Legal

Bail requested for former Sri Lankan reconstruction agency official

Wednesday May 20, 2015 5:51 am

COLOMBO (EconomyNext) – Counsel for Saliya Wickramasuriya, a former official in Sri Lanka’s reconstruction agency, pleaded for bail, saying he required medical treatment and that the petroleum industry professional’s skills were needed in the offshore gas exploration effort..

Wickramasuriya, former Chief Operating Officer of the Reconstruction and Development Agency (RADA), was suffering from acute back pain and too ill to appear in court Tuesday, President’s Counsel Anil Silva said.

He told Colombo Fort Magistrate Priyantha Liyanage that Wickramasuriya had been diagnosed with a degenerative condition in the spine in 1994 that would get worse if not treated properly.

Wickramasuriya, who was arrested over alleged fraud in use of tsunami rebuilding funds by RADA, had been transferred to the national hospital as the prison hospital lacked facilities for the required treatment, Silva said.

He complained that Wickramasuriya was being denied bail as he was charged under the Public Property Act.

Silva charged that police investigators were preventing government officials from getting about their work and had failed to arrest powerful people linked to the alleged fraud despite assurances they would do so.

Written submissions are to be filed before Friday May 22 when the case will be heard next.

The prosecution objected to bail and told Magistrate Priyantha Liyanage that they intend arresting parliamentarian Tiran Alles, former chairman of RADA, in connection with the investigations into the alleged fraud if they uncover enough evidence.

The RADA was in charge of reconstruction projects after the December 2004 Indian Ocean tsunami which hit Sri Lanka’s eastern and southern coasts.

Silva quoted a letter from Suren Batagoda, Secretary to the Ministry of Power and Energy, saying that Wickramasuriya’s services were essential for the ongoing offshore petroleum exploration effort.

Wickramasuriya was the only person in Sri Lanka with the specialized knowledge to handle talks with multinational oil companies.

Wickramasuriya, now the director general of the Petroleum Resources Development Secretariat in charge of exploiting oil and gas deposits, is a physicist who has worked in the upstream oil and gas industry since 1984.

He worked for 20 years for Schlumberger, considered the world’s largest oilfield services company, with 12 years of experience working on oil rigs and served in locations ranging from the North Sea and Middle East to China, India, Pakistan and the United States.

In the last seven years, Wickramasuriya has worked for the Sri Lankan government, as chairman of the Board of Investment and chairman of the Sri Lanka Ports Authority before taking up his present appointment.

Economy

Sri Lanka Customs surpasses revenue goal for ninth straight month in Sept

Containers are shown at Ningbo-Zhoushan port on August 15, 2021. Suo Xianglu/VCG/Getty Images/CNN

Thursday October 1, 2026 7:17 pm

ECONOMYNEXT – Sri Lanka Customs exceeded its monthly target for the ninth consecutive month in September, achieving the target before the month ended, official data showed.

Customs’ September revenue target was set at 195.6 billion rupees.

However, in the first 29 days of the month, the revenue-collecting body had already collected 245.9 billion rupees, exceeding the target, official data showed.

Customs has set a revenue target of 2,207 billion rupees for this year, 13.5 percent less than last year as it originally expected a significant decline in car imports.

Data showed it has already achieved 95.4 percent of this year’s target or 2,104.6 billion rupees even before the end of nine months.

Last year, Customs collected a record 2,551 billion rupees in revenue, exceeding an upwardly revised target of 2,241 billion rupees for the year and achieving 64.2 percent higher revenue than the previous year’s revenue of 1,553 million rupees.

Sri Lanka Customs’ revenue jump is largely due to stronger enforcement, improved valuation practices, and a rebound in import volumes after years of contraction.

Following the 2022 economic crisis, imports fell sharply as the country imposed restrictions to conserve foreign exchange.

However, with the stabilization of reserves, the relaxation of certain import controls, and a steady recovery in consumer demand, customs collections from import duties, excise, and other levies have risen.

Officials note that tighter monitoring of under-invoicing and misdeclaration of goods has also contributed to boosting state revenue.

The combined effect of increased import activity, currency movements, and stricter enforcement has positioned Customs as one of the top revenue sources for the Treasury in 2025, providing a vital cushion as the state works to meet fiscal targets under the IMF-supported program. (Colombo/October 01/2026)

Economy

Sri Lanka’s 2026 economic growth likely to hit three-year low

Thursday October 1, 2026 6:54 pm

ECONOMYNEXT – Sri Lanka’s economic growth is likely to slow down this year compared to the last two years amid Middle Eastern escalation dragging down the island nation’s economic activities with high fuel prices.

Sri Lanka, recovering from an unprecedented economic crisis in 2022, expanded by 5 percent in both 2023 and 2024 after a contraction in the previous year.

However, it is expected to slow down this year weighed down by the impact of the Middle Eastern crisis.

Already, the country witnessed 4.2 percent economic growth in the second quarter of this year, its lowest in eight quarters.

Central Bank Governor Nandalal Weerasinghe said the growth will be above 4 percent this year, including the second half of this year.

“I think it is too early for us to give a number. But what we say is, second-half growth looks like it will remain above 4% for the next two quarters, based on the activity indicators. the actual activities taking place,” the Governor told reporters in a media briefing.

“We see growth will be above 4% in the two halves, but an annual projection we have not done yet; we will see later.”

In January while launching the Central Bank’s policy agenda for this year, Weerasinghe saidSri Lanka’s economic growth will be around 4-5 percent.

In June, Deputy Finance Minister Anil Jayantha Fernando said Sri Lanka still hopes to achieve 5 percent economic growth this year despite monetary policy tightening and falling consumption amid rising prices.

“The government projection is up to the government. I don’t think we should not comment on that,” the Governor said.

“The IMF has 3.5%. The government has something, the World Bank has given a projection, the ADB has another projection, so that is based on their own assumptions. We can comment on our projections only.” (Colombo/October 01/2026)

Bonds & Forex

Sri Lanka rupee closes at 330.60/70 to US dollar spot, bond yields flat

Thursday October 1, 2026 5:37 pm

ECONOMYNEXT – Sri Lanka’s rupee closed at 330.60/70 to the US dollar in the spot market on Thursday, from 330.65/80 the previous day, while bond yields closed broadly steady, dealers said.

A bond maturing on 01.08.2030 closed at 11.10/18 percent, down from 11.10/20 percent.

A bond maturing on 15.10.2030 closed flat at 11.20/25 percent.

A bond maturing on 01.02.2031 closed at 11.22/27 percent, down from 11.25/30 percent.

A bond maturing on 15.12.2032 closed flat at 11.65/75 percent.

A bond maturing on 15.10.2034 closed flat at 11.95/12.00 percent.

At the end of September, the rupee had depreciated by 6.3 percent against the US dollar on a year-to-date basis, the central bank said. (Colombo/Oct/2026)

Economy

Sri Lanka current account surplus $133mn in Aug 2026 on lower import spend

Thursday October 1, 2026 4:01 pm

ECONOMYNEXT – Sri Lanka recorded a 133 million US dollar surplus in its current account in August 2026, official data showed, following four months of deficits.

“The surplus was supported by the lower trade deficit compared to recent months, reflecting lower import expenditure,” the central bank said.

The current account recorded a deficit of 291 million dollars during January-August 2026, due to pressures on the external sector from the escalation of the conflict in West Asia.

The current account is a mirror image of the financial account (subject to errors and omissions).

The merchandise trade deficit widened in August 2026, year-on-year, due to higher import expenditure and lower export earnings.

The total trade deficit during January–August 2026 widened to 7.2 billion dollars, from 4.3 billion the previous year.

Total fuel import costs were around 4 billion dollars during January–August 2026, a 61.6 percent year-on-year increase.

Fuel import costs dropped for the fourth consecutive month in August 2026.

Motor vehicle import costs was 189 million dollars in August, a 24.2 percent drop from the same period last year.

Total motor vehicle imports during January–August 2026 was 1,684 million dollars.

“The terms of trade deteriorated on a year-on-year basis in August 2026, as import prices increased at a faster pace than export prices. Similarly, the terms of trade deteriorated during January–August 2026 compared to the corresponding period of 2025.”

The services account recorded a surplus of 220 million dollars in August, a 24.4 percent reduction from last August.

The total services account surplus during January-August 2026 fell 21.4 percent to 2.1 billion dollars, on a year-on-year basis.

Tourist arrivals fell 3.3 percent in the month compared to last August.

Total arrivals during January-August 2026 fell 2 percent, compared to the corresponding period of 2025.

Tourism earnings were estimated at 264 million dollars in August, a 2.1 percent increase from a year earlier.

But total tourism earnings during January-August 2026 fell 10 percent to 2.1 billion dollars, compared to 2025.

Workers’ remittances increased by 10 percent to 749 million in August and by 19.8 percent to 6.1 billion dollars during January-August.

Foreign investment in the government securities market saw a net inflow of 70.2 million dollars in the month.

Foreign investment in the Colombo Stock Exchange saw a net outflow of 58.1 million dollars.

Gross official reserves increased to 6.9 billion dollars by end August.

By end September, the rupee had depreciated by 6.3 percent against the US dollar on a year-to-date basis. (Colombo/Oct1/2026)

Markets

Sri Lanka stocks close up, banks lead turnover

Thursday October 1, 2026 3:28 pm

ECONOMYNEXT – Sri Lanka’s Colombo Stock Exchange closed higher on Thursday, CSE data showed, with the benchmark All Share Price Index moving up 0.33 percent.

The ASPI was up 67.97 points at 20,880.90, while the more liquid S&P SL20 was up 0.14 percent, or 8.30 points, at 5,902.46.

Positive contributors to the ASPI were Dialog Axiata (up 1.33 percent at 45.80 rupees), Singer (Sri Lanka) (up 2.88 percent at 78.60 rupees), Carson Cumberbatch (up 1.32 percent at 729.50 rupees), LOLC Holdings (up 1.72 percent at 443.00 rupees), and Commercial Bank of Ceylon (up 0.25 percent at 203.00 rupees).

LOLC Finance (down 3.77 percent at 5.10 rupees), Sri Lanka Telecom (down 1.29 percent at 83.90 rupees), and People’s Leasing & Finance (down 2.78 percent at 17.50 rupees) were top negative contributors.

Market turnover was 1.43 billion rupees. The banking sector led turnover with 489.34 million rupees, followed by capital goods with 421.33 million rupees.

Crossings in Sampath Bank recorded a turnover of around 230 million rupees, with crossings also seen in Access Engineering, Lanka IOC, Hatton National Bank, and John Keells Holdings.

“I think we saw about 1.4 billion in turnover, which definitely showed a bit of an improvement, and the market was also up by about 65 to 70 points,” Raynal Wickremeratne, Head of Research and Strategy at NDB Securities, said.

“There is a slight renewal in sentiment, but I don’t think this is properly indicative of a long-term trend as such. This is more a cycle — every time there is a bit of a decline, you see people coming back to some good companies,” Wickremeratne said. (Colombo/Oct01/2026)

Health

Sri Lanka to fix prices for 90-pct of imported medicines within a year: NMRA

Thursday October 1, 2026 12:24 pm

ECONOMYNEXT — Sri Lanka’s National Medicines Regulatory Authority (NMRA) expects to enforce maximum retail prices (MRPs) for roughly 90 percent of imported medicines over the coming year, NMRA chairman Ananda Wijewickrama said.

The regulator is carrying out brand-specific price determinations across more than 6,000 registered formulations as pharmaceutical companies submit applications for their annual import permits.

“These 6,000 medicines exist under various brand names. For example, if we take the medicine called Metformin, I think it is registered under more than 30 brand names. We determine prices for all 30 of these separately,” Wijewickrama said.

The price-setting mechanism would encompass the majority of active imports within a 12-month period, he said.

While certain registered medicines imported only for sporadic state tenders may fall outside this cycle, active commercial imports will be capped.

Pricing determinations will remain an ongoing process to adjust for raw material costs and exchange rate shifts.

To prevent inflated transfer pricing, import costs (Cost, Insurance, and Freight – CIF) are benchmarked directly against domestic retail rates in the manufacturing nations, such as India or Bangladesh.

All approved maximum retail prices will be published on the NMRA website for consumer reference, NMRA officials told reporters.

Standardizing MRPs will eliminate regional disparities where retail pharmacies in areas like Jaffna, Anuradhapura, and Colombo sell identical products at differing prices, Wijewickrama claimed.

While setting MRPs or price caps on medicines is intended to protect patients from price gouging, and lower healthcare costs, critics point out that international pharmaceutical companies would opt to withdraw products from a country, especially a small market like Sri Lanka, rather than sell at a loss.

This would take away a patient’s access to possibly higher-quality meds and leave them with generic meds. (Colombo/Oct01/2026)