May 05, Colombo (LNW): Despite a significant rebound in private sector credit, Sri Lanka’s fiscal pressures remain a concern as the country’s banking and finance sectors closed 2024 on a high note. The Central Bank of Sri Lanka’s Annual Economic Review 2024 reveals that private lending across licensed financial institutions surged by over Rs.1 trillion, driven by falling interest rates and a cautiously recovering economy.
According to the report, licensed commercial banks led the way with a Rs.789.6 billion increase in private sector credit—marking a 10.7% year-on-year growth. Licensed finance companies posted a striking 21.0% rise, adding Rs.277.1 billion to the credit flow, largely fueled by consumer demand for gold-backed loans, personal financing, and vehicle leasing. Licensed specialized banks, while growing at a slower pace, still registered a Rs.27.9 billion or 2.5% increase in loans.
This reversal from the credit stagnation seen in 2023 reflects improved liquidity and a reduction in market interest rates. However, analysts caution that the credit surge, while indicative of short-term economic recovery, does not fully address deeper fiscal vulnerabilities—including high public debt, revenue shortfalls, and the structural reforms demanded by international creditors.
The growth in credit was broadly distributed across key economic sectors. Lending to industry, which represents nearly 40% of private sector credit from commercial banks, rose by 8.4%, driven by increased financing to construction, textiles, chemicals, and transport equipment. The construction sector alone saw a 5.5% credit rise, signaling a tentative rebound after years of decline.
The services sector, accounting for 27.4% of credit, expanded by 12.3%. Retail and wholesale trade, IT and communication, logistics, and business services were among the primary beneficiaries. Agriculture, though a smaller credit recipient at 7.3%, recorded a healthy 8.2% loan increase, supported by favorable weather and improved rural market integration. Notably, credit flowed into food crops, fisheries, and paddy cultivation, aligning with national efforts to strengthen food security and reduce import dependence.
Despite this growth, concerns persist about the long-term sustainability of credit-fueled expansion in the absence of robust fiscal consolidation. The Central Bank noted that short- to medium-term loans outpaced long-term borrowing—raising questions about investment in infrastructure and capital formation necessary for sustained development.
While the lending uptick paints a picture of resilience, policymakers are reminded that without parallel progress in tax reforms, debt restructuring, and governance improvements, Sri Lanka’s fiscal outlook will remain fragile—even amid signs of credit and consumption revival.
May 05, Colombo (LNW): The Sri Lankan government plans to impose surcharges on those found guilty. This move follows a recommendation made by the International Monetary Fund (IMF) in its 2023 governance diagnostic assessment report, which called for amendments to the National Audit Act by March 2024.
The revised policy aims to empower the Auditor General to levy surcharges on public officials — including Chief Accounting Officers — who fail in their duties of financial oversight and accountability. These surcharges may be imposed in cases of negligence, misconduct, financial losses, or failure to account for public funds as required by law.
Although no action had been taken since the IMF’s initial recommendation, the current government has now announced an expedited implementation plan. Within two months, a new procedure will be introduced, involving the appointment of an independent five-member committee by the Constitutional Council. This committee will review the Auditor General’s findings and take necessary action against culpable officials.
Previously, the Auditor General’s Department had the authority to disallow expenditures and recommend surcharges for issues such as legal violations in accounts or unreported transactions. However, these powers were limited to a select group of institutions, including local governments and universities. Under the new policy, the scope will expand to include ministries, departments, state-owned enterprises, corporations, and boards.
The independent committee will be led by a retired Supreme Court judge and will also include a retired public finance officer and a representative from the Institute of Chartered Accountants. This panel is expected to bring impartiality and credibility to the process.
The Auditor General’s Department routinely investigates state bodies for financial discrepancies and submits reports to Parliament, recommending necessary corrective actions. These can include disciplinary actions, policy reforms, and strengthened internal controls. However, due to inadequate follow-up and systemic coordination, such measures have often failed to materialize.
This renewed effort reflects the government’s commitment to improve accountability and transparency in public finance, as well as align with international standards on good governance.
May 05, Colombo (LNW): The Arthur C. Clarke Institute for Modern Technologies (ACCIMT) in Sri Lanka has come under scrutiny following revelations by the National Audit Office regarding a case of official negligence involving an unmanned aerial vehicle (UAV), or drone, worth Rs. 10.56 million. The drone, purchased in 2016 for archaeological exploration and excavation purposes on behalf of the Department of Archaeology, has remained unused for nearly six years.
According to the audit findings, despite obtaining the necessary training and flight permissions, the drone was never put into service. An additional Rs. 110,320 was also spent on operating-related expenses, which too have gone to waste due to the drone’s prolonged idleness.
The drone was expected to serve as a practical alternative to satellite imagery in development projects across several fields. However, the Ministry of Defence’s initial restriction of the drone’s maximum flight height to 60 meters (200 feet) significantly limited its utility. Although later regulations introduced in 2022 allowed drone operations up to 400 feet, ACCIMT was still unable to deploy the drone due to a software error in its flight planning system, further compounding the waste of public funds.
ACCIMT is known for utilizing advanced space technology and applications such as remote sensing and Geographic Information Systems (GIS) in various projects. These tools are used for land use mapping, crop monitoring, and studies such as early detection of tea blight.
Though the institute does not run a specific program for archaeological mapping, its capabilities in geospatial data analysis and satellite imagery are relevant to such efforts. With the appropriate application, these technologies could assist in identifying potential archaeological sites, analyzing terrain, and tracking landscape changes over time—functions highly valuable to archaeologists.
The audit findings point to a lack of strategic planning and follow-through on the part of ACCIMT, raising concerns over the mismanagement of advanced technological resources and public funds. The drone, equipped with remote sensing and GIS capabilities, could have been a valuable asset not only in archaeology but in various national development initiatives.
This case highlights the importance of operational readiness, regulatory coordination, and software reliability in deploying technology for public benefit. The underutilization of the UAV, despite its significant cost and potential, stands as a stark reminder of the consequences of bureaucratic inefficiency and missed opportunities in harnessing modern technologies.
May 05, Colombo (LNW): A formal complaint has been submitted to the Criminal Investigation Department (CID) against Tusitha Halloluwa, a former Executive Director of the National Lotteries Board, in connection with a statement allegedly made by him that is said to have defamed President Anura Kumara Dissanayake.
The accusation, brought forward by Attorney-at-Law Akalanka Ukwatta on the President’s directive, centres around a recent public remark in which Halloluwa is alleged to have invoked the President’s name in a manner deemed misleading and damaging to his reputation.
Halloluwa, who previously served as Director General of Public Relations during former President Ranil Wickremesinghe’s tenure, is now facing calls for legal scrutiny over the statement and its wider circulation.
The complaint has been filed with the support of President’s Counsel Upul Kumarapperuma, with the complainants requesting an immediate and thorough investigation into both Halloluwa and a group of social media users who helped disseminate the controversial remark online.
According to the President’s Media Division, the move reflects growing concern over the use of digital platforms to spread unverified or potentially defamatory content that could influence public opinion or undermine the credibility of state officials.
The statement in question, though not detailed publicly, is claimed to have crossed a legal threshold by making unsubstantiated claims against the head of state.
Legal representatives involved in the complaint are calling for strong action under existing defamation and cybercrime laws. They argue that deliberate disinformation, particularly when targeted at public figures, poses a threat not only to individual reputations but also to democratic discourse.
May 05, Colombo (LNW): A group of 15 Sri Lankan nationals, reportedly held against their will at cybercrime operations in Myawaddy, Myanmar, is expected to be repatriated tomorrow (06) following an international rescue effort coordinated by Sri Lanka’s Ministry of Foreign Affairs, Foreign Employment, and Tourism.
The rescue mission, undertaken on the directive of the Foreign Minister, has been facilitated through diplomatic channels involving both the Sri Lankan embassies in Myanmar and Thailand.
Officials have been working in close cooperation with the Governor of Thailand’s Tak Province and local immigration authorities to ensure the safe extraction and repatriation of the affected individuals.
The group was believed to have been lured to Myanmar through promises of employment, only to find themselves trapped in exploitative conditions at suspected cybercrime centres in the border town of Myawaddy — a region that has become notorious for human trafficking and transnational scam operations.
Support from the International Organization for Migration (IOM) has played a key role in the repatriation process. The IOM’s office in Thailand has agreed to cover the cost of air travel and inland transport for the rescued Sri Lankans. Arrangements for their return have been finalised through Sri Lanka’s diplomatic mission in Bangkok, ensuring safe passage back home.
Sri Lankan officials have expressed concern over the rising number of such incidents, where vulnerable individuals are trafficked or coerced into illegal activities under false pretences abroad.
The Ministry has reiterated the importance of verifying employment offers through legal and recognised channels and cautioned citizens against unofficial overseas job advertisements, particularly in regions marked by political instability and weak law enforcement.
Sri Lanka, working in collaboration with regional partners, has increasingly turned its attention to the plight of its nationals caught in such cross-border criminal networks.
Officials confirmed that the returnees will be subject to health and security screenings upon arrival in Sri Lanka. Support services, including counselling and reintegration assistance, will be provided by relevant government agencies and international partners.
The Ministry said that further diplomatic engagement is ongoing to prevent the recurrence of similar incidents and to dismantle the networks responsible for exploiting foreign labour.
May 05, Colombo (LNW): Sri Lanka Customs has announced a significant shift in its enforcement strategy, revealing plans to publish the names of individuals and organisations found guilty of breaching customs regulations.
This new measure, set to come into effect in June 2025, is designed to bolster transparency, improve tax compliance, and deter illegal trade practices that undermine state revenue.
According to an official statement, the names of confirmed offenders will be listed on the agency’s official website, but only after conclusive investigations have been completed in accordance with the Customs Ordinance.
Authorities have clarified that the process will adhere strictly to legal safeguards to ensure procedural fairness and prevent reputational harm to those not yet proven culpable.
The initiative is part of a wider campaign by Sri Lanka Customs to foster accountability in cross-border trade and encourage ethical conduct amongst importers and exporters.
Officials believe the public disclosure of offenders will serve as both a warning to would-be violators and a morale boost to those who operate within the law.
Additional Director General of Customs and official spokesperson Seevali Arukgoda, stated that the department is determined to curb fraudulent activity through transparency and public engagement.
He highlighted that this policy aims to make clear that customs fraud, tax evasion, and smuggling will carry not only legal consequences but also reputational costs.
In parallel to this naming-and-shaming policy, Sri Lanka Customs has also launched a new unit to tackle complex financial crimes related to import and export activity.
The recently established Money Laundering and Terrorist Financing Unit, operating under the oversight of the Central Bank’s Financial Intelligence Unit (FIU), will focus on offences with links to illicit finance and national security threats.
Suspicious cases uncovered through customs inspections will be escalated to the Criminal Investigation Department (CID) and the FIU for deeper investigation, particularly those involving large-scale tax evasion, contraband movement, or transactions that suggest money laundering.
This enhanced enforcement model reflects the government’s growing resolve to modernise the country’s regulatory framework and improve compliance across all levels of trade.
With the public soon able to access offender records directly via www.customs.gov.lk, the move represents a rare step in aligning regulatory enforcement with public accountability.
May 05, Colombo (LNW): Badulla District MP Chamara Sampath Dassanayake has been ordered to remain in remand custody until May 19, following a decision by the Badulla Magistrate’s Court.
The directive is linked to an ongoing legal proceeding initiated by the Commission to Investigate Allegations of Bribery or Corruption.
May 05, World (LNW): In a troubling regression of evidence-based jurisprudence, the UK Supreme Court has ruled that transgender women are no longer to be legally recognised as women—a verdict that sets a disturbing precedent by disregarding scientific understanding of sex and gender in favour of a narrow and outdated biological essentialism.
The landmark ruling, proclaimed on April 16, 2025, which declares biological sex to be fixed solely by chromosomes, casts aside decades of medical, psychological and biological research, effectively dismantling legal recognition for transgender individuals and creating a climate where science is no longer a meaningful factor in legal reasoning.
The immediate implications of this ruling are stark. Under the court’s interpretation, a person’s legal gender is immutable and defined at birth, regardless of transition status, medical intervention, or psychological identity. This means transgender women—many of whom have undergone hormone therapy, surgeries, and live full-time as women—are no longer permitted access to spaces that match their gender identity.
Restrooms, domestic violence shelters, prisons and sports facilities may now be legally off-limits. The consequences are equally disturbing for trans men, who may now be required to use women’s facilities, despite presenting as bearded, physically masculine individuals. The cognitive dissonance this creates is not merely bureaucratic; it is socially perilous.
Violence against transgender and gender non-conforming individuals is already alarmingly high. According to a 2021 study published in The Lancet, transgender people are over four times more likely to be victims of violent crime compared to cisgender people.
Stripping legal protections and forcing trans individuals into environments where their presence is seen as illegitimate or threatening will only exacerbate this violence. It is not hyperbolic to say that this ruling may cost lives.
What is particularly galling is the court’s invocation of “biological reality” whilst completely misrepresenting the scientific consensus on sex and gender. The notion that chromosomes alone determine sex is a gross oversimplification. In reality, biological sex is a complex interplay of at least three major factors: chromosomal makeup (XX, XY, or various intersex combinations), hormonal profiles (levels of oestrogen, testosterone and others), and genital anatomy. Even amongst cisgender individuals, variations are not uncommon. For instance, conditions such as Androgen Insensitivity Syndrome (AIS) or Congenital Adrenal Hyperplasia (CAH) produce individuals who defy binary classification. A 2000 study published in the American Journal of Human Biology estimated that up to 1.7 per cent of the population is born with intersex traits—a figure comparable to the prevalence of red hair.
By anchoring legal recognition to an oversimplified and biologically flawed model, the court not only invalidates trans identities but also exposes intersex and medically atypical cisgender individuals to potential legal misclassification and discrimination.
It invites a regime of surveillance and biological scrutiny, compelling individuals to prove their gender through chromosomal or anatomical evidence. This is not legal clarity—it is authoritarian absurdity!
Across the Atlantic, a similar rollback of transgender rights is gaining terrifying momentum. President Donald Trump, now serving a second term in office, has begun enforcing policies that define gender strictly as ‘male’ or ‘female’, eliminating federal support for transgender healthcare, and excluding transgender individuals from equal participation in public life. With the executive branch under his direct control and a judicial system increasingly shaped by his appointments, the machinery of the state is now actively weaponised against the trans community. His rhetoric is not just campaign bluster—it is policy. What was once theoretical now has the force of law behind it, and the consequences are immediate, far-reaching, and deeply injurious to the fabric of democratic equality.
The rejection of science in legal reasoning is not merely a symptom of ignorance; it is an ideological project. Where courts once considered expert testimony and peer-reviewed research to adjudicate on matters of human identity, they now increasingly appeal to cultural tradition, political pressure, and populist sentiments. The UK’s decision mirrors the broader crisis in which empirical truth is sacrificed for ideological certainty.
What can be done? Firstly, the scientific and medical communities must reaffirm their consensus more vocally and directly in public discourse. The British Psychological Society, the Royal College of Psychiatrists, and the Endocrine Society have all issued statements affirming that gender identity is a deeply ingrained aspect of human development, and that attempts to delegitimise transgender identities are harmful. These positions need to be presented not just in academic journals but in courts, legislatures, and media platforms where policy is shaped.
Secondly, legal advocacy must now focus on human rights frameworks. The European Court of Human Rights and the UN Human Rights Council have both condemned discrimination based on gender identity. These bodies may offer avenues for appeal and international accountability, particularly where domestic courts are failing to uphold the dignity and safety of all citizens.
Thirdly, civil society must resist. The erasure of trans legal identity is not merely a trans issue—it is a human issue. It asks the state to enforce conformity through biological policing and sets a dangerous precedent that what matters is not who you are, but what your genes say. It undermines bodily autonomy, medical ethics, and personal freedom.
Finally, education must catch up with reality. Gender and sex education should include discussions of intersex conditions, hormonal variance, and the psychological science behind identity formation. Ignorance is fertile ground for fear and prejudice. A public better informed about the realities of biology is less likely to tolerate policies built on pseudoscience.
The UK Supreme Court’s ruling marks a tragic abandonment of scientific reasoning in favour of cultural dogma. By doing so, it reduces complex human lives to genetic shorthand and offers legal imprimatur to social prejudice. Unless checked, this ruling will not only harm transgender people—it will create a society in which law and science no longer speak to one another, and justice becomes indistinguishable from ideology.
Sources:
Bouman, W. P., et al. (2017). “Gender Dysphoria: A Review of Etiology and Treatment.” Journal of Sexual Medicine.
Blackless, M., et al. (2000). “How Sexually Dimorphic Are We? Review and Synthesis.” American Journal of Human Biology.
The Lancet (2021). “Violence against transgender people in the UK.”
The Endocrine Society (2020). “Position Statement: Transgender Health.”
May 05, Colombo (LNW): President Anura Kumara Dissanayake was formally welcomed in Hanoi this morning during a ceremonial reception hosted by Vietnamese President Luong Cuong at the Presidential Palace.
The event, which featured full military honours and the playing of both nations’ anthems, marked the beginning of a high-level state visit intended to strengthen diplomatic and economic ties between the two countries.
As part of the welcoming protocol, the two heads of state reviewed the guard of honour provided by the Vietnam People’s Army and were introduced to each other’s official delegations.
This visit marks President Dissanayake’s first official trip to Vietnam since assuming office in November 2024 and is seen as a pivotal moment in Sri Lanka’s broader strategy to reaffirm alliances in the Asia-Pacific region.
Following the ceremonial proceedings, the two delegations entered into substantive discussions, focusing on evaluating the progress of their bilateral relationship and charting a course for deepened cooperation. Particular emphasis was placed on trade, regional stability, and collaborative opportunities in emerging sectors such as technology, energy, and digital infrastructure.
Agreements aimed at enhancing mutual collaboration in these areas are expected to be signed during the visit, with both presidents set to oversee the official proceedings and address the media jointly thereafter. The visit also coincides with celebrations for the United Nations Day of Vesak, reflecting the spiritual and cultural bonds shared by the two Buddhist-majority nations.
Vietnam and Sri Lanka have enjoyed a steady partnership since the establishment of diplomatic ties in 1970. Over the years, the relationship has been characterised by mutual goodwill, economic cooperation, and strategic dialogue.
Sri Lanka has praised Vietnam’s economic trajectory and its success in integrating into the global economy, viewing it as a potential blueprint for its own development efforts.
Trade between the two countries currently hovers around USD 200 million annually, dominated by Vietnamese exports. However, both governments have expressed their ambition to significantly increase this figure, setting an aspirational target of US$ 1 billion in bilateral trade in the coming years. This ambition is underpinned by shared goals in sustainable development, market liberalisation, and digital transformation.
The Sri Lankan President’s office issued a statement noting that the visit symbolises not just a reaffirmation of long-standing ties but also an effort to explore new and dynamic areas of cooperation. These include artificial intelligence, green energy, technological innovation, and connectivity infrastructure—all areas where Vietnam has made significant strides and Sri Lanka is keen to engage.
This year marks the 55th anniversary of diplomatic relations between the two countries, a milestone that adds symbolic resonance to President Dissanayake’s trip. Both nations appear poised to transform their historical friendship into a more results-oriented partnership with tangible benefits across multiple sectors. The visit is expected to lay the groundwork for a more collaborative future rooted in trust, shared values, and complementary national goals.
May 05, Colombo (LNW): Sri Lanka’s anti-corruption watchdog Commission to Investigate Allegations of Bribery or Corruption (CIABOC) has revealed a significant spike in public engagement during the early part of 2025, with more than 1,250 complaints received in just three months.
From Janury 01 to March 31, the Commission reported a total of 1,267 formal grievances, highlighting persistent concerns over the integrity of public institutions.
In response, the Commission intensified its operational activity, conducting 24 targeted raids across various parts of the country. These actions resulted in the arrest of 20 individuals allegedly involved in bribery or corrupt practices.
The arrests spanned a broad cross-section of public service roles, reflecting the widespread nature of the issue.
Amongst those apprehended were officials from critical sectors, including a principal of a government school, a labour ministry officer, and a representative from the Department of Immigration and Emigration.
The Commission also detained a public health inspector, a field officer, a justice ministry employee, and a revenue department assessor. Notably, six civilians with alleged links to illicit dealings were also amongst those taken into custody.
The Commission has since moved swiftly in taking legal action, initiating 21 cases against 24 individuals in the first quarter of the year.
CIABOC officials have encouraged continued cooperation from the public whilst pledging to maintain momentum in investigations and prosecutions.
