- President Ranil Wickremesinghe emphasized the profound connection between Buddhism and the modern scientific and technological world, highlighting that the teachings of Buddha offer insights to win future global challenges. The President said that he is discussing the establishment of a new institution in the country where Buddhist philosophy including the Thripitaka can be studied, the history, civilization and the spread of Buddhism in the world and where knowledge of Pali, culture and other languages can be developed. He also expressed that its objective is to revive the legacy of the Anuradhapura Maha Vihara.
- Opposition Leader MP Sajith Premadasa states under a Samagi Jana Balawegaya (SJB) government, development programs in the Northern and East would be advanced and that an international donor conference, which has not received leadership until now, would be convened Many lives were lost in the war-torn northern and eastern provinces and development was not focussed in these districts after the war, he said.
- State Minister of Finance Ranjith Siyambalapitiya stated that the government intends to collect taxes from 14 previously untaxed sectors that have been overlooked until now and to ensure tax compliance from them. The State Minister said that no one has been given an opportunity to evade tax payments and that there has previously never been such a time when such special attention was paid to the paying of taxes.
- The fundamental rights (FR) petition filed by businessman C.D. Lenawa seeking an order preventing the calling of a Presidential Election until the Supreme Court delivers its interpretation on the date of the presidential poll, has been dismissed by a five-member Supreme Court judge bench headed by the Chief Justice.
- Former Speaker of the Parliament of Sri Lanka, Karu Jayasuriya has been unanimously appointed as the Chair of the Former Parliamentarians’ Caucus. According to a Parliament statement, the appointment was made during the first meeting of the Former Parliamentarians’ Caucus held at Parliament recently under the Chairmanship of Speaker Mahinda Yapa Abeywardana.
- The Secretary to the Treasury Mahinda Siriwardana stated that granting the salary increase demanded by striking public servants would necessitate raising the current Value Added Tax (VAT) rate from 18% to between 20% and 21%.
- The Government of Sri Lanka (GoSL) acting through the Ministry of Finance, Economic Stabilization and National Policies, called for Expressions of Interest (EOI) from potential investors for the divestiture of its shares in Litro Gas Lanka Limited and Litro Terminals (Private) Limited on the 16th January 2024. The deadline for thes ubmission of EOIs ended at 2.00pm on Friday 15th March 2024.
- More than 250 Trade Unions in Sri Lanka’s Public Sector will be on sick leave today (9), potentially crippling public services nationwide. These include Public Management, Development Officers, Drivers, and Office Staff among other organizations. Their primary demand is to receive an increased allowance of Rs. 25,000, as given to executive officers.
- Foreign Affairs Minister Ali Sabry, PC is on an official visit to Singapore. Minister said that he had a productive discussion with Minister Balakrishnan on enhancing bilateral relations, recognizing shared opportunities and challenges.
- Sri Lanka Cricket announces the appointment of Sanath Jayasuriya as the ‘Interim Head Coach’ of the National Team. He will function in the position until the completion of Sri Lanka’s tour of England in September 2024. Jayasuriya is currently serving as the full-time ‘Cricket Consultant’ of Sri Lanka Cricket.
Sri Lanka Original Narrative Summary: 09/07
Treasury Secretary Warns of VAT Increase if Public Servants’ Salary Demands Are Met
July 09, Colombo (LNW): Secretary to the Treasury, Mr. Mahinda Siriwardana, announced that fulfilling the salary increase demanded by striking public servants would require raising the current VAT from 18% to between 20% and 21%. He stressed that such an increase would be an undue burden on the public. Mr. Siriwardana made these comments during a discussion at the Presidential Secretariat today (08), chaired by President Ranil Wickremesinghe, regarding the demands of public service trade unions.
The discussion addressed the trade union actions taken by several public service unions and explored potential solutions to their demands. It was noted that while a salary increase is not feasible this year, there are plans to revise public service salaries in the 2025 budget, based on recommendations from an expert committee investigating salary disparities.
The Treasury Secretary highlighted that a salary increase of Rs. 10,000 for government employees would require an additional Rs. 140 billion annually, and an increase of Rs. 20,000 would necessitate an additional Rs. 280 billion.
To generate the required income, even with optimal management of current revenues, additional tax increases would be necessary. Specifically, he noted that to raise salaries by Rs. 10,000, the VAT would need to be increased by 2%. To meet the wage demands of the trade unions, the VAT would need to be raised by more than 3%. He emphasized that this is not feasible at this time, as the VAT is already at a maximum rate of 18%.
Mr. Siriwardana also explained that, due to the government’s efforts to stabilize the country’s economy, the Central Bank can no longer print money as it did before. Doing so would jeopardize the program with the International Monetary Fund.
Senior Advisor to the President on Economic Affairs, Dr. R.H.S. Samaratunga, remarked that while increasing public servants’ salaries again this year is challenging, the President has committed to allocating funds for this in next year’s budget. He also mentioned that a separate expert committee has been appointed to study and report on salary discrepancies.
The discussion included President’s Secretary Mr. Saman Ekanayake and a group of senior government officials.

Ministry of Foreign Affairs Addresses Media Reports on Continental Shelf Submission and Cobalt-Rich Crust Exploration
July 09, Colombo (LNW): The Ministry of Foreign Affairs has responded to recent media reports concerning Sri Lanka’s continental shelf submission to the UN Commission on the Limits of the Continental Shelf (UNCLCS) in New York and issues related to the International Seabed Authority (ISBA) in Jamaica regarding exploration of the cobalt-rich crust in the “Afanasy Nikitin Seamount.”
The Ministry emphasized that under Article 76 of the United Nations Convention on the Law of the Sea (UNCLOS), all coastal states are entitled to claim an extended continental shelf beyond the 200 nautical miles Exclusive Economic Zone (EEZ). Following extensive studies and expert consultations, Sri Lanka submitted its technical and scientific data to the UNCLCS on May 8, 2009, aiming to establish the outer limits of its continental shelf. This submission was made under the special method outlined in the Statement of Understanding (SoU) for states in the southern part of the Bay of Bengal.
In October 2016, the UNCLCS appointed a Subcommission to review Sri Lanka’s submission, leading to several rounds of discussions between the Subcommission and the Sri Lankan delegation. However, the UNCLCS has yet to make recommendations on Sri Lanka’s submission, which is currently on hold due to a request from India concerning the area claimed by Sri Lanka. The Ministry is addressing this issue through diplomatic channels.
Separately, India has applied to the ISBA in Kingston, Jamaica, for approval of a plan to explore cobalt-rich ferromanganese crusts at the Afanasy Nikitin Seamount. The ISBA, established under Part XI Section 4 of the UNCLOS, reviews such applications.
Sri Lanka has informed the ISBA that the area proposed for exploration by India overlaps with an area claimed by Sri Lanka under its continental shelf submission. Consequently, Sri Lanka has requested the ISBA to withhold the approval of India’s exploration plan until the UNCLCS makes its final recommendations on Sri Lanka’s submission. The ISBA is currently following the appropriate procedures, and the matter is ongoing.
The Ministry clarified that both issues are being processed separately by the UNCLCS and the ISBA, in accordance with their mandates under the UNCLOS. Recent public speculations about the ceding of Sri Lanka’s sovereign rights are unfounded and not based on the actual situation.

State Minister for Technology Criticizes Unjust Strikes Impacting Education and Living Conditions
July 09, Colombo (LNW): State Minister for Technology, Kanaka Herath, criticized recent strikes during a news conference held today (08) at the Presidential Media Centre under the theme ‘Collective Path to a Stable Country.’ He highlighted that unjust strikes launched on the eve of an election have deprived children of their opportunity to receive education.
The State Minister further asserted that the opposition should clarify whether these strikes and protests are intended to disrupt the comfortable living conditions currently enjoyed by the people.
Addressing the media, Herath said, “Since 2022, our ministry has initiated numerous policies and reforms. Several bills have been introduced in parliament, and additional bills are anticipated to be presented soon.
“We have also launched the 2020-2030 Digital Economy Plan in collaboration with the World Bank. Our goal is to expand the current USD 3 billion digital economy to USD 30 billion by 2030.
“Amendments to the Telecommunications Act are anticipated to be introduced in Parliament tomorrow (09), marking the first revision in 28 years. These amendments aim to enhance customer protection and foster fair competition among telephone companies. Previously, the act was restricted to telecommunications system licenses only. With the proposed amendments, the licensing process itself will undergo changes.
“There are also plans to utilize satellite technology for internet provision in the future. Efforts are underway to regulate and license undersea cable services. The Technology Promotion Act is slated for presentation this year.
“We expect to establish the Technology and Innovation Commission, which aims to allocate resources for national development and innovation, facilitate the commercialization of research, and provide advisory services.”
Regarding the current trade union activities, Herath noted, “A request has been made for a LKR 20,000 allowance for all government employees, necessitating an additional annual expenditure of LKR 280 billion. The opposition is urged to clarify how these expenses can be managed given the current economic situation.
“Furthermore, unjust strikes launched on the eve of an election have deprived children of their educational opportunities. Those participating in these strikes must understand that their actions impact the welfare of ordinary citizens.
“The International Monetary Fund (IMF) has recommended providing LKR 11 billion this year for low-income earners. The opposition parties should clarify whether their protests aim to disrupt the public’s access to a comfortable standard of living.”

PM Appoints 800 Local Government Employees in North-Western Province
July 09, Colombo (LNW): The Prime Minister announced yesterday (8th) at the appointment ceremony of 800 Local Government (LG) employees in the North-Western Province (NWP), held at the Naththandiya City Hall.
The PM stated: “The living conditions of the working people vary, and you have consistently asked us to address issues to improve your rights. You have worked on a contract basis for a while and extended it continuously, leading to this proud day.
“This issue arose during discussions before the President’s first Budget. We worked to extend the contract period through the Governors. Several Cabinet papers were presented, leading to various debates and arguments. The Treasury faced difficulties in the past, but over the last two years, we have made progress. We respect the people for having trust in us during this challenging period. The President has also placed his trust in you. We did not allow the country to collapse, did not fire thousands from their jobs, and did not halt the country’s development. We ensured continuity of service in every possible way.”
“You are now permanent employees. LG is the lowest level of democratic public representatives in public service. You decide how to improve the lives of the people by managing the services. The President has decided to provide technological knowledge to every institution engaged in modernization. It will be a strength for you. Technology can be accessed in one office to determine if a task has been completed or not. As a country in Asia, this journey should be accelerated and strengthened. We must advance in the race for development.”
“Thousands of teaching appointments were given in the last month. Some criticized and urged us not to make these appointments. Your appointments were confirmed amid challenges. It became a strong government capable of providing these. Are you asking where the money is coming from? No. Appointments have been given twice this year. Free Healthcare and free Education exist for the future of our children. Children are the future of the country. LG has the constitutional right to focus on services that can empower children.
“This life is not only more confident but also transforms organizations into a more productive state. We will be able to take another leap in economic development based on these results. All countries face difficulties. Which country has an easy path? Which country has not recovered from such problems? Every country has overcome its challenges. We have established a stable regime. No matter who makes any calculations, we are steadily moving forward with our program in Parliament. Internationally, every country now trusts us, and we continue to receive financial support from various organizations.”
“Both the public and private sectors need to expand further. We are opening an economic door for everyone with the knowledge and creativity our children have learned.”
State Minister Ashoka Priyantha added, “When Dinesh Gunawardena was appointed PM, the first challenge was how to pay public servants’ salaries. You should consider that you are being permanently appointed as public officials during a time of significant crisis and inconvenience. Using his political acumen, he patiently supported the President in rebuilding this country. The Cabinet paper to give you these appointments was presented nine times.”
“I request you to take sick leave in accordance with the Constitution and enjoy your fundamental rights or any other rights you have. Don’t fall sick; the country is in a critical condition. At this time, you are given the appointment as public officials because the country needs your responsibility and role.”
NWP Governor Naseer Ahmed, State Minister Ashoka Priyantha, Arundika Fernando, MPs Chinthaka Mayadunne, Ali Shabri Rahim, Jagath Priyankara, Saman Priya Herath, Yadamini Gunawardena, Public Administration Ministry Secretary Pradeep Yasaratne, and Puttalam District Governor H. M. S. P. Herath were among those who participated in this event.

Several Spells of Showers Expected in Multiple Provinces with Strong Winds Predicted
July 09, Colombo (LNW): Several spells of showers will occur in Western, Sabaragamuwa and North-western provinces and in Kandy, Nuwara-Eliya, Galle and Matara districts.
Showers or thundershowers may occur at a few places in Uva province and in Ampara and Batticaloa districts in the evening or night.
Strong winds of about (40-50) kmph can be expected at times over the Western slopes of the central hills, Northern, North-central and North-western provincesand in Trincomalee, Hambantota and Monaragala districts.
General public is kindly requested to take adequate precautions to minimize damages caused by temporary localized strong winds and lightning during thundershowers.

zMessenger Launches OmniZync: An Omni-Channel Communication Platform for Sri Lankan Enterprises
OmniZync: zMessenger (Pvt Ltd) with its legacy deeply rooted in pioneering mobile marketing solutions and in shaping the landscape of digital communication in Sri Lanka proudly announces the launch of OmniZync, an innovative Omni-channel communication platform tailored for enterprises in Sri Lanka.

Omni-channel communication refers to the integration and orchestration of multiple communication channels to provide a unified and consistent customer experience.
Unlike multi-channel communication, which operates in silos, Omni-channel communication ensures that all channels work together harmoniously, enabling businesses to interact with customers wherever they are, and however they prefer. This includes popular platforms such as WhatsApp, Viber , SMS, email, social media, and more.
Key Features of OmniZync:
Unified Customer Data: OmniZync consolidates customer data from various channels to create a holistic view of each customer. This unified data approach enables businesses to understand customer behavior, preferences, and interactions across all touch points.
Cross-Channel Integration: OmniZync seamlessly integrates across web, mobile, and social media platforms, ensuring a consistent and connected customer experience.
Personalization Capabilities: With OmniZync, businesses can deliver personalized experiences tailored to individual customer needs and preferences. The platform’s advanced personalization capabilities ensure that customers receive relevant and timely communications.
Loyalty Management: OmniZync includes tools to manage and enhance customer loyalty programs, helping businesses to build long-term relationships with their customers.
Real-Time Analytics: The platform provides real-time analytics, enabling businesses to track and analyze customer interactions and campaign performance, making data-driven decisions to optimize strategies.
Customer Service Tools: OmniZync offers customer service tools such as chatbots and self- service options, allowing businesses to provide efficient and effective support to their customers.
Marketing Automation: The platform supports marketing automation for targeted campaigns and promotional activities tailored to each customer segment, enhancing engagement and conversion rates.
Security Features: OmniZync is built with robust security features to protect customer data and ensure compliance with industry standards and regulations.
Jayomi Lokuliyana, CEO of zMessenger (Pvt) Ltd, expressed her excitement about the launch, “with the launch of OmniZync, we are taking our commitment to empowering businesses to new heights. Our platform is not just a communication tool; it’s a strategic asset for enterprises looking to thrive in the digital era.
We are confident that OmniZync will set a new standard for Omni-channel communication in Sri Lanka.” Enterprises interested in exploring the potential of OmniZync can sign up on our website or contact our dedicated sales team to discuss their specific communication needs and discover how OmniZync can elevate their engagement strategies. Visit us on https://www.omnizync.com Page 2 of 2
SriLankan Airline’s divestiture hits a snag as no suitable investors expressed interest
By: Staff Writer
July 08, Colombo (LNW): Ports, Shipping, and Aviation Minister Nimal Siripala de Silva last week announced that SriLankan Airlines will be restructured rather than sold.
Speaking at the Presidential Media Centre (PMC), de Silva emphasised that current regulations limit the transfer of the airline’s shares to 49% to another entity. Despite this provision, no suitable investors have expressed interest in acquiring a stake.
“Our strategy focuses on restructuring SriLankan Airlines rather than selling it outright,” de Silva stated. “Under Sri Lankan law, only 49% of the airline’s shares can be transferred, but there has been minimal global interest, with only six individuals showing interest, none of whom were suitable. Even a Sri Lankan entrepreneur would need to prove their capability.”
In addition to airline restructuring, he revealed that the management of the financially troubled Mattala Airport will soon be handled by a joint venture between Russia and India. “Additionally, the Kankesanthurai port is undergoing development with $ 69 million in assistance from India,” he added.
He said during the recent visit of Indian Foreign Minister Dr. S. Jaishankar confirmed plans to launch a ferry service between Sri Lanka and India soon.
In addition, the Minister said the Japan International Cooperation Agency (JICA) is set to discuss resuming their projects next week, a benefit arising from ongoing debt restructuring efforts. “Although there has been interest from Chinese firms in airport projects, contracts with Japan mandate that these projects be awarded to Japanese companies,” he noted.
He also highlighted President Ranil Wickremesinghe addressing Parliament, outlining the ongoing debt restructuring crucial for the country’s economic recovery. “Despite political scepticism from the opposition, he maintained that the overall message was positive for Sri Lanka’s interests,” he said.
He pointed out that the International Monetary Fund (IMF) is heavily involved in the restructuring process, adhering strictly to legal frameworks and objective criteria. “Discussions to restructure Sri Lanka’s commercial debt are ongoing, guided by IMF assessments of economic resilience,” he added.
He said the President stressed the importance of moving beyond narrow political objectives and recognising international economic realities. “His administration has taken the first steps towards rebuilding from recent challenges, focusing on future stability to prevent a return to past conditions,” he said.
The Minister also said this year’s Budget includes allocations for provincial councils, pradeshiya sabhas, Government departments, and social security benefits such as “Aswesuma”, unrelated to upcoming elections.

Sri Lanka displays Maritime Prowess at Posidonia 2024 world’s largest shipping show
By: Staff Writer
July 08, Colombo (LNW): Five leading Sri Lankan maritime service providers recently showcased the nation’s maritime capabilities at Posidonia 2024, the world’s largest shipping exhibition, which was held in Athens, Greece, in June 2024.
This biennial event attracts global industry leaders, and this year, Sri Lanka made a presence with its comprehensive display of maritime services, reinforcing its status as “the maritime hub of South Asia”.
The Sri Lankan delegation, featuring Lanka Marine Services, Prudential Shipping, Colombo Dockyard, Master Divers, and Deep Ocean, showcased the nation’s maritime expertise.
Lanka Marine Services highlighted its bunkering services, while Prudential Shipping for port agency services emphasized smooth port operations.
Colombo Dockyard demonstrated its shipbuilding and repair capabilities. Master Divers presented its range of underwater services, essential for vessel maintenance. Deep Ocean showcased its ship chandling services, providing essential provisions and technical items to ships.
Posidonia 2024, hosted at the Metropolitan Expo in Athens, attracted companies from 138 countries, drawing 32,527 visitors and featuring 2,038 exhibitors.
The event offered a prime platform for Sri Lankan companies to network with a diverse array of industry leaders and explore new business opportunities.
The Sri Lanka stand at the event received endorsements from key government entities in Sri Lanka, including the Ministry of Ports, Shipping and Aviation, the Director General of Merchant Shipping, Sri Lanka Ports Authority (SLPA), Hambantota International Ports Group (HIPG), the Board of Investment (BOI), Sri Lanka Tourism Promotion Bureau (SLTPB), and the Export Development Board (EDB).
These endorsements promoted the significance of Sri Lanka’s participation in the event for the nation’s maritime sector. Additionally, the Greek Consulate recognized the Sri Lankan delegation’s efforts, commending their contribution to the event and the global maritime industry.
The Sri Lankan delegation’s participation at Posidonia 2024 not only highlighted the nation’s diverse maritime services but also emphasised the strategic importance of Sri Lanka in global maritime trade.
As the maritime industry continues to evolve, Sri Lanka remains poised to play a pivotal role, leveraging its strategic location, skilled workforce, and robust infrastructure. The successful participation at Posidonia 2024 marks another milestone in Sri Lanka’s journey towards becoming a leading maritime hub in the world.

SL sees light at the end of the tunnel amidst debt relief deal with commercial creditors
By: Staff Writer
July 08, Colombo (LNW): Standard Chartered Bank’s global research in its latest credit alert, says that Sri Lanka finally sees light at the end of the tunnel following last week’s breakthrough with commercial creditors.
It said Sri Lanka’s authorities and the ‘steering committee’, comprising 10 major bondholders, reached an agreement on the core financial terms of the restructuring of International Sovereign Bonds (ISBs).
The terms broadly follow the bondholders’ April proposal, with key differences including downward adjustments to the coupon and a change in principal reinstatement, which narrows the range of recovery values across the six restructuring scenarios.
SCB sees probability-adjusted recovery value of 64 at 11% exit yield; remains ‘Market weight’ on Sri Lanka
Expects gradual and modest LKR depreciation versus the USD, and projects USD-LKR at 390 as of end-2027; projects 2024 GDP in $ 89-91 b range and nominal GDP above $ 96 b as of end-2027.
Estimates real cumulative GDP growth from 2024-27 at 3% in 2024 and at 3.5-4% over 2025-27 if reform measures continue; cumulative real GDP growth of 14% over 2024-27.
Importantly, the parties agreed on a dual test on GDP for adjustments to the Macro-Linked Bonds (MLBs), based on Sri Lanka’s (1) average 2025-27 nominal GDP in USD terms (each GDP bucket has been adjusted upwards by c.5% compared to the April proposal), and (2) cumulative real GDP growth from 2024-27 versus IMF’s baseline growth assumption (11.1%). The dual test will not only account for real growth performance, but also for the FX impact on GDP in USD terms.
“Based on our assigned probabilities for the 12 GDP scenarios, we estimate probability-adjusted recovery values in the range of 57-71 at exit yields of 9%-13%. In our base case, we see a probability-adjusted recovery value of 64 at an exit yield of 11%,” SCB global research said.
“We remain Market weight on Sri Lanka while awaiting confirmation from the Official Creditor Committee (OCC) on comparability of treatment and from the IMF on consistency with the EFF’s debt sustainability objective,” it added. The Joint Working Framework remains to be confirmed by the OCC to ensure comparability of treatment, as well as by IMF staff to ensure consistency with the parameters and debt sustainability objectives of Sri Lanka’s IMF EFF program.
