May 02, Colombo (LNW): The government is contemplating the potential removal of the recently reintroduced Minimum Room Rate (MRR) for hotels in Colombo city within the next two months, pending an evaluation of its effectiveness.
This consideration aligns with statements made by Tourism Minister Harin Fernando, indicating a possible review of the policy in the near future, Sri Lanka Tourism Development Authority (SLTDA) Chairman Priyantha Fernando emphasised.
The MRR was reinstated in September 2023 in response to appeals from hoteliers.
Under the gazetted rates, five-star hotels are set at US $100, four-star at US $75, three-star at US $50, two-star at US $35, and one-star at US $20.
However, the reintroduction of the MRR has sparked debate within the industry, with the Hotels Association of Sri Lanka (THASL) expressing support while the Sri Lanka Association of Inbound Tour Operators (SLAITO) has voiced reservations.
Fernando highlighted that the need to reintroduce the MRR stemmed from perceived unfair practices by destination management companies (DMCs), which charged customers higher rates without proportionately benefiting hoteliers.
Whilst other regions like Kandy have also shown interest in similar MRR regulations, Fernando stressed the importance of allowing market forces to determine future prices based on the foundation laid by the MRR.
He further emphasised the potential benefits to industry stakeholders and the broader economy.
Currently, two lawsuits are in progress against the SLTDA and Tourism Ministry regarding the MRR.
Fernando noted the need to carefully consider the impact of revoking the MRR, given ongoing litigation and potential repercussions for DMCs.
The government remains vigilant, weighing various factors to make informed decisions regarding the future of the MRR policy.
May 02, Colombo (LNW): Showers or thundershowers will occur at a few places in Western, Sabaragamuwa, Central and North-western provinces and in Galle, Matara and Mannar districts after 2.00 p.m., the Department of Meteorology said in its daily weather forecast today (02).
Misty conditions can be expected at some places in Western, Sabaragamuwa and Central provinces and in Galle and Matara districts during the morning.
General public is kindly requested to take adequate precautions to minimise damages caused by temporary localised strong winds and lightning during thundershowers.
Marine Weather:
Condition of Rain:
Showers or thundershowers will occur at a few places in the sea areas off the coast extending from Mannar to Matara via Puttalam, Colombo and Galle in the evening or night.
Winds:
Winds will be southwesterly or variable and wind speed will be (20-30) kmph. Wind speed may increase up to (40-45) kmph at times in the sea areas off the coasts extending from Puttalam to Kankasanthurai via Mannar and from Trincomalee to Pottuvil via Batticaloa.
State of Sea:
The sea areas off the coasts extending from Puttalam to Kankasanthurai via Mannar and from Trincomalee to Pottuvil via Batticaloa can be fairly rough at times. The other sea areas around the island will be slight. Temporarily strong gusty winds and very rough seas can be expected during thundershowers.
Meanwhile, heat index, the temperature felt on human body is expected to increase up to ‘Caution level’ at some places in Northern, North-central, Western, Sabaragamuwa, Eastern, Southern and North-Western provinces and Monaragala district, the Natural Hazards Early Warning Centre of the Dept said.
The public, therefore, is urged to stay hydrated and take breaks in the shade as often as possible, check up on the elderly and the sick, never leave children unattended, limit strenuous outdoor activities, find shade and stay hydrated, and wear lightweight and white or light-coloured clothing.
May 01, Colombo (LNW): US$1 billion plus integrated resort development in central Colombo is set to be launched by Melco Resorts & Entertainment Limited (“Melco”) in partnership with John Keells Holdings PLC (“John Keells”), the largest listed conglomerate on the Colombo Stock Exchange,
As part of the partnership, the integrated resort, which had previously been branded “Cinnamon Life Integrated Resort”, will be rebranded as “City of Dreams Sri Lanka”.
City of Dreams Sri Lanka will be the first integrated resort in Sri Lanka and South Asia and is expected to revolutionize luxury hospitality, entertainment, and leisure in Sri Lanka, presenting an extraordinary architecture and design and a collection of iconic and unparalleled offerings including 800 hotel rooms, retail, food & beverage outlets, MICE facilities, and much more.
Additionally, a wholly-owned local subsidiary of Melco has been awarded a 20-year casino license by the Government of Sri Lanka. Melco will fit-out and operate the gaming area at City of Dreams
Sri Lanka, and Melco will manage the top 5 floors of the hotel under its Nuwa brand of ultra high-end luxury rooms, which represents 113 of the 800 total hotel rooms at City of Dreams Sri Lanka.
Melco and John Keells have agreed all key commercial arrangements and expect fit-out of the casino area to begin shortly. The estimated initial investment in the casino is expected to be approximately US$125 million.
The non-gaming facilities of the integrated resort, including the 687 key Cinnamon Life hotel managed by John Keells, is in the final stages of completion and is expected to commence operations in the third quarter of 2024, while we expect to commence casino operations in mid-2025.
There is potential for further expansion of the gaming facilities, subject to performance and market conditions.
Mr. Lawrence Ho, Chairman and Chief Executive Officer of Melco, said, “We are thrilled to be part of this landmark development in Sri Lanka and to be in partnership with John Keells. We believe Sri Lanka has immense potential and this opportunity complements our existing portfolio of properties.
Furthermore, City of Dreams Sri Lanka is expected to serve as a catalyst for stimulating tourism demand and promoting economic growth in Sri Lanka, drawing inspiration from the successful examples set by similar integrated resorts in other jurisdictions.We will continue to work closely with our esteemed partners and the Sri Lankan Government to ensure the success of this venture, and we expect to make a significant and positive impact on the local community and economy, John Keells officials said.
May 01, Colombo (LNW): The government is now compelled to transform the public sector employees into smart workers with the aim of unlocking the nation’s full potential and drive sustainable economic growth, former finance minister Ravi Karunanyake revealed.
The delivery of public services is impaired by inadequate systems, low skills and limited competencies, and often interrupted by strike action of employees forcing the people to blame the government.
Salaries for the month of April have been paid with the increased public employee allowance of Rs 10,000 outlined in the 2024 budget proposal.
This was not the first time that they received a salary increase despite the private sector works much better than the state sector even without any salary hike as they get adequate payment for their work done.
With the introduction of smart worker concept these employee will definitely receive high salaries or wages with the improvement of productivity in their institutions.
In comparison to the private sector, public institutions have specific needs, often not operating as a typical business entity.
They require intelligent automation solutions that can support their particular strategic and organizational needs, which, in turn, can form the basis of continued digital expansion.
While there are many different kinds of intelligent automation and artificial intelligence solutions, undertaking tasks within nearly every function, it is essential to consider them as “smart workers”; able to simplify and automate time-consuming manual processes.
Mr Karunanayake said that the main aim of this initiative is to eliminate official bureaucracy which has become a stumbling block for the country’ economic development and good governance.
It will also ensure an efficient and productive public service without waste and corruption, he said adding that 90 percent of the government’s administrative issues could be solved via smart worker initiative, he added.
In the past public service in Sri Lanka was manned by persons with high degree of professionalism. They had the ability to assist the country’s leadership to set standards in managing human, financial and material resources to achieve effective good governance
The present public sector is tainted with mismanagement of the public interest and the present 1.5 million state work force or one public servant for every 14 Sri Lankans, has no concern for worker productivity as the whole sector is highly politicized.
President Ranil Wickremasinghe in his2024 Budget speech outlined plans for a “new growth model based on a digitalised social market economy.
The plan also included effectiveness, equitability and green growth as key aspects of this new model with the aim of achieving a US $ 15 billion digital economy by 2030.
Successive governments have made various digital economy related Budget proposals allocating around Rs. 70 billion for digitalisation efforts over the past eight-year period.
But most of them were implementing in snail phase as the public sector was not ready to quickly accustom to new systems, Mr Karunnayake said adding that this lethargic attitude and their corrupted mind set should be changed for the betterment of the country soon.
Many such digitization projects are still relevant but most of them have either completely halted and some of them are still in progress without proper monitoring and evaluation for effectiveness.
President Ranil Wickremasinghe has as unveiled a comprehensive national digital strategy for Sri Lanka titled “Digital Sri Lanka 2030” along with an implementation plan which will address all these issues, he claimed.
The vision for 2030 is to have a digitally empowered Sri Lanka for innovation, inclusion and sustainable growth with smart public sector work force he added.
May 01, Colombo (LNW): The International Monetary Fund (IMF) wants Sri Lanka to work on governance issues and to also stick to the IMF supported program.
Krishna Srinivasan, IMF Director of the Asia and Pacific Department noted that Sri Lankans faced a very difficult challenge when they embarked on the IMF program.
“And so far, what we’ve seen is performance under the program has been pretty good, and that is reflected in the outcomes.
For example, GDP growth has been better than it had been forecast. You see some bottoming out, some green shoots, as I would say. Inflation is coming down quite sharply from 70 percent to, you know, well below. — what’s the number now? I forget the right number, but it’s coming down very sharply.
Reserves are building up. So overall, the country is doing well under the program, and the reform measures your country has taken are pretty significant,” he told reporters Tuesday.
However, he noted that the road ahead is not easy and there are many more things to be done.
They’ve also moved on issues like governance and reducing corruption and so on, which as are part of the government’s program.
But going forward, the challenges remain. You have to stick to this program so that you can make a durable exit, and the economy comes out of the crisis on a durable basis, comes out of the crisis.
So it’s important to make sure that you work on the fiscal adjustment package, on governance issues which are part of the program,” he said.
Srinivasan said that if the Government continues with adhering to the program there will be much better results down the road.
He noted the fact that growth has come back stronger than expected, and inflation is lower than many people expected are very good signs that the program is delivering.
May 01, Colombo (LNW): A leading Sri Lankan businessman, through his company Supreme Global Holdings, has entered the race to acquire the national carrier, SriLankan Airlines.
The Expression of Interest (EOI) process, which concluded today, saw the surprising participation of Supreme Global owned by R.M. Manivannan signaling a potentially transformative shift in the airline’s ownership and management.
Supreme Global has formed a robust consortium including MBS Investments, the investment arm of the Private Office of Sheikh Nayef Bin Eid Al Thani of Qatar, and Sherisha Technologies Private Limited, formerly known as SunEdison Energy India Private Limited.
This strategic alliance is set to bring considerable financial and operational prowess to the table, potentially tipping the scales in favor of Supreme Global’s bid to take over SriLankan Airlines, Supreme Global said in a statement.
The privatization of SriLankan Airlines comes at a critical time for the carrier, which has faced numerous challenges over the years, including financial losses and strategic misalignments.
The introduction of experienced and financially capable players like Supreme Global is expected to inject much-needed vigor and direction into the airline, Supreme Global said.
This bid is particularly noteworthy given the current geopolitical dynamics in the Indo-Lanka region.
Whilst it is believed strongly that Sherisha is backed by the Government of India, the involvement of a Sri Lankan company, alongside a powerful Indian firm and significant financial backing from a Qatari entity, symbolizes a strengthening of ties and mutual interests among these regions, Supreme Global said.
Qatar’s immense wealth and strategic investments globally make it a pivotal player in this arrangement, potentially offering Sri Lankan Airlines the chance to leverage these relationships for expanded routes, enhanced operational capabilities, and better financial stability.
Furthermore, Supreme Global Holdings has already demonstrated its commitment to Sri Lanka’s stability and growth during the recent energy crisis. The company provided a lifeline by extending over USD 1.5 billion in credit to the financially beleaguered country, along with innovative payment solutions, such as accepting Sri Lankan rupees for oil payments, which helped avert a deeper economic crisis.
The prospective acquisition of SriLankan Airlines by Supreme Global Holdings could serve as a cornerstone for further economic recovery and development in Sri Lanka. The combined expertise and resources of the consortium—spanning Sri Lanka, India, and Qatar—promise not only to revitalize the airline but also to enhance its competitive edge in the international aviation market.
As stakeholders and observers watch closely, the unfolding developments could very well redefine the future trajectory of SriLankan Airlines, turning it into a model of successful multinational cooperation in South Asia.
President Ranil Wickremesinghe in his message commemorating Labour Day extends an invitation to all political parties to unite in shaping a prosperous future for the nation: set to attend two May Day rallies: Firstly, in the Ceylon Workers’ Congress rally at 10 am in Kotagala Public Grounds; then, in the afternoon, the United National Party’s rally starting near Maligawatta Police in Colombo.
Opposition Leader Sajith Premadasa laments Sri Lanka, which has been deceived once by a lie, has become bankrupt, and is currently in debt of more than US$ 100 billion both domestically and internationally: adds to overcome this, information technology education and knowledge-based education should be fostered: asserts the Samagi Jana Balawegaya (SJB) is the only political party that has done work in its role as the Opposition in Sri Lanka’s 76-year history and no other opposition has done such work for the people of the country.
K.D. Lalkantha, a member of JVP’s polit-bureau and NPP’s executive committee, says the JVP is no longer socialist: advocates for ‘economic democracy’ and a ‘multi-party system,’ different from ‘traditional socialist’ ideologies: asserts their model focuses on ensuring every citizen contributes to and benefits from the economy, rejecting both socialism and capitalism: proposes economic involvement for all, including small-scale entrepreneurs, but not government control over industries: stresses their approach differs from the SJB’s ideology, emphasising economic democracy and limited government intervention in the economy.
The Wages Board raises the minimum daily wage for tea estate workers to Rs. 1,700, addressing concerns about wage levels and living standards in the industry: The decision, announced through a gazette notification by Commissioner General of Labour H.K.K.A. Jayasundara, signifies a development in the labour landscape of the tea sector.
State Minister Indika Anuruddha Herath addresses concerns about the Uma Oya Project, denying reports of major issues since its public ownership: warns against misleading information, highlighting the project’s significant delays and financial losses: asserts a team of geologists will assess reported concerns, and the government aims to increase renewable energy sources to prevent future crises: Initiatives to expedite solar and wind power projects are underway, alongside efforts to boost rooftop solar panel output.
The Colombo Consumer Price Index (CCPI) rises to 1.5% in April 2024 from 0.9% in March: Food inflation decreases to 2.9%, while non-food inflation rises to 0.9%: Price increases in transport, education, and other categories contributed to the rise, while housing and health see decreases compared to April 2023.
CEYPETCO announces fuel price reductions effective April 30: Lanka Petrol 92: Reduced by Rs. 3 to Rs. 368/litre; Lanka Petrol 95: Reduced by Rs. 20 to Rs. 420/litre; Lanka Auto Diesel: Reduced by Rs. 30 to Rs. 333/litre; Lanka Super Diesel 4 Star: Reduced by Rs. 9 to Rs. 377/litre; Lanka Kerosene: Reduced by Rs. 30 to Rs. 215/litre.
Tourism Minister Harin Fernando aims to resolve technical issues with the new visa system by May 7th, responding to concerns over potential losses in tourism: The system transitioned to IVS-GBS and VFS Global, offering a multiple-entry visa at $75 with a maximum 60-day stay, removing the single-entry option: expresses disappointment, assuring efforts to address the issue and maintain the 30-day single-entry visa: Despite the $18.5 service fee, the Minister pledges to resolve technical challenges before the global promotion campaign in May.
Four individuals arrested in Kollupitiya for impersonating CID officers and extorting Rs. 10 million have been remanded until May 14 by the Colombo Chief Magistrate’s Court: They were apprehended by Bribery Commission officers following a complaint filed by a Dehiwala resident.
A study conducted by SDIG Priyantha Weerasuriya reveals 7.2% of HQIs, OICs, and Sectional OICs permanently reside within the police divisions they serve, posing potential biases: This phenomenon, particularly notable in Mannar, Anuradhapura, and Matara, may impact crime prevention efforts: Recommendations to address housing challenges and biases have been proposed, with the Police Headquarters pledging action.
May 01, Colombo (LNW): Power and Energy State Minister Indika Anuruddha Herath addressed concerns surrounding the Uma Oya Multipurpose Development Project, asserting that no landslides or major issues have been reported since its public ownership.
He cautioned against what he described as ‘misleading representations,’ urging vigilance against false information.
During a media briefing at the Presidential Media Centre (PMC), he highlighted the significant loss incurred due to the project’s nine-year delay, amounting to nearly US$ 200 billion.
Despite electricity generation not being integrated into the national grid during this period, reports linking the project to landslides persist.
To address concerns, a team of geologists will conduct an observational tour of the Uma Oya region today (01) to assess reported cracks and floods.
The government assures technical solutions based on global prevention measures, he added.
Furthermore, Herath emphasised the government’s commitment to sourcing 70 per cent of electricity production from renewable energy sources, including water, solar, and wind power plants.
Initiatives to expedite projects generating electricity from wind or solar power have been launched to prevent future electricity crises.
Moreover, efforts are underway to expedite power plant processes by implementing a point-based system for swift approval.
Additionally, initiatives to increase rooftop solar panel output have been initiated to meet energy demands effectively.
May 01, Colombo (LNW): Today (May 01) Sri Lanka joins the global community in commemorating International Labour Day, a significant occasion that pays homage to the historic struggles for workers’ rights and the establishment of the eight-hour workday.
This day serves as a reminder of the ongoing efforts to uphold labour rights and ensure fair treatment for all workers.
Across the nation, various political parties, independent groups, and trade unions are actively participating in a plethora of activities to celebrate International Labour Day.
With around 40 marches and rallies planned in Colombo and other major cities, as reported by the Department of Government Information, the atmosphere is filled with enthusiasm and solidarity as workers come together to voice their concerns and advocate for their rights.
These celebrations not only serve as a platform for workers to express their solidarity but also highlight the importance of addressing key issues affecting the labour force in Sri Lanka.
From fair wages and working conditions to job security and social protections, the demands of workers encompass a wide range of concerns that require attention and action from policymakers and employers alike.
As the country reflects on the significance of International Labour Day, it is essential to recognise the contributions and sacrifices of workers across various sectors.
From plantation workers to factory employees, construction workers to office staff, each individual plays a crucial role in driving the economy and shaping the nation’s progress.
Furthermore, International Labour Day serves as a moment of reflection on the progress made in advancing labour rights and the challenges that lie ahead.
While significant strides have been made in improving working conditions and implementing labour laws, there remain areas that require further attention and reform to ensure that all workers are treated fairly and equitably.
In the spirit of solidarity and unity, International Labour Day provides an opportunity for stakeholders to come together and reaffirm their commitment to upholding labour rights and promoting social justice.
By fostering dialogue and collaboration between workers, employers, and policymakers, Sri Lanka can move closer towards achieving a more just and equitable society where every worker is valued and respected.
May 01, Colombo (LNW): The Wages Board has recently issued a gazette notification announcing an increase in the minimum daily wage for tea estate workers, raising it to Rs. 1700.
The gazette was issued by Commissioner General of Labour H.K.K.A. Jayasundara.
This decision marks a development in the labour landscape of the tea industry, aiming to address longstanding concerns regarding wage levels and living standards among tea plantation workers.
