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Liquor production and revenue surge by 22% and 23% respectively

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March 09, Colombo (LNW): A recent meeting of the Committee on Public Finance (CoPF), chaired by MP Dr. Harsha de Silva, revealed a significant rise in the production of alcohol in the country, which has increased by 22 per cent over the past two months.

Alongside this, the revenue generated from the liquor industry has grown by 23 per cent, indicating a notable expansion in both production and consumption.

Officials from the Ministry of Finance, presenting their findings to the committee, noted that the government is working on introducing a new category of alcohol.

The aim of this initiative is to curb the consumption of illicit liquor, which remains a persistent issue in many parts of the country.

As part of the discussions, the committee also reviewed and approved a proposal to raise the excise duty on alcoholic beverages, under Excise Notification No. 01/2025, as per Section 22 of the Excise Ordinance (Chapter 52).

The move is expected to generate additional revenue for the state, but it has raised concerns among several members of Parliament.

Some MPs expressed reservations that the increase in excise duties might inadvertently push more individuals towards the illegal production and consumption of alcohol.

They highlighted the risks of driving the market for illicit liquor underground, where it could be sold without regulation and at potentially dangerous levels of alcohol content.

In response to these concerns, Ministry of Finance officials reassured the committee that steps are being taken to combat the production and distribution of illicit liquor.

They noted that raids targeting illegal operations are being carried out regularly and systematically to reduce the prevalence of unregulated alcohol.

Police witness major reshuffle: Four SSPs appointed as Acting DIGs, 28 OICs transferred

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March 09, Colombo (LNW): In a recent reshuffle within the Sri Lanka Police Force, four Senior Superintendents of Police (SSPs) have been promoted to the position of Acting Deputy Inspectors General (DIGs), effective immediately.

SSP M.N.S. Mendis has been assigned to serve as the Acting DIG for the Batticaloa District, where he will oversee law enforcement operations and ensure the maintenance of public order.

Meanwhile, SSP W.P.J. Senadheera has been appointed as the Acting DIG responsible for the Western Province Traffic Division, a role crucial for managing traffic-related challenges in the region.

In addition, SSP D.M.M.A.B. Mahagiriulla has been designated as the Acting DIG in charge of the Ratnapura District, a position that will require him to manage police affairs in the district, known for its vibrant agricultural and mining sectors.

Lastly, SSP K.M.U.P. Kaluapahana has been appointed as the Acting DIG for the Monaragala District, where he will be tasked with overseeing policing in a predominantly rural area.

Alongside these high-level appointments, the police force has also seen the transfer of five other SSPs, who will take on new responsibilities within different regions.

Additionally, 28 Officers in Charge (OICs) have been reassigned to new posts, further reshaping the leadership across the island’s police stations.

The police media division confirmed that these changes were made following the approval of the National Police Commission, underscoring the careful consideration and oversight involved in these appointments and transfers.

Postal Dept to expand international courier service to 59 countries

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March 09, Colombo (LNW): The Department of Posts has announced plans to extend its international courier service, broadening its reach from 46 to 59 countries.

This expansion aims to improve connectivity for individuals and businesses wishing to send legal documents and other items abroad.

Deputy Postmaster General, Thusitha Hulangamuwa, revealed that the service would now cater to a wider array of destinations, making it easier for both personal and organisational correspondence to be sent internationally.

The service will allow for the secure dispatch of any legal letters or parcels to recipients worldwide.

Hulangamuwa further highlighted that parcels and documents can be handed over for dispatch at more than 4,000 post and sub-post offices scattered across the country.

This extensive network will provide convenient access to those looking to use the service, no matter where they are located on the island.

One of the key benefits of the service is its affordability, as it offers the lowest rates for international courier services, all under the supervision of the state.

The Deputy Postmaster General also assured that items sent through this service would reach their destinations within seven days, ensuring timely deliveries for both urgent and routine matters.

57 independent groups and 18 political parties submit bonds for LG Polls

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March 09, Colombo (LNW): In preparation for the upcoming local government elections, a total of 57 independent groups and 18 political parties have successfully deposited bonds, confirmed the Election Commission.

The bonds, which are required for participation in the elections, have been submitted for 168 local government institutions across the country.

The collection period for deposit bonds began on March 03 and is set to conclude on March 19, 2025, as part of the ongoing preparations for the elections.

In a key development, the submission of nominations for the elections will open on March 17, marking the next step in the electoral process.

In a bid to ensure fairness and transparency during the campaign period, the National Election Commission has also issued a special circular to prevent the misuse of state resources and property.

This directive has been distributed to ministry secretaries, the general secretaries of provincial councils, commission secretaries, district secretaries, and heads of all relevant government institutions.

The circular aims to provide clear guidelines to prevent any potential abuse of public assets during the election period.

IndiGo Airlines to launch daily flights between Tiruchirappalli and Jaffna

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March 09, Colombo (LNW): IndiGo Airlines has unveiled plans to commence daily direct flights between Tiruchirappalli in India and Jaffna in Sri Lanka, with the new service set to begin on March 30, 2025.

This new route has been introduced in response to increasing demand for better connectivity between South India and Sri Lanka’s northern region, particularly Jaffna, which has witnessed growing interest from both business and leisure travellers.

The daily flights will offer passengers a convenient and efficient travel option, reducing travel time and enhancing the overall accessibility between these two vibrant regions.

The new service is expected to play a pivotal role in strengthening bilateral ties, fostering economic collaboration, and promoting cultural exchange between the Indian subcontinent and Sri Lanka.

Vinay Malhotra, Head of Global Sales at IndiGo, expressed his enthusiasm for the launch, noting that the new route is a natural extension of the airline’s successful Chennai-Jaffna service.

He highlighted the airline’s commitment to expanding its network in the region, aiming to provide even greater travel options to passengers. “We are excited to further enhance connectivity between India and Sri Lanka. This new service will not only support tourism and business but also contribute to deeper cultural ties,” Malhotra remarked.

In addition to this new route, IndiGo has also announced that it will be operating more than 60 weekly flights to Sri Lanka from various Indian cities, including Chennai, Bangalore, Hyderabad, Mumbai, and Tiruchirappalli.

Justice Minister pledges swift action on ban of corporal punishment for children

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March 09, Colombo (LNW): Minister of Justice and National Integration, Harshana Nanayakkara, has confirmed that urgent action will be taken to pass a bill outlawing corporal punishment against children.

The announcement was made during a debate in Parliament on March 8, in which Nanayakkara responded to remarks made by Opposition Leader Sajith Premadasa.

The debate, which centred on the allocation for the Ministry of Women and Child Affairs, saw Premadasa stressing the importance of enshrining the rights of women and children within the nation’s constitution.

He proposed amendments to the Constitution to ensure stronger protections for these vulnerable groups, aligning the country more closely with international standards for human rights.

Premadasa went a step further, suggesting the creation of two dedicated presidential task forces—one focused on the welfare of children and youth, and another aimed at addressing the specific needs of women.

His proposal was met with a positive reception, highlighting a growing commitment to the protection and advancement of women’s and children’s rights in Sri Lanka.

In his response, Minister Nanayakkara acknowledged the critical role that robust legislation plays in safeguarding these rights.

He agreed with the Opposition Leader’s proposal to amend the Constitution but also emphasised that legal reforms alone would not be enough to shift societal mindsets.

Can we truly change societal attitudes purely through the enactment of laws?” Nanayakkara asked. “Attitudes are shaped early in life, particularly in childhood. If we want to build a society where women are treated with respect and dignity, that process must begin in the home, where children learn the values of kindness and equality.

The Minister stressed the vital importance of fostering respect for women from an early age, suggesting that parents play a key role in shaping the next generation’s attitudes towards gender equality.

By educating children to respect one another, he argued, society could gradually evolve towards a safer, more equitable environment for all.

Nanayakkara also reiterated his commitment to addressing the issue of corporal punishment in schools and homes.

He underscored the need for a clear legal prohibition against such practices, which he described as harmful to children’s well-being.

We cannot allow corporal punishment to continue, as it causes lasting harm to children,” he said. “The draft for a bill to prohibit corporal punishment is already in place, and as Minister of Justice, I am determined to bring this bill to Parliament as soon as possible.

The bill, once passed, would mark a significant step in the protection of children’s rights and welfare in Sri Lanka, ensuring that disciplinary measures do not involve physical harm.

Prime Minister pledges immediate action on educational reforms and fund collection practices

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March 09, Colombo (LNW): Prime Minister Dr. Harini Amarasuriya has emphasised that the ongoing issues within Sri Lanka’s education system largely stem from flawed policy implementation and undue political influence.

She assured the public that swift measures would be taken to investigate the controversial practice of collecting funds in schools for various purposes, in response to concerns raised in Parliament.

The Prime Minister’s comments were made during the inaugural session of the Advisory Committee for the Ministry of Education, Higher Education, and Vocational Education.

Addressing questions from lawmakers, Dr. Amarasuriya expressed her commitment to tackling the root causes of these challenges.

She went on to outline the government’s ambitious educational reform plans, which are set to unfold in 2026. These reforms will be built around five critical pillars: introducing an updated curriculum, enhancing the development of human resources, improving infrastructure, increasing public awareness of the changes, and instituting regular evaluations to monitor progress and effectiveness.

A consensus was reached during the session to establish subcommittees that will work on the practical implementation of these reforms, according to a statement from the Prime Minister’s Media Division.

These subcommittees will be tasked with developing concrete steps and timelines for each of the reform pillars.

In addition to addressing systemic concerns, the Prime Minister acknowledged the urgent need to address disparities between schools. She proposed conducting physical inspections of educational institutions across the island to assess their infrastructure needs.

Priority will be given to resuming stalled construction projects and ensuring that schools with unsafe conditions are renovated and upgraded.

Furthermore, the Prime Minister highlighted the growing shortage of teachers, particularly in rural and underserved areas.

She outlined plans to facilitate the transfer of teachers to areas in need, fill vacancies for principals, and resolve ongoing administrative issues that have hindered the smooth operation of both national and provincial schools.

The meeting was attended by a range of key stakeholders, including Deputy Minister of Education Madhura Senawirathna, government and opposition MPs, Secretary to Parliament Kushani Rohanadheera, Secretary to the Ministry of Education Nalaka Kaluwewa, and various senior officials from the Ministry of Education, Higher Education, and Vocational Education.

Brief break in dry spell as showers expected across island (Mar 09)

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March 09, Colombo (LNW): The Meteorology Department in its daily weather forecast today (09) has predicted a temporary shift in the current dry conditions across the island, with rain showers anticipated over the weekend, specifically on March 10 and 11.

This change in weather is expected to bring some relief to areas that have been experiencing prolonged dry spells.

Whilst the showers will be scattered, the Eastern and Uva provinces are likely to see the most significant rainfall, with some areas possibly receiving light to moderate showers.

In particular, the Eastern coastal regions could experience brief rainfall overnight on March 9, continuing into the morning hours of March 10.

Additionally, thundershowers may develop in several districts, including Galle, Matara, Kalutara, and Ratnapura, later in the day or during the evening.

These conditions may result in localized flooding or disruptions, so residents in these areas should remain alert.

The Met Department has also warned of misty conditions in the early hours, especially in the central highlands and other elevated regions.

Drivers are advised to exercise caution due to reduced visibility during the morning hours.

Whilst the forecast indicates a temporary break from the dry weather, the island is expected to return to more stable conditions shortly thereafter.

Sri Lanka’s Official Reserve Assets Increase to USD 6.095 Billion in February

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Sri Lanka’s Official Reserve Assets recorded a 0.5% increase in February 2025, reaching USD 6.095 billion, compared to USD 6.065 billion in January 2025, according to data released by the Central Bank of Sri Lanka (CBSL).

Foreign Exchange Reserves Show Growth

  • The primary component of official reserve assetsforeign exchange reserves, saw a 0.7% rise, increasing from USD 5.986 billion to USD 6.031 billion during the same period.
  • The increase reflects improved foreign currency inflows and stabilization measures taken by the monetary authorities.

The gradual improvement in Sri Lanka’s foreign reserves signals positive economic momentum, supporting exchange rate stability and external debt management.

Modernised IRD and Revenue Authority to change fiscal landscape  

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The Inland Revenue Department (IRD) is currently undergoing a modernisation process to support recent tax policy reforms moving towards the automation of its core activities in a bid to improve efficiency, transparency and financial flexibility, finance ministry sources proclaimed.

The online portal is being upgraded to simplify individual income tax filing and accelerate outreach to re-register VAT taxpayers who dropped out and finalise improvements of the Random Access Management Information System (RAMIS) soon. 

RAMIS will be used to support the assessment of 2022/23 income tax returns and to administer and assess the Social Security Contribution Levy (SSCL) by end June 2024, with a view to reducing interactions between taxpayers and tax officials, a senior IRD official said. . . 

“We will more broadly ensure that processing tax collections is only carried out through RAMIS as of June 2024.”, he added. 

 The finance ministry has developed a medium-term IRD modernisation strategy and Implementation Plan with IMF assistance and will have it fully documented and endorsed for implementation soon. .

 Meanwhile the ministry is drafting legislation to create a semi-autonomous Revenue Authority, incorporating initially the Inland Revenue Department, and later the Customs and Excise departments. 

The aim is to strengthen revenue collection in the long-term and increase revenue administration professionalism and effectiveness. 

However he noted  that creation of such new institution will take time and will require significant resources, and every effort will be made to ensure that this does not undermine the effort to increase revenues.,

The finance ministry will consult with IMF experts before taking further steps in establishing the Revenue Authority.

It will obtain cabinet approval by August 2024 for an information technology strategic plan to deliver the RAMIS (version 3.0) with the needed functionality enhancements and design improvements 

(RAMIS) installed at the Inland Revenue Department (IRD) is to be reactivated changing the original design and software system, finance ministry sources disclosed.        

The new system will reverse the unintended consequences of the original design that resulted in even more discretion and interaction between revenue officials and taxpayers, and a misutilisation of scarce IRD resources, he said. 

Moreover there have been some encouraging developments in public procurement process, such as developing the Procurement Management Information System (PROMISe) which is being developed but is currently in a pilot phase. 

It has the potential to be a key tool for improving the integrity of public procurement by enabling better processing, tracking, recording, reporting, and publicising procurement actions and  outcomes,he added.