Leasing & Loan Repayment Members Association Chairman Asanka Pothupitiya says loan interest rates have risen from 8% to 18%, & leasing rates have risen from 12% to 34%: laments there is no pay increase for Govt or private sector employees & the prices of necessities are exorbitant: asks how people are going to pay their housing and leasing payments in such circumstances: meanwhile, according to media reports, approximately 8.5 mn people are listed in the Credit Information Bureau of Sri Lanka (CRIB) as being delinquent in their credit status.
Justice Minister Wijeyadasa Rajapakshe reveals there are 1,104,458 cases being heard in courts throughout the country as at 30th Jun’23: says these cases are being heard by 429 judges: also says though the number of Justices in the Supreme Court & Appeal Court were increased under the 20th Amendment, the number of cases resolved hasn’t increased in comparison to the increase in Judges: adds the COVID pandemic & civil unrest last year also played a part in delaying cases.
Chairman of the Sectoral Oversight Committee on National Security Rear Admiral (retd.) Sarath Weerasekera says that over a year after the killing of 8 persons including SLPP MP Amarakeerthi Atukorale & his police bodyguard and destruction of approximately 150 private properties, the Govt is yet to conduct a proper inquiry into the incidents.
The 13th Round of Economic and Technology Cooperation Agreement (ETCA) negotiations between SL & India scheduled to be held from January 8 to 10, 2024, in India.
Rebel SLPP MP Professor G L Peiris says the duty & responsibility of the Govt should not be to establish new universities and higher education institutions, but to improve the quality of the existing institutions.
National Water Supply & Drainage Board says it is working on introducing a revisable water tariff formula, like the fuel price formula: asserts the Board needs electricity (which has risen in cost) & imported chemicals to treat water: further asserts that therefore that it is focusing on introducing a “water tariff formula” factoring those charges.
Minister Bandula Gunawardena says SL is poised to receive approval from the IMF for the 2nd tranche of the USD 2.9 bn EFF next week: asserts the State Minister of Finance Shehan Semasinghe believes funds can be transferred on 12th Dec’23.
Residents of Thirappane claim the wild elephant, popularly known as “Agbo”, has started roaming around their villages again due to its habituation: also say this has become a serious risk to the elephant: previously, the elephant sustained gunshot injuries & recovered after being treated by Wildlife Dept’s veterinarians.
National Dangerous Drugs Control Board says there is an increase in drugs being sent to SL by post from overseas: asserts anti-narcotics officers have been deployed to the postal service who are working on cracking down on these drug parcels.
SL Taekwondo Federation to conduct an International Taekwondo Championship in Colombo, commencing today: competitors from 8 South Asian countries & several Asian countries expected to participate.
Colombo (LNW): Showers or thundershowers will occur at several places over most provinces of the island after 1.00 p.m, and fairly heavy showers about 75mm are likely at some places in Central, Sabaragamuwa and North-central provinces, the Department of Meteorology said in its daily weather forecast today (07).
Several spells of showers can be expected in coastal areas of Western province and in Galle and Matara districts during the morning too, the statement went on, adding that misty Condition can be expected in Sabaragamuwa, Central and Uva provinces during the morning.
The 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 several places in the sea areas around the island particularly during the evening or night.
Winds:
Winds will be South-westerly to South-easterly and wind speed will be (20-30) kmph in the sea areas around the island. Wind speed may increase up to 40 kmph in the sea areas off the coast extending from Chilaw to Mullaitivu via Mannar and Kankasanthurai and from Hambanthota to Pottuvil.
State of Sea:
The sea areas off the coast extending from Chilaw to Trincomalee via Mannar and Kankasanthurai and from Hambanthota to Pottuvil can be fairly rough at times. Temporarily strong gusty winds and very rough seas can be expected during thundershowers.
Colombo (LNW):The Hambantota International Port says that it is ready to move up its operations to a refinery, energy hub and container transshipment.
Tissa Wickremasinghe, COO of HIPG in a statement said that Sri Lanka needs to have a holistic approach in terms of container handling.
While noting that there is a ‘huge potential market out there’, and it can be captured under a unified Sri Lankan brand, the COO of the Hambantota International Port Group said that it will also provide great value in terms of cutting costs for the Indo-Pacific region manufacturers and for regions in the far east, who are reaching out to the gulf, European and African markets.
Hambantota International port (HIP) has earned the ‘amongst the best in the world’ benchmark for handling transshipment of vehicles coming on and off vessels in the past few years, with several of the largest shipping lines in the RO-RO business now operating in and out of HIP.
HIP’s latest endorsement comes from the shipping line MOL, who awarded the port an appreciation certificate for achieving ZERO damage operation and maintaining safe Pure Car Carrier (PCC) cargo handling during the period 1st April 2022 to 31st March 2023.
“The award was presented under the category ‘Handling more than 40,000 annual MOL,’ at the shipping line’s Annual Stevedore Meeting (India and Indian Ocean Region), which was held in Chennai, recently,” said a statement.
The COO says HIP, which is the only ISO certified port in Sri Lanka with special emphasis on Quality, Health, Safety, and Environment (QHSE), won several accolades for its RORO operations due to stringent practices and protocols.
Yuri Kannangara, General Manager Operations of HIPG attributes their success to the best-in-class technology adopted by the port which he says is key to maintaining high standards.
HIP has implemented modern port management systems, technology for cargo tracking, and advanced communication tools to streamline its operations.
“Apart from that the first pillar of maintaining standards in Ro-Ro port operations is a robust safety protocol.
This includes clear signage, designated pathways, and comprehensive emergency response plans. We conduct regular drills and training sessions to ensure that all personnel are well-prepared for any unforeseen circumstances,” he added in a statement.
Sagala Ratnayaka, Senior Adviser to the President on National Security and Chief of Presidential Staff, has directed pertinent institution heads to furnish progress reports and future plans for the Beira Lake Development Project by December 15, as per discussions held at the Presidential Secretariat.
Ratnayaka’s directives also encompassed the submission of a comprehensive report detailing the status of the Colombo City Beautification Plan directly to the President.
During the meeting held on Monday at the Presidential Secretariat, the focus was on reviewing the execution of the Colombo City Beautification Plan and assessing the advancements made in the Beira Lake Development Project. Discussions centered on various facets, including plans for public engagement in the identified land around Beira Lake through collaboration with private entities. Notably, efforts to prevent sewage diversion into the lake were discussed, aiming to mitigate bacteria and algae accumulation.
Key agenda points included the redevelopment of the central bus station in proximity to the Fort Railway Station, partnership initiatives with the private sector for commercial development at the current bus station site, and initiatives for tree management in Colombo. Furthermore, the discussion encompassed the identification and maintenance of deteriorated buildings, devising traffic regulatory plans, and progress updates on rainwater drainage projects.
The meeting also addressed a collaborative program involving the Sri Lanka Police, Colombo Municipal Council, and Trade Associations aimed at managing congestion during the upcoming Christmas season in Colombo. Senior officials from various entities, including the Colombo Municipal Council, Urban Development Authority, Road Development Authority, Sri Lanka Land Development Corporation, and Sri Lanka Police, actively participated in these deliberations.
Colombo (LNW): The Sri Lanka Air Force (SLAF) has been able to procure two state-of-the-art Harbin Y-12-IV aircraft from China for the replenishment of its ageing Y-12 light transport aircraft fleet since 2017, with orders placed with the manufacturer in late 2019.
The Air Force (SLAF) has received two state-of-the-art Harbin Y-12-IV aircraft from China, marking a significant advancement in the nation’s aviation capabilities recently.
The official induction ceremony, symbolizing the formal takeover of the aircraft, took place at the SLAF Ratmalana Base No. 8 “Light Transport” Squadron.
The Sri Lanka Air Force today received two Harbin Y-12-IV aircraft from China, marking a significant step in bolstering the nation’s aviation capabilities.
The Sri Lanka Air Force initiated preparations to purchase the aircraft in 2017 for the acquisition of two state-of-the-art Y-12IV aircraft.
A contract was signed on 16 December 2019 between the Secretary to the Ministry of Defence on behalf of the Sri Lankan Government and the China National Aero-Technology Import & Export Corporation.
The Sri Lanka Air Force (SLAF) last week signed an acquisition agreement with Chinese aviation giant China National Aero-Technology Import and Export Corporation for the purchase of two state-of-the-art Y-12 IV aircraft in June 2023.
The SLAF has been pursuing the replenishment of its ageing Y-12 light transport aircraft fleet since 2017, with orders placed with the manufacturer in late 2019.
With a number of Y-12s in the SLAF inventory reaching the end of their lifespan, many will become unserviceable in the coming years, a senior defence official disclosed.
It is learnt that Air Force Commander Air Marshal Sudarshana Pathirana signed the official acceptance documentation at a ceremony held in Beijingin June 2023.
When contacted, Air Force Spokesperson Group Captain Dushan Wijesinghe acknowledged that the SLAF had signed acceptance papers for two Y-12 IV aircraft, but would not provide details.
The Y-12 IV, the latest iteration of the Y-12 series of turboprop twin-engine, light transport aircraft, incorporates extended wing tips and an increased take-off weight, enhancing its performance capabilities, and includes modern avionics with a ‘glass cockpit’ instrument and information display console system.
The Y-12 aircraft has been in service with the SLAF since the 1980s and is manufactured by Harbin Aviation Industry Co. Ltd. in China.
The Y-12IV aircraft is a Short Take Off and Landing (STOL) aircraft that serves as a versatile light transport aircraft. This particular model, an improved version of the Y-12, incorporates extended wing tips and an increased take-off weight, enhancing its performance capabilities.
In addition to fulfilling operational, search and rescue needs, the Air Force Commander highlighted the unique capability of these aircraft to support tourism promotion. Each aircraft has a capacity for 15 passengers.
The Commander highlighted the unique ability of the Y-12IVs to land on 90% of Sri Lanka’s runways, making them ideal for promoting tourism in remote and picturesque locations.
Education Minister Dr. Susil Premajayantha addressed Parliament, stating his intention to urge Finance Ministry officials to consider exempting exercise books and stationery from Value Added Tax (VAT).
The Ministry of Finance’s recent directive indicates that the VAT hike will encompass all goods, including those previously not subjected to VAT.
Premajayantha highlighted this matter while responding to inquiries raised by MP Dullas Alahapperuma. He expressed the intent to address concerns regarding VAT charges during the upcoming debate on the VAT Amendment Bill scheduled for this Sunday.
Colombo (LNW): The Telecomm-unication Engineers’ Union (TEU) has raised concerns over the proposed sale of SLT-Mobitel highlighting a host of issues relating to the Government’s first step – the notice of Request for Qualification (RFQ) published last month.
TEU is the most prestigious professional trade union in Sri Lanka Telecom PLC consisting of around 550 qualified, experienced, and passionate professional engineers representing 95% of the management of the Company.
The TEU letter to the SOE Restructuring Unit Director General Suresh Shah listing the key concerns has been signed by President Eng. Manjula Samarasinghe and Secretary Eng. Hasaranga Vidanapathirana.
The latest representation in writing is despite TEU together with other fellow professional trade unions having been in communication with the SOERU.
Since the inception of the divestiture process in late 2022 and having held several meetings to guarantee that the potential investor of SLT would be the ideal strategic partner who would propel the entity to new heights and ultimately benefit the entire country.
Having raised serious doubts whether the recently released RFQ to divest Sri Lanka Telecom PLC will actually pave the way for the country to achieve its short- and long-term goals, TEU said it (RFQ) contained ambiguities and catered simply to “any investor,” diluting the level of knowledge, competence, and ability expected of a potential investor.
TEU recalled in their discussions Shah was specifically conveyed the desirable characteristics of such a strategic partner.
However, TEU said it appears that neither the Committee nor the project and evaluation committees appointed by the Cabinet have given much thought to the recommendations put forth by TEU.
Instead, they may have been swayed by political pressure or unseen forces to alter the RFQ document, which was purportedly prepared by the renowned International Finance Corporation (IFC) on a global scale, in order to suit their own whims and fancy.
Noting that some of the trade unions of SLT have resorted to various trade union actions all over the country, TEU said: “Such actions will only tarnish the image of the company and will distant potential investors eventually be bringing a negative impact on the Government’s effort on reformation.
The Union is to start discussing employee rights, benefits, and welfare also under this subject of divestiture since it is going to be a critical factor in the whole process.”
M. J. Gunasiri, Director General of the Government Revenue Unit, disclosed plans to bolster Sri Lanka’s economy by injecting 250 billion rupees in the upcoming year. This substantial financial lift is facilitated through a 50 billion rupee concessional loan jointly provided by the Asian Development Bank (ADB) and the government. The aim is to aid Small and Medium-scale Entrepreneurs (SMEs) grappling with significant crises.
Gunasiri highlighted Sri Lanka’s challenging economic landscape, citing five consecutive years of negative growth due to pervasive social, economic, and political challenges. He expressed optimism that the 2024 budget proposals will play a pivotal role in steering the country towards positive economic growth.
Within this year’s budget, allocations of 30 billion rupees from the ADB and 20 billion rupees from the government have been earmarked specifically to extend concessional loans for the development of SMEs.
Moreover, with the imminent arrival of the second tranche of the International Monetary Fund (IMF) loan, the Sri Lankan government anticipates further opportunities to access bilateral and multilateral financial aid from the international financial market.
Colombo (LNW):In the nine months leading up to September 2023, Sri Lanka received a total of 1.5 billion US dollars from its foreign creditors.
The Asian Development Bank (ADB) was the largest contributor, disbursing 529 million US dollars, followed by the World Bank with 442.8 million US dollars and the International Monetary Fund (IMF) with 343.7 million US dollars.
Other contributors included India (142.5 million US dollars), the Netherlands (7.4 million US dollars), the Saudi fund for economic development (5.6 million US dollars), and the Asian Infrastructure Development Fund (22.9 million US dollars).
Additionally, grants totaling 10.6 million US dollars were provided, with the World Bank contributing 8.4 million US dollars and Germany 2.1 million.
It’s noted that some countries may halt new loans after a default but resume after debt restructuring. Multilateral lenders typically initiate budget support loans following an IMF program, and in this instance, IMF loans are also budget support loans directed to the Treasury instead of the central bank.
Despite facing default, Sri Lanka is expected to continue repaying multilateral agencies, having made debt service payments of 912.8 million US dollars by September, covering principal repayments (631.9 million US dollars) and interest (280.9 million US dollars.
Sri Lanka’s economic stability has been affected by prolonged or insufficiently deep external debt restructuring, deterioration in the political situation (including a backlash to the reforms), and inadequate domestic revenue mobilization this year, World Bank report highlighted.
Moreover limited external financing support, a sharper global slowdown, and a prolonged recovery from the scarring effects of the crisis are key risks to restoring stability, regaining a sustainable growth path, and bringing Sri Lanka back to pre crisis rates of poverty.
The financial sector needs continuous monitoring, given high exposures to the public sector, rising non performing assets, and tight liquidity conditions.
The necessary macroeconomic adjustments may initially adversely affect growth, poverty, and inequality, but will correct overall imbalances, help regain access to international financial markets, and build the foundation for sustainable growth.
Mitigating the impacts on the poor and vulnerable remains critical during the adjustment it added.
Sri Lanka marked a milestone as the first digital birth certificate was officially issued, with Home Affairs State Minister Ashoka Priyantha overseeing the event on December 5.
The ceremony, held at the Kalutara District Secretariat as part of the e-Population Register initiative by the Home Affairs Ministry, heralded the commencement of the digital birth certificate program.
In his address, State Minister Ashoka Priyantha emphasized that the digital birth certificate initiative’s successful launch in Kalutara would soon extend to other regions. He highlighted that the numerical data on these certificates would adhere to international standards, eventually serving as the National Identity Card (NIC) number, using advanced digital technologies.
