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Sri Lanka’s long-dormant Public–Private Partnership (PPP) programme is once again under the spotlight, with the newly reactivated National Agency for Public–Private Partnerships (NAPP) claiming that 67 projects are currently in the pipeline across power, ports, urban development, and transport. However, an investigative review reveals that the new administration’s claims of revival rest largely on work initiated by the previous government in 2024.

At a recent forum co-hosted by the Indian High Commission and the Ceylon Chamber of Commerce, NAPP Chief Executive Sulakshana Jayawardena announced that a long-awaited PPP law designed to provide Sri Lanka’s partnership framework with a proper legal foundation—is now with the Legal Draftsman’s Department. After incorporating feedback from the Chamber and other stakeholders, it is awaiting Attorney General’s approval before being presented to Parliament.

Jayawardena said the agency has conducted multiple awareness programmes for key state entities such as the Urban Development Authority, Water Board, and Ceylon Electricity Board, to build institutional readiness for future PPPs.

While the new government portrays these developments as fresh initiatives, Cabinet records and prior media reports indicate that the PPP Bill and the proposal to establish NAPP were both approved by the previous government in July 2024. The drafting of the law began months before the change of administration, and the Legal Draftsman’s office had already started work on the bill at that time.

Since assuming office a year ago, the current administration has essentially continued and refined this groundwork rather than starting anew. It can therefore claim credit for sustaining the process and moving the draft toward legislative completion but not for originating or drafting the law itself.

Sri Lanka’s PPP framework has a chequered past. The first wave of PPPs in the 1990s attracted more than US $2 billion in private investment, mainly in power and telecoms, but momentum faded after the original PPP unit under the Board of Investment was disbanded in the mid-2000s. The absence of a dedicated law and institutional continuity led to project delays and governance gaps, leaving most recent PPPs limited to the energy sector.

The new NAPP thus inherits a mixed legacy. With 67 projects under review, officials promise better oversight and cross-sectoral diversification. Yet, analysts warn that without a clear legal framework, transparent tendering, and policy stability, Sri Lanka risks repeating earlier failures.For now, the rebranded agency signals intent, not transformation. The PPP law’s true test will come when it moves beyond drafting tables and proves that this revival is more than a recycled promise under a new name.

Dr. Saman Weerasinghe has been awarded the Order of Friendship (Orden Druzhby) by Russian President Vladimir Putin at Kremlin, Moscow. The honour, one of Russia’s highest civilian distinctions , recognises his decades of dedication to strengthening diplomatic, cultural, and economic ties between Sri Lanka and Russia.

Dr. Weerasinghe is the only Asian recipient of the award in 2025 , marking a proud milestone for Sri Lanka’s global diplomatic presence.

A graduate of the Moscow Medical Academy with Honours, Dr. Weerasinghe served as Sri Lanka’s Ambassador to the Russian Federation (2015 - 2018) and currently holds the roles of General Secretary of the Sri Lanka-Russia Friendship Society and Chairman of the Centre of the Russian Geographical Society in Colombo. His leadership has fostered cultural exchange, scientific collaboration, and enduring goodwill between the two nations.

http://en.kremlin.ru/events/president/news/78379

In a significant departure from their traditional wage-centered approach, a coalition of 13 independent labour unions affiliated with the National Labour Advisory Council has jointly submitted a comprehensive policy-based proposal for the upcoming 2026 National Budget, focusing on structural labour reforms instead of monetary demands.

The proposals were handed over to the Government on 13 October, ahead of the Budget presentation in Parliament this Friday by President and Finance Minister Anura Kumara Dissanayake. This marks the first time in recent decades that multiple unions have collaborated to shape the national fiscal agenda through a labour policy lens.

At a press briefing in Colombo, Ceylon Bank Employees’ Union (CBEU) Deputy Chairman Anupa Nandula revealed that the unions were invited for a meeting with the President, but it was later cancelled without further communication. “We’d like to believe that the Government understands our intentions our proposals don’t call for handouts but for sustainable labour and economic policy,” he said.

Chamindra Perera, General Secretary of the Ceylon Federation of Trade Unions, emphasised that the unions’ collective effort was historic. “Our approach this year moves beyond salary increments. We focused purely on policy changes that strengthen the position of workers within ongoing economic reforms,” he explained.

According to JSS Convenor Sunil de Silva, public expectations for relief remain high amid cost-of-living pressures caused by fiscal reforms. “While people expect benefits, the Government must now set out a long-term labour policy to protect worker rights and ensure fair treatment,” he said, adding that separate laws for zones like the Colombo Port City or attempts to privatise essential public services would erode labour equity.

A key highlight of the proposals is the call to restructure, not privatise, State-Owned Enterprises (SOEs) such as State banks, the Ceylon Petroleum Corporation, Sri Lanka Telecom, and the Ceylon Electricity Board. The unions argue that reform is necessary but must preserve public ownership to safeguard the institutions’ founding purpose of serving citizens rather than profit motives.

Among the 18 major recommendations, the unions have urged the Government to:

• Implement the long-delayed Workers’ Charter first drafted in the 1990s.
• Reform the Employees’ Provident Fund (EPF) for transparency while retaining Central Bank oversight.
• Conduct forensic audits of major SOEs to improve accountability and efficiency.
• Establish ILO Convention Monitoring Centres to ensure compliance with international labour standards.
• Extend social protection to informal, gig, and care workers through a welfare fund financed by a Rs. 1 levy per digital transaction.
• Introduce a contributory unemployment benefit scheme for private sector employees.

The proposals also include measures to uplift the estate sector, calling for fair wages, 10 perches of land for each worker family, and the conversion of the National Institute of Plantation Management into a degree-awarding university. The unions also urged the settlement of outstanding provident fund dues to plantation employees and the consolidation of loss-making plantation companies under a single state entity.

Furthermore, the coalition advocated for progressive taxation to replace regressive levies that burden low-income earners such as those on sanitary products and electricity in free trade zones while demanding stricter controls to curb illicit financial flows.

Nandula stressed that these initiatives are not fiscally heavy but aimed at reinforcing fairness and institutional stability. “Our proposals do not add cost to the Treasury. They simply require political will and administrative commitment,” he said.

If adopted, these policy-driven recommendations could mark a pivotal shift in Sri Lanka’s labour relations transforming the annual Budget from a cycle of wage demands into a platform for sustainable social and economic reform.

Once showcased as a landmark of southern development, the Magam Ruhunupura International Conference Hall (MRICH) in Hambantota today stands as a costly reminder of poor planning, weak oversight, and underutilised infrastructure. Despite massive public and donor investment, the facility continues to drain government resources, yielding little to no economic benefit.

The project’s main auditorium was financed by the Korea International Cooperation Agency (KOICA) at a cost of USD 6.4 million (approximately Rs. 851.2 million) under the Hambantota Development Project, while the Sri Lankan government added another Rs. 3.83 million for ancillary construction. 

Later reporting placed the total infrastructure investment at around Rs. 3,868 million, underscoring the vast sums of money tied to this unproductive asset.

Operationally, the centre’s performance has been abysmal. Between 2017 and 2023, the managing authority spent Rs. 110.53 million on maintenance and operations but generated only Rs. 20.63 million in revenue  an operational loss exceeding Rs. 89.9 million. 

In other words, for every five rupees spent on upkeep, the facility earned barely one. Combined with the colossal capital outlay, the Magam Ruhunupura complex represents a massive fiscal burden with no measurable economic return.

A targeted review of the Urban Development Authority (UDA) and Hambantota District Secretariat records revealed that no audited financial statements for MRICH for 2024 or 2025 have been published. 

The Auditor General’s Department has referenced the project in several performance reviews of UDA operations, but there remains no standalone account detailing its financial performance over the past two years. This lack of transparency highlights serious gaps in accountability and financial management.

Officials acknowledge that attempts to activate the venue through public-private partnerships and integration into the Meetings, Incentives, Conferences, and Exhibitions (MICE) sector have failed. 

Today, the centre hosts only a handful of government or local events, generating negligible returns while the state continues to fund utilities, staffing, and maintenance. According to ministry and tourism sector sources, the facility remains “chronically underutilised,” with upkeep costs far outweighing revenue.

The absence of audited accounts, coupled with years of financial losses, raises an urgent need for corrective action. 

The government should immediately publish the MRICH financial statements for 2024 and 2025 to restore transparency and public confidence. Furthermore, a forensic and performance audit must be commissioned to reconcile total capital expenditure, operational costs, and event income from 2017 to 2025, identifying where inefficiencies or mismanagement occurred. 

Most importantly, authorities must pursue a commercial rescue plan either by granting the property on a long-term private concession, integrating it into Sri Lanka’s national MICE tourism strategy through the Convention Bureau, or repurposing the venue for viable economic activity.Without such decisive measures, the Magam Ruhunupura International Conference Hall will remain an expensive monument to mismanagement, consuming millions each year while contributing nothing to the economy it was meant to uplift.

https://www.nsa.lk/

Sri Lanka's Opposition Leader Sajith Premadasa has backed India's long-pending bid for a permanent seat at the United Nations Security Council (UNSC), calling it a recognition of "global power realities" and that he will continue to support that effort.

In an interview with ANI during his ongoing visit to India, Premadasa said India's inclusion in the UNSC "would be a recognition of the practical realities of international politics."

"Years before, it was I who spoke openly about India being given a permanent seat in the UN Security Council. So it's an old topic for me," he said. "I will continue to support that effort, and I think that is a practical exposition of global power realities. You cannot discard India. You cannot marginalise India. India's representation at the UNSC would be a recognition of the practical realities of international politics."

Premadasa's comments come at a time when India continues to push for reforms in the UNSC to make it more representative of emerging powers and developing nations.

When asked about Sri Lanka's stance amid the complex India-China dynamic, Premadasa emphasised that Colombo values its "special strategic relationship" with New Delhi while maintaining ties with all nations.

"I can tell you what we believe in as a party, the main opposition party. We believe in having a special relationship, a special strategic relationship with India, and that relationship is very special," he said.

"In that context, we also have to work with all other countries. Our common objective is to promote peace. Peacebuilding is our objective. While maintaining this special relationship with India, we would like to act as a mediator, as the middle person to bring about peace, harmony, security and tranquillity in all the regions you spoke about," he added.

During his visit, Premadasa met External Affairs Minister S. Jaishankar on Tuesday, where both leaders discussed India-Sri Lanka relations under the "Neighbourhood First" policy.

"Pleased to meet Leader of Opposition @sajithpremadasa of Sri Lanka. Discussed India-Sri Lanka relations and our Neighbourhood First policy. India will always be supportive of progress and development in Sri Lanka," Jaishankar wrote on X after the meeting.

Earlier in the day, Premadasa attended a talk at Sapru House organised by the Indian Council of World Affairs (ICWA), where he highlighted the need for a structured approach to resolve the long-standing fishermen issue between the two nations.

"The fishing issue is very important. The two countries must cooperate and establish a proper, workable framework, one that is based on fact and substance," Premadasa said in a reply to a question by ANI at an event titled 'India-Sri Lanka Bilateral Relations' here.

He cited international conventions like the UN Convention on the Law of the Sea (UNCLOS) and urged both sides to ensure that fishing activities remain legal and sustainable.

"There are international laws and regulations under the UN Convention on the Law of the Sea (UNCLOS) concerning the continental shelf and high seas, which must be respected. It is important to ensure that illegal, unregulated, and unreported fishing is addressed in line with these legal prescriptions," he added.

Acknowledging the livelihood concerns of fishermen, he said, "We understand that this involves the livelihood of households, but it is equally important to ensure that all such income-generation methods are lawful. Rather than operating without a clear and permanent framework, both sides should work together toward a lasting solution."

His remarks come amid ongoing tensions over Tamil Nadu fishermen entering Sri Lankan waters near Katchatheevu, often leading to arrests and maritime disputes.

(Source - ANI)

Once envisioned as a modern transport solution linking Sri Lanka’s expressways, the Expressway Transport Company (Pvt) Ltd has turned into yet another cautionary tale of bureaucratic missteps, regulatory lapses, and wasted public resources with no tangible economic benefit to the nation.

The company’s inception itself was irregular. It was established in April 2014 through Board Paper No. 1551/2014 as a fully owned subsidiary of the Road Development Authority (RDA)—without the approval of the Cabinet.

 Incredibly, the Memorandum of Association for the company had not even been presented at the time of approval. Despite these omissions, the Board proceeded to endorse its incorporation under registration number PV.98435, violating proper administrative and financial protocols.

Soon after, the Minister of Finance and Planning objected to the move, noting that the RDA had no legal authority to establish a private company. 

In response, the Cabinet of Ministers, at its meeting on 8 May 2014, directed that the Expressway Transport Company should operate under the Ministry of Highways, Ports, and Shipping as a Treasury-owned entity. 

The Cabinet further required that the Treasury’s prior approval be obtained for its Memorandum of Association and the appointment of its Board of Directors. None of these directives were followed.

What followed was nearly a decade of financial opacity and operational stagnation. In blatant disregard of Public Enterprises Circular No. 01/2021, the company failed to prepare or submit financial statements or draft annual reports for eight consecutive years (2016–2023).

 This prolonged non-compliance prevented any form of audit or accountability for the company’s financial conduct.

As the project floundered, the government’s vision for a profitable expressway transport service evaporated. Despite significant public investment including the purchase of 20 luxury buses worth Rs. 216 million—the company failed to generate sustainable revenue or deliver measurable benefits to commuters or the national economy.

Recognizing the company’s complete failure, the Cabinet of Ministers on 26 June 2023 ordered its liquidation and the dissolution of its Board of Directors, assigning 15% of expressway bus operations and the company’s fleet to the Sri Lanka Transport Board (SLTB). Yet, as of 31 December 2023, even the liquidation process remained incomplete.

The saga of the Expressway Transport Company reflects a broader pattern of weak governance, disregard for Cabinet authority, and ineffective oversight within state institutions. Unless the government enforces stricter accountability and transparent financial management, similar ventures will continue to drain public funds without yielding any economic or social return.

Industries and Entrepreneurship Development Minister Sunil Handunnetti yesterday said that those accepting Aswesuma benefits should be ashamed, describing it as “legal begging.”

Speaking at a public meeting, the Minister stressed that poverty eradication should not depend on long-term welfare schemes but on finding sustainable solutions.

“Aswesuma beneficiaries should be ashamed. It is like begging legally. If we want to develop as a nation, we must move away from this dependency mentality,” Handunnetti said.

He added that the government has no intention of continuing the Aswesuma programme indefinitely or using it as a political slogan.

“The goal should be to end Aswesuma through a clear programme and plan. I would be happy to see the day when this subsidy no longer exists,” he said, noting however that the process should not be forced upon recipients.

“It is up to the people to decide will poverty always exist, or will we challenge it and move forward?” the Minister asked.

 (Source - Dailymirror)

A major row has erupted in Sri Lanka’s north-western coastal region as the government reveals it will proceed with only three private-sector wind power installations on Mannar Island — and no further expansion amid sustained local protests and delays.

According to the official cabinet decision, the three projects are:

• The Thambapavani Wind Farm (also known as the Mannar Wind Farm Phase I). Owned by Ceylon Electricity Board (CEB) and partly funded by Asian Development Bank (ADB), it provides 103.5 MW of capacity and was built at an estimated cost of about US$135 million (ADB loan) to US$200 million in total. It has been connected to the national grid since December 2020. 

• The Windscape Mannar project by Ceylex Renewables (Pvt) Ltd. (Liege Capital Holding) in which a 20 MW plant is planned; investment amounts of about LKR 6.5 billion (~US$ 30 million) have been floated. 

• The forthcoming 50 MW plant awarded to Hayleys Fentons Ltd. via its subsidiary HayWind One Ltd.. A US$ 50 million investment, secured through competitive bidding at a rate of 4.65 US cents per kWh, was announced in May 2025 and is expected to enter the grid within 18 months. 

Despite this pipeline, the government has delayed implementation and clarified that no additional wind projects will be initiated on Mannar Island beyond these three. The decision follows continuous protests mounted by island residents and environmental groups, who cite threats to local livelihoods, protected ecosystems (including migratory bird routes) and inadequate community consultation. 

While Thambapavani is already operational, the other two private-sector projects have faced delays. The Windscape Mannar 20 MW project is slated for December 2025 start, and the HayWind 50 MW unit for December 2026 according to government documentation. 

However, in light of intensifying local opposition, the government under President Anura Kumara Dissanayake has mandated that no project may proceed without explicit consent from the island’s inhabitants. Cabinet Spokesman Nalinda Jayatissa stated that public concerns on environmental and social issues were taken “into consideration”. 

The situation remains tense: the initially larger scheme by Adani Green Energy for a US$ 442 million, 250-MW wind-farm on Mannar was abandoned earlier this year after tariffs became contested and local resistance mounted. 

Analysts say the delays and partial roll-out are undermining Sri Lanka’s ambition to scale wind power, particularly on resource-rich Mannar Island, where wind conditions produce a plant-factor over 40 %. 

With only 123.5 MW (103.5 + 20) confirmed and 50 MW pending, the island is far from the originally planned 300 MW plus from private and public partnerships. 

In sum, while Sri Lanka moves ahead with three wind power schemes on Mannar, the concrete rollout remains hindered by environmental and community opposition  and the government’s insistence on consent has created fresh uncertainty about delivery timelines, investment flows and grid-integration of these renewable assets.

Sri Lanka’s tourism industry once celebrated as the country’s third-largest foreign exchange earner—is now facing scrutiny over the credibility of its official data. Experts warn that flawed accounting methods and outdated surveys are distorting the true picture of the sector’s performance, misleading both policymakers and international observers.

The Sri Lanka Tourism Alliance has raised concerns that the country’s current tourism earnings are “clouded by flawed calculations,” with official figures still based on a 2018 survey conducted by the Sri Lanka Tourism Development Authority (SLTDA). The survey, involving around 5,000 departing tourists, was used to estimate national revenue using self-reported spending and length-of-stay data.

That survey produced the oft-quoted estimate that visitors spend between US $170 and 180 per person per day. But, as the Tourism Alliance points out, the figure is “a guesstimate.” Tourists misremember details, informal transactions are missed, and there is a high risk of double-counting. Despite these limitations, Sri Lanka continues to use the same data framework six years later to determine earnings and guide tourism policy.

According to Central Bank data, Sri Lanka earned about US $3.17 billion from tourism in 2024 a 53% increase from 2023’s US $2.07 billion. Visitor arrivals also rose to roughly 2.05 million. Yet, despite the increase in arrivals, earnings growth remains muted. Tourism revenue in September 2025 stood at US $182.9 million, almost unchanged from a year earlier. Analysts say this indicates lower spending per tourist or a shift toward budget travellers.

“The numbers don’t add up,” an industry analyst told The Sunday Observer. “We have more tourists, but less value. The per-capita spend is falling, and that undermines the recovery story we’re selling to the world.

The problem, experts argue, lies in methodology. Sri Lanka’s tourism revenue figures are still derived from self-reported airport exit surveys, a system that ignores digital payments, informal lodging, and real-time expenditure data. The Sri Lanka Tourism Alliance and several economists have called for the adoption of a Tourism Satellite Account (TSA) model similar to Singapore’s, which integrates hotel performance, flight records, banking transactions, and telecom data to provide accurate, real-time insight.

Without reform, Sri Lanka risks continuing to “manage what it cannot measure.” Overstated or inaccurate data can mislead investors, donors, and policymakers, resulting in poor decision-making and misplaced priorities. As one tourism expert put it, “Our success stories are built on outdated guesses. Until we fix our measurement system, we’ll be celebrating numbers that don’t truly exist.

”Tourism remains a vital lifeline for Sri Lanka’s fragile economy, but unless the government modernizes its data systems and introduces independent verification, the sector’s true performance will remain hidden behind flawed figures and wishful projections."

In an ambitious move into Sri Lanka’s burgeoning electric-vehicle market, John Keells CG Auto (Pvt) Ltd (JK CG Auto), a joint venture between John Keells Holdings PLC and Nepal’s CG Motors of the Chaudhary Group, teamed up with Chinese automaker BYD to bring in electric vehicles (EVs) to Sri Lanka. What started as a green mobility landmark has now morphed into a serious public-interest controversy.

Since August 2025, more than 1,000 BYD units have been held by Sri Lanka Customs over allegations that the motor capacity of the imported EVs was allegedly understated enabling lower duty/tax payouts. 

While JK CG Auto says all imports remain unaffected and are proceeding, customers are clearly suffering delays and uncertainty. 

A public protest on 4 November at the BYD showroom in Colombo captured the frustration. Customers, many of whom had put down advances, demanded swift action and clarity. 

At the heart of the saga lies the capacity classification of the vehicles. JK CG Auto contends that the models imported into Sri Lanka are the version with a 100 kW motor, certified by BYD as appropriate for markets such as Singapore, Nepal and Sri Lanka whereas other markets use a 150 kW version. JKCG further states that the hardware and software cannot simply be altered post-manufacture. 

However, Customs has formed a technical committee to verify the true capacity and has retained vehicles for inspection. In one recent ruling, the Court of Appeal ordered Customs to expedite the scanning and testing of the detained vehicles. 

Complicating matters are the Nepalese origins of the joint venture partner. CG Motors has previously been accused of manipulating vehicle classifications in Nepal for example importing minibuses under different HS codes to pay vastly lower duties. 

That history now casts a shadow on the Sri Lankan venture.From a broader perspective, this case reveals how bold statements of EV-infrastructure growth run head-first into regulatory, tax and governance realities. 

While Sri Lanka, following the lifting of its long-standing vehicle import ban in January 2025, opened up its market to new players, regulatory oversight appears to lag. The possibility of under-declared vehicle specs means potential losses to the Treasury, while the customer side faces delays and uncertainty.

For JK CG Auto and its backers, the reputational stakes are high: a high-profile green mobility launch is now tainted by questions of duty skirts and tax fairness. For Sri Lanka, it raises urgent questions about the governance of vehicle import regimes, transparency of major conglomerate ventures, and the fairness of tax enforcement.

In short: while the future of EVs remains a priority for national policy and for corporate strategy, the country may be watching one of its biggest EV launches stumble into the very terrain it hoped to leave behind murky classification, duty ambiguity and public-interest scrutiny.

Among the more than three million district-wise migrant population, 40.6 percent moved to Colombo (16.7%) and Gampaha (16.8%) districts due to marriage, according to the latest report by the Department of Census and Statistics.

The latest census conducted in 2024 shows that the total migrant population stands at 3,167,263, with 40.6 percent (1,285,909) relocating mainly for marital reasons. Other significant drivers include employment or job search (17.1%), family needs (16.2%), and returning to permanent residence (11.3%). Migration for education accounted for 6.5%, while resettlement following displacement was 3.3%. Smaller percentages moved due to disasters (1.6%), development projects (1.3%), and religious purposes (2.1%).

Regionally, marriage dominated migration in the Northern Province’s Mullaitivu District and eight other provinces, with over 25% of migrants citing it. Employment-driven migration was highest in Colombo (37.5%) and Gampaha (26.1%), while Trincomalee District saw the largest proportion moving for family reasons (22.6%). Vavuniya and Mullaitivu also reported notable migration due to family needs (19.6% each).

Jaffna District recorded the highest percentage of people returning to permanent residence (25.4%), while education-related migration was most prominent in Batticaloa (25.3%), Colombo (11.8%), and Kandy (10.6%). In the Northern Province, resettlement after displacement was the main factor in Kilinochchi (49.0%), Mannar (45.5%), and Jaffna (40.8%).

Natural disasters prompted migration in Vavuniya (16.5%) and Mullaitivu (11.7%), while development projects influenced relocation in Ampara (13.3%) and Polonnaruwa (11.8%).

The data highlights marriage as the predominant driver of migration, while work, family needs, education, and resettlement shape migration patterns across Sri Lanka’s districts.

(Source - Dailymirror)

The Clinical Research Unit of the Faculty of Medicine, University of Kelaniya, has developed a breakthrough drug that can significantly reduce high blood pressure.

Director of the Clinical Research Unit, Professor Asitha de Silva, said at a media briefing that the research began nearly ten years ago and focused on combining three commonly used drugs into a single tablet for more effective treatment and patient convenience. Prof. Asitha de Silva

“Although there is no medicine that can completely cure high blood pressure, this new drug can effectively control it,” Professor de Silva said. “By combining three drugs into one, patients only need to take one tablet a day, and it has proven to control blood pressure in 88% of patients.”

He said that extensive clinical trials were completed in 2024, and the findings were submitted to the World Health Organization (WHO) and the U.S. Food and Drug Administration (FDA). The FDA approved the drug in June, and the WHO added it to its Essential Medicines List in September this year.

Professor de Silva further emphasized that close control of high blood pressure using this drug could reduce the risk of stroke by as much as 60%.

(Source - Dailymirror)