several districts—including Jaffna, Batticaloa, Vavuniya, Nuwara Eliya, Colombo, Gampaha, Matara and Hambantota—to draw public attention to the issue of youth underrepresentation.

Fuel tax relief unlikely until Petroleum Corporation settles debts: Energy Minister
August 12, Colombo (LNW): Energy Minister Kumara Jayakody has stated that there will be no reduction in fuel taxes until the Ceylon Petroleum Corporation (CEYPETCO) fully settles its outstanding debts, signalling that motorists and industries should not expect any immediate easing of fuel prices through tax cuts.
In a recent television interview, the Minister explained that any attempt to eliminate or significantly lower the current tax on fuel—which stands at approximately 50 per cent—would severely compromise the Corporation’s ability to meet its financial obligations.
Jayakody noted that whilst a portion of the CEYPETCO’s loans has already been paid off, a substantial amount remains unsettled. He estimated that roughly 30 to 40 percent of the total debt has been cleared to date.
According to him, maintaining the current tax rate is essential to ensuring that the repayments continue without disruption. Reducing or removing the tax prematurely, he warned, would force the government to explore alternative revenue streams to cover the resulting shortfall—an approach he suggested would be economically unsustainable under present conditions.
Dozens injured in pre-dawn collision on Colombo–Batticaloa route
August 12, Colombo (LNW): A serious road accident in the early hours of this morning has left 26 people injured following a collision between a long-distance passenger bus and a heavy-duty tipper truck on the Colombo–Batticaloa highway near Batu Oya in Minneriya.
The crash, which occurred at approximately 3:00 a.m. this morning, involved a bus travelling from Maduroya towards Colombo and a tipper lorry that was reportedly moving in the opposite direction. Initial reports suggest that the impact was severe, leaving the front sections of both vehicles significantly damaged.
Emergency response teams were dispatched to the scene shortly after the incident, and the injured were rushed to nearby hospitals in Polonnaruwa, Minneriya, and Hingurakgoda for urgent medical treatment.
Medical staff at the hospitals have confirmed that several victims are in critical condition, with some requiring intensive care due to the extent of their injuries.
Minneriya Police have launched a full inquiry to determine whether any traffic violations or negligence contributed to the incident. Authorities are also expected to examine the mechanical condition of both vehicles involved and will likely obtain statements from surviving passengers and witnesses.
Constitutional Council likely to announce new IGP today
August 12, Colombo (LNW): The Constitutional Council is set to hold a crucial meeting today (12), under the leadership of Speaker of Parliament Dr Jagath Wickramaratne. The session, scheduled for 1:30 p.m., is anticipated to address significant developments in the nation’s law enforcement leadership and police oversight.
One of the central matters on the agenda is the nomination of a new Inspector General of Police (IGP), following the recent dismissal of Deshabandu Tennakoon. His removal, enacted through a parliamentary resolution, left the top post in the police force vacant, prompting widespread speculation over who might be chosen to fill the role.
In accordance with constitutional procedure, the President, Anura Kumara Dissanayake, is expected to propose a candidate for the IGP position. The Constitutional Council will then deliberate on the nomination, with indications suggesting that a final decision may be reached during today’s meeting.
The appointment is seen as especially significant given ongoing public discourse about law enforcement accountability, institutional reform, and the rule of law. The selection of a new police chief is likely to shape both the direction and credibility of future policing efforts in Sri Lanka.
In a separate but related development, Renuka Ekanayake has formally stepped down from her role on the National Police Commission. Her resignation has already been submitted to the Constitutional Council, according to official sources. With her departure, the Commission now finds itself operating with two unfilled positions, raising concerns about its current capacity to effectively carry out its mandate.
Showers continue to occur across island (Aug 12)
August 12, Colombo (LNW): Showers will occur at times in Western and Sabaragamuwa provinces and in Nuwara-Eliya, Kandy, Galle and Matara districts, the Department of Meteorology said in its daily weather forecast today (12).
Several spells of showers will occur in the North-western province, with a few showers being expected to occur in the Northern Province.
Showers or thundershowers may occur at a few places in Uva province and in Ampara and Batticaloa districts after 2.00 p.m. Fairly strong winds of about (30-40) kmph can be expected at times over Western slopes of the central hills and in Northern, North-central, North-western and Sothern provinces and in Trincomalee district.
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 are likely at several places in the sea areas off the coast extending from Puttalam to Matara via Colombo and Galle.
Winds:
Winds will be south-westerly and wind speed will be (30-40) kmph.
Wind speed can increase up to (50-60) 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 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 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 will be fairly rough at times.
Veteran Journalist Daya Lankapura Named Head of Sri Lanka’s RTI Commission
August 11, Colombo (LNW): Daya Lankapura, a seasoned media professional with decades of experience in journalism and editorial leadership, has been appointed to lead Sri Lanka’s Right to Information Commission.
His appointment marks the end of a prolonged vacancy that had raised concerns among media watchdogs and civil society advocates.
The role had remained unfilled for close to five months, prompting growing calls from journalists, transparency advocates, and rights groups for a swift and responsible nomination. President Anura Kumara Dissanayake has now moved to address those concerns with the formal installation of Lankapura at the helm of the institution tasked with safeguarding citizens’ access to public information.
Lankapura’s career spans a wide range of roles in the country’s media landscape, including senior editorial positions in both print and broadcast journalism. He has been an outspoken proponent of media independence and has played an instrumental role in campaigns for greater openness and accountability in government.
