ComBank liquidates money transfer subsidiary in Italy

Commercial Bank Ceylon PLC yesterday announced the voluntary liquidation of Commex Sri Lanka S.R.L, a wholly owned subsidiary.....

Apparel industry says fully compliant with Central Bank’s export repatriation laws

Joint Apparel Association Forum, the apex body of Sri Lanka’s apparel manufacturing and exporting industry yesterday said.....

Ronald C. Perera appointed Sri Lanka Insurance Chairman

President’s Counsel Ronald Chithranjan Perera is appointed as the Chairman of state-owned Sri Lanka Insurance Corporation with effect.....

Govt. to extend amnesty period for handing over dollars exceeding limit by one month

The Finance Ministry is set to extend the amnesty period granted to sell or deposit excess foreign currency possessions of Sri Lankan....

July sees over 47, 000 tourist arrivals

Tourist arrivals to Sri Lanka edged up to 47, 293 in July compared to 32, 856 arrivals in June, though down from the peak of 106, 500 arrivals.....

Immediate government assistance sought to avoid paralysis of tea exports

The Sri Lanka Tea Board (SLTB) along with industry stakeholders seeks a well-coordinated and synergised mechanism from the government to resolve the fuel and agrochemical shortages threatening Sri Lanka’s tea production and industry sustainability.

Outward labour migration in 1H tops 2021 full-year figure

Sri Lanka’s outward labour migration in the first half of 2022 surpassed the 2021 full-year figure amid the prevailing deep economic and political crisis in the country.

SL records trade surplus in June after two decades

Sri Lanka recorded a rare surplus in the trade account in June after nearly two decades, as merchandise export earnings hit a fresh high while imports continued on the downward spiral reaching new lows.

Merchandise export earnings top US $ 1.2bn in June

The earnings from merchandise exports expanded by 20 percent year-on-year (YoY) in the month of June, fetching foreign exchange earnings amounting to US $ 1,208 million.

China remains key sticking point in debt restructuring: Fitch

China continuously pops up as one of the key sticking points for Sri Lanka to reach the much needed debt sustainability as Fitch Rating this week too weighed in on the matter saying that the world’s second biggest economy could complicate the island nation’s debt talks with its creditors.

JKH defies economic crisis to pull off strong June quarter

John Keells Holdings PLC (JKH) reported some robust top and bottom-line performance in the three months to June (1Q23), despite the multiple vagaries coming from the economic crisis, as the business activity reached its pre-pandemic levels across all segments compared to a year ago when virus-related restrictions dampened the performance.

SL has been on champagne diet with kasippu income, top economist quips

The status of Sri Lanka’s fast-crumbling economy has been attributed to many factors, but the key reason for the downfall of the island nation is that it has been on a ‘champagne diet with a kassipu income’ for a bit too long, according to a top economist in the country.

Sri Lanka asks China for help with trade, investment and tourism

Sri Lanka has asked China to help with trade, investment and tourism to help it grow sustainably, Colombo’s envoy to Beijing....

Dialog secures IFC loan up to US$ 150 mn to expand broadband network capacity

Dialog Axiata PLC (Dialog) is set to expand and improve broadband connectivity across the country with International Finance Corporation’s .....

Crisis-hit Sri Lanka woos foreign oil firms amid fuel shortages

Sri Lanka canvassed oil companies in petroleum-producing nations yesterday to import and sell their products in the Indian Ocean....

Exporters set to face higher freight charges amid acute jet fuel shortage

Sri Lankan exporters are set to experience increased air freight rates amid capacity constraints stemming from reduced frequencies and limits on payloads, caused by the acute jet fuel shortage in the country.

Sri Lanka faces risk of airlines pulling out as jet fuel issue worsens

With no credible solution in sight to resolve the jet fuel shortage and the fund repatriation issues faced by the country’s aviation industry, several airlines are contemplating on suspending their operations to Sri Lanka threatening tourism industry’s recovery, which depends on air connectivity.

CCC submits proposal to PUCSL for effective electricity tariff revision

In order to ensure the implementation of an effective tariff revision, which sustainably addresses Sri Lanka’s energy requirements, the Ceylon Chamber of Commerce (CCC) submitted suggestions and recommendations on the proposed electricity tariffs to the Public Utilities Commission of Sri Lanka (PUCSL) this week.

Crisis-struck SL need not wait for IMF agreement to get fiscal act straight

Crisis-struck Sri Lanka need not wait for support from the International Monetary Fund (IMF) to get its act straight, and must get about rolling out fiscal reforms at the earliest to help ease the ongoing pressures stemming from economic mismanagement, a former Central Bank official said.

Economic hardships could persist as bridge financing remains a long shot

The current economic conditions could grind on till Sri Lanka strikes an agreement with the International Monetary Fund (IMF), which will unlock other sources of funding, as bridge financing, which the authorities were hoping for in the interim, remains hard to come by, according to Central Bank Governor Dr. Nandalal Weerasinghe.

CB explains why no blanket debt moratorium this time

Explaining the reasons why a blanket moratorium could not be deployed to assist the crisis-hit borrowers this time, the Central Bank said its responsibility is to protect the interests of both lenders and depositors and overdoing to protect one’s interests could bring in some unintended consequences to the other and would create imbalances in the banking sector and thereby the overall economy.

IMF directly reaches out to SL’s creditors to find quick resolution

The International Monetary Fund (IMF) yesterday said it is in the creditors’ interest for them to come on board with efforts to restructure Sri Lanka’s debt faster, as it would ensure they recover their money at a future date when they help to fast-track the country’s re-emergence from the current economic malaise.

India eclipses China to become top lender to debt-laden Sri Lanka 

India has surpassed China to become the top lender to Sri Lanka, as the former came to the rescue when Sri Lanka started experiencing some acute shortage of foreign currency from the beginning of the year which reached a breaking point in March causing a complete collapse of the country’s economy.

Possible recession in eurozone likely to worsen SL’s forex woes

Fitch Ratings this week warned that Sri Lanka’s export and tourism sectors are likely to take a hit from the possible recession in the eurozone and it could further exacerbate the country’s actuate foreign exchange shortage.

Political instability and worsening economic crisis hit hotels sector hard

The hotel sector in the country has lost the bulk of its business in a matter of days due to the irrational decision-making of the authorities.

Prospects of SL securing IMF bailout remain bright despite political unrest

Despite the current leadership vacuum in the country, a reputed economist remains optimistic of the prospects of Sri Lanka securing a rescue package from the International Monetary Fund (IMF) by September-October and following a staff-level agreement expected in about three weeks.

SriLankan Airlines January-April losses at thumping Rs.248bn

The losses at SriLankan Airlines for the first four months to April topped Rs.248.4 billion in 2022, including one-time exchange loss of Rs.145 billion that came in March due to the collapse of the rupee against the dollar,

May imports hit fresh low as restrictions take effect

Granting a narrow cumulative trade deficit over the last year for the first time this year, Sri Lanka’s import bill fell to an 18-month low in May amid the forex crisis, rupee depreciation and import control measures.

June remittance income wipes out slight gain made in May

The remittances in June undid even the slightest gains made in May, as the key foreign income earner to the country is continued to be beset by the informal channels, which appear to be still functioning regardless of the actions taken to clamp down on them.

CB keeps doors open for further rate hikes should inflation stays stubborn

After delivering a much-anticipated rate hike, yet short of the size some expected, the Central Bank said it is ready to take further steps to rein in inflation and bring it to its desired 4 to 6 percent range, which is at least 12 to 18 months away at the best-case scenario and also contingent on global commodities prices.