September 24, Colombo (LNW): President Anura Kumara Dissanayake has appointed National People’s Power (NPP) MP Dr Harini Amarasuriya as Sri Lanka’s 16th Prime Minister.
An academic, rights activist, and university lecturer, Amarasuriya’s elevation to this prominent role marks a significant moment in the country’s political landscape.
Renowned for her work in education and social justice, Dr Amarasuriya’s appointment reflects a shift towards a more inclusive political environment.
She becomes the third woman to hold the title of Prime Minister, following Sirimavo Bandaranaike, the world’s first woman prime minister, and her daughter, Chandrika Bandaranaike Kumaratunga.
Dr Amarasuriya’s journey into politics began with her involvement in the NPP, entering Parliament in 2020 through the party’s national list. As the first academic-turned-politician to ascend to the office of Prime Minister, she brings a unique blend of intellectual rigor and activism to the position.
Her appointment is expected to shape discussions on social reforms, particularly in the fields of education and human rights, as her background strongly aligns with these areas.
Amarasuriya’s rise to the second-highest office in Sri Lanka represents a break from traditional political paths, offering hope for a more progressive and policy-driven approach to governance.
September 24, Colombo (LNW): The Election Commission has officially announced that 35 presidential candidates will lose their security deposits after failing to meet the required vote threshold in the recently concluded 2024 presidential election.
Commissioner General of Elections Saman Sri Ratnayake clarified that these candidates did not secure at least 12.5 per cent of the vote, a prerequisite for retaining their deposits.
With a voter turnout of over 79 per cent, the participation in this election marked a slight decline compared to the 83 per cent turnout in 2019.
Despite the high engagement, many candidates struggled to capture the necessary support to meet the eligibility criteria for deposit refunds.
The forfeit of security deposits is a standard procedure in Sri Lanka’s electoral system, designed to ensure that only candidates with a reasonable level of public backing are incentivised to contest in the elections.
September 24, Colombo (LNW): The European Union has extended its congratulations to Anura Kumara Dissanayake following his election and inauguration as President of the Democratic Socialist Republic of Sri Lanka.
In a formal statement, the EU acknowledged the high voter turnout during the 21st September presidential election, commending the Sri Lankan people for their ongoing dedication to democratic processes.
The EU highlighted that the elections were conducted peacefully within a competitive political environment. At the request of Sri Lankan authorities, the EU deployed an Election Observation Mission (EU EOM) to provide an independent and impartial evaluation of the electoral process.
This collaboration, the EU emphasised, reflects the strong partnership between the bloc and Sri Lanka, particularly in the areas of good governance and democracy.
In its preliminary findings, the EU EOM reported that fundamental freedoms were largely upheld during the election.
It also praised Sri Lanka’s Election Commission (ECSL) for its independent and transparent handling of the process, ensuring fair conduct at every stage.
However, the EU EOM noted certain areas for improvement, particularly in political finance transparency and increasing women’s participation in politics.
These observations will be expanded upon in the mission’s final report, which will include detailed recommendations aimed at further refining the electoral process in Sri Lanka.
The European Union reaffirmed Sri Lanka’s status as a key and valued partner, stressing that their cooperation is rooted in a shared commitment to democratic principles, human rights, and the rule of law.
The EU also emphasised the strong trade and investment ties between the two regions and their joint efforts to combat climate change and promote a green transition.
Looking ahead, the EU expressed its willingness to continue supporting President Dissanayake’s administration, particularly in its reform agenda aimed at steering Sri Lanka towards economic recovery, national reconciliation, and inclusive development.
September 24, Colombo (LNW): National People’s Power (NPP) MP Vijitha Herath has confirmed that the newly appointed Cabinet of Ministers is set to be sworn in today (24).
This marks a significant step in the early days of President Anura Kumara Dissanayake’s administration, signalling the formation of his government’s core leadership team.
Herath further revealed that discussions regarding the potential dissolution of Parliament are also on the agenda.
He noted that the matter would be addressed in a meeting with President Dissanayake later in the day.
The timing of these discussions indicates the administration’s intention to rapidly move forward with plans that could lead to a fresh parliamentary election.
The NPP’s focus on political and institutional reform has been a central theme of its governance agenda.
Dissolving Parliament and calling for fresh elections could serve as a way to consolidate power and align legislative support with the new executive leadership, ensuring smoother progress in implementing its policy goals.
September 24, Colombo (LNW): Several spells of showers will occur in Western and Sabaragamuwa provinces and in Kandy, Nuwara-Eliya, Galle and Matara districts. A few showers may occur in North-western province.
Showers or thundershowers may occur at a few places in Uva and Eastern provinces during the evening or night.
Strong winds about (40-45)kmph can be expected at times over the western slopes of the central hills and in Northern, North-central, North-western and Southern provinces and in Trincomalee, Matale and Monaragala 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 may occur at several places in the sea areas off the coast extending from Chilaw to Hambantota via Galle.
Winds:
Winds will be Westerly or South-westerly in direction and wind speed will be (30-40) kmph. Wind speed can increase up to 60 kmph at times in the sea areas off the coasts extending from Matara to Pottuvil via Hambantota and from Kankasanthurai to Puttalam via Mannar. Wind speed can increase up to 50 kmph at times in the sea areas off the coasts extending from Trincomalee to Kankasanthurai and from Puttalam to Matara via Colombo and Galle.
State of Sea:
The sea areas off the coasts extending from Matara to Pottuvil via Hambantota and from Kankasanthurai to Puttalam via Mannar will be rough at times. The sea areas off the coasts extending from Trincomalee to Kankasanthurai and from Puttalam to Matara via Colombo and Galle will be fairly rough at times.
September 24, Colombo (LNW): The Ceylon Chamber of Commerce (CCC) has submitted a comprehensive 10-point proposal to newly elected President Anura Kumara Dissanayake, outlining critical economic challenges and areas for urgent attention.
The recommendations focus on enhancing economic stability and fostering sustainable growth, whilst addressing key issues such as debt restructuring and visa regulations.
In a public statement shared via social media platform ‘X’, the CCC identified several priority areas, including the need to advance Sri Lanka’s debt restructuring efforts and strengthen the nation’s engagement with the International Monetary Fund (IMF).
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The Ceylon Chamber congratulates President @anuradisanayake on being elected the 9th President of #LKA. We call for all parties to continue to respect the outcome of the election in a peaceful manner without disturbing the normalcy of the public,
The Chamber emphasised the importance of accelerating key reforms in the President’s first six months to stabilise the economy and build investor confidence.
One of the key recommendations was the urgent completion of external debt restructuring, which builds upon the recent progress made with commercial creditors.
The Chamber urged the President to maintain momentum in this area, ensuring continuity with the IMF programme and securing the next tranche of funding.
The Chamber also raised concerns about potential changes in government expenditure, suggesting that any revisions to the current fiscal policies be supported by credible revenue generation plans.
It advised against imposing additional burdens on taxpayers, and called for a review of existing systems such as RAMIS and SVAT to enhance revenue collection.
Another immediate priority highlighted was the resolution of the on-arrival visa issue, which has been affecting the tourism sector.
The CCC stressed the importance of implementing a robust visa system to attract more foreign visitors and boost the economy.
Additionally, the proposal urged the new government to advance its digital infrastructure initiatives, particularly the implementation of a Digital Public Infrastructure and Digital ID system.
The Chamber also called for the prompt rollout of the National Single Window for Trade, which it said would streamline trade processes and bring significant benefits to the country’s economy.
Other notable recommendations included establishing a National Implementation Oversight Committee to ensure reform delivery, and advancing key legislative changes, particularly those related to economic transformation, public debt management, and electricity reform.
The Chamber advised that such legislative measures should be introduced with input from the private sector and relevant stakeholders to avoid unexpected disruptions.
The CCC also underscored the importance of following through on the IMF Governance Diagnostic Assessment and restarting trade negotiations with key partners such as China, India, and Indonesia.
It urged the government to focus on building international trade relationships to expand Sri Lanka’s economic opportunities.
Concluding its statement, the Ceylon Chamber reaffirmed its commitment to work closely with the new administration to transform Sri Lanka into a developed economy.
The Chamber expressed its readiness to engage in productive dialogue and offer support for the country’s future reforms.
September 24, Colombo (LNW): The International Monetary Fund (IMF) has expressed its support for Sri Lanka’s recent progress in debt restructuring, following the announcement of an agreement in principle between the country and a consortium of international bondholders.
The arrangement seeks to address the restructuring of $12.5 billion in bonds, marking a crucial step in Sri Lanka’s economic recovery efforts.
In a statement released yesterday (23), the IMF also conveyed its willingness to collaborate with newly elected President Anura Kumara Dissanayake and his administration, as they work towards stabilising the nation’s economy.
A spokesperson for the fund stated, “We look forward to working together with President Dissanayake and his team towards building on the hard-won gains that have helped put Sri Lanka on a path to economic recovery.”
The restructuring of the bonds is seen as a critical development in helping Sri Lanka address its mounting debt and regain financial stability.
It comes after months of negotiations between Sri Lanka and its creditors, amid a backdrop of severe economic challenges exacerbated by the global downturn and domestic financial mismanagement.
The IMF also confirmed that it would soon discuss the timing of its third review of Sri Lanka’s current economic programme, which forms part of the broader strategy to support the country’s recovery.
“The discussions will take place as soon as practicable,” the spokesperson added, hinting at continued engagement between the fund and the Sri Lankan government in the months ahead.
Whilst the road to recovery remains long, these recent developments have been seen as positive steps towards rebuilding the country’s economic foundation and fostering international cooperation during this critical period.
September 24, Colombo (LNW): Sri Lanka’s apparel sector recorded a significant milestone in August, crossing the US$ 3 billion mark in export earnings for the year, buoyed by robust performance across major markets.
The sector witnessed impressive double-digit growth, with a 22 per cent year-on-year (YoY) rise in August, underscoring the industry’s resilience in the face of global economic challenges.
According to provisional data released by Sri Lanka Customs, the apparel industry generated US$ 485.62 million in export revenue in August alone, marking a strong month for the sector.
This growth was driven by positive trends across all major export markets, with the United States and European Union contributing significantly.
Exports to the United States surged by 22.9 per cent YoY, reaching US$ 209.4 million, while exports to the European Union saw an 18.84 per cent YoY rise to US$ 140.51 million.
In addition, exports to the United Kingdom increased by 17.74 per cent, totalling US$ 62.39 million, and other global markets saw a remarkable 30.91 per cent YoY growth, generating US$ 73.32 million.
This robust performance in August helped push cumulative export earnings for the apparel sector to US$ 3.158 billion for the first eight months of 2024.
This represents a 2.41 per cent YoY increase, demonstrating the sector’s capacity to maintain growth amidst global economic pressures.
While exports to the European Union experienced a slight contraction of 1.16 per cent YoY, totalling US$ 914 million, other markets showed positive trends.
The United States, Sri Lanka’s largest apparel export destination, saw a 1.82 per cent YoY increase, with total exports reaching US$ 1.26 billion.
The United Kingdom recorded a stronger 8.49 per cent YoY growth, with exports amounting to US$ 462 million, and other markets grew by 5.36 per cent YoY to US$ 513 million.
The growth in apparel exports reflects the sector’s ability to adapt and thrive in challenging conditions, contributing significantly to Sri Lanka’s economic recovery.
The sector continues to benefit from strong demand for Sri Lankan-made garments, particularly in markets such as the United States, the European Union, and the United Kingdom.
Industry experts believe that sustained demand, coupled with Sri Lanka’s competitive pricing and quality standards, will support further growth in the coming months.
However, challenges such as fluctuating global demand and economic uncertainties in key markets could impact future performance.
September 24, Colombo (LNW): The Colombo Stock Exchange (CSE) ended in the green yesterday, reflecting a positive response to the inauguration of Sri Lanka’s new President, Anura Kumara Dissanayake.
The benchmark All Share Price Index (ASPI) initially dropped by over 180 points in the early minutes of trading, triggering concerns of market volatility.
However, the index made a robust recovery throughout the day, closing with a gain of 130 points, or 1.99%, at 11,097. The more liquid S&P SL20 index rose by 1.88%, up 58.43 points to 3,160.63.
Kanishke Mannakkara, CEO of Capital Alliance Holdings Ltd, described the market’s reaction as a sign of confidence in the smooth transfer of leadership.
He emphasised that the continuation of this positive momentum will depend on the new administration’s ability to maintain a stable economic environment.
Mannakkara highlighted that the market appears undervalued, suggesting potential for further gains if the government adheres to its stabilisation and reform agenda.
The current sentiment is bolstered by expectations that President Dissanayake’s administration will maintain the existing Debt Sustainability Analysis framework, a crucial factor in investor confidence.
Any deviation from this expectation, however, could disrupt the optimistic market trend, warned Mannakkara.
Raynal Wickremeratne, Co-Head of Research at Softlogic Stockbrokers, pointed out that the market had already priced in the possibility of a National People’s Power (NPP) victory, explaining the pre-election downturn in the CSE. According to Wickremeratne, the market’s response to the election outcome was not a surprise, as many investors had anticipated an NPP-led government.
Banking stocks were a major contributor to yesterday’s turnover, accounting for 36% of the total market turnover of Rs. 994.3 million.
This sector’s rise followed last week’s announcement of external debt restructuring, which had a positive effect on the banking industry.
Softlogic Stockbrokers noted that banking stocks were trading at a significant 40% discount to the market’s price-to-book value, while generating an average return on equity of around 12%.
Despite the upbeat performance of the stock market, foreign investors remained net sellers, with a net outflow of Rs. 5.2 million recorded.
Additionally, Sri Lanka’s dollar bonds saw a decline in secondary markets, particularly in Singapore, where panic selling was observed.
Bloomberg reported that the country’s bonds maturing in March 2029 fell by 3.1 cents, marking the steepest drop in nearly two years, closing at 50.2 cents on the dollar.
The Colombo bourse’s recovery reflects cautious optimism about Sri Lanka’s political and economic future, but ongoing concerns surrounding debt restructuring and foreign investor sentiment remain critical factors for sustained growth.
September 24, Colombo (LNW): An official Extraordinary Gazette (2403/05) has announced the resignation of six Provincial Governors in Sri Lanka, effective from 22 September.
The governors of Central, North-Central, Southern, Eastern, Sabaragamuwa, and Uva provinces have all stepped down from their positions following the recent presidential election.
The resignations include prominent figures such as Lalith U. Gamage (Central Province), Mahipala Herath (North-Central Province), Lakshman Yapa Abeywardana (Southern Province), Senthil Thondaman (Eastern Province), Navin Eranjan Dissanayake (Sabaragamuwa Province), and Ravindra Anura Vidanagamage (Uva Province).
This mass resignation follows the declaration of the 2024 Presidential election results, where Anura Kumara Dissanayake was elected as the new Executive President of Sri Lanka.
It is understood that the governors, many of whom were appointed by the outgoing administration, chose to step down in accordance with political custom, ensuring a smooth transition of power under the new leadership.
