June 24, Colombo (LNW): President Ranil Wickremesinghe is set to deliver a national address on Wednesday (26).
During his speech, the President will outline the current economic situation and update the public on the progress of foreign debt restructuring.
Ravi Karunanayake, the national secretary of the United National Party (UNP), has suggested that the President’s address will offer significant relief to the citizens.
June 24, Colombo (LNW): The Central Bank of Sri Lanka (CBSL) has appointed two new Deputy Governors, effective this week.
Assistant Governor and Secretary to the Governing Board A. A. M. Thassim and Assistant Governor J. P. R. Karunaratne have been elevated to Deputy Governor roles, with their appointments effective from June 20 and June 24, respectively.
The CBSL announced that these appointments were made by the Minister of Finance, following the recommendations of the CBSL Governing Board, in accordance with the Central Bank of Sri Lanka Act, No. 16 of 2023.
Mr. A.A.M. Thassim brings over 31 years of experience at the CBSL, having worked in various departments including Banking Supervision and Regulation, International Operations, Communication, Payments and Settlements, the Employees Provident Fund, Finance, Risk Management, Deposit Insurance, Security Services, and Information Technology.
He has also been part of several high-level internal committees focused on monetary policy, financial system stability, and international reserves.
Mr. J. P. R. Karunaratne has served the CBSL for over 33 years, with extensive experience in the supervision and regulation of banks and non-bank financial institutions, currency management, public debt, Secretariat, finance, policy review, and monitoring.
He has held positions as Director of Supervision of Non-Bank Financial Institutions (DSNBFI) and Superintendent of Currency (SC), contributing significantly to the strengthening and consolidation of the non-bank financial sector’s legal and regulatory framework.
June 23, Colombo (LNW): The Education Ministry has confirmed that school activities will proceed as normal tomorrow (24).
This announcement comes in response to a planned strike by non-academic educational staff.
The union intends to initiate a sick leave campaign across three provinces tomorrow and in the Western Province on Tuesday (25).
June 23, Colombo (LNW): Rail services on the Up-country Line have been restored after approximately nine hours of disruption caused by fallen trees, according to reports.
The interruption occurred due to several trees falling onto the tracks between Inguru Oya and Galabada railway stations early this morning (23).
In response, the Department of Railways temporarily restricted train services on the Up-country Line.
June 24, Colombo (LNW): President Ranil Wickremesinghe reaffirmed Sri Lanka’s firm stance on the Gaza Strip conflict, emphasising the country’s commitment to supporting the establishment of a Palestinian state within five years.
The President made these remarks during a special service held today (23rd) at the New Kathankudy Grand Jummah Mosque for those affected by the Gaza conflict. The service was led by Maulavi Harith.
In a notable act of solidarity, the New Kathankudy Grand Jummah Mosque donated ten million seven hundred and sixty-nine thousand four hundred and seventeen rupees (Rs. 10,769,417) to the “Children of Gaza” Fund, which was established under the President’s directives to support children impacted by the conflict in Gaza.
The trustees of the mosque presented the donation cheque to the President during the ceremony.
President Wickremesinghe also engaged with the devotees attending the special service, participating in friendly conversations and posing for several selfies, which fostered a warm and inclusive atmosphere.
By: Staff Writer
June 23, Colombo (LNW): New service terminal entitled “Gold Route” at the Bandaranaike International Airport (BIA) for high income earning passengers has now become very popular and it is estimated to attract over 2500 passengers by the end of this year, aviation ministry sources disclosed.
There is a similar VIP terminal at the BIA, which is afforded to Government officials and politicians, at no cost.
Passengers coming in will have to pay USD $200 and the service can be pre-booked on http://Www.airport.lk
It will be achieving a significant growth and revenue milestones by providing a premium airport experience for passengers travelling through the Bandaranaike International Airport (BIA).
High official of the Airport and Aviation Services (Sri Lanka) (Pvt) Limited (AASL) said the total number of passengers using the ‘Gold Route’ fast track service is expected to exceed 2,500 by the end of 2024.
The ‘Gold Route’ service was launched in August 2022 to provide a premium airport experience for passengers travelling through the BIA and it has reported remarkable success generating a total income of over USD 400,000 (Over Rs.124 Million).
International aircraft movements have also increased by around 24.52% and cargo movements have increased by around 28.29% during the same period.
In August 2022, the Gold Route service has served over 1,900 passengers who looked for luxury in their travel through the BIA.
Accordingly, the data reveals a clear upward trend in passenger movements, starting with a modest 165 in 2022, surging to 1,078 in 2023, and already recording over 600 movements in the first five months of 2024.
This strong start to the year suggests the potential to surpass the previous year’s total by the end of 2024.
According to many researches conducted to explore the factors affecting luxury travel, increased affluence, rise of the millennial travel, the travellers’ desire for experiences, the growth of online platforms, travel to exotic destinations, etc. could be highlighted.
The revenue continues to grow in 2024 and it has recorded over 30% growth in the first five months of 2024 in comparison with 2023 showcasing a robust upward trajectory.
Monthly trends indicate significant growth, with peaks in December and January, and a notable surge in late summer, particularly in August.
These patterns are crucial for planning and resource allocation for the service uplift for the passengers who seek luxury in their journey.
Further, the Gold Route service has served many high-end international travellers including top business professionals, entrepreneurs, celebrities, sportsmen, etc. fulfilling their unique needs.
Meanwhile, the aviation industry in Sri Lanka has seen a significant increase in international passenger movements, with a growth of 29.42% from 2023 to the first five months of 2024.
By: Staff Writer
June 23, Colombo (LNW): Sri Lanka is used to repay in instalments tos settle around US $2.2bn in Asian Clearing Union ACU credit and $400mn swap to India, via the two countries’ central bank.
According to IMF staff report on the first review of the EFF program has revealed that these two will be combined into one $2.6bn bilateral swap and repaid to RBI in tranches through 2023-2026.
Given that these two facilities were initially provided in early-2022 as short-term instruments, this is essentially a de-facto restructuring, several economic analysts said.
Earlier in the year Indian emergency financing facilities to Sri Lanka in 2022 amounted to about $4bn, of which about $3.3bn was utilized in 2022.
The biggest portion of this financing came through $2bn in Asian Clearing Union (ACU) trade liabilities. A further $400mn swap was provided by the Reserve Bank of India (RBI).
Sri Lanka’s central bank has repaid 225 million US dollars to the Reserve Bank of India in the first quarter of 2024, on top of earlier repayments, official data shows.
In October 2023 the Sri Lanka gave a Treasury guarantee to cover a 2,601.43 million dollar credit from RBI to Sri Lanka’s central bank.
Sri Lanka’s got deferred payments due to India via the Asian Clearing Union during the worst currency crisis triggered by rate cuts since the creation of the central bank.
According to official data the outstanding debt due to the Reserve Bank of India fell to 2,226.43 million US dollars by end March 2024 from 2,451.43 million dollars in December.
From October the central bank had repaid 375 million dollars to India.Sri Lanka has repaid debt and also collected reserves by avoiding precipitate rate cuts.
Repaying foreign debt or collecting foreign reserves requires interest rates to be kept a little higher to crowd out domestic credit and investments.
However, if rates are cut, claiming historical inflation was low, and the blow market rates are enforced with open market operations, forex shortages will develop and reserves will be run down.
Analysts have said that RBI loans and swaps, which were used to intervene in forex markets, also led to their sterilization with new money effectively re-financing private sector credit and delaying a correction the balance of payments.
Through the repayment extension to 2026, the RBI has contributed implicitly to a limited extent to debt relief in the near term and increased the CBSL’s space to maneuver in terms of foreign currency and reserves in 2024.
Especially to meet the IMF expectation of raising gross reserves from $3.6bn at end-Nov to $3.8bn at end-2023 and further to $5.3bn at end-2024.
June 23, Colombo (LNW): The Public Utilities Commission of Sri Lanka has declined to grant approval for the allocation of the 484 MW wind power plant in Mannar and Pooneryn to Adani Green Energy SL Ltd. (AGESL).
The decision came as the Commission found that the information provided by the Ceylon Electricity Board (CEB) was insufficient to assess the project’s cost-effectiveness and technical suitability.
In a communication addressed to the Acting General Manager of the CEB, the PUCSL highlighted several crucial gaps in the submission:
The PUCSL’s correspondence urged the CEB to furnish additional details, including the aforementioned documents and findings from an interconnection and operational evaluation.
The Commission stipulated that its approval hinged on the CEB’s provision of these particulars and justifications.
June 23, Colombo (LNW): The Ministry of Women, Child Affairs and Social Empowerment has confirmed an increase in the allowance for preschool teachers, starting this month.
Secretary Yamuna Perera stated that Divisional Secretariats have been notified of this change.
This update was communicated through an extraordinary gazette notification.
Currently, preschool teachers receive an allowance of Rs. 2,500, but recent cabinet approval has raised this amount to Rs. 5,000.
