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Friday November 13th, 2026

Sri Lanka’s Drug menace needs a new approach

ECONOMYNEXT- Everyone who has watched the Netflix series Narcos and El Chapo knows the stories of famous drug lords such as Pablo Escobar, Miguel Ángel Félix Gallardo and Joaquín Archivaldo Guzmán Loera (aka El Chapo), the way they rose up the ranks and how their life of crime evolved with time.

Wagner Moura played the famous role of the Colombian drug lord Escobar in Narcos where he shows the extent he went to be considered as the ‘King of Cocaine” and the seventh-richest man in the world, with an estimated personal fortune of US$25 billion according to Forbes magazine in 1989 until his death in a gunfight with the Colombian authorities in 1993.

Colombian drug lord Pablo Escobar with his wife Maria Victoria Henao (Source- The Sun UK)

While in Narcos: Mexico (2018), the Mexican drug lord Félix Gallardo is portrayed by Mexican actor Diego Luna, which shows how Félix Gallardo a Mexican Federal Judicial Police agent became the ‘El Padrino’ or ‘Godfather’ of Mexican cocaine.

Mexican drug lord Miguel Ángel Félix Gallardo (Source- YouTube)

But was it all about money for these individuals to choose to sell drugs or was there any other reasons for them to choose that path?

Speaking to EconomyNext,  Head of the Sociology Department at the University of Peradeniya Dr Kumari Thoradeniya said that people choose to be involved in drug selling or distribution not just for the money in it but it could be also due to their habits,social-cultural patterns, the way they had socialised, various attitudes and many other reasons that are connected with it.

Dr Thoradeniya said that these aspects are described in the concept ‘The Culture of Poverty’ introduced by the Anthropologist Oscar Lewis in 1959.

“So for those who are selling drugs, the matter is not only about money. From one side it is a habit for them to use easy methods to earn a living, The basic concept in the Culture of Poverty is easy living,” she said.

She said that at a young age when they see their parents are earning a living through day labour, they will get into the habit of earning money by doing anything.

Dr Kumari Thoradeniya

When it comes to socialisation, she said that we can find most of the individuals who are in the chain of drug dealers starting from the grass-root level,  had grown up used to an anti-social culture.

“These become push factors to such an individual’s feeling of the need for money,” Dr Thoradeniya said.

The concept ‘The Culture of Poverty was created by Oscar Lewis in his 1959 book, Five Families: Mexican Case Studies in the Culture of Poverty.

The culture of poverty theory states that living in conditions of pervasive poverty will lead to the development of a culture or subculture adapted to those conditions. This culture is characterized by pervasive feelings of helplessness, dependency, marginality, and powerlessness. 

Furthermore, Lewis described individuals living within a culture of poverty as having little or no sense of history and therefore lacking the knowledge to alleviate their own conditions through collective action, instead of focusing solely on their own troubles. 

Thus, for Lewis, the imposition of poverty on a population was the structural cause of the development of a culture of poverty, which then becomes autonomous, as behaviours and attitudes developed within a culture of poverty get passed down to subsequent generations through socialization processes.

In the famous Rolling stone interview by Sean Penn, Mexican drug lord El Chapo spoke about how he started to deal with drugs when he was 15 years old.

“I remember from the time I was six until now, my parents, a very humble family, very poor, I remember how my mom made bread to support the family. I would sell it, I sold oranges, I sold soft drinks, I sold candy. My mom, she was a hard worker, she worked a lot. We grew corn, beans. I took care of my grandmother’s cattle and chopped wood,” El Chapo said about his childhood.

When asked how he got involved in drug selling, he said  “Well, from the time I was 15 and after, where I come from, which is the municipality of Badiraguato, I was raised in a ranch named La Tuna, in that area, and up until today, there are no job opportunities. The only way to have money to buy food, to survive, is to grow poppy, marijuana, and at that age, I began to grow it, to cultivate it and to sell it. That is what I can tell you,”

Mexican drug lord Joaquín Archivaldo Guzmán Loera aka El Chapo (source- BBC)

Also when he was asked about whether he was aware of the consequences of drugs, he said “Well, it’s a reality that drugs destroy. Unfortunately, as I said, where I grew up there was no other way and there still isn’t a way to survive, no way to work in our economy to be able to make a living,”

In the book Gang Leader for a Day (2008) American Sociologist and Urban Ethnographer.  Sudhir Venkatesh studied the social life of a public housing project in Chicago in America in the late 80s where he discovered that the community sustained itself “off the books” and that it had its own set of rules and behaviour.

The study by Venkatesh debunks the concept that the average drug dealer lives a life of glamour and excess. It speaks about the reality of the average foot soldier who is hustling to make ends meet while trying to stay out of prison. Young men, alienated and susceptible, agree to sell drugs to earn what they see as a decent wage when few other opportunities are open to them.

What should we do to drug sellers?

Dr Thoradeniya said that people who are selling drugs should be directed to a large rehabilitation program.

“We talk about how we can prevent drug users from using drugs again, but we don’t talk about the people who are selling them. We should change their attitudes to make them realise that In order to earn money this is not the method but there are other methods to do so,” she added.

Apart from rehabilitation, she said that they should be directed to compulsory training on various ways they could earn a living and connect them to the market.

“For example, we can direct them to a technical college, there is no point in imprisoning them as criminals because once they come out of prison they will start it again,” she said.

“We should take this debate more into society, as academics when we show these matters it does not reach the society. Even when we present these facts at conferences and write papers about it only a handful of people will look at them, it hardly goes to the policy-making level of government,” she added.

Do schools play their roles in bringing up an ethical Generation?

Dr Thoradeniya said that the education system in Sri Lanka is entirely exam-oriented. “For example, teachers used to teach children how to cross the road but now children don’t know how to do that,” she added.

“When I asked a school teacher a reason for this they said that they don’t have time to do that because they have a syllabus to cover if they fail to do so they face problems,” she said.

She said this should be changed not only for the drug problem but for other social issues. “So I think the school should directly be responsible for these because the school can do a lot here,”

In order to address the issue of usage or selling of narcotics she said that the government does not need to introduce a separate subject for it, it is enough if the religions are taught in a manner properly applying to society.

“All the subjects are prepared to target answering questions at the exams, Countries like Sweden and Denmark have completely changed their education system, they go hand in hand with society but we have lost that. The children study and do exams but there are other aspects of education that deal with societal functions,” she said.

Drug Rehabilitation Programme in Sri Lanka

The Drug Dependent Persons (treatment and rehabilitation) Act has implemented compulsory treatment facilities in Sri Lanka for drug-related offenders.

However, only drug users who are addicts are directed to the rehabilitation centres maintained by the National Dangerous Drug Control Board (NDDCB) and other NGOs upon court order or voluntary action.

According to the statistics from the NDDCB, 1253 individuals were admitted for treatment in the rehabilitation centres between January to September 2020 while only 23 out of them who are addicts and as well as sellers were admitted while in 2019 out of 3613, only 88 sellers/addicts were admitted.

The statistics of the NDDCB showed that  95,496 individuals have been arrested for drug-related offences in 2020. 

Among them, there were 50,378 (52.8%) persons for heroin-related arrests and 40732 (42.7%) persons for cannabis-related crimes. In addition, 2040 persons for methamphetamine, 361 persons for psychotropic substances, 71 persons for hashish and 31 persons were arrested for cocaine dealing.

According to the government policy statement, ‘Vistas of Prosperity and Splendour’  the government will institute a National Drug Rehabilitation Programme to ensure that all those addicted to drugs are rehabilitated. Medical assistance will be provided to help overcome their addiction. “For this, we will establish four rehabilitation centres island-wide, with modern treatment methods and prevention strategies,” the policy statement said.

In 2019, Former President Maithripala Sirisena signed death sentences for four convicts of drug-related offences which never took place due to dozen petitions filed in the Supreme Court challenging the decision.

The High Point Drug Market Intervention is a good example of a programme that was created to deal with drug dealers in America, it was first created to address drug-laden areas of High Point, North Carolina in the United States in 2003, the new strategy did more than simply arrest drug dealers and put them in prison. 

High Point Intervention starts with creating a bond between law enforcement and members of the community that are willing to help the neighbourhood turn around. Violent drug dealers are identified and arrested, but non-violent drug dealers are given a second chance. Not just let go, but rather, given the support and help needed to start a new life apart from drugs. (Colombo/Mar17/2021)

Edited by Arjuna Ranawana

 

Sri Lanka stocks close down 0.60-pct, dragged by HNB and LOLC

ECONOMYNEXT – Sri Lanka’s Colombo Stock Exchange closed down on Friday, CSE data showed, with the benchmark All Share Price Index moving down 0.60 percent.

The ASPI was down 133.22 points at 22,024.18, while the more liquid S&P SL20 was down 1.06 percent, or 67.55 points, at 6,298.02.

The ASPI ended the week up 784.53 points from last Friday.

Positive contributors to the ASPI were Dialog Axiata (up 0.40 percent at 50.20 rupees), Distilleries Company of Sri Lanka (up 0.52 percent at 58.30 rupees), Aitken Spence (up 3.60 percent at 151.00 rupees), Ceylon Tobacco Company (up 1.05 percent at 1,828.50 rupees), and LOLC Finance (up 1.96 percent at 5.20 rupees).

Hatton National Bank (down 1.88 percent at 403.75 rupees), Richard Pieris and Company (down 6.21 percent at 27.20 rupees), LOLC Holdings (down 2.17 percent at 405.00 rupees), Sampath Bank (down 1.91 percent at 154.00 rupees), and Singer (Sri Lanka) (down 2.40 percent at 77.30 rupees) were top negative contributors.

Market turnover was 3.23 billion rupees. Capital goods led turnover with 869.21 million rupees. (Colombo/Nov13/2026)

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Sri Lanka MP slams budget speech for omitting Tamil national question

ECONOMYNEXT – A Sri Lanka legislator has voiced strong disappointment that the President’s budget speech failed to make a single mention of the Tamil national question.

“It is very unfortunate that in His Excellency the President’s speech, there has not been a single word mentioned about the Tamil national question. Not a single word,” Shanakiyan Rasamanickam said.

“A budget speech generally, is a policy direction of the government for the next year. The budget speech is not only a statement of the country’s fiscal position or the economy’s position. It is the country’s, the government’s, plan, or what the government plans to do the following year. That’s a policy statement.”

Former presidents would at least mention the Tamil question even if it was not resolved, he said.

Former President Ranil Wickremesinghe in his speech, in his policy statement, he would mention: “The Tamil national question must be resolved,” Rasamanickam said.

Former Presidents Maithripala Sirisena and Gotabaya Rajapaksa also mentioned that the national ethnic question must be resolved, he added.

“Every President, every country’s Head of State, in their policy statements, have acknowledged the fact that there is an unresolved national issue, the Tamil national question, that it needs to be resolved. Various governments have proposed various mechanisms; none of them have succeeded, but at least it was mentioned.”

This year’s budget made allocations for the Office of Missing Persons, and the Office of Reparations.

“But the domestic mechanism is a mechanism that the victim community has rejected. So you all are allocating money to a mechanism where the victim community is not going to be part of.”

Last year’s budget 1 billion was allocated to be spent on the Trincomalee and Jaffna airports.

“Where was that 1 billion for the Trincomalee and Jaffna airports spent last year?”

“The trajectory of this government, Honourable Deputy Speaker, is worrying to me. It’s really worrying to me. Because if the objective is to say that there is no Tamil national question, if the objective is to say that you all have resolved any ethnic issue that this country faced, then Honourable Deputy Speaker, then I think the Tamil people will teach this government a very, very, very harsh lesson in the future.” (Colombo/Nov13/2026)

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Sri Lanka sells extra Rs6.5bn Treasury bills after auction

ECONOMYNEXT – Sri Lanka has sold 6,500 million rupees of treasury bills offered on tap at an average rate of 9.95 percent, the public debt management office said, bringing the total of bills sold in the week to 85.562 billion rupees.

The issue offered 90 billion.

Total market subscription was 6.5 billion rupees.

The debt office sold a 12-month bill at 9.95 percent.

On Wednesday (11) the debt office raised 79 billion rupees of 3, 6 and 12 month bills after offering 90 billion.

Read more
Sri Lanka Treasury bill yields hold broadly steady, less bills sold

The settlement date is November 13. (Colombo/Nov13/2026)

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Access Engineering Sept quarter group net profit surges 200-pct to Rs4.75bn

ECONOMYNEXT — Sri Lanka’s Access Engineering PLC recorded a group net profit attributable to equity holders of Rs. 4.75 billion for the quarter ended September 30, surging 200 percent from Rs. 1.58 billion a year earlier, interim accounts showed.

Basic earnings per share rose to Rs. 4.08 for the September quarter, up from Rs. 1.58 previously.

Quarterly group revenue expanded 36 percent to Rs. 20.39 billion from Rs. 14.94 billion, underpinned by condominium property handovers — reflected in inventories dropping Rs. 7.69 billion since March to Rs. 35.71 billion — alongside strong automobile sales and steady civil engineering execution.

Cost of sales rose at a slower 27 percent to Rs. 14.34 billion, lifting gross profit by 64 percent to Rs. 6.05 billion and expanding gross margins to 29.7 percent from 24.7 percent.

Other income jumped 144 percent to Rs. 259.9 million, while administrative expenses rose 75 percent to Rs. 1.14 billion, leaving operating profit up 64 percent at Rs. 5.16 billion.

However, finance costs more than doubled, rising 107 percent to Rs. 1.18 billion on elevated group borrowings of Rs. 43.74 billion, partly offset by finance income climbing 302 percent to Rs. 42.2 million.

Share of results from equity-accounted investees rose 122 percent to Rs. 26.7 million, pushing pre-tax profit up 56 percent to Rs. 4.05 billion.

Income tax swung to a net reversal of Rs. 186.6 million from an expense of Rs. 804.1 million, boosted by deferred tax assets on unrelieved losses from a 100 percent enhanced capital allowance claimed by 60 percent-owned radiopharmaceutical subsidiary Access Medical Tracers (Private) Limited.

Total period profit rose 136 percent to Rs. 4.24 billion, with non-controlling interest declining 24 percent to Rs. 164.9 million following last year’s buyout of minority shareholders in Harbour Village (Private) Limited.

No separate exchange gain or loss was itemized in quarterly earnings, though foreign currency translation via associates recorded a Rs. 17.4 million loss in other comprehensive income, alongside USD 16.6 million in corporate guarantees.

Notes also flagged an expected Rs. 1.45 billion recovery from the terminated South Asia Commercial and Logistics Hub project, a Rs. 225 million post-quarter legal settlement already provided for, and a Supreme Court appeal over a 2011/12 PAYE tax ruling.

Group assets stood at Rs. 132.4 billion as of September 30, with net asset value per share at Rs. 46.70, as the Employees’ Provident Fund raised its stake to 5.69 percent.

Access Engineering shares closed at 80.00 rupees at the end of September and are currently trading around 85.80 rupees. (Colombo/Nov13/2026)

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Sri Lanka private sector says timely implementation of Budget 2027 key

ECONOMYNEXT – Private sector body, The Ceylon Chamber of Commerce, said it was encouraged by the broad direction of Budget 2027, noting that it reinforces Sri Lanka’s commitment to economic transformation while maintaining policy continuity, macroeconomic stability, and fiscal discipline.

“This continuity is particularly important as the country seeks to transition from economic stabilisation to a more durable, investment-led growth trajectory.”

The chamber also noted several areas where the Budget could have placed greater emphasis to strengthen the country’s growth prospects.

“In particular, there is a need for a stronger focus on attracting Foreign Direct Investment (FDI), accelerating factor market reforms, particularly in land and labour, and fast-tracking public procurement reforms to improve the efficiency and speed of project implementation.

“More targeted and actionable proposals could have been introduced to unlock the potential of sectors with significant growth opportunities, including tourism, agriculture, IT/BPO and logistics.”

The chamber said the budget contains positive measures aimed at enhancing competitiveness, and external sector resilience, while presenting opportunities for focus on sectors that can accelerate growth.

“A number of the key structural reforms identified in last year’s Budget have been carried forward and strengthened, providing greater certainty and predictability to businesses and investors.

“These include the continued implementation of the Trade National Single Window (TNSW), the phased removal of para-tariffs, the rollout of the Digital ID framework, efforts to expand market access through new Free Trade Agreements (FTAs), the strengthening of one-stop-shop investment facilitation mechanisms, progress on Customs reforms, the expansion of Bandaranaike International Airport (BIA), enhanced financing support for SMEs, and reforms relating to the management of State-Owned Enterprises.”

The CCC said that more than 20 proposals submitted by it have been reflected in Budget 2027.

These include measures to strengthen investor facilitation through the establishment of a professionally managed investment promotion agency; continued efforts to improve trade facilitation and export competitiveness; the Government’s consideration of a successor programme with the International Monetary Fund (IMF); accelerated progress on key legislative reforms; the expansion of digital government services; and the promotion of cashless payments and broader digital adoption. The Budget has also captured several priorities relating to energy security, including the accelerated deployment of Battery Energy Storage Systems (BESS) and investments in fuel storage infrastructure, initiatives to optimize underutilized agricultural land, measures to support the expansion of the digital economy and the IT/BPO sector, and tax reforms to support exporters, including the acceptance of newly VAT-registered exporters as eligible exporters.

“The inclusion of these priorities reflects the value of sustained public-private dialogue and demonstrates increasing alignment between national policy objectives and the needs of a competitive, export-oriented economy.

“The priority now must be effective and timely implementation to translate policy commitments into investment, competitiveness, exports and sustainable growth.” (Colombo/Nov13/2026)

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Sri Lanka stocks trend lower day after budget reading

ECONOMYNEXT – Sri Lanka’s Colombo Stock Exchange was trending lower on Friday, CSE data showed, with the benchmark All Share Price Index moving down 0.66 percent.

The ASPI was down 146.78 points at 22,011, while the more liquid S&P SL20 was down 0.94 percent, or 59.99 points, at 6,306.

Positive contributors to the ASPI were Access Engineering (up 1.30 percent at 85.80 rupees), LAUGFS Gas (up 3.31 percent at 49.90 rupees), Ceylon Tobacco Company (up 1.13 percent at 1,830 rupees), Ceylon Cold Stores (up 0.80 percent at 126 rupees), and Namunukula Plantations (up 1.79 percent at 68.10 rupees).

LOLC Holdings (down 1.03 percent at 409.75 rupees), Hatton National Bank (down 0.61 percent at 409 rupees), Sunshine Holdings (down 3.81 percent at 30.30 rupees), and Sampath Bank (down 1.91 percent at 154 rupees) were top negative contributors.

Market turnover was 1.55 billion rupees. Capital goods led turnover with 459.57 million rupees. (Colombo/Nov13/2026)

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