Politics

Sri Lanka minister urges to delay LG polls until stability returns

NOT A SPACED-OUT SOLUTION: Sri Lanka can earn billions from CBD oil instead of bending before creditors

Thursday January 19, 2023 8:01 pm

ECONOMYNEXT – Sri Lanka should avoid the Local Government polls and put more effort in to carry on necessary reforms and bring the country to a stable state, State Minister of Tourism Diana Gamage said.

Most of the ruling coalition members as well as President Ranil Wickremesinghe are not in favour of elections amid speculations over possible defeat which could hit the ongoing reform process.

“Nobody in the World would go for an election at a time like this. Who really wants an election in the country when the general public has not asked for an election?,” Gamage told the parliament on Thursday.

“Does the general public need an election right now, when the country is undergoing a massive economic crisis and when we can’t give any relief to these people”.

The opposition is worried that the election spending bill passed on Thursday could be used to delay the Local Government polls.

The Bill seeks to regulate election campaign financing.

Since being elected as the President through the parliament vote, Wickremesinghe has raised taxes and announced some reforms including slashing government spending. The moves have already hit the average household amid over 57 percent inflation.

Sources close to Wickremesinghe have said the President has not been in favour of “any elections” this year as the tough reforms are expected to be implemented along with a $2.9 billion International Monetary Fund (IMF) loan.

Many political analysts see a possible defeat to both Wickremesinghe’s center-right United National Party (UNP) and ruling nationalist Sri Lanka Podujana Peramuna (SLPP). Such defeat could slow the reforms and IMF loan, they say.

Questioning the development done by Local Governments bodies in the past five years, Gamage said the state will lose another 12.6 billion rupees for the election and salaries. (Colombo/ Jan 19/2023)

Comments (2)

Patriot says:

January 20, 2023 at 3:26 pm

Sure they don’t want an election because they know they will lose.
Oh yes Mrs Gamage the people want an election not only local government but a general election too. We must kick all you rouges out.

Reply
Jayantha Walallawita says:

January 20, 2023 at 7:31 pm

I think it is time for this mad woman to return to her normal job

Reply

View all comments (2)

Comments (2)

Cancel reply

Patriot says:

January 20, 2023 at 3:26 pm

Sure they don’t want an election because they know they will lose.
Oh yes Mrs Gamage the people want an election not only local government but a general election too. We must kick all you rouges out.

Reply
Jayantha Walallawita says:

January 20, 2023 at 7:31 pm

I think it is time for this mad woman to return to her normal job

Reply

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Bonds & Forex

Sri Lanka rupee opens at 327.00/50 to the US dollar

Monday December 11, 2023 9:35 am

ECONOMYNEXT – Sri Lanka’s rupee opened at 327.00/50 to the US dollar on Monday, from 327.00/30 Friday, dealers said.

On the Colombo Stock Exchange, both indices opened up: The All Share Price Index 0.28 percent at 10,823, and the S&P SL20 0.35 percent at 3,113.85.

Bond yields were up.

A bond maturing on 01.08.2026 was quoted at 14.05/20 percent from 14.05/15 percent.

A bond maturing on 15.01.2027 was quoted at 14.05/20 percent from 14.10/25 percent.

A bond maturing on 01.07.2028 was quoted at 14.20/50 percent from 14.20/35 percent.
(Colombo/Dec11/2023)

Business

Sri Lanka promoting Buddhist tourism from Vietnam, ASEAN

Apsara Rodrigo

Sunday December 10, 2023 2:32 pm

By Apsara Rodrigo

Sunday December 10, 2023 2:32 pm

ECONOMYNEXT – Sri Lanka is planning to boost Buddhist tourism by linking temples in the country with those in East Asia, Foreign Minister Ali Sabry said after to welcoming a delegation of monks from Vietnam.

President Ranil Wickremesinghe, and Minister Sabry have initiated a temple-to-temple program where 100 Sri Lanka temples will be linked with counterparts in the Association of South East Asian Nations region.

“Tourism development will get a lot of growth with the temple-to-temple program,” Minister Ali Sabry said.

Along with the delegation of monks, five travel agents from Vietnam were also invited.

Under the first phase of the Temple-to-temple programs, several monks from Sri Lanka had received invitations from Indonesia, Malaysia, South Korea and Vietnam the Foreign Ministry said.

The Temple-to-Temple diplomacy program will be extended to Singapore, Japan, Thailand and Cambodia during the second phrase of the program.

Sri Lanka is targeting 2.3 million tourists in 2023, after getting about 1.5 million this year. (Colombo/Dec10/2023)

Economic Crisis

ADB $200mn loan for Sri Lanka economic stabilization efforts

Saturday December 9, 2023 9:00 pm

ECONOMYNEXT – The Asian Development Bank (ADB) has approved a US 200 million dollar concessional loan to Sri Lanka to help stabilize the country’s finance sector.

The Financial Sector Stability and Reforms Program comprises two subprograms of IS 200 million dollars each, according to a statement by the ADB.

“The program’s overarching development objective is fully aligned with the country’s strategy of maintaining finance sector stability, while ensuring that banks are well-positioned for eventual recovery,” ADB Country Director for Sri Lanka Takafumi Kadono was quoted as saying in the statement.

“The expected development outcome is a stable financial system providing access to affordable finance for businesses in various sectors of the economy.”

The ADB statement continues:

“Subprogram 1 targets short-term stabilization and crisis management measures that were implemented in 2023, while subprogram 2 is planned to be implemented in 2024 and focuses on structural reforms and long-term actions to restore growth in the banking sector.

The program will help strengthen the stability and governance of the country’s banking sector; improve the banking sector’s asset quality; and deepen sustainable and inclusive finance, particularly for women-led micro, small, and medium-sized enterprises.

According to the International Monetary Fund’s (IMF) latest review, Sri Lanka’s economy is showing tentative signs of stabilization, although a full economic recovery is not yet assured.

The program is a follow-on assistance from ADB’s crisis response under the special policy-based loan that was approved for Sri Lanka in May 2023.

It is aligned with the fourth pillar of the IMF’s Extended Fund Facility provided to Sri Lanka to help the country regain financial stability.

It is also in line with the government’s reform agenda, including strengthening the operational independence of the Central Bank of Sri Lanka (CBSL) and its designation as the country’s macroprudential authority.

In designing this subprogram 1 loan, ADB has maintained close coordination and collaboration with the IMF to design targeted regulatory reforms for the banking sector—including the asset quality review—and with the World Bank on strengthening the deposit insurance scheme.

“The loan is accompanied by a $1 million grant from ADB’s Technical Assistance Special Fund to provide advisory, knowledge, and institutional capacity building for Sri Lanka’s Ministry of Finance and CBSL.”
(Colombo/Dec9/2023)