Government to set up authority to regulate microfinance credit

The Finance Ministry is planning to set up a credit regulatory authority via the proposed Credit Regulatory Authority Act by end of this year to regulate microfinance and lending firms in Sri Lanka.

Kia Motors revs up for growth with Rs.800mn Malabe complex as nucleus

Top Korean nameplate Kia is to strengthen its presence in Sri Lanka with a distributor dealership model following the recent corporate structure change which saw Managing Director Mahen Thambiah securing 100 percent ownership with a total investment of Rs.1.02 billion.

Malaysian prosecutors wrap up first case against Najib

(Kuala Lumpur) AFP: Malaysian prosecutors yesterday wrapped up the first of several cases against toppled leader Najib Razak over the plundering of 1MDB, a day before the start of his main trial linked to the scandal-hit fund.

Sri Lanka eyes oil and gas producing nation status by 2022

Sri Lanka will become an oil and gas producing nation by the year 2022, as the island nation steadily moves ahead with plans to develop its offshore hydrocarbon potential, Petroleum Resources Minister Kabir Hashim said.

Rupee slips amid foreign fund outflow worries

(Colombo) REUTERS: Sri Lanka’s rupee slipped yesterday amid worries over further foreign fund outflows after the Central Bank cut key monetary policy rates. Shares snapped four straight sessions of falls as investors picked up beaten-down banking and diversified stocks.

Indian economy set for weakest quarter of growth in 5 years

(Bangaluru) REUTERS: The Indian economy likely expanded at its slowest pace in more than five years in the April-June quarter, driven by weak investment growth and sluggish demand, according to economists polled by Reuters.

Trade war fractures Asian global value chains

On August 24, US President Donald Trump announced an increase from 25 to 30 percent for the existing tariffs on US $ 250 billion of Chinese imports from October 1 and new 15 percent tariffs on US $ 300 billion of Chinese imports from September 1. In doing so, Trump has reneged on his August 13 decision to delay until mid-December the imposition of new tariffs, then set at 10 percent, given the admission for the first time that they may ‘have an i

Strengthening farmers’ resilience in Sri Lanka’s dry zone

They call it the dry zone. A huge area of Sri Lanka that lies towards the North of the island, where there is a real shortage of water for agriculture and drinking.

Oil palm industry yet to see light at end of tunnel

President Maithripala Sirisena is yet to provide an opportunity for the country’s palm oil planters to present their case, despite several attempts been made to have a one-on-one meeting with the president.

US $ 4.2mn Fantasy Island theme park to feature SL’s largest ferris wheel

Sri Lanka’s largest ferris wheel will soon make its first spin, soaking up bird’s eye views across the capital city and its suburbs. The iconic wheel would be part of a 1.5-acre entertainment zone, ‘Fantasy Island’, which also houses a large water park and an impressive snow cave.

World Surf League returns to Arugam Bay

The World Surf League (WSL) has announced that it will be returning to Arugam Bay, Sri Lanka, this September for the ‘So Sri Lanka Pro Men’s QS3,000’ event.

Indonesia picks Borneo island for new capital

(Jakarta) AFP: Indonesia will move its capital to the eastern edge of jungle-clad Borneo island, President Joko Widodo said yesterday, as the country shifts its political heart away from congested and sinking megalopolis Jakarta.

Lankan spice exporters request India to remove MIP on pepper

Sri Lanka’s spice producers are requesting the Indian authorities to remove the minimum import price (MIP) on imported black pepper to India as Sri Lanka’s pepper exports to India have come into a halt, impacting the pepper prices in Sri Lanka adversely.

Rupee ends tad firmer, CB’s surprise rate cut weighs

(Colombo) REUTERS: Sri Lanka’s rupee ended a tad firmer yesterday, ending a five session losing streak, but worries over further foreign outflows after the Central Bank cut key monetary policy rates weighed on sentiment. Stocks closed weaker for the fourth straight session.

EU says Britain must pay Brexit divorce bill even if no deal

(Brussels) AFP: Britain must pay its Brexit divorce bill even if it crashes out of the bloc without a deal, the EU said yesterday, warning that future ties would be threatened if London failed to honour its commitments.

Govt. action imperative to tackle growing beedi incidence

Over the years Sri Lankan lawmakers have taken progressive steps towards tobacco control and Sri Lanka has been recognised and lauded as a world leader in the global campaign to combat smoking. However, over engineering of regulations to combat smoking is also giving rise to problems that ironically are once again related to smoking and these unexpected outcomes

FTAs may impact spice exporters’ revenue

The proposed free trade agreements (FTAs) are likely increase competition among spice exporters impacting their incomes, unless active measures are taken to drive up the production, an industry veteran warned.

Vehicle registrations rebound in July signalling recovery

Sri Lanka’s vehicle registrations rebounded in July from the depths it fell in the month before, as the economy appears to be gaining traction after the Easter attacks in April. Total motor car registrations recorded in July stood at 2,584 units from 1,580 units in June, a monthly vehicle registrations tracker by JB Securities—a leading Colombo-based equity brokerage and research house showed. However, a year ago, this number was as high as 7, 1

LOT Polish Airlines to launch Warsaw-Colombo direct flights from November

Starting this winter season, Poland’s flag carrier LOT will fly from Warsaw to Sri Lanka with flights being operated seasonally, with three weekly flights between November 3 and March 28, on its modern fleet of Boeing 787-9 Dreamliners, the airline said in a statement.

PF urges political leadership to take final decision on MCC grant

The Pathfinder Foundation (PF), a Colombo-based think tank, has requested President Maithripala Sirisena to immediately call a meeting of the country’s political leadership to arrive at a final decision with regard to the proposed Compact with the Millennium Challenge Corporation. “Much of the news about the US$ 480 million MCC Compact with Sri Lanka, an outright grant not a loan, has been based on hearsay and rumour. Due to paucity of informatio

Govt. to launch US$ 500 mn Samurai bond in October

The Central Bank is to seek clearance of the Cabinet of Ministers tomorrow to appoint lead managers to launch the US $500 million worth yen-denominated Samurai bond in Japan in October, which would be followed by renminbi-denominated Panda bond issuance in China next year.

CB forecasts over 2% growth in 2Q

The Central Bank estimates that the economy has grown by around 2.1 percent in the second quarter of this year despite the economic impacts of Easter Sunday attacks. “As per our estimates, the second quarter gr

Asian markets mostly up ahead of Powell speech

HONG KONG (AFP) - Asian markets mostly rose yesterday ahead of a key speech by Federal Reserve boss Jerome Powell, while the pound held the previous day’s rally fuelled by rekindled hopes for a soft Brexit. After a positive start to the week sparked by C

Indian government dampens hopes of economic stimulus

MUMBAI (AFP) - Indian markets fell yesterday after a top official dampened hopes of a stimulus package to support a misfiring economy and ease a liquidity crunch in Asia’s third-largest economy. India’s economic growth has slow

Central Bank slashes rates to revive economy

In a surprise move, the Central Bank cut policy rates by 50 basis points aiming to further support the revival of the economy despite, the potential fiscal slippages ahead of the election cycle.

THASL welcomes Bohra community leader to Sri Lanka

The Tourist Hotels Association of Sri Lanka (THASL) in a statement has said the visit of Dr. Syedna Mufaddal Saifuddin, Head of the internationally diverse Dawoodi Muslim Bohra community to Sri Lanka at this point of time is an event of great significance.

Lithuania urges Amazon to drop Soviet-themed goods

VILNIUS (AFP) - Lithuania this week called on US e-commerce giant Amazon to stop selling Soviet-themed goods online, saying the hammer and sickle symbol offended victims of totalitarian communism. The Baltic state’s independence icon Vytaut

Rupee falls after Central Bank’s surprise rate cut

REUTERS - The Sri Lankan rupee fell for the fifth straight session yesterday, after the Central Bank cut key monetary policy rates amid foreign outflows from government securities, and tracking other emerging currencies. Stocks closed slightly weaker. The Central Bank unexpectedly cut interest rates for the s

French winemakers jittery over Trump tariff threats ahead of G7

PARIS (AFP) - French winegrowers are on tenterhooks as they wait to see whether Donald Trump will follow through with his repeated threats to raise tariffs on French wine in retaliation for the new GAFA tax. As the leaders of the world’s richest countries gather for the G7 opening, winegrowers in host nation France fear they will have to suffer consequences from the new French tax on the US tech giants.

Lankans with betting interests to be barred from cricket body

(Colombo) AFP: Sri Lankans involved in gambling firms will be barred from the nation’s cricket governing body as officials bid to eradicate match-fixing scandals that have dogged the sport, the government said yesterday.