By: Staff Writer

July 23, Colombo (LNW): Sri Lanka Export Development Board (EDB) in collaboration with the Sri Lanka Embassy in Jakarta organised a briefing session to discuss on “Indonesian investment opportunities for foreign investors” with the Directorate of Investment Promotion of Indonesia and the Ministry of Investments of Indonesia on 12 July.

The main focus of this session was on the construction, power and energy sectors, to provide Sri Lankan industry representatives with valuable insights on investment/tender opportunities available for foreigners in Indonesia in the construction and energy sectors, how a company can become a part of Indonesian projects, what the requirements are to be met, limitations in financial transactions and tax structure for foreigners.

The discussion was conducted for industry representatives of construction services and power and energy services sectors to make them aware of potential business partnerships in Indonesia. This awareness will help to Sri Lankan industrialists to develop effective business strategies for the Indonesian market in the coming years. 

The guest speakers from Directorate of Investment Promotion of Indonesia and the Ministry of Investments of Indonesia to the discussion were Investment Promotion for East Asia, South Asia, Middle East and Africa Director Cahyo Purnomo and Hydro Energy PT PLN (Persero) Vice President Hendro Prasetyawan. They delivered industry presentations on “Investment Policy and Opportunities in Indonesia” and “Renewable Energy Procurement System in Indonesia.”

Purnomo highlighted that Indonesia’s competitiveness is upfront in the IMD World Competitive ranking and now in the top three countries in Asia as per economic performance, business competitiveness, government efficiency and infrastructure.

Also the five main sectors of investments from Sri Lanka during the last five years were the food industry, chemical, pharmaceutical industry, trade, and residential, industrial and office areas.

 Also Indonesia is very open for capital movement and offers non-discriminatory treatment for foreign investors, taking a balanced approach on domestic investment and foreign investments. For electricity projects there is an investment scheme where the maximum allocation for foreign investments is 10MW up to 100% for EPC (Contractor), PPU (Private Power Utility), IPP (Independent Power Producer) and PPP Public Private Partnership).

The significant fact that for business fields in the green economy provides 100% foreign ownership. Highlighting the fact that Indonesia is opened for foreign skilled professionals under working visas/permits in the fields of engineering, directors and technical experts, and so on.

Prasetyawan, expressed that in the renewable energy sector projects, many investors come from Korea, Europe and China. They are contracted with local partners and engage in projects under open tenders. Representing the Sri Lanka Embassy First Secretary, Nilanthi K. Pelawaththage and Sri Lanka- Bangladesh Committee Chairman Indonesian Chamber of Commerce and Industry Deepak Samtani also participated. EDB Director (Export Services) Indumini Kodikara conducted the session and Assistant Director (Export Services) Kumuduni Irugalbandara coordinated the event.

By: Staff Writer

July 23, Colombo (LNW): The Government of Japan is continuing its support for Sri Lanka by strengthening its health programs through effective and safe immunization in collaboration with national health authorities.

This effort is part of the project titled “Strengthening Immunization Programs in Pacific Island Countries,” which UNICEF and WHO, with their expertise and proven systems, will implement in five island countries.

The Ministry of Health in Sri Lanka has received nine refrigerated trucks procured by UNICEF, funded by the Government of Japan, to enhance the vaccine delivery system for children across the country.

The trucks were handed over by H.E. MIZUKOSHI Hideaki, the Ambassador of Japan to Sri Lanka, and Ms. Begoña Arellano, Acting UNICEF Representative in Sri Lanka, during a ceremony at the Ministry of Health. They were received by the Minister of Health, Dr. Ramesh Pathirana.

Dr. Pathirana, speaking at the handover ceremony, expressed gratitude for the support from the Government of Japan and UNICEF. He emphasized that immunization is a crucial pillar of Sri Lanka’s healthcare system and that the refrigerated trucks would significantly improve the Ministry of Health’s ability to transport vaccines safely and promptly.

The trucks are part of a larger contribution totaling US$ 3 million from the Government of Japan. This funding has also provided cold chain equipment, including large walk-in cold rooms for storing vaccines at safe temperatures, portable vaccine carriers, and temperature monitors. These items have been intermittently handed over to the Ministry of Health since 2021.

MIZUKOSHI Hideaki, the Japanese Ambassador to Sri Lanka, highlighted the significance of these refrigerated trucks as a symbol of Japan’s enduring commitment to Sri Lanka’s public health efforts. He noted that these trucks are vital for the seamless transportation of vaccines across the nation, ensuring every community receives necessary protection against preventable diseases.

The trucks will facilitate the transportation of vaccines from central to regional storehouses and onward to health facilities. Vaccine carriers and cold boxes have already been procured and distributed to Medical Officers of Health offices and hospitals.

Ms. Begoña Arellano, Acting UNICEF Representative in Sri Lanka, emphasized the importance of vaccination in protecting children from preventable diseases and ensuring their healthy lives. She noted that vaccines are temperature-sensitive and must be transported under appropriate conditions.

The refrigerated trucks will help ensure that every child in Sri Lanka receives the right vaccine at the right time. She also acknowledged the long-standing support of the Government of Japan and the collaboration with the Ministry of Health in improving the health of children in the country.

Over the years, the Government of Japan has made significant contributions to support the joint efforts of UNICEF and the Ministry of Health in addressing both the long- and short-term health needs of children in Sri Lanka.

By: Staff Writer

July 23, Colombo (LNW): Sri Lanka’s agricultural export sector has seen significant growth in the first half of 2024, outperforming the previous two years, according to B.L.A.J. Dharmakeerthi, Secretary to the Ministry of Agriculture and Plantation Industries.

 This resurgence is credited to decisive actions taken to reverse the decline in agricultural export earnings noted in 2023 compared to 2022.

Dharmakeerthi highlighted that this progress was achieved despite challenging weather conditions. Proactive measures implemented in 2023 paved the way for substantial sector growth in the initial six months of 2024.

These advancements are particularly noteworthy given the adverse weather conditions, marking a significant triumph for the sector.

Dharmakeerthi provided specific examples of the sector’s recovery. Tea exports surged from USD 407.6 million in April 2023 to USD 450.5 million in April 2024.

Similarly, coconut exports rose from USD 212 million to USD 263 million over the same period. Rubber exports also showed robust growth, climbing from USD 299 million to USD 335 million by April 2024.

Additionally, cinnamon export income increased from USD 53.3 million to USD 56.1 million, while pepper export income rose from USD 13.3 million to USD 14.0 million during the corresponding period.

The agricultural sector, known for its volatility, faced challenges last season due to decreased tea production, which led to increased demand for fertilizers.

In response, a special program was launched to ensure an adequate supply of fertilizers. This initiative included subsidizing fertilizer costs by Rs.2000 per 50 kg bag. Currently, 10,000 metric tons of tea fertilizer have been distributed to growers, with plans to allocate the remaining 20,000 metric tons through collaboration with tea factory owners and other stakeholders.

To bolster tea production, a subsidy project supporting replanting and new cultivation across 745 hectares has been ongoing since 2022, with Rs.140 million disbursed to 324 growers thus far. Additionally, a new initiative commenced in 2024 to plant 800,000 tea saplings, backed by an allocation of Rs.60 million.

Under the financial oversight of the Sri Lanka Tea Board, the Small Tea Estate Development Authority is set to implement a direct tea cultivation project, with Rs.750 million earmarked for this purpose.

Coconut-related products have contributed equally to foreign income as coconut milk products. In 2022, coconut-related exports generated a record income of USD 817 million.

Despite a decline in coconut production in 2023 due to whitefly disease, effective regulatory and control measures ensured a country income of USD 700 million. As of April 2024, earnings reached USD 263.06 million, marking a 24% increase compared to the previous year.

In terms of rubber cultivation, new plantings covered 921 hectares in 2022 and 2023, while replanted areas spanned 2,743 hectares. Plans for 2024 include cultivating 1,135 hectares of rubber, with 605 hectares newly planted and 415 hectares replanted.

A provision of Rs.149 million has been allocated for supplying necessary plants for this expansion. Starting from 2023, the department discontinued the previous rubber cultivation subsidy system, opting instead to provide free plants as subsidies to growers.

July 23, Colombo (LNW): The Cabinet of Ministers has approved a proposal to provide relief to individuals who have pawned gold jewellery in banks.

The Cabinet Office announced that the severe recent economic crisis has significantly impacted all sectors, leading to a rapid increase in gold pawning.

Mortgage advances have surged from Rs. 210 billion in 2019 to approximately Rs. 571 billion by March 2024.

Recognising the need to support low-income individuals with mortgage advances from licensed banks, a programme will be implemented to offer an interest subsidy of up to 10 per cent per annum for loans not exceeding Rs. 100,000 taken on or before 30 June 2024.

This proposal, presented by President Ranil Wickremesinghe in his capacity as Minister of Economic Stabilisation and National Policy, has received Cabinet approval.

July 23, Colombo (LNW): The Sri Lankan Rupee (LKR) experienced a slight decline against the US Dollar on July 23, compared to the previous day, as per the official exchange rates released by the Central Bank of Sri Lanka (CBSL).

The buying price of the US Dollar increased to Rs. 299.29 from Rs. 298.89, amd the selling price to Rs. 308.54 from Rs. 308.19.

Additionally, the LKR has depreciated against several other foreign currencies, including those from the Gulf region.