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A new Cabinet of Ministers will be sworn in within the next two days after the Central Committee of the Sri Lanka Freedom Party (SLFP) informs its decision today, says Co-cabinet spokesman Dr Rajitha Senaratne.

Responding to question at the weekly cabinet press briefing in Colombo today (11), he stated that it will not be a Cabinet reshuffle, and that a new Cabinet will be sworn in before April 14.

He also stated that there will be no change in the number of members in the Cabinet and that it will remain as 45.

He stated that although it is a new Cabinet, not all ministerial portfolios will be changed. The subjects have been prepared scientifically and most ministers have already been placed in them, but it will be sworn in as a new Cabinet.

He clarified that although the there will be no change to the subjects, they will be sworn in once again.

Responding to another question, he said that the President had initially stated that a group will be leaving and that those vacant positions will be filled while creating a new Cabinet.

“Our stance is that those who went against the Prime Minister cannot stay in this Cabinet,” Senaratne said.

He stated that the Central Committee of the Sri Lanka Freedom Party is expected to deliver its decision today.

The Health Minister said that after the said group of ministers leave, the six vacant positions in the Cabinet will also be filled from the remaining members of the SLFP.

The Central Committee of the SLFP is scheduled to meet later today to decide on its future with the national government as well as the ministers who voted in favour of the no-confidence motion against the PM.

Source : Ada Derana

Moody’s Investors Service yesterday said the new Inland Revenue Act (IR Act) developed to build weak state revenues would help to gradually bridge the massive hole in the fiscal account and reduce the external vulnerability marred by heavy public debt in the medium term.

Moody’s, with the new act coming into place, estimates an increase in state revenue of 0.5 percent of gross domestic product (GDP) in 2019—the first full fiscal year since the new tax law in effect. 

According to the Finance Ministry estimates, the new IR Act will bring additional Rs.60 billion per annum by way of removing various tax exemptions and introducing new taxes such as Capital Gains Tax.

“With a very large debt burden and weak debt affordability weighing on its credit profile, successful implementation of revenue reforms will help foster fiscal consolidation,” Moody’s said. Along with the IR Act, Sri Lanka will also introduce a new taxpayer identification number system.

 “In conjunction with an automation of tax administrative efforts, such initiatives will help to raise tax compliance, broaden the current narrow tax base and improve the composition of the revenue base by raising the share of direct taxes,” Moody’s noted.

The new IR Act is expected to increase the share of direct taxes to 40 percent of GDP from the existing 20 percent.

Moody’s has a B1 speculative credit rating on Sri Lankan sovereign and the rating agency said the new IR Act is credit positive.

Sri Lanka is currently in an International Monetary Fund (IMF) programme in which reforms that contribute to fiscal consolidation are central to meeting the IMF targets.

 The next tranche from the IMF of its US $ 1.5 billion three-year extended fund facility is now overdue. While several of the IMF’s monetary, fiscal and reserves targets are on track, the Sri Lankan government has delayed in delivering on the promised energy pricing formula and the reforms into loss-making state-owned enterprises (SOEs) due to political challenges.

While the government has just announced its restructuring plans to the debt-laden national carrier, SriLankan Airlines, other SOEs remain a massive drag on the path to fiscal consolidation.

The higher oil prices in the global markets have already unsettled the state utility providers and the absence of a cost-reflective pricing formula has unnerved the government. Moody’s estimates the government revenue to rise 0.4 percentage point to 15.2 percent of GDP in 2018 and increase a further 0.8 percentage point to 16 percent of GDP in 2019 with the new IR Act.

“Meanwhile, we expect government expenditures to remain flat at 20 percent of GDP. As a result, we forecast the fiscal deficit to narrow to 4.8 percent of GDP this year and shrink to 4.0 percent of GDP in 2019, from 5.2 percent in 2017,” the rating agency stated.

Sri Lanka aims to reduce the fiscal gap to 3.5 percent of GDP by 2020, which is possible on stronger economic growth and higher revenue.

Moody’s also expects the economy to grow by 4.7 percent this year, picking up from 3.1 percent in 2017. As weather conditions normalize, a rebound in agriculture production and exports will boost growth this year.

A rebound in real GDP growth will be essential to help support future revenue gains.

Meanwhile, the rating agency also estimates Sri Lanka to reduce its public debt burden to about 74 percent of GDP by 2021 from 79.3 percent of GDP in 2017.

“Still, the government debt will remain well above the median of about 55 percent of GDP for B-rated sovereigns and will remain high for an economy of Sri Lank

Source: Daily Mirror

UNP MP Dr. Jayampathy Wickramaratne says that two main political parties of the country should continue to run the government together.

 Despite the numerous obstacles faced, continuing the National Government would be better for the country, he pointed out at a press conference of the United Left Front.

In a special ceremony held yesterday (09) at Nonagama Cultural Centre in Ambalantota in Hambantota District, Hon. Mahinda Amaraweera, Minister of Fisheries and Aquatic Resources Development, and H.E. Taranjit Singh Sandhu, High Commissioner of India, jointly launched a project to provide livelihood support to nearly 70,000 people from the farming and fishing communities in Hambantota District.

The project envisages supporting livelihood activities by providing useful tools and equipment to the beneficiaries. In particular, 7000 bicycles, 1000 sewing machines and 60000 grub hoes are being disbursed to beneficiaries. Ceylon Fisheries Harbours Corporation is the implementing agency for the project and Government of India has provided 138 million SLR as grant assistance for this purpose. It is expected that close to 70,000 persons/families will be able to improve their incomes and enhance their livelihood thanks to this project.

Speaking on the occasion, High Commissioner Sandhu emphasized the importance of capacity building and recalled the numerous projects being implemented all over Sri Lanka with Indian assistance. He reiterated India’s readiness to continue to assist Sri Lanka wherever possible and whenever needed. He highlighted the enormous strides made by India in the field of agriculture, and offered to share expertise and technical assistance in this sector. Hon. Minister Amaraweera thanked India for its support for this important project.

This project is in continuation of Government of India’s commitment to assist the Government of Sri Lanka as part of our bilateral development partnership. India’s overall commitment for development assistance to Sri Lanka stands at a total of around US$ 2.9 billion, out of which US$ 545 million is pure grant assistance.

Sri Lanka’s Anusha Dilrukshi Koddithuwakku claimed the bronze medal after losing to India’s M C Mary Kom in the semi-finals of the women’s 48 kg boxing event in the 2018 Commonwealth Games in Gold Coast today.

Mary Kom, also a sitting MP in India, prevailed 5-0 in a contest where clean punches were few and far.

Despite the height advantage Koddithuwakku struggled to connect for most part.

She picked up pace in the final three minutes but Mary Kom drew from her own well of experience to thwart her.

The five-time world champion and Olympic bronze-medallist Indian is competing in her maiden CWG and assured herself of at least a silver medal.

A search operation is underway after seven persons from Homagama who went to the Knuckles Mountain Range have been reported missing. The individuals in question had contacted the police emergency hotline 119 and notified the dispatcher that they were stranded in the forest. The search operation is being carried out by the police stations at Rangala, Rattota and Laggala.

The Ministry has appointed Dilruwan Rajapakse as the acting Basnayake Nilame of the Ruhunu Kataragama Devalaya.

The appointment comes after the Buddha Sasana Ministry temporarily suspended D. P. Kumarage from the post claiming it has received a large number of complaints against him. However Basnayake Nilame D.P. Kumarage said he had not received any written intimation to the effect that he has been removed from the post.

He said he was legally elected to the post through a formal election process and he has two more years to complete his official term. He said will not relinquish his post until then without any allegations against him.

Kumarage said the Buddhist Affairs Commissioner had suspended the Devalaya’s Bank transactions and he was unable to pay worker salaries during the New Year season.

However he had paid their salaries with personal funds and he planned to institute legal action against the order.

In August, a crisis situation emerged among the Basnayake Nilame and the officiating priests over the Devalaya keys. Minister Gamini Jayawickreme appointed a retired Judge to probe this issue.

The official term of a Basnayake Nilame is five years and 17 people cast votes to elect the Basnayake Nilame.

UNP Parliamentarian Bandulal Bandarigoda has said that theUNP should be restructured in order to fulfill the absolute expectation of village level UNP supporters.

He also said that various committees being appointed are a mere eyewash and instead reforms should be brought forward to ensure the future victory of the party.

 Meanwhile speaking at a media briefing, UNP Parliamentarian Chaminda Wijesiri said, he believes the party will be reformed according to suggestions brought by the membership and as promised by the party leadership. “If they promise us these reforms to only win the no confidence motion we will not allow the leadership to get away with it” he said adding that the MPs will have to think of their supporters if such a situation arises.

The Commissioner General of Motor Traffic A.H.K. Jagath Chandrasiri said that the Sri Lankan Motor Traffic Department is planning to introduce an E-motoring system for the registration of vehicles through an online system by 2020.

He said the project would be introduced to save the time of people who seek registration of their vehicles. Chandrasiri said the project would include the introduction of the Radio-Frequency Identification (RFID) for motor vehicles.

According to the Department, Sri Lanka introduced two new classes of vehicles -- quadricycles and motor-homes -- in recent times for registration. Sri Lanka's registered vehicle population stands at 7,376,268.

Police have taken necessary action to quell the underworld killings reported from various parts of the country, IGP Pujith Jayasundera said.

Speaking at a ceremony in Colombo on Saturday, the IGP said wide ranging investigations have also been launched into the activities of the four underworld characters apprehended recently, who had maintained dealings with the two underworld kingpins Angoda Lokka and Makandure Madush.

Underworld kingpins Madhush Lakshitha alias Makandure Madhush and Lasantha Chandana Perera alias Angoda Lokka are currently said to be operating from abroad.

Angoda Lokka and Makandure Madhush are believed to be connected to the assassination of another underworld character Aruna Udaya Shantha alias Samayan and seven others, including a prison officer in Kalutara on February 27, 2017.

Source : Daily News

Sri Lanka received 707,924 tourists in the first three months of this year, an increase of 17.1 per cent compared with the corresponding period last year, a minister said on Monday.

Tourism Development Minister John Amaratunga told Xinhua news agency that the country could have attracted more tourists in March if not for the outbreak of communal violence in Galle and the subsequent declaration of the state of Emergency.

India, China, Germany, France and the UK are the biggest tourist markets for Sri Lanka.

Quoting the latest statistics released by the Sri Lankan Tourism Development Authority, he said the country received 233,382 tourist arrivals in March.

Former Sri Lankan player and renowned commentator Russel Arnold was appointed as the tournament director for the Lankan Premier League (LPL), Sri Lanka Cricket announced.

“We consider bringing in a person in the caliber of Russel as the Tournament Director of the LPL will help the process of making it a successful tournament, especially considering his experience as a player and also his knowledge in promoting the game,” SLC President, Thilanga Sumathipala said.
The competition, which Sri Lanka will be hoping could be as big as the IPL and BBL, could run into complications though it is scheduled to be held at the same time as the Caribbean Premier League (CPL).

According to ESPNCricinfo, the SLC are going to ask the BCCI to allow lesser known Indian players to participate in the league.

If the Indian players are allowed to play it could be a coup for the tournament as they might attract a major TV deal.