SL to overshoot 2019 fiscal deficit target despite spending cuts

Sri Lanka could overshoot its budget deficit target by much as 100 basis points this year, pushing its fiscal deficit to its highest in three years, as spending cuts have failed to offset shortfalls in revenues, th

Finance Ministry rubbishes People’s Bank privatization claims

The Finance Ministry yesterday emphasized that the proposed amendments to the People’s Bank Act are not aimed at privatizing the State-owned bank, and rubbished claims made otherwise as baseless and politically-motivated.

No good reason to back out of US $ 480mn MCC grant

Sri Lanka is at risk of losing a US $ 480 million Millennium Challenge Corporation (MCC) grant due to a campaign of misinformation and political differences among the ruling ‘coalition’. The MCC grant represents the largest grant from a single source Sri Lanka has ever received and presents a valuable opportunity to fix some of the country’s constraints to economic growth.

SL wants to source Indonesian fabric to maximise GSP Plus gains

As the GSP Plus concessions are set to expire in 2023, following Sri Lanka’s recent graduation to the higher-middle-income category, the government has requested the European Union (EU) to expedite the approval to source high-quality fabrics from Indonesia, in order to maximise apparel exports to the EU under the concessionary scheme.

CSE proposes to revise Listing Rules to improve IPO process

The Colombo Stock Exchange (CSE), in consultation with the Securities and Exchange Commission of Sri Lanka, is proposing to revise the regulatory framework governing the initial listing of shares on the CSE.

Odel wants import duties slashed to make SL top shopping destination

Sri Lanka’s leading fashion and lifestyle retailer Odel PLC, a unit of diversified Softlogic group, says it is lobbying the government to reduce duty on imports to make Sri Lanka an attractive shopping destination for tourists.

SL-Maldives sign new visa facilitation pact

The Maldives and Sri Lanka yesterday signed a new visa facilitation agreement to grant a free 90-day visa on arrival for the visitors between the two countries.

Rupee weakens amid fund outflows; stocks down

New railway line from Katunayake airport to Veyangoda

The government is looking at the possibility to build a new railway line between Bandaranaike International Airport in Katunayake and Veyangoda to promote tourism. Transport and Civil Aviation Minister Arjuna Ranatunga said a new railway line between Katunayake and Veyangoda would allow tourists as well as locals to travel to places like Kandy, Badulla, Jaffna and Trincomalee directly from the airport, without coming to Colombo.

Fitch affirms and withdraws rating on BOC’s proposed debt issue

Fitch Ratings has affirmed and withdrawn the rating on Bank of Ceylon’s (BOC) proposed Basel III-compliant subordinated debenture issue, as the issuance has not taken place. BOC in July revealed plans to raise as much as Rs.12 billion through a private placement of subordinated debentures to beef up its capital base to meet the regulatory requirements stipulated under the Basel III accord.

Union Bank says weighing options for finance subsidiary

Union Bank of Colombo PLC yesterday said it is weighing the strategic options for its underperforming finance subsidiary UB Finance (UBF) as the bank is engaging in talks with identified investors for the possible divestment of the licensed finance company.

Lifting Sri Lanka’s ‘state of emergency’

Four months on from the brutal Easter Sunday terror attacks, Sri Lanka finally lifted its national state of emergency on August 22, 2019. While there has been much hype about what this means for economic productivity and tourism gains, the move has also sent a strong message about the state of peace and security within the nation.

ECT to be operational end of next year: Sagala

The much anticipated deep water East Container Terminal (ECT) will come into operation in December next year, under the proposed terminal operating company (TOC) that will be jointly formed by Sri Lanka Ports Authority (SLPA), Japan and India, in which SLPA would have 51 percent stake. “The Cabi

Elephant House eyes int’l recognition with Warner Bros partnership

Elephant House Ice Cream, the famous and iconic household brand for ice cream in Sri Lanka, has taken yet another giant leap through their historic partnership with Warner Bros.

Higher credit costs and taxes to put banking sector profitability under pressure: Moody’s

Higher credit costs amid worsening asset quality and higher taxes are set to impact the profitability of Sri Lanka’s banking sector negatively, according to a new report by Moody’s Investors Service.

Tourism industry hopeful of successful winter season with lifting of emergency

With the lifting of state of emergency, removal of travel advisories, discounted prices and free visas Sri Lanka expects a successful winter season ahead, making a strong recovery following the Easter Sunday terror attacks. While

All set for third Enterprise Sri Lanka exhibition in Jaffna

The third Enterprise Sri Lanka exhibition, which aims to promote enterprise culture in Sri Lanka and takes the government development activities to the doorstep of the people, will be held from September 7 to 10 at the Jaffna Fort. The goal of this exhibition is to attract members of the new generation to various enterprises that are native to the Northern Province and thereby further strengthen such enterprises.

Govt. losing 20% revenue due to Customs leakages: Treasury

The government is estimated to be losing nearly 20 percent revenue from Sri Lanka Customs (SLC) due to various revenue leakages, according to the Treasury. A senior Treasury official revealed that under-invoicing, under-valuation and misclassification have been identified as main reasons for revenue leakages from the SLC. He noted that SLC officials cannot be solely blamed as the private sector too is looking for every possible loophole to evad

Inflation edges up to 3.4% in August

Sri Lanka’s inflation in the month of August edged up to 3.4 percent from 3.3 percent in July, the data released by the Department of Census and Statistics (DCS) showed.

Netherlands envoy meets Malik

The newly appointed Ambassador of Netherlands to Sri Lanka Tanja Gonggrijp paid a courtesy call on Development Strategies and International Trade Minister Malik Samarawickrama at the ministry. The dis

SriLankan Airlines celebrates 40 years of service to nation

Exactly 40 years ago, on September 1, 1979, the first flight of SriLankan Airlines was made, the aircraft rising gracefully from Colombo’s Bandaranaike International Airport (BIA) to wing its way to Bangkok. It was the modest start of the na

Rupee recovers from seven-month closing low; stocks slip

Sri Lanka’s rupee closed slightly firmer yesterday, snapping three straight sessions of losses and recovering from a seven-month closing low hit in the previous session, but risks of foreign fund outflows weighed on the currency. Foreign investors sold net Rs.12.9 billion worth of government securities in the week ended August 21, the worst weekly outflow in eight months and the year-to-date net foreign outflow was Rs.40.9 billion, the Central B

Peter Kuruvita joins as guest chef for Sri Lanka at Expo 2020 Dubai

The world-renowned chef Peter Kuruvita will join as the guest chef representing Sri Lanka to deliver the contemporary version of Sri Lankan cuisine with the richness of Sri Lankan spices, at the Culinary Experience Pod event of Expo 2020 Dubai. The Culinary Experience

India growth slows to 5% in fresh blow to Modi

(Mumbai) AFP: India’s economic growth slowed for the fifth straight quarter in the April-to-June period to 5.0 percent, government figures showed yesterday in a fresh blow to Prime Minister Narendra Modi.

Asian markets boosted by fresh trade hopes after troubled week

(Hong Kong) AFP: Renewed hopes for trade talks boosted most Asian equities yesterday after China said it would not retaliate against the latest US tariffs, setting up a positive end to a volatile week. However, the arrest of activists in Hong Kong fuelled fresh worries about violent protests in the city and wiped out an early rally. With huge levies on goods worth hundreds of billions of dollars due to kick in over the weekend, the long-running

India announces series of mergers of state-run banks

(New Delhi) REUTERS: India announced a series of mergers involving 10 state-owned banks yesterday, as it moves to strengthen a sector struggling under a mountain of debt and ensure stronger balance sheets to

Oil prices fall but set for big weekly gain as trade dispute rhetoric eases

(London) REUTERS: Oil gave back some of its recent gains yesterday, but was still headed for the biggest weekly increase since early July, boosted by a decline in U.S stocks, a looming hurricane in Florida

Parliament to take up People’s Bank (Amendment) Bill vote next week

The People’s Bank (Amendment) Bill will be presented to Parliament for a vote next week, seeking lawmakers’ approval to allow the State-run bank to raise capital by issuing debentures similar t

Hayleys commissions Rs.225mn polyurethane mattress manufacturing facility

Sri Lanka’s most diversified conglomerate, Hayleys PLC this week announced the commissioning of its first polyurethane (PU) foam mattress manufacturing facility as part of a continuing effort to capture a larger share of domestic and potential export business.

Gamperaliya third stage to begin on September 1

The third stage of Gamperaliya rapid rural development programme is set to begin on September 1 allocating Rs.100 million for each electoral division.