Senior Professor Wasantha Athukorala from the University of Peradeniya’s Economics and Statistics Department commended the Government’s efforts under the “Clean Sri Lanka” initiative, aimed at transforming a nation hindered by corruption, fraud, and mismanagement for 76 years.
Prof. Athukorala highlighted the importance of accelerating economic growth in 2025, building on the significant achievements of the past year. He outlined key milestones in the country’s recovery journey, including:
Achieving 5% overall economic growth and nearly 10% growth in the industrial sector in 2024.
Successfully controlling inflation and reducing interest rates to encourage business activities.
Stabilising the Sri Lankan Rupee and increasing foreign reserves through effective Central Bank policies.
He stated that these achievements laid the groundwork for sustained growth, urging the Government to aim for 8% to 10% economic growth in 2025. Such progress, he explained, would reduce the risks associated with repaying foreign and domestic debt and position Sri Lanka as a rapidly developing nation.
Prof. Athukorala also stressed the need for the upcoming national budget, set to be presented in February, to include creative and impactful solutions to longstanding economic and social challenges.
He called for collective responsibility, noting the current widespread societal opposition to corruption and inefficiency. “Both political leaders and citizens are demanding a transformation into a state free from fraud and bribery. Stabilising the economy and society is essential to achieving this goal,” he said.
The professor concluded by emphasizing that the success of the “Clean Sri Lanka” initiative depends not only on Government reforms but also on active participation and commitment from all sectors of society.
The Excise Department reported a total revenue of Rs. 227 billion for 2024, narrowly missing the Government’s target of Rs. 232 billion. Despite falling short, the department demonstrated strong performance in certain months, with December recording the highest revenue of Rs. 26 billion.
However, May saw the lowest revenue generation, with Rs. 14.3 billion. Other notable figures include Rs. 23.1 billion in April, Rs. 20.3 billion in August, and Rs. 20 billion in November.
A spokesperson for the department attributed the shortfall in meeting the annual target to the increasing prevalence of illegal alcohol consumption, which poses a significant challenge to legitimate revenue collection. The department’s efforts to curb illicit activities and sustain revenue generation remain a critical focus for the upcoming year.
The Sri Lanka Transport Board (SLTB) incurred a loss of Rs. 3.01 billion in 2024 during the procurement of 500 buses, according to a report by the National Audit Office. The buses, initially estimated to cost Rs. 5 million each, were purchased at Rs. 11.02 million, resulting in an overpayment of Rs. 6 million per bus.
The loss occurred due to changes made to the original procurement decision under verbal instructions from the Transport Minister, which lacked scientific justification. The SLTB had initially planned to utilize the remaining US$ 20 million from an Indian loan agreement to replace aging buses over 15 years old and ensure uninterrupted urban transportation services.
The procurement process began on May 23, 2018, to purchase 400 buses with 50-54 seats and 100 buses with 32-35 seats. However, on January 1, 2020, the Transport Minister altered the plan to procure 500 smaller buses with 32-36 seats and 100 buses with 42-45 seats. Subsequently, on January 3, 2023, a decision was made to procure 500 Ashok Leyland Kynx buses with 32 seats each at US$ 26,662.50 per bus, amounting to a total payment of Rs. 5,551 million.
The National Audit Office highlighted the absence of transparent decision-making and adherence to proper procurement guidelines, which led to the inflated costs. This financial mismanagement raises concerns over the efficient use of public funds and emphasizes the need for accountability in such processes. The overpayment represents a significant missed opportunity to allocate resources to other critical sectors, underlining the importance of stringent oversight in public sector procurements.
Prevailing showery condition in the Northern, North-central, Eastern, and Uva provinces is expected to reduce temporally from today (03).
Several spells of showers will occur in Uva province and in Ampara and Hambantota districts.
Showers or thundershowers will occur at several places in Western, Sabaragamuwa and Central provinces and in Galle and Matara districts during the afternoon or night.
Fairly strong winds of (30-40) kmph can be expected at times over Northern, Eastern, North-central and North-western provinces and in Hambantota district.
Misty conditions can be expected at some places in Western, Sabaragamuwa and Central provinces and in Galle and Matara districts during the morning.
The general public is kindly requested to take adequate precautions to minimize damages caused by temporary localized strong winds and lightning during thundershowers.
January 02, Colombo (LNW): In a pioneering step towards transforming Sri Lanka’s technological landscape, Singer Sri Lanka has launched the country’s first AI-powered smart electronics store in collaboration with Samsung. The Samsung SmartThings store, located on Level 3 of One Galle Face Mall, aims to reshape the way Sri Lankans engage with AI-driven technology and smart living solutions.
The launch event, held on December 17, 2024, marked a significant milestone in the enduring partnership between Singer Sri Lanka and Samsung. The occasion was attended by key figures including Hayleys PLC Chairman Mohan Pandithage, Samsung Sri Lanka Managing Director SangHwa Song, and Singer Group CEO Mahesh Wijewardene, reflecting the strong commitment of both companies to technological innovation.
The Singer-Samsung SmartThings store offers a wide array of AI-powered devices, targeting tech-savvy consumers. Featuring everything from Samsung smart TVs, refrigerators, washing machines, and Galaxy smartphones to advanced home automation systems, the store is dedicated to enhancing lifestyles with the latest technology. This initiative aligns with Singer’s mission to elevate Sri Lankans’ living experiences through smarter, more connected solutions.
Singer Group CEO Mahesh Wijewardene emphasized the importance of the partnership with Samsung, stating: “Our goal has always been to bring the best global innovations to Sri Lanka. The launch of the Samsung SmartThings store reflects our vision of delivering intelligent solutions that enrich everyday life. We are proud to lead the way in transforming how technology enhances homes and lifestyles.”
Samsung Sri Lanka Managing Director SangHwa Song also shared his excitement about the launch, saying: “We are thrilled to introduce the Samsung SmartThings experience to Sri Lanka for the first time. This store represents our shared vision with Singer to drive innovation and improve lives through smarter solutions. Together, we aim to set a new standard in smart living.”
The store is designed to offer an immersive experience, allowing customers to explore and interact with the full potential of Samsung’s smart ecosystem, catering to the needs of consumers who value connected living.
The opening of the Samsung SmartThings store underscores the forward-thinking approach of both Singer Sri Lanka and Samsung, reinforcing their commitment to bringing cutting-edge technology to Sri Lanka and enhancing the lives of its people.
January 02, Colombo (LNW): The Colombo Stock Exchange (CSE) yesterday announced the appointment of Vindhya Jayasekera as the Chief Executive Officer (CEO)-designate, effective 1 January 2025.
Jayasekera will succeed the incumbent CEO Rajeeva Bandaranaike, who is due to retire during the course of 2025 after serving for 11 years in that capacity.
Jayasekera brings over two decades of extensive experience in capital markets, encompassing both buy-side and sell-side expertise across the investment banking and asset management industries.
Prior to her appointment at the CSE, she served as the Chief Investment Officer at NDB Wealth Management Ltd., where she led the asset management division, overseeing assets under management exceeding Rs. 380 billion.
During her tenure, she managed over Rs. 100 billion in mutual fund assets across eight funds with diverse risk-return profiles, incorporating investments in Treasury bills, bonds, debentures, corporate debt, and equity instruments.
Her career in finance began at NDB Investment Bank, and from the outset, she was an integral part of the teams that contributed to the successful execution of the two largest initial public offerings (IPOs) in the history of the CSE at the time.
Jayasekera was also selected as a Summer Associate at Lehman Brothers, USA, in 2007, under the prestigious ‘Fulbright–Lehman Brothers Outstanding New Leaders in Finance’ scholarship program.
In addition to her professional roles, Jayasekera serves as a visiting lecturer and resource person for many prominent academic and professional institutions, including the University of Colombo, the Financial Services Academy of the Securities and Exchange Commission of Sri Lanka (SEC), and the Centre for Banking Studies of the Central Bank of Sri Lanka. She delivers lectures on financial markets and related subject areas.
Jayasekera is a CFA Charter holder and a certified Financial Risk Manager (FRM) accredited by the Global Association of Risk Professionals.
She is also an Associate Member of the Chartered Institute of Management Accountants (ACMA) and holds the Chartered Global Management Accountant (CGMA) designation.
She is a recipient of the prestigious Fulbright Scholarship, under which she earned her Master of Science in Finance from the University of Illinois at Urbana-Champaign, USA, graduating with a medal for academic excellence.
Her academic foundation was established at the University of Moratuwa, where she graduated with First Class Honours in Bachelor of Science in Civil Engineering.
January 02, Colombo (LNW): Sri Lanka experienced a month-on-month (M-o-M) decline in both exports and imports in November 2024, although year-on-year (YoY) and cumulative figures showed growth, according to the latest data released by the Central Bank of Sri Lanka (CBSL).
Exports: A Marginal YoY Decline
Merchandise export earnings totaled $994 million in November, down from $1.15 billion in October. This represents a marginal YoY decrease of 0.5%, largely due to reduced mineral and industrial exports, despite an increase in agricultural exports. Cumulatively, export earnings for the first 11 months of 2024 amounted to $11.67 billion, up from $10.9 billion in the same period of 2023.
The decline in export earnings in November 2024 compared to November 2023 was primarily driven by lower export prices. The export volume index increased by 2.5%, but the unit value index dropped by 2.9%.
Notably, petroleum product exports surged by 27% to $70 million due to higher volumes, while agricultural exports grew by 6% to $228 million, supported by increased volumes of spices, tea, and coconut-based products. However, mineral exports plummeted by 91% to $1.5 million.
Imports: Higher YoY but Lower M-o-M
Imports in November amounted to $1.49 billion, down from $1.7 billion in October. However, YoY, imports grew by 7.7%, benefiting from a low base in November 2023. For the first 11 months of 2024, cumulative import value rose to $16.9 billion, up from $15.3 billion in the same period of 2023.
The increase in import expenditure was driven by higher volumes, as indicated by an 8.9% rise in the import volume index, despite a 1% decline in the unit value index. Spending on consumer goods jumped by 20.5% YoY to $319.6 million, driven by higher imports of food items like edible oils and non-food items such as clothing and home appliances.
Intermediate goods imports grew by 6% to $920 million, with significant contributions from textiles, wheat, and machinery parts. Investment goods imports saw a marginal rise of 0.3% to $256 million, driven by transport equipment.
Trade Deficit Widening
The merchandise trade deficit widened to $502 million in November 2024, compared to $390 million a year earlier, driven by increased import expenditure and marginally lower export earnings. The cumulative deficit for the first 11 months of 2024 reached $5.24 billion, up from $4.4 billion in the same period of 2023.
Terms of Trade and Outlook
The terms of trade deteriorated by 1.9% in November 2024, as declining export prices outpaced the decline in import prices. Despite the challenges, cumulative growth in exports and imports suggests a recovering trade environment, though with ongoing pressures on the trade balance.
January 02, Colombo (LNW): The recently signed Sri Lanka-Thailand Free Trade Agreement (FTA) promises significant opportunities to enhance business relations between the two nations.
At the Annual General Meeting of the Sri Lanka-Thailand Business Council, Thai Ambassador Paitoon Mahapannaporn emphasized the need for Sri Lanka to diversify its exports and increase investment to maximize the FTA’s benefits.
Delivering the keynote address on “Opportunities in Business Interactions between Thailand and Sri Lanka,” Ambassador Mahapannaporn underscored Sri Lanka’s strategic role as a trade hub.
He reiterated his commitment to fostering stronger economic and cultural ties, noting the historical connection between the two countries, rooted in shared religious and cultural heritage.
The FTA, signed in February 2024, aims to eliminate tariffs on 85% of products traded between the two countries over six years.
This agreement is projected to increase bilateral trade volume to over $300 million by 2025. However, challenges remain, as some goods will face phased duty reductions over extended timelines of up to 16 years.
For example, apparel, one of Sri Lanka’s key exports, will not immediately enjoy duty-free access.To overcome these barriers, Ambassador Mahapannaporn stressed the importance of diversifying Sri Lanka’s export base.
The country could benefit by producing high-quality products that meet Thailand’s demand for items like electrical machinery, equipment, and parts.
Additionally, strengthening global value chains and attracting export-oriented investments will be crucial. By reducing business costs and enhancing trade facilitation, Sri Lanka can position itself as a competitive trading partner.
From an investment perspective, Thailand offers a business-friendly environment, advanced infrastructure, and attractive incentive packages for various industries, including manufacturing and services.
Key sectors identified for mutual collaboration include clean technology, agro-processing, smart electronics, automotive manufacturing, medical and wellness, digital industries, and creative sectors.
Thai businesses are encouraged to explore opportunities in Sri Lanka, particularly in areas such as food processing, textiles, automotive components, and electronics.
Currently, Sri Lankan investments in Thailand span sectors like medical gloves, activated carbon, and logistics, while Thai investments in Sri Lanka include textiles, cement, food, and hospitality. Post-FTA,
Sri Lankan investors could explore manufacturing opportunities in Thailand, particularly in rubber, textiles, and locomotives. Conversely, Thai investors may consider entering Sri Lanka’s fruit and food processing, dental and pharmaceutical equipment, and electronics sectors.
To further strengthen bilateral economic ties, the Royal Thai Embassy, along with the Thai Chamber of Commerce and Ceylon Chamber of Commerce, is organizing a collaborative event in February 2025 titled “Business Opportunities between Thailand and Sri Lanka: Food, Agriculture, and Health for Sustainable Prosperity and Well-being.”
The event will include consultative meetings, study visits, and business matchmaking in food, agriculture, and health sectors. These activities aim to encourage joint ventures, business networking, and advisory collaborations. Ambassador Mahapannaporn expressed optimism about the future, emphasizing the vast potential for both countries to deepen their economic partnership. By leveraging the FTA and fostering cooperation in high-growth sectors, Sri Lanka and Thailand can achieve sustainable prosperity and well-being.
January 02, Colombo (LNW): Sri Lanka Police have introduced the e-Traffic mobile application, a state-of-the-art tool designed to curb traffic violations and promote road safety under the ‘Clean Sri Lanka’ initiative.
The app was inaugurated on January 1, 2025, by Acting Inspector General of Police (IGP) and Attorney-at-Law Priyantha Weerasuriya at a ceremony held at Police Headquarters.
The e-Traffic app enables citizens to report traffic violations and related incidents in real time. Users can submit photos or videos of offenses using the app’s Camera and Video functions, with reports directly sent to Police Headquarters for prompt action.
Accessible via the E-services section of the official Sri Lanka Police website (www.police.lk), the app provides a streamlined process for documenting and addressing traffic offenses.
With coverage across 607 police stations nationwide, traffic officers will respond to complaints submitted through the app. The Police Headquarters will oversee investigations, assign cases to relevant divisions, and monitor progress to ensure transparency and efficiency.
The e-Traffic app offers several benefits to both law enforcement and the public. It empowers citizens to actively participate in law enforcement by reporting traffic violations, crimes, and even environmental damage, fostering a sense of civic responsibility.
The app allows users to report incidents quickly and accurately by uploading multimedia evidence, which enhances the response time of authorities.
Additionally, the shift to digital reporting reduces paperwork, centralizes data, and facilitates coordination between police departments.
The availability of verifiable digital evidence minimizes corruption within law enforcement and ensures accountability in handling complaints.
Furthermore, the app encourages better compliance with laws by creating a deterrent effect, as individuals become aware of the ease with which violations can be reported. It also supports sustainability efforts by enabling citizens to report environmental damage.
However, the implementation of the app is not without its challenges. There are concerns about privacy violations, as photos and videos submitted by users could inadvertently invade the privacy of others.
The platform might also be misused for false accusations or personal grievances, potentially overwhelming law enforcement with frivolous complaints.
Limited access to smartphones and internet connectivity may exclude rural or low-income populations, and a lack of technological literacy among certain demographics could hinder widespread adoption.
Some citizens might hesitate to use the app due to fear of retaliation or skepticism about its effectiveness.
Moreover, the police will require adequate resources to review and act on reports, which could strain existing personnel and infrastructure. If not managed efficiently, delays in responding to complaints could erode public trust in the system.
There is also a risk that sensitive user data could be compromised without robust cybersecurity measures, and legal complications could arise from misreporting or defamatory complaints.
Despite these potential drawbacks, the e-Traffic app represents a significant step forward in using technology to improve public safety, enhance governance, and engage citizens in creating a safer and more sustainable Sri Lanka.
January 02, Colombo (LNW): Nepalese Prime Minister KP Sharma Oli and former Sri Lankan President Ranil Wickremesinghe held a significant meeting today at the Prime Minister’s official residence in Baluwatar, Kathmandu.
The discussions primarily focused on strengthening the bilateral relations between Nepal and Sri Lanka, along with various areas of mutual interest, according to reports from foreign media.
The meeting was attended by prominent figures, including Binod Chaudhary, a member of the Nepalese House of Representatives and an industrialist.
Chaudhary’s presence added an economic perspective to the discussions, which are expected to play a pivotal role in fostering closer ties between the two nations.
Wickremesinghe, who has maintained a longstanding friendship with Prime Minister Oli, arrived in Nepal on December 28, 2024, for a private visit. Today marks his departure from Nepal, concluding his brief visit.
