April 07, Colombo (LNW): Dr. R. H. S. Mr. Samaratunga, the Presidential Senior Adviser on Economic Affairs, has underscored the importance of artists drafting proposals aimed at enhancing the progress of the film industry and supporting its members.

This directive came during a recent discussion at the Presidential Secretariat focused on modernising Sri Lankan cinema to meet contemporary standards and ensuring sustained professional growth for artists within the sector.

Led by Dr. Samaratunga and attended by Presidential Trade Union Director General Mr. Saman Ratnapriya and National Film Corporation Chairman Mr. Deepal Chandraratne, the discussion extensively addressed the challenges confronting the film industry.

Dr. Samaratunga highlighted the parallel between the film industry’s challenges and broader societal issues, emphasising the need to safeguard the sector and urging the submission of comprehensive proposals for inclusion in the general budget or policy framework.

Addressing the longstanding issue of insufficient artist pensions since 1993, Dr. Samaratunga stressed the importance of presenting factual data to prompt governmental action on this matter.

Additionally, recognising the significance of artist welfare in preserving the film industry, efforts are underway to establish a specialised loan scheme.

Dr. Samaratunga solicited relevant proposals to effectively communicate the industry’s needs to the government.

President’s Trade Union Director General, Saman Ratnapriya, assured the possibility of arranging a medical insurance scheme for artists through the Sri Lanka Insurance Corporation.

Recognising the challenges of aging in maintaining professional engagements, he emphasised the necessity of implementing a suitable programme to support artists.

He urged prompt submission of proposals for the betterment of the film industry and artist welfare.

Stressing the potential for swift action, Ratnapriya indicated that timely proposals could yield results following discussions with relevant institutions, including the Ministry of Finance.

Efforts are underway to inform President Ranil Wickremesinghe of these developments.

The event was attended by veteran film director Sugath Samarakoon, film producers Padmasiri Kodikara and Raj Ranasinghe, along with actors Arjun Kamalanath, Wasantha Kumaravila, Nadika Gunasekara, and numerous other industry artists.

April 07, Colombo (LNW): Sri Lankans are gearing up to witness a celestial rarity as the Devil’s Comet, scientifically known as 12P/Pons-Brooks, makes its appearance, a phenomenon occurring once every 71 years.

Positioned near Jupiter, the comet will be visible to the naked eye during the total solar eclipse on April 08.

This massive comet, renowned for its distinctive “horned” shape, first caught the attention of Chinese astronomers in the year 1300 Anno Domini.

However, it gained official recognition when observed by French astronomer Jean-Louis Pons in the 19th century and later rediscovered by British American astronomer William Brooks in 1883.

Consequently, it was christened the 12P/Pons-Brooks comet.

Featuring two “horns” formed of ice and gas and periodic explosions, the comet earned its moniker “devil comet.”

According to NASA, the 18.6-mile-wide celestial visitor is expected to reach its closest point to the Sun and shine brightest on April 21.

It will also be positioned below the moon on April 10, offering a spectacle visible to the unaided eye.

During the total solar eclipse, the sudden darkness will provide an opportune moment for skywatchers to marvel at the vast expanse of the sky, potentially catching a glimpse of stars, planets, and perhaps even the Pons-Brooks comet as it traverses the solar system.

This marks the fourth appearance of the Devil’s Comet since its official discovery in 1812.

April 07, Colombo (LNW): President Ranil Wickremesinghe emphasised the government’s dedication to steering Sri Lanka towards prosperity by 2048 through substantial reforms in key sectors such as modern agriculture, tourism, and energy.

Speaking at the “Let’s Start with Me” Anuradhapura District Youth Conference, he highlighted the pivotal role of young individuals in driving this transformative journey while cautioning against the distractions posed by mere slogans and arguments.

Conducted at the Koombichchankulam lake, the conference saw President Wickremesinghe engaging with a significant number of young participants from the Anuradhapura district, directly addressing their concerns.

He pledged immediate resolutions to many of their issues and instructed officials to take prompt action on others.

In response to queries, the President assured the youth that their futures should not be dictated solely by academic certificates, expressing a commitment to creating abundant job opportunities amidst Sri Lanka’s evolving economic landscape.

Additionally, he announced plans to extend education beyond the General Certificate of Education, ensuring a thirteen-year educational continuum.

President Wickremesinghe delineated forthcoming economic reforms, including the legalisation of agreements with international bodies like the International Monetary Fund (IMF) and the introduction of laws for economic restructuring in May.

He outlined strategies aimed at extending the repayment period for Sri Lanka’s foreign debt to 2042, easing debt burdens, and expediting the transition to an export-oriented economy.

Furthermore, Wickremesinghe underscored the government’s resolve to equip youth with modern technology to enable direct contributions to the nation’s economic progress.

The conference witnessed the presence of Ministers Manusha Nanayakkara and Harin Fernando, State Minister Shehan Semasinghe, MP Duminda Dissanayake, former Minister P. Harrison, and other notable figures, including United National Party Secretary General Palitha Range Bandara, former Minister Akila Viraj Kariyawasam, Presidential Director General (Community Affairs) Rajitha Keerthi Thennakoon, Presidential Trade Unions Director General Saman Ratnapriya, former Opposition Leader of the North Central Province Attorney Kasthuri Anuradhanayake, and several others.

April 07, Colombo (LNW): Showers or thundershowers will occur at a few places in Western and Sabaragamuwa provinces and in Kandy, Nuwara-Eliya, Galle and Matara districts after 2.00 p.m., the Department of Meteorology said in its daily weather forecast today (07).

Misty conditions can be expected at some places in Western, Central, Uva and Sabaragamuwa provinces and in Ampara, 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:

On the apparent northward relative motion of the sun, it is going to be directly over the latitudes of Sri Lanka during 05^th to 15^th of April in this year.

The nearest areas of Sri Lanka over which the sun is overhead today (07^th) are Kadawatha, Badulla, Lunugala, Kongaspitiya, Bakmitiyawa and Kotmale at about 12:12 noon.

Heat index, the temperature felt on human body is expected to increase up to ‘Caution level’ at some places in Northern, North-Central, Eastern, Western, Sabaragamuwa, North-western and Southern, provinces and Matale, Monaragala districts.

The public 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, wear lightweight and white or light-coloured clothing.

The China-Sri Lanka Joint Research and Demonstration Center for Water Technology (JRDC) was inaugurated at the University of Peradeniya, heralding a new era of collaboration and innovation in water research.

The opening ceremony, graced by esteemed dignitaries including Yaping Zhang, Deputy President of the Chinese Academy of Sciences, and Prof DM Lamahewa, Vice Chancellor of the University of Peradeniya, marked the beginning of a promising venture. 

This state-of-the-art institute stands as the largest water research facility in South Asia, equipped with cutting-edge technology and machinery aimed at detecting harmful substances in drinking water.

Chronic Kidney Disease (CKD) has emerged as a pressing issue in Sri Lanka, particularly in agricultural regions. The advanced capabilities of the JRDC offer a beacon of hope in addressing this menace, as it focuses on identifying and mitigating the factors contributing to waterborne ailments.

A gift from the People’s Republic of China, the JRDC exemplifies the strong bilateral ties between China and Sri Lanka. Its mission extends beyond research, aiming to provide essential services and education in water technology. 

The institute will facilitate post-graduate courses for university students and introduce state-of-the-art water treatment machines to ensure access to clean drinking water, especially in underserved areas.

The governance of the JRDC reflects a collaborative approach, with key stakeholders including the Vice-Chancellor of the University of Peradeniya, the Secretary of the Ministry of Water Supply, and the Chief Professor of the Chinese Academy of Sciences overseeing its operations.

During the inauguration ceremony, attended by officials such as Water Supply Ministry Secretary and Senior Professor of the Chinese Academy of Sciences, Yuansong Wei, and Director of the JRDC, Dr. Suchitra Weheragoda, the commitment to advancing water research and technology was reaffirmed. 

The JRDC is poised to become a hub for interdisciplinary collaboration, fostering innovation and solutions to address the pressing water challenges facing Sri Lanka and beyond.

Global investors and Sri Lanka officials expect to hold a second round of talks aimed at restructuring US $12 billion in defaulted International Sovereign Bonds later this month, according to informed official sources 

A group of bondholders, known as a steering committee, and government representatives came away from a first round of negotiations in Europe in late March without a deal.

They plan to continue the discussions around the International Monetary Fund’s spring meetings in Washington DC, which start April 15, said the people, who asked not to be identified as the discussions are private. They didn’t disclose details of the proposal that’s under consideration. 

A deal with private investors is among the last steps in Sri Lanka’s plan to overhaul $27 billion of foreign debt, including bonds and loans.

 The restructuring is critical to ensure financing from the IMF bailout keeps flowing. The government has already struck deals with official creditors, including China, India and the Paris Club as well as with holders of its local debt

Sri Lanka officials expect to hold a second round of talks aimed at restructuring $12 billion in defaulted global bonds later this month, according to official sources  

The International Monetary Fund (IMF) says there is a strong expectation that agreements with commercial creditors consistent with program parameters will be reached by the completion of Sri Lanka’s second review.

Addressing the IMF’s press briefing, Director of the Communications Department Julie Kozak said the next steps on the debt restructuring are to conclude the negotiations with external commercial creditors and to implement agreements in principle with official creditors.  

Julie Kozak further said that the domestic debt operations part of the debt restructuring, are largely completed.

“Completion of the review by the Executive Board requires, first, the implementation of the prior actions that have been agreed and second, completion of what we call financing assurances review. That review would need to confirm that multilateral partners are continuing their financing contributions to Sri Lanka, and it will also assess progress with debt restructuring and will need to conclude that adequate progress is being made,” she said. 

Julie Kozak also pointed out that macroeconomic policy reforms in Sri Lanka are starting to bear fruit. 

“Commendable outcomes include rapid disinflation, robust reserve accumulation, and initial signs of economic growth while preserving the stability of the financial system.  Public finances have strengthened following substantial fiscal reforms, and it is critical that this reform momentum be continued,” she added.

Julie Kozak made the remarks in response to a question raised regarding an update on the debt restructuring process, including with China state creditors

Two state banks are to be protected as national assets with alternative proposals on preservation and maintenance of banking institutions, Prime Minister Dinesh Gunewardena.  

He made this comment at a discussion with trade union representatives which was held at Temple Trees recently. Trade Union activities and institutional issues were discussed during the discussion.

The representatives of the trade unions presented many points regarding the restructuring of institutions, alternative proposals on preservation and maintenance of institutions.

The government has devised a plan of rescue to safe guard Sri Lanka’s two key state owned banks, the Bank of Ceylon and the Peoples Bank in light of capital adequacy challenges, the Committee on Banking and Financial Services recent report revealed.  

Finance ministry has already taken precautionary measures to tackle the impact on capital position of these two banks following the potential debt restructuring of state-owned enterprises amounting to US$ 3,739 million by the end of 2022.

This has pushed the two state banks apparently towards the debt risk exposing capital adequacy problem.  

In this context, the committee has recommended to consider recapitalising these two banks through institutional investors, such as the International Finance Corporation (IFC) and Asian Development Bank (ADB).

Moreover the treasury has allocated Rs.450 billion from the 2024 budget for the recapitalisation of the state banks, including BOC and the Poples Bank.  

However, this recapitalisation will mainly benefit business owners with insolvent enterprises instigating a risk under prevailing banking practices. 

The higher capital levels of banks will enable it to avoid declaring bankruptcy of insolvent companies and instead, renegotiate and/or extend the terms of their loans. Banking and Financial Services recent report observed.   

According to state bank rescue plan, measures will be taken to sell 20 percent stake in state banks to strategic investors or the public, a senior official of the finance ministry disclosed. 

It will support the future growth of the two state-owned banks to reduce the burden on taxpayers’ funds,” he said.

The treasury has also set apart funds to cover US$ 510 million from the total US$ 1.2 billion debt that the airline owed to banks and other institutions, he added. .

Ir has taken over debt worth Rs. 100 billion of SriLankan Airlines sparing the US $ 175 million five year international bond.

The national carrier’s liabilities included $ 105 million of Treasury guaranteed debt due to Bank of Ceylon, $ 12.9 billion of Treasury guaranteed debt due to Bank of Ceylon, $ 105 million of Treasury guaranteed debt due to People’s Bank and Rs. 18.5 billion of Treasury guaranteed debt due to People’s BankAs part of the actions agreed under the IMF-EFF arrangement, the outstanding foreign currency debt of Rs. 884.1 billion of the Ceylon Petroleum Corporation (US $ 2,434.8 million) was absorbed into central government debt by end 2022

Sri Lanka’s economy is projected to see moderate growth of 2.2% in 2024, showing signs of stabilization in the wake of public investment disbursement acceleration under strict regulation

But, the country still faces elevated poverty levels, income inequality, and labor market concerns, says, following the severe economic downturn of 2022.the World Bank’s latest bi-annual update.

At the same time, private investment growth has slowed sharply in all South Asian countries and the region is not creating enough jobs to keep pace with its rapidly increasing working-age population

The government has allocated a massive sum of Rs 1.2 trillion for public investment projects in 2024 issuing guidelines require all project proposals utilising the Consolidation Fund to be submitted to the National Planning Department (NPD)  where there undergo preliminary and detailed appraisal before moving to the funding arrangement stage

Break down of project investments this year for seven key sectors are social Infrastructure Rs.  210.64 billion, agriculture Rs57.72billion ,commercial infrastructure Rs.743.33billion  governance Rs73 billion ,environment  Rs7.14 billion Social Protection Rs13.29 billion and ,regional development Rs.71.47 billion, finance ministry data shows.    

According to a latest department circular, a significant number of project proposals are directly submitted to the Cabinet for approval skipping appraisal by the NPD entirely. 

Approval of the projects without NDP’s appraisal and recommendations creates major deviations such as duplication of similar projects by different institutions, inability to prioritise development initiatives, and mismanagement of constrained fiscal space, it added.

The government is to accelerate public investment disbursement for priority projects generating return on investment to further economic growth post-crisis period this year.

Disbursing public investment capital is vital for the country’s economic recovery as it looks to bounce back from the negative effects of the pandemic and slowdown in its economy.

A new public finance management (PFM) Law will be promulgated soon, with an integrated public investment management (PIM) section with provisions that establish a unified approach to prioritising capital investment projects based on explicit criteria early in the budget process

The Ministry of Finance is required to ensure that all projects included in budget documents are from the list of assessed and prioritised projects.

An enhanced regulatory framework will be established for treatment of unsolicited proposals including the manner in which such proposals can be received and evaluated.

The ministry is to publish on a government website a list of funded projects that have originated as unsolicited proposals every 6 months, along with information on lead contractor for the proposals, contract cost, and implementation progress.