News

President Ranil Wickremesinghe has issued an Extraordinary Gazette Notification declaring all services connected to the supply of electricity, petroleum, fuel, and health services as essential public services.

Accordingly, the gazette, dated 3rd September, has declared the supply of electricity, the supply or distribution of petroleum products and fuel as essential.

Moreover, President Wickremesinghe has also declared all service, work or labour done in connection with the maintenance, and the reception, care feeding, and treatment, of patients in hospitals, nursing homes, dispensaries, and other similar institution, as essential.

Another Sri Lankan lawyer filed an application with the Court of Appeal seeking punishment against Sri Lanka Podujana Peramuna Parliamentarian Sanath Nishantha for contempt of court.

The petition was filed by Attorney-at-Law I. G. Vijitha Kumara on Tuesday (30).

The petition states that Sanath Nishantha was named as a suspect by the Attorney General in the incident surrounding the attack on the GotaGoGama Protest Site at Galle Face on the 9th of May 2022, and thereafter he was arrested by the CID, remanded by the Fort Magistrate's Court, and then released on bail.

It added that the respondent Sanath Nishantha, who is out on bail, speaking to reporters at the SLPP Office on the 23rd of August 2022, made comments that are in contempt of court.

The petition notes that the comments made by the MP brought disrepute to the courts, and challenged the Rule of Law.

It notes that the statements had been made to break the trust the people have placed with the judiciary.

After fleeing the country nearly eight weeks ago in the face of strong public protests, former president Gotabaya Rajapaksa returned home last night (02) to a welcome by a large gathering of MPs supporting him.

More than 30 politicians were there to garland him when the Singapore Airlines flight SQ 468 carrying him touched down at Katunayake Airport at 11.47 pm.

They included Prasanna Ranatunga, Tiran Alles and Namal Rajapaksa.

Gotabaya Rajapaksa left the airport via the VIP lounge, said an airport spokesman.

Escorted under tight security, he arrived at his official residence at Malalasekara Mawatha, Colombo 07 at 12.50 am.

Earlier in the day, he departed Thailand and arrived in Singapore where he had a stay of nearly three hours to catch the flight back home.

The Department of Irrigation has issued an early flood warning over the next two-days from tonight (30).

The Department said a flood situation may occur in areas surrounding the Atthanagalu, Kalu, Kelani, Ging, Nilwala or Mahaweli Rivers.

Accordingly, the Department requested the public residing in these areas to remain vigilant of flood situations that may occur during the next few days with rain predicted as well.

The public has also been requested to refrain from bathing or crossing rivers in upper branches of rivers.

The prices of each category of cigarettes will be increased by Rs. 3.00, Rs. 5.00, Rs. 10.00 and Rs. 15.00 each with effect from today (Sep 01).

The cigarette price hike is in line with the increase in Value-Added Tax (VAT).

Presenting the interim budget for the remainder of the fiscal year 2022, President Ranil Wickremesinghe said VAT would be increased from 12% to 15% effective from September 01.

President Ranil Wickremesinghe, in his power as the Minister of Finance, delivered the second reading of the 2021 Appropriation (Amendment) Bill in Parliament today (30).

He announced an increase in Value Added Tax (VAT) from 12% to 15% and noted that the retirement age of government and semi-government sector employees will reduce to 60 years.

The Head of State also proposed to issue 20% stake of state-owned banks (Bank of Ceylon & People’s Bank) to its employees and depositors.

Meanwhile, expectant women will be awarded Rs.2,500 in addition to the Rs.20,000 that is currently being granted and allowances given to Samurdhi beneficiaries, the elderly and disabled persons will also be increased by Rs.5,000 to Rs.7,500.

Further, a total of 61,000 low-income families will be given Rs. 10,000 monthly for a period of 4 months and loans obtained from state banks by small-scale farmers will be waived off (excluding interest). The Treasury will pay Rs.680 million owed to the banks in stages.

A staggering sum of Rs. 200 million will also be allocated to improve the local dairy industry.

President Wickremesinghe also said that a National Food Security programme is to be introduced.

In an additional move to develop the country, the President proposed to only purchase electric vehicles for the use of state services. Furthermore, tenders will be called from investors to develop the Kelani Valley Train Line.

Education, health, digitalization, public sector, and social security will be given priority under capital expenditure.

A proposal has been put forward to establish a branch of General Sir John Kotelawala Defence University in Kurunegala.

Further, the government has been advised to amend regulations to encourage foreign universities to open branches in Sri Lanka.

The International Monetary Fund (IMF) said today (01) it has reached a staff-level agreement with Sri Lanka to provide 2.9 billion US dollars over four years to help salvage the country from its economic crisis.

An IMF team visiting Sri Lanka said in a statement that the preliminary agreement is subject to approval from the agency’s management and executive board “contingent on the implementation by the authorities of prior actions, and on receiving financing assurances from Sri Lanka’s official creditors and making a good faith effort to reach a collaborative agreement with private creditors.”

The statement said,

“IMF staff and the Sri Lankan authorities have reached a staff-level agreement to support Sri Lanka's economic policies with a 48-month arrangement under the Extended Fund Facility (EFF) of about USD 2.9 billion.

The objectives of Sri Lanka’s new Fund-supported program are to restore macroeconomic stability and debt sustainability, while safeguarding financial stability, protecting the vulnerable, and stepping up structural reforms to address corruption vulnerabilities and unlock Sri Lanka’s growth potential.
Debt relief from Sri Lanka’s creditors and additional financing from multilateral partners will be required to help ensure debt sustainability and close financing gaps.

Financing assurances to restore debt sustainability from Sri Lanka’s official creditors and making a good faith effort to reach a collaborative agreement with private creditors are crucial before the IMF can provide financial support to Sri Lanka.

The statement also said,

An IMF mission led by Peter Breuer and Masahiro Nozaki visited Colombo from August 24 to September 01 to continue discussions on IMF support for Sri Lanka and the authorities’ comprehensive economic reform program.

Key elements of the programme are:

# Raising fiscal revenue to support fiscal consolidation. Starting from one of the lowest revenue levels in the world, the program will implement major tax reforms. These reforms include making personal income tax more progressive and broadening the tax base for corporate income tax and VAT. The program aims to reach a primary surplus of 2.3 percent of GDP by 2024.

# Introducing cost-recovery based pricing for fuel and electricity to minimize fiscal risks arising from state-owned enterprises. The team welcomed the authorities’ already announced substantial revenue measures and energy pricing reforms;
# Mitigating the impact of the current crisis on the poor and vulnerable by raising social spending, and improving the coverage and targeting of social safety net programs;

# Restoring price stability through data-driven monetary policy action, fiscal consolidation, phasing out monetary financing, and stronger central bank autonomy that allow pursuing a flexible inflation targeting regime. A new Central Bank Act is a cornerstone of this strategy;

# Rebuilding foreign reserves through restoring a market-determined and flexible exchange rate, supported by the comprehensive policy package under the program;

# Safeguarding financial stability by ensuring a healthy and adequately capitalized banking system, and by upgrading financial sector safety nets and regulatory standards with a revised Banking Act; and

# Reducing corruption vulnerabilities through improving fiscal transparency and public financial management, introducing a stronger anti-corruption legal framework, and conducting an in-depth governance diagnostic, supported by IMF technical assistance.

A Sri Lankan lawyer has filed a petition with the Court of Appeal seeking a punishment on Sri Lanka Podujana Peramuna Parliamentarian Sanath Nishantha for contempt of court.

The petition was filed by Attorney-at-Law Priyalala Sirisena.

SLPP MP Sanath Nishantha, the Bar Association of Sri Lanka, and the Attorney General of Sri Lanka have been named as respondents.

The petitioner is also seeking an order to prevent the MP from traveling overseas.

Attorney-at-Law Priyalala Sirisena in the petition states that MP Sanath Nishantha is named as a suspect in the case filed by the Criminal Investigations Department on the attack on the GotaGoGama protest site on the 9th of May 2022.

Sri Lanka and the International Monetary Fund (IMF) have reached a preliminary agreement on an emergency loan and a formal announcement will be made tomorrow (September 1st), Reuters reported.

The Governor of the Central Bank of Sri Lanka (CBSL) Dr. Nandalal Weerasinghe also said yesterday that Sri Lanka has made “good progress” in the negotiations with the International Monetary Fund (IMF), which are aimed at clinching a bailout package.

“I can announce that we have made good progress in the negotiations with the IMF. Hopefully, we will be able to reach the first milestone, a staff-level agreement with the IMF soon,” the central bank chief told reporters in Colombo. “Once we reach that agreement with the IMF, it means that we have a credible program in our hands.”

Public security minister Tiran Alles is the person, other than president Ranil Wickremesinghe, who is presently opposed most by protestors involved in the struggle, an observation of social media shows.

Since the president cannot be taken to court against the police operation to expel the protestors from the Galle Face protest site and the subsequent manhunt for the protestors, some political activists have publicly declared that it is Alles who should face legal action over these incidents.

Furthermore, Alles is at the receiving end of criticism by human rights activists over the orders given to the police to crackdown on the underworld.

A member of the Wimal Weerawansa-led parties who became independent, he was appointed the subject minister by the then president Gotabaya Rajapaksa on 20 May, and it is 100 days since he was made in charge of the police.

Alles continued to hold that portfolio in the government of president Ranil Wickremesinghe.

Despite mounting criticism over the conduct of the police, he is yet to make any statement, in parliament or to the media.

One of his predecessors has told his allies that he spoiled everything by speaking out, while Tiran carries on without uttering a word.

The media coordinator in Alles’ personal staff responded to our questions by sending us a detailed email containing what he has done in 100 days.

1. Restoring law and order by the police that had ceased to exist during the recent socio-political activities.

2. An increase in the batta payment to police personnel.

3. Setting up of a legal aid fund for police personnel which has received cabinet approval.

4. Provision of vehicles to officers over the rank of assistant superintendent of police.

5. Filling the staff vacancies at the Police Hospital.

6. Introduction of a proper mechanism, in place of political recommendation, in the appointment of OICs of police stations.

7. Modernizing police stations.

8. Introduction of a new website for the Police Department that will be launched on September 0

9. Mediation in the provision of equipment for the media and IT units of the police.

10. Empowerment of female police personnel.

11. Advising the police to curb the underworld and to carry out drug raids.

12. Instructing the police to safeguard the identities of children and women who are either victims or witnesses to crimes.

The Hydrology and Disaster Management Division of the Irrigation Department has issued an ‘Amber’ flood early warning for the catchment areas of the Kalu Ganga basin.

The advisory is in effect for a period of 24 hours from 3.00 p.m. today (Aug 31).

It further states that there is a possibility of a considerable flood situation in low-lying areas of Kalu River valley situated in Pelmadulla, Nivithigala, Ratnapura, Kuruvita, Ayagama and Elapatha Divisional Secretariat Divisions.

The advisory was issued upon analyzing the analysis of the current rainfall situation and river water levels of Hydrological Stations in Kalu Ganga.

Accordingly, residents and motorists passing through the aforementioned areas are advised to pay high attention in this regard.

The Public Utilities Commission of Sri Lanka (PUCSL) has approved power cut of 3 hours for 29th August as follows;

Groups ABCDEFGHIJKLPQRSTUVW

1 hour and 40 minutes during daytime 1 hour and 20 minutes during night.

Group CC

2 hours and 30 minutes from 6.00 AM to 8.30 AM

Groups MNOXYZ

3 hours from 5.30 AM to 8.30 AM