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World Bank MD concludes visit to SL, encouraging Govt’s economic reforms

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By: Staff Writer

Colombo (LNW): World Bank Managing Director for Operations, Anna Bjerde, concluded her four-day visit to Sri Lanka today, encouraging the Government of Sri Lanka to stay the course on reforms for recovery and sustainable growth.

She also underscored the World Bank’s continuous commitment to investing in people, strengthening human capital, and creating jobs.

Bjerde met with Sri Lanka’s President and Minister of Finance, H.E. Ranil Wickremesinghe, cabinet ministers, representatives of opposition parties, civil society, private sector, development partners, and World Bank project beneficiaries.

She participated in a roundtable hosted by the President with key ministers, private sector representatives, and development partners—including members of the MDB+ platform, which includes Multilateral Development Banks (MDBs) and bilateral development partners.

The platform enables member institutions to coordinate their engagement with Sri Lanka. The roundtable focused on Sri Lanka’s progress on structural reforms, mobilizing private capital for development, supporting job creation, human capital development, and regional cooperation.

As Sri Lanka recovers from a series of unprecedented shocks with devastating impacts, it is crucial to stay the course on sound and timely reforms in order to stabilize the economy while fostering economic growth.

It willenablethe government to attract investment, generate jobs, protect the poorest and most vulnerable, and build resilience to future crises. But equally important is the need to strengthen governance, citizen engagement, and social cohesion, a must for inclusive growth,” said Bjerde.

Her trip included visits to World Bank-supported projects in the Northern and North Central Provinces related to agriculture, health, climate change, private sector development, and financial inclusion for women.

“During my visit, I heard about the challenges Sri Lankans face. Skilled professionals are leaving the country, farmers are struggling to cope with a changing climate, and entrepreneurs are constrained by a lack of investment and access to credit”, she said.

But I also saw huge opportunities to scale up climate-smart agriculture, harness renewable energy, boost entrepreneurship, promote competitiveness and regional connectivity,” added Bjerde.

She note that “the World Bank will continue to support Sri Lanka on its journey to recovery, connecting farmers to markets, strengthening access to healthcare, boosting innovation, pursuing transformation through infrastructure investments, and creating quality jobs for women and youth.”

The World Bank has been a partner to Sri Lanka for more than 70 years, providing financial and knowledge support to the country.

At the onset of the economic crisis in May 2022, the World Bank moved fast to help protect the people of Sri Lanka—particularly the poor and vulnerable—from the worst impacts by repurposing funds from the existing portfolio.

In addition, the World Bank was one of the earliest responders to the crisis and initiated a coordination platform with the Asian Development Bank and the Asian Infrastructure Investment Bank to align emergency assistance to help sustain basic services and commodities.

MSMEs get Business Digitization and Product Promotion insights

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By: Staff Writer

Colombo (LNW): An initiative aimed at capacity building of Micro, Small and Medium sized enterprises (MSME’s) entrepreneurs has been organsied by the United Nations Department of Economic and Social Affairs (DSDG/DESA)

A capacity building workshop on Strengthening Business Digitization and Product Promotion initiatives among Micro, Small and Medium sized enterprises (MSME’s) for accelerating progress towards United Nations Sustainable Development Goals (SDG’s) in Sri Lanka, was conducted from 24th to 27th of October 2023, at the Mandarina Hotel, Colombo 03.

The workshop was organized by the United Nations Department of Economic and Social Affairs (DSDG/DESA) in collaboration with the Ministry of Industries, Sri Lanka and the National Chamber of Commerce of Sri Lanka (NCCSL) partnered as the technical training provider.

The workshop was closely aligned with the 1,000-youth entrepreneur programme, a pilot project launched by the Ministry of Industries in Gampaha District.

A total of 50 participants which included 35 entrepreneurs from the 1000 youth entrepreneur programme and 15 government officers providing support services to the project participated in the workshop.

During the four-day deliberations the participants received comprehensive practical oriented training on adopting and developing digital and e- commerce platforms to market and promote the production of the MSME’s to local and export markets.

The program was conducted by a professional team of experts facilitated by the NCCSL, led by Dr. Lochandaka Ranatunga and Pranama Munasinghe which covered the theory and practice on introduction to E- commerce and Digital Marketing Strategies, Effective online marketing strategies, Building and managing e-commerce business, advanced strategies and integration.

The participants were privileged to design and develop their own webpages and social media communication platforms during the workshop with the assistance of the trainers who facilitated the program in trilingual capability.

The inauguration ceremony of the workshop was held on 24th October’2023. which was graced by Ms. Thilaka Jayasundera, Secretary to the Ministry of Industries as the chief guest. Ms. Simran Singh, Country Director ILO, Mr. Ke Liu Clark, United Nations, Department of Economic & Social Affairs (UNDESA/UNDSDG), Mr. Deepal Nelson, President, National Chamber of Commerce, Mr. J W S Kithsiri, Additional District Secretary, District Secretariat, Gampaha participated as special guests. Senior officials of the Ministry of Industries, Mr. Erandika Dissanayake and Mr. Asitha Senevirathne of ILO Sri Lanka Country Office was also present at the occasion as special invitees.

The program was concluded with an evaluation session in which they provided their feedback on the value of receiving such a timely and important learning experience to adopt digitization and marketing promotions through e-commerce.

An international evaluator appointed by the UNDSEA was also present as an observer throughout the four- day session.

The certificate award ceremony was held on the final day of the workshop attended by Ms. Thilaka Jayasundera, Secretary Ministry of Industries, Mr. Clark, United Nations and senior officials.

SL Consulate General in Melbourne conducts Mobile Consular Service

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Colombo (LNW): Under the guidance of Consul General Sandith Samarasinghe, the Consulate General of Sri Lanka in Melbourne organised a mobile consular service for the Sri Lankan community on October 28, 2023, at the Box Hill Town Hall, the Consulate General of Sri Lanka in Melbourne, Australia said in a statement.

The initiative was aimed at bringing essential consular assistance and services closer to communities, ensuring convenience and accessibility for all, the statement added.

“During the service, consulate staff provided range of services including applications for new passports, dual citizenships driving license, and certification of documents. The Consulate processed over 20 applications and provided on-site payment facilities and online appointment facility, for those who wished to follow up with appointments to the consulate,” it said.

Visitors to the booth praised the consulate for this initiative, noting its convenience for those who faced challenges coming to Melbourne on weekdays. They also requested that the consulate continue offering similar services in the future.

Construction activities continued contraction with the decline in project work

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By: Staff Writer

Colombo (LNW): Sri Lanka’s Construction activities continued contraction with the decline in project work, the persistent rain that prevailed during the month of September dampened the progress of the ongoing construction work as well, Central bank disclosed in ite purchasing manager index report.

New Orders continued to decline, yet at a slower pace in September. Many contractors and house builders mentioned that although the tendering opportunities are gradually opening up, especially for some foreign-funded projects, the bid prices are highly competitive.

Meanwhile, Employment in the building construction sector remained contracted since most of the companies preferred to operate with the essential staff. Further, Quantity of Purchases declined during the month, in line with the decrease in construction work, CB revealed.

In the meantime, Suppliers’ Delivery Time remained shortened during the month, mainly due to the lack of demand.

The expectations for the next three months remained positive, mainly owing to the ongoing tender processes and positive developments in the recommencement of certain suspended government-funded projects.

However, the companies are concerned about the upward tendency in energy-related expenses and unfavourable weather conditions

In a bid to revitalise the currently struggling construction sector for survival, the finance ministry is planning to propose catalytic inputs including easing taxation on building materials.

13 far-reaching proposals aimed at increasing the construction industry’s GDP contribution to the economy by providing emergency relief have been submitted to President Ranil Wickemasinghe, Urban Development and Housing Ministry Secretary W.S. Sathyananda disclosed.

20 percent of the country’s population’s livelihood depends on the construction industry and it is essential to prevent the total collapse of this sector from the present set back, he added.

The finance ministry will consider these proposals including the pre-budget submissions of the construction sector stake holders during the budgetary meeting with the high officials of the ministry to devise budget proposals, senior official of the ministry said.

He added that most probably the easing of taxation on building materials specially cement and steel imports will be considered  as the committee on public finance has already informed  the  finance ministry that there have been unusual increases in prices  and shortage of the construction materials in the local market.

The proposal of the leading contractors relating to the introduction of a mechanism to use the actual current market prices of construction material while calculating the price variation for reimbursing contractors engage in public projects is also under consideration, he divulged.

Spiraling prices of building materials specially cement and steels in recent times have stalled the building work resulting in 23.1 percent contraction in the construction sector causing a loss of 75 percent of around 1 million workforce, industry stakeholders complained.

Sri Lanka’s building construction work, has had a steep fall of 23.1 percent in the second quarter of 2023 against the same quarter last year, Census and Statistics Department confirmed.

SL to hit the US $19 billion export target in 2023 despite decline in September

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By: Staff Writer

Colombo (LNW): Even in the wake of a 10 percent decline in export earnings in September to US$ 972 million, Sri Lanka expects to earn US$19 billion this year from the export of goods and services, the Ministry of Investment Promotion said.

The ministry said in a statement that the country will earn 14.8 billion dollars from the export of commercial goods, and the remaining 4.2 billion dollars from the export of services.

The ministry has implemented several strategies ata cost of $ 700,000 to achieve this target, including boosting the reputation of Sri Lankan exports, value addition and branding of products, increasing the access to new markets, increasing the number of exporters, and increasing the efficiency of the export sector.

Earnings from merchandise exports declined by 10 per cent to US dollars 972 million in September 2023, over the corresponding month in 2022 as well as compared to US dollars 1,119 million recorded in August 2023, Central BANK report revealed.  

Despite the increase in agricultural exports, the decline in earnings from industrial exports associated with slowing external demand, including garments, mainly contributed to this contraction in export earnings in September 2023, compared to a year earlier.

Cumulative export earnings also declined by 10.1 per cent during January to September 2023 to US dollars 8,982 million, over the same period in the last year.

Industrial Exports: Earnings from the exports of industrial goods declined in September 2023, with a significant share of the decline being contributed by garments. Accordingly, exports of garments to most of the major markets (the USA, the EU, and the UK) recorded declines.

 Further, declines were recorded in the export of gems, diamonds and jewellery; machinery and mechanical appliances(mainly, electronic equipment); and chemical products (mainly, activated carbon), among others.

However, earnings from petroleum products increased in September 2023 due to the increase in volumes of bunker and aviation fuel exports.

Agricultural Exports: Earnings from the exports of agricultural goods improved in September 2023, compared to a year ago, mainly due to the increase in earnings from seafood (primarily, fresh fish),coconut related products and tea.

 An increase of earnings from tea resulted from the higher export volumes although the unit price of tea exports in September 2023 was lower than a year earlier.

Meanwhile, there was a decline in export earnings from spices (mainly, cinnamon), natural rubber and unmanufactured tobacco.

Mineral Exports: Earnings from mineral exports declined in September 2023, compared to September2022, mainly due to the decline in export earnings from titanium ores.

First Direct Charter Flight from Prague to Colombo Inaugurated

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Colombo (LNW): The first-ever direct flight from the Czech Republic to Sri Lanka took off on 24 October from the Prague International Airport, the Embassy of Sri Lanka in Vienna said in a statement.

LOT Polish Airlines offers direct charter flights from Prague to Colombo every Tuesday from October 24, 2023, to March 26, 2024, using Boeing 787 Dreamliners accommodating 251 passengers. This route is anticipated to bring approximately 5,800 Czech tourists to Sri Lanka throughout the winter season, providing a faster 10-hour one-way travel time.

“In coordination with the Sri Lanka embassy in Vienna, Austria, the Sri Lanka Tourism Promotion Bureau (SLTPB) has established a partnership with Čedok, a leading travel services provider established in 1920 in the Czech Republic on a co-marketing campaign, parallel to the commencement of direct charter flights,” the statement added.

The Counsellor of the Embassy of Sri Lanka in Vienna and Chargé d’Affaires for Czechia, Charitha Weerasinghe, participated in the ceremony marking the launch of direct charter flights organized by Čedok and LOT Polish Airlines at Prague Airport. Other attendees included Čedok CEO Stanislav Zeman, Executive Director of Prague Airport Jiri Vyskoc, Spokesperson of LOT Polish Airlines Krzysztof Moczulski, Sri Lanka Honourary Consul in Czechia Marek Nĕmec, and various representatives from electronic and print media.

Civil Society Urges Immediate Governance Reforms

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The people will hardly benefit from the aid and assistance Sri Lanka receives as long as corruption persists, Transparency International Sri Lanka (TISL) Executive Director, Nadishani Perera said.

She was addressing a discussion at the Sri Lanka Foundation Institute in Colombo last week, focusing on the recommendations detailed in ‘The Civil Society Governance Diagnostic Report on Sri Lanka.’ The event was attended by a diverse group of civil society representatives who gathered to address the pressing need for governance reforms in the country.

“No matter how much aid we receive, it will be squandered or misappropriated if we do not tackle corruption head-on. It’s akin to pouring water into a leaky vessel. While there’s much talk about revitalizing the economy, there’s an alarming lack of focus on governance reforms and corruption prevention. The masses, who took to the streets in large numbers last year, demanded a “system change” because they recognized that the country’s crisis was not solely economic but rooted in weak governance and deep-seated corruption.

“Recognizing the public’s heightened interest in anti-corruption, civil society organizations collectively worked on a Governance Diagnostic Report, highlighting a series of governance reforms essential for the nation. By advocating for these recommendations, we can bring about a real system change and ensure sustainable economic development,” Perera noted.

The Civil Society Governance Diagnostic Report, unveiled on September 13, put forth 34 pivotal governance benchmark recommendations. This comprehensive report was presented by ‘The Civil Society Initiative on Anti-Corruption Reform for Economic Recovery,’ led by Transparency International Sri Lanka (TISL), in collaboration with a core group including Verité Research, the Centre for Policy Alternatives (CPA), Sarvodaya Shramadana Movement, People’s Action for Free and Fair Elections (PAFFREL), and the National Peace Council (NPC).

Last week’s meeting was to raise awareness among civil society members regarding the Report’s recommendations. As part of the discussion, the civil society recommendations were compared with those made in the International Monetary Fund’s (IMF) recently issued report titled ‘Sri Lanka: Technical Assistance Report-Governance Diagnostic Assessment’.

Dr. Nishan de Mel, Executive Director of Verité Research, emphasized the importance of good governance, drawing on historical data from 1975. He highlighted that countries with multiple episodes of debt restructuring often scored lower in governance assessments. “Without addressing Sri Lanka’s governance issues, our efforts to rebuild the economy are akin to building a house without a solid foundation. Enhancing transparency and minimizing discretionary powers are imperative for improving Sri Lanka’s governance indicators,” he underscored.

He further warned, “Being content with temporary solutions is a costly mistake we’ve made repeatedly. The future of Sri Lanka now teeters on a precipice, with governance playing a pivotal role in determining whether we tread the right path or venture into dangerous territory.”

Sankhitha Gunaratne, Deputy Executive Director of TISL, stressed the urgency of implementing the proposed governance reforms in their entirety and without delay. She pointed out that key measures, such as introducing new legislation for asset recovery and procurement, establishing a ‘Beneficial Ownership Registry,’ and making the Asset Declarations of high-ranking public officials accessible to the public, are emphasized in both reports.

Professor Arjuna Parakrama, the researcher behind the Civil Society Governance Diagnostic Report, emphasized that these recommendations hold significance not only from an economic perspective but also in ensuring justice and fairplay for the masses.

The discussion also saw active participation from leaders of various organizations, including Rohana Hettiarachchi, Executive Director of PAFFREL; Dr. Vinya Ariyaratne, President of Sarvodaya Shramadana Movement; Dr. Jehan Perera, Executive Director of the National Peace Council; Dr. Paikiasothy Saravanamuttu, Executive Director of CPA; and Lasanthika Hettiarachchi, Advocacy and Research Manager at TISL.

The governance reforms proposed in the 34 Recommendations — derived from extensive island-wide consultation with grassroots citizens and experts alike — garnered the overwhelming support of the civil society representatives who attended the discussion.

31 Sri Lankans deported from Jordan: Statement by Embassy

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Deportation of 31 Sri Lankans from Jordan

The Embassy of Sri Lanka in Jordan in collaboration with the Public Security Directorate of Jordan,  facilitated the deportation of thirty one Sri Lankans who have been granted deportation order by the Jordanian authorities. The said Sri Lankans returned to Sri Lanka on 27 October 2023.

These Sri Lankans entered Jordan on 22 July 2023 on visit/tourist visas with the anticipation of finding job opportunities. Subsequently, they were arrested by the North Amman police station and detained in correction centers following a decision made by the North Amman court on 12 October 2023.

The issue of migrant workers arriving on visit/tourist visas and overstaying or attempting to cross international borders illegally has been a recurring trend in the past. From January 2023 up to the present, the Sri Lankan Embassy in Jordan has been actively involved in facilitating the deportation of approximately 120 stranded Sri Lankans, with the support extended by the Jordan authorities.

The Embassy officials visited the correction centers to ensure  the welfare and safety during their stay. The stranded Sri Lankans were provided essential humanitarian support including medical assistance and access to basic necessities by the Jordanian authorities.

The Embassy wishes to strongly advise Sri Lankans not to arrive in Jordan on visit/tourist visas without a confirmed job opportunity and required visa. Many male and female Sri Lankans continue to fall victims of human smuggling and are subsequently subjected to deportation after being held in correction centers.

The Embassy of Sri Lanka in Jordan requests all Sri Lankans to seek overseas job opportunities legally and to register with the Sri Lanka Bureau of Foreign Employment (SLBFE) before their departure.

Embassy of Sri Lanka

Amman

01 November 2023

International NGO Calls for Ceasefire in Israel-Hamas Conflict

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The Israel-Hamas war, which began with the launch of thousands of rockets on October 7, has resulted in thousands of deaths and is causing concerns over the possibility that the war could escalate into an international conflict. Several governments and international organizations have called for an end to conflict through official statements.

On the 12th, Heavenly Culture, World Peace, Restoration of Light (HWPL), an international NGO headquartered in South Korea and affiliated with the UN Economic and Social Council and the Seoul Metropolitan Government, released a statement regarding the Israel-Hamas war. This is HWPL’s third official statement advocating peace, following the statement on the human rights crisis of Myanmar in March 2021 and on Russia-Ukraine War in February 2022.

In the statement, HWPL said, “It is the innocent civilians who become the victims in wars, and everyone in the world is witnessing this situation in real time. Failing to stop an unjustified war will result in thousands and tens of thousands of civilian casualties. Can anyone compensate for such devastating atrocities?”

HWPL added that it urges “for the two parties of the war to immediately cease the acts of aggression, protect the citizens, and actively engage in efforts to ensure recovery and peace”, and calls on “the UN and the international community to swiftly take necessary measures such as mediating peace between the two parties to bring them to a dialogue and providing humanitarian support.”

On March 14, 2016, HWPL, together with international law experts from 15 countries, drafted and announced the “Declaration of Peace and Cessation of War (DPCW)” for an international law for peace. This declaration proposes international cooperation, citizen participation and cultural approaches to conflict prevention, mediation, and peace. HWPL announced that it plans to submit the DPCW to the United Nations. Through peace activities in more than 170 countries, HWPL is specifying action plans to build a world of peace by establishing institutional approach to the international community and raising peace awareness among the public.

You may find the full statement on HWPL’s official website (www.hwpl.kr).

HIV situation: 80 per cent of new infections reported among men

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Colombo (LNW): Marking an increase of the number of people living with HIV (PLHIV) compared to the previous year, 485 new infections of HIV have been identified in the past few months this year, disclosed Dr. Janaki Vidanapathirana, Director of the National STD/AIDS Control Programme (NSACP).

“The estimated number of HIV cases in Sri Lanka for this year is 4,100. Between January 1st and the end of September this year, we identified 485 new cases of HIV. This reflects an increase compared to the previous year. Our efforts have been enhanced through collaborations with non-governmental organisations. It’s noteworthy that 80 per cent of these cases are reported among men, particularly in the age group of 15 to 49 where HIV infections are increasing the most,” Dr. Vidanapathirana told media.

The national HIV response has established 40 STI clinics under the NSACP across the island, and HIV self-testing kits can be delivered through the Know4Sure app for at-home HIV testing, she noted.

She added that in conjunction with World AIDS Day on December 1st, the NSACP has launched a special campaign to educate the public.

“Most of our programmes are concentrated in the Colombo and Gampaha districts, as these areas have the highest vulnerability. The core message under the theme ‘Let Communities Lead – prevent AIDS’ is to encourage people to get tested for HIV and know their status. Throughout the island, there are 40 national STD clinics available under the National STD AIDS Control Programme. We also provide the option to use the Know4Sure app for at-home HIV testing.”