August 02, Colombo (LNW): Foreign Minister Ali Sabry has urged Sri Lankans to avoid travelling to Lebanon unless absolutely necessary, due to heightened tensions following the assassination of Hamas leader Ismail Haniyeh.
Approximately 6,000 Sri Lankans currently reside in Lebanon, reported Ada Derana, citing comments from the Minister. He reassured that the government has a contingency plan to repatriate Sri Lankan workers from Iran and surrounding areas if the conflict intensifies.
The President has established two committees to monitor the situation and implement necessary measures.
Sabry mentioned that a pre-existing plan from October is under review to ensure immediate action can be taken to protect Sri Lankans if the situation deteriorates.
Additionally, the minister cautioned against seeking foreign employment using visit visas, highlighting recent issues faced by Sri Lankans in Myanmar and Russia who did not follow proper procedures for overseas employment.
August 02, Colombo (LNW): Indian budget airline IndiGo has added Jaffna, Sri Lanka, to its international routes. Starting from 1st September 2024, the airline will operate non-stop daily flights between Chennai and Jaffna.
This new route makes Jaffna IndiGo’s second destination in Sri Lanka, following Colombo, and marks its 34th international and 122nd overall destination within its 6E network.
IndiGo emphasised that this move will strengthen the cultural and trade ties between India and Sri Lanka, enhancing cooperation in commerce, infrastructure development, and air connectivity. Bookings for this new route will be available from 1st August 2024.
India remains the leading source of international tourists to Sri Lanka. In June 2024, Indian tourists constituted 25.2% of all arrivals, with over 28,631 travellers, compared to a 26.7% share in June 2023 with around 26,830 visitors.
IndiGo highlighted the growing interest in travel to Jaffna, stating that the new route will improve regional accessibility. Jaffna will complement existing flights to Colombo, providing travellers with an additional entry point to Sri Lanka.
Vinay Malhotra, Head of Global Sales at IndiGo, stated, “We are excited to introduce Jaffna as our latest destination in Sri Lanka, which will boost trade and tourism between our nations.
Along with daily flights from Chennai to Jaffna, we offer 30 weekly flights from four Indian cities to Colombo. This 75-minute flight will significantly reduce travel time, making Jaffna more accessible. We aim to provide superior connectivity and expand travel options for our customers.”
The demand for travel between Chennai and Jaffna is evident, with over 21,000 passengers flying this route in just nine months last year. IndiGo’s new direct flight will enhance connectivity and support Sri Lanka’s tourism recovery, tapping into a crucial market.
Jaffna, located in Sri Lanka’s northern province, is rich in history and cultural heritage. Known for its vibrant Tamil traditions, festivals, and historical landmarks, it offers visitors a glimpse into the resilience and diversity of its people.
Key attractions include the Jaffna Fort and the Nallur Kandaswamy Kovil, a significant Hindu temple. Jaffna’s cultural heritage and culinary delights make it an appealing destination for travellers seeking an authentic experience.
August 02, DailyFT: Sri Lanka’s first election since an unprecedented economic crisis spurred widespread unrest will be held on 21 September. The election will be the first test of the public opinion since the height of the 2022 unprecedented economic downturn, which caused months of food, fuel and medicine shortages across the country. Economic issues are expected to dominate the five-week campaign as the country emerges from its worst-ever recession in 2022, when the GDP shrank by a record 7.8%. The Sri Lankan economic crisis is an ongoing crisis that started in 2019. A Lot more remains to be addressed.
The ninth executive president of Sri Lanka is very likely to face several significant challenges. The country has been grappling with an economic crisis and a substantial debt burden. The ninth executive president will need to implement effective economic reforms, secure international financial aid, and stabilise the economy to restore growth and regain confidence. Also plan early for the debt repayments post 26/27.
The second challenge will be ensuring political stability and effective governance. This includes managing diverse political factions and fostering an inclusive political environment to maintain stability and drive reforms. Public dissatisfaction due to economic hardships must also be addressed. The ninth executive president will need to engage with the populace and implement policies that improve living standards and reduce inequalities to mitigate social tensions. There is also an expectation for the ninth president to implement sustainable development policies, protect natural resources, and address climate change impacts. Strengthening international relations to improve Sri Lanka’s standing in the international community is crucial for attracting foreign investment and support.
Meeting these expectations will require strong and capable leadership and a commitment to addressing both immediate and long-term challenges facing Sri Lanka. Additionally, the ninth executive president must create a strong belief in the future of the Sri Lankan economy to retain talent and prevent migration. Encouraging people to remain, invest, and take up opportunities is essential. That would require very much more than just political rhetoric.
Sri Lanka post-2024
Whether we like it or not, Sri Lanka will have to remain on its current path of reforms to set up opportunities for tomorrow. Sri Lanka has been a resilient state amidst several challenges. We need to continue to focus on building a strong, sustainable export economy and making Sri Lanka a preferred business and investment destination.
Sri Lanka will continue to face various economic and social challenges while having the ability to adapt to the Fourth Industrial Revolution to remain competitive, especially given the rapidly growing emerging economies in Asia. As the 30th Australian Prime Minister recently pointed out, “We have got to get to tomorrow first. And that’s where I think the President has done a good job in the economic crisis of just two years ago to be able to bring stability.”
Conclusion
The international community is key to our full recovery. We need their support, trust and goodwill on several fronts, including managing our debt, promoting foreign investment, and ensuring financial stability. Success in these areas is crucial for securing international aid and investment. Additionally, upholding democratic principles, strengthening public institutions, and implementing international commitments are essential. Meeting these expectations can help Sri Lanka gain international support, improve its global standing, and foster a conducive environment for national development and social uplifting. Candidates Premadasa and Dissanayake have publicly said they will look at revamping the IMF program to reduce cost of living pressures and ease the debt repayment burden. However the economic recovery is still fragile and attempts to reverse the reforms could precipitate a new crisis.
In conclusion, the public wants a president who will encourage objective discourse and implement strategies that can make Sri Lanka great again. Therefore, as a country, we need to focus on results rather than rhetoric in the next five years.
August 02, Colombo (LNW): Serious issues are emerging in Sri Lanka concerning online money-making schemes, as reports indicate that some unscrupulous individuals are utilising these avenues to exploit and defraud people.
A significant concern is the rise in illegal betting methods, which have adverse effects on the country’s economy. The need to identify the groups behind these activities is growing, as online betting is increasingly becoming a detrimental factor to national financial stability.
Despite Sri Lanka’s ongoing efforts to recover from economic challenges, the authorities appear to be neglecting the significant outflow of money through these betting companies. This lack of attention from the financial sector heads is damaging to the country’s economic stability.
There are also satellite channels that broadcast advertisements for these betting companies. Some of these channels reportedly have government connections, complicating the issue to the point in which reporting it to the authorities seems futile.
These advertisements are also widely disseminated through social media platforms, yet the Telecommunications Regulatory Commission of Sri Lanka (TRCSL) has not taken action, despite having the technical capability of such illegal promotions.
SJB MP (Dr.) Harsha de Silva has been the sole voice in Parliament raising objections to the government’s inaction on this issue. His efforts stand in stark contrast to the unified parliamentary response to preventing cricket operations based on the International Cricket Council’s agreement.
The lack of a similar response to the economic damage caused by betting is concerning.
The government’s failure to address this issue, combined with some political parties keeping their solutions secret until they gain power, shows a lack of concern for the welfare of the citizens. These parties are not prioritising the well-being of the people, focusing instead on their political ambitions.
It is alarming that Central Bank officials, who benefit from salaries funded by taxpayers, are not addressing the significant financial losses the country incurs through these betting activities.
If quantifying these losses is challenging, the TRCSL should at least inform the public about the economic impact of such schemes, rather than allowing their promotion.
Citizens who pay for satellite services are being lured into these illegal betting schemes through subliminal advertising, creating a paid pathway for engaging in harmful activities.
Political groups and social activists who typically rally against national issues are suspiciously silent on this matter. The Central Bank, in particular, should be held accountable for allowing these illegal money outflows, which are not subject to taxation or legitimate scrutiny.
The societal impact of the financial drain due to these illegal betting schemes is significant. It is crucial to investigate the origins of these advertisements on satellite channels, understand who profits from promoting illegal activities, and identify those involved.
It is concerning that no political or social activist organisations have approached the Central Bank to address these issues. The legal sector’s lack of intervention to prevent these illegal money outflows and expose the responsible parties is also problematic.
The government must take immediate action to stop the illegal outflow of national funds. Just as black money is laundered through election campaigns, those responsible for these large, untaxed money flows must be held accountable.
The suspicion that high-level officials may be complicit in this plot is reasonable, given their silence on the matter. It is imperative for responsible citizens, organisations, and state-related legal or economic institutions to take patriotic action against this issue.
Sri Lanka, like other countries in Asia and globally, has established legal precedents and regulations against the consequences of fraudulent betting. It is time for these measures to be enforced effectively.
*Adapted from original article, “හොර ඔට්ටු සහ කටේ පිට්ටු” by Nishman Ranasinghe published on 02.08.2024.
August 02, Colombo (LNW): Several spells of showers will occur in Western, Sabaragamuwa and North-western provinces and in Galle, Matara, Kandy and Nuwara-Eliya districts, the Department of Meteorology said in its daily weather forecast today (02).
Showers or thundershowers may occur at a few places in Badulla, Ampara and Batticaloa districts in the evening or night.
Strong winds of about 50 kmph can be expected at times over Western slopes of the central hills and in Northern, North-central, and North-western provinces and in Trincomalee, Monaragala and Hambantota districts.
Fairly strong winds about (30-40) kmph can be expected at times elsewhere of the island.
Marine Weather:
Condition of Rain:
Showers will occur at several places in the sea areas off the coast extending from Puttalam to Matara via Colombo and Galle.
Winds:
Winds will be westerly to south-westerly 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 Kankasanthurai to Puttalam via Mannar and from Hambantota to Pottuvil. Wind speed can increase up to 50 kmph at times in the sea areas off the coasts extending from Trincomalee to Kankasanthurai via Mullaittivu and from Puttalam to Hambantota via Colombo and Galle.
State of Sea:
The sea areas off the coasts extending from Kankasanthurai to Puttalam via Mannar and from Hambantota to Pottuvil will be rough at times. The sea areas off the coasts extending from Trincomalee to Kankasanthurai via Mullaittivu, and from Puttalam to Hambantota via Colombo and Galle can be fairly rough at times. Naval and fishing communities are requested to be attentive in this regard.
August 02, Colombo (LNW): MP Dhammika Perera is set to be nominated as the Presidential Candidate for the Ruling Party Sri Lanka Podujana Peramuna (SLPP) ahead of the upcoming Presidential Polls, party internal sources confirmed.
Accordingly, the decision to appoint him as the Party candidate will be announced in ceremonial fashion on August 07, confirming LNW’s prediction made nine months ago,
LNW predicted Mr. Perera’s potential candidacy for the upcoming Polls on December 18, 2023.
Perera, whose reputation as an investor both local and overseas and an entrepreneur made him the number one business magnet in Sri Lanka, possesses knowledge and experience on business operation unparalleled to any other personnel of his capacity.
His expertise includes sectors such as the Banking and Finance Sector, Apparel Sector, Industrial Sector, Agricultural Sector ans Tourism, amongst other things.
His unparalleled contribution to education made his brand name more popular in Sri Lanka’s Educational Sector, in which he made the possibility of modernising children’s education into a reality, hence his online educational platform DP Education.
DP Education was appraised on an international level, where Perera’s commitment to DP Education school was recognised as the number one digital educational platform in Asia. DP Education paved the way for over 1.5 million Sri Lankan students to study courses, for free.
The DP Education IT Campus project initiated by Perera aiming the creation of one million jobs in the Information Technology field in Sri Lanka built 145 branches throughout the island, providing free online courses, especially targetting computer language-based modules, and making it possible for more than 135,000 students to study them.
The DP Education project, together with the DP Education IT Campus, paved the way for more than 250,000 children in Sri Lanka to study aiming career development, for free.
Perera remains the only candidate contesting the upcoming Presidential Election with a manifesto consisting of a formal and practical model for economic development in Sri Lanka and an action plan for nation-building.
August 01, Colombo (LNW): Pakistan looks to gain insights from Sri Lanka’s recovery from its economic crisis. Pakistan praised Sri Lanka’s leadership and its populace for managing the debt crisis effectively and expressed a desire to learn from Sri Lanka’s experiences.
On Tuesday, the Seventh Round of Bilateral Political Consultations between Sri Lanka and Pakistan concluded successfully at the Pakistani Foreign Ministry in Islamabad. This round marked a return to in-person meetings after a hiatus of over three years, with the previous round being held virtually in December 2020.
The consultations, which provided a thorough review of the current state of relations between the two countries, were co-chaired by Foreign Secretary Aruni Wijewardane of Sri Lanka and Pakistan’s Foreign Secretary Muhammad Syrus Sajjad Qazi.
Discussions covered a wide range of cooperative areas, including economy and trade, defense and security, education, culture, media and sports, consular issues, agriculture, and technology. Both sides also deliberated on their joint efforts in multilateral and regional forums.
The Sri Lankan delegation extended their gratitude to Pakistan for its unwavering support in various international forums over the years.
Pakistan’s delegation praised Sri Lanka for its successful stabilization of the debt crisis and noted that there are valuable lessons to be learned from Sri Lanka’s experience. Both nations underscored the significance of high-level political exchanges in strengthening their bilateral relations and discussed the possibility of a forthcoming visit by a foreign minister from Sri Lanka to Pakistan.
The delegations agreed on the importance of boosting connectivity and bilateral trade to foster economic growth, with a particular focus on enhancing air connectivity between the two countries. They also saw potential for increasing tourism and strengthening people-to-people ties through cultural, religious, and sports interactions.
Cooperation was also agreed upon in combating transnational organized crime, such as drug trafficking, which affects both countries.
At the end of the meeting, Foreign Secretary Aruni Wijewardane presented Foreign Secretary Muhammad Syrus Sajjad Qazi with five eye corneas donated by the Sri Lanka Eye Donation Society, continuing the longstanding tradition of Sri Lanka providing such donations to Pakistan.
The next session of Sri Lanka-Pakistan Bilateral Political Consultations is scheduled to take place in Colombo at a mutually agreed time.
August 01, Colombo (LNW): Thales and Just in Time Technologies (JITT) have secured a contract to provide biometric passports for Sri Lanka, with an initial batch of 100,000 chip-based passports due by July 2025. The agreement includes an annual supply of one million passports for five years, with the first biometric passports expected to be issued in January.
Initially, the Ministry of Public Security had called for international tenders to outsource the printing of five million ePassports over ten years. This tender was canceled when the Ministry decided that the Department of Immigration and Emigration’s (DIE) updated infrastructure could handle the printing. A new tender was then issued solely for the procurement of ePassport books. Thales and JITT won the tender.
DIE has mandated online applications for passports, limiting daily applications to 800, down from 3,000, causing public outcry and significant revenue loss. Controller General Harsha Illukpitiya explained that this measure aims to reduce congestion and manage the limited stock of machine-readable passports (MRPs) until the ePassports are rolled out next year.
Thales and JITT have since informed that the current DIE infrastructure cannot print the new ePassports, proposing instead to provide a complete printing infrastructure at a per-transaction fee. This proposal has led to a Cabinet paper seeking approval to proceed, which deviates from the original tender terms and violates government procurement policies.
This situation parallels the VFS Visa issuance controversy, where DIE paid a foreign company in Dubai for tourist visa processing, despite having a robust, cheaper system provided locally. The ePassport process seems to be heading in the same direction, with the Ministry supporting the new supplier against their own policies.
The tender documents required the selected company to have the necessary technology and expertise for secure biometric passport production, adhering to International Civil Aviation Organization (ICAO) standards. Developed and developing countries use ePassports for secure international travel.
The DIE has mandated prior online registration for passport applications until the ePassports are available. Recently, a lack of public awareness about this requirement led to large crowds at the DIE head office.
The government plans to replace the current N Series MRPs with ePassports by next year. After an eight-year delay, the project was reactivated, awarding Thales and JITT the contract to supply five million ePassports over ten years. The first batch of 100,000 ePassports is expected by January 2025, with an annual need for one million passports.
To meet current demand, 300,000 MRPs will be procured from the same company, bypassing the tender process and violating procurement policies. A Cabinet paper proposes overhauling the IT infrastructure for ePassport printing, expected to take 18 months, risking a passport shortage. The original tender was for ePassport books only, with printing to be done using the existing infrastructure.
Thales has proposed a fee-based personalisation system, stating that the current infrastructure cannot handle their ePassports. This would cost over Rs.1 billion and involve procuring their Public Key Infrastructure (PKI) system, essential for ePassport functionality. This proposal, submitted without a tender process, could result in significant public expense and the abandonment of the current personalisation system.
August 01, Colombo (LNW): Offering a sneak peek view of the consumer markets in the foregoing quarter, Ceylon Cold Stores PLC reported better top and bottom lines, which showed signs of continued recovery in consumer spending.
The John Keells Holdings subsidiary reported a top line of Rs.38.1 billion in the April-June quarter, the company’s first fiscal quarter (1Q25), up 10 percent from the same period in 2023.
The operating profits however surged by 69 percent to Rs.2.33 billion.The group’s manufacturing segment, which produces Elephant House-branded frozen confectioneries, beverages, dairy products and others, reported revenues of Rs.8.42 billion for the quarter, up 14.6 percent from the same period in 2023.
This reflects that the consumer is gradually returning to consumer discretionary items, which they for a long period stayed away from, due to the runaway inflation and also the sky-high interest rates, which effectively killed the demand for things other than for the staples.
Meanwhile, the group’s retail business, represented by the Keells Super supermarkets, also showed strengthening results, with the quarter registering a revenue of Rs.30.52 billion, which translated into an 8.4 percent growth from the same period a year ago.
The earnings of the two segments rose by at least three folds.The company, at a consolidated level, reported earnings of Rs.1.24 a share or Rs.1.17 billion for the quarter, compared to Rs.0.34 a share or Rs.322.17 million in the year earlier period.
The top and bottom-line performances are a reflection of a clear turnaround in the company’s performance across its two key business segments.
Meanwhile, the net finance cost also fell sharply by 38 percent to Rs.596.4 million in the quarter, partly as a result of the decline in the borrowings and also due to the softening interest rates.
Ceylon Cold Stores to a larger extent offers clues about the Sri Lankan consumer, as he is gradually picking up from the distressed conditions in the last two years.
The company’s higher top line shows that the consumer is loosening his purse strings while the expanding bottom line shows the company is benefitting from the cooler inflation and lower borrowing costs, in addition to its own efficiency enhancing measures.
The company’s share ended unchanged at Rs.56.10 yesterday. The company declared a first interim dividend of 73 cents.John Keells Holdings PLC owns a 70.66 percent stake in Ceylon Cold Stores.
August 01, Colombo (LNW): Minister of Power and Energy, Kanchana Wijesekera, has confirmed that the Ceylon Petroleum Corporation (CEYPETCO) will maintain an uninterrupted fuel supply across the country.
Announcing on ‘X’, he reassured that CEYPETCO holds a buffer stock of all fuel products.
He also mentioned that the refinery, currently undergoing its annual maintenance, will resume operations in mid-August.
Reviewed the fuel cargo plan for the next 6 months, stock availability, storage capacity, distribution plan, placement of orders and refinery operations with the CPC management yesterday.
The CPC maintains a buffer stock of all products and will continue an uninterrupted supply… pic.twitter.com/zP6ukFLL9A
This update followed a comprehensive review of the fuel cargo plan for the next six months, stock levels, storage capacity, distribution strategy, order placements, and refinery operations with the CEYPETCO management.
Additionally, the minister reviewed stock and cargo plans of Lanka Indian Oil Company (LIOC), China Petroleum & Chemical Corporation (Sinopec), and US-based RM Parks Inc.
