Tag: Lanka

Twenty-six delegates from Thailand will attend the discussions…reports Asian Lite News

Sri Lanka and Thailand are set to hold the third round of negotiations on the free trade agreement between the two nations on January 9 and 10 in Colombo.

Twenty-six delegates from Thailand will attend the discussions, Sri Lankan President’s Media Division (PMD) said on Sunday.

The 3rd round of #SriLanka–#Thailand #FTA negotiations are scheduled to commence tomorrow under seven themes – Trade in Goods, Trade in Services, Investments, Rules of Origin, Custom Cooperation, Trade Facilitation & Economic Cooperation – to advance the Government's agenda (1/2)

— President's Media Division of Sri Lanka – PMD (@PMDNewsGov) January 8, 2023

The discussions will focus on topics including trade in goods, trade in services, investments, rules of origin, custom cooperation, trade facilitation and economic cooperation, Xinhua News Agency reported quoting the PMD.

According to the PMD, Sri Lanka in 2021 imported goods from Thailand worth 355 million US dollars and exported goods worth 59 million dollars to Thailand.

ALSO READ: Lankan kids in grip of malnutrition

The central bank said that structural economic impediments that existed across various spheres of the economy over decades were compounded by economic shocks, along with ill-timed policy choices….reports Asian Lite News

The Central Bank of Sri Lanka said that the country’s economy plagued by the worst-ever crisis since independence that has plagued the island nation since early 2022, is expected to recover gradually from the second half of this year.

The central bank announced its monetary policies for 2023 on Wednesday, saying that rapid acceleration of inflation that began from early 2022 turned around in October, reports Xinhua news agency.

“The Sri Lankan economy, which is projected to register a real contraction of around 8.0 per cent in 2022, is expected to record a gradual recovery in the second half of 2023 and sustain the growth momentum beyond,” the bank said.

The central bank said that structural economic impediments that existed across various spheres of the economy over decades were compounded by economic shocks, along with ill-timed policy choices.

As a result, the government and the central bank implemented painful, but unavoidable policy measures in 2022, aimed at restoring macroeconomic balance.

The monetary policy was tightened by an unprecedented adjustment in interest rates to prevent inflationary pressures from worsening while arresting any adverse inflation expectations in the near to medium term.

A temporary suspension of selected foreign debt was also announced amidst the dire foreign exchange shortage, while measures were adopted to consolidate public debt with the envisaged support from an extended fund facility arrangement from the International Monetary Fund.

The central bank said these measures ensured the availability of foreign exchange for essential imports, including fuel, coal, cooking gas, medicine, and food items, among others, thereby relieving socioeconomic unrest to a greater extent.

Earlier, UN Assistant Secretary-General and United Nations Development Program (UNDP) Regional Director for Asia and the Pacific Kanni Wignaraja assured Sri Lanka with UN’s financial and technical support as the South Asian island country attempted to recover from an economic crisis.

Wignaraja made the remarks on Wednesday at a meeting between Sri Lankan President Ranil Wickremesinghe and a delegation he headed, Xinhua news agency reported, citing the President’s Media Division.

The UN official appreciated the efforts taken by President Wickremesinghe and his government in resolving the economic crisis in the country.

“Wignaraja reiterated the UN’s financial and technical support for Sri Lanka during this recovery period,” the President’s Media Division said.

The discussions focused on economic reforms, with the delegation recognizing difficult decisions would have to be taken in order to ensure long-term recovery and growth in the country.

ALSO READ: India ‘very keen’ to streamline emigration processes

The health habits of children and the reduction of people’s purchasing power during the country’s economic crisis had also led to an increase in the malnutrition …reports Asian Lite News

Amid the worst-ever economic crisis in Sri Lanka, malnutrition has increased among children under the age of five, Health Minister Keheliya Rambukwella said on Thursday, adding that that steps are being taken to address the issue.

In an address to Parliament, Rambukwella said there was an increase in the malnutrition figures in 2021 and 2022, and one of the major reasons for this situation was the unethical promotion of certain food items, reports Xinhua news agency.

The health habits of children and the reduction of people’s purchasing power during the country’s economic crisis had also led to an increase in the malnutrition among children, he added.

During the peak of the crisis last year, the Unicef had appealed for $25 million to meet the urgent needs of 1.7 million children affected by the situation in the island nation.

In a recent report, the UN agency said that Sri Lanka’s acute economic crisis that is expected to continue throughout 2023, with an estimated 6.2 million people in urgent need of humanitarian assistance this year.

Even before the current crisis, Sri Lanka had the second highest child malnutrition rate in South Asia, and 2 in 5 infants were not fed the minimum acceptable diet, according to the Unicef.

With soaring food prices now, 70 per cent of households have reported reduced food consumption, and the fuel crisis and frequent power cuts are hindering vital services for children, including healthcare and education.

ALSO READ: Sri Lanka gears up for local elections

Accepting election deposits from candidates would begin on January 4 and continue until January 20…reports Asian Lite News

Sri Lanka’s Election Commission has said that applications for postal voting from eligible voters for the 2023 local elections would be accepted on January 5-23.

Chairman of the Election Commission Nimal Punchihewa told reporters that nominations from candidates contesting the local government elections would be accepted on January 18-21, Xinhua news agency reported.

Accepting election deposits from candidates would begin on January 4 and continue until January 20, he said.

Polls will be held in 340 local government bodies and 14,000 polling centers will be established for the voting, according to the election commission chief.

A petition was filed earlier to the Supreme Court by a retired military official seeking an order suspending the elections over Sri Lanka’s economic crisis. The date of the upcoming elections has not yet been announced.

Earlier this week, Sri Lankan President Ranil Wickremesinghe said that as Sri Lanka walks into the New Year with the baggage from 2022, 2023 will be a critical year for the country to turn around its crisis-struck economy, reported Daily Mirror.

According to the Daily Mirror report: “Wickremesinghe in his New Year message acknowledged that the citizens of the country are looking at the year 2023 after having undergone the bleakest of times, immense hardships, as well as the uncertainties and hopelessness of the last year.” Wickremesinghe said: “I understand the great burdens that are placed on all of us and the setbacks that a majority of us have suffered due to the country’s abject economic collapse.”

The year 2022 which kicked off with optimism and hopes of reviving from the issues stemming from the COVID pandemic turned out to be somewhat of a nightmare for the citizens of the country.

The president said that 2022 started with optimism and hopes for reviving from the crisis caused by COVID. The year, however, turned out to be a nightmare for the country’s citizens.

Wickremesinghe said that just as economic activity was picking up in 2022, the poor policy decision taken over the years, brought the economy to its worst state in history.

“The lack of foreign exchange, revenue, and also food security threatened, and continues to threaten the people and businesses of the country, which has resulted in a flight of human resources,” Wickremesinghe said according to Daily Mirror.

The report also quoted the Sri Lankan President saying: “While at present the exit of workers is celebrated by the government as it is expected to bring the required foreign exchange by way of remittance, the impact of the loss of talent required to build the economy will soon be felt. The tourism sector is already feeling the impact.” (IANS/ANI)

ALSO READ: Breather for crisis-hit Lanka as UN assures support

The UN official appreciated the efforts taken by President Wickremesinghe and his government in resolving the economic crisis in the country…reports Asian Lite News

UN Assistant Secretary-General and United Nations Development Program (UNDP) Regional Director for Asia and the Pacific Kanni Wignaraja has assured Sri Lanka with UN’s financial and technical support as the South Asian island country attempted to recover from an economic crisis.

Wignaraja made the remarks on Wednesday at a meeting between Sri Lankan President Ranil Wickremesinghe and a delegation he headed, Xinhua news agency reported, citing the President’s Media Division.

The UN official appreciated the efforts taken by President Wickremesinghe and his government in resolving the economic crisis in the country.

“Wignaraja reiterated the UN’s financial and technical support for Sri Lanka during this recovery period,” the President’s Media Division said.

The discussions focused on economic reforms, with the delegation recognizing difficult decisions would have to be taken in order to ensure long-term recovery and growth in the country.

ALSO READ: 700k int’l tourists visited Sri Lanka in 2022

President Ranil Wickremesinghe has also instructed the relevant authorities to take appropriate measures to control the prices…reports Asian Lite News

The Sri Lankan government on Tuesday announced plans to import eggs in the wake of a “domestic price war”.

Cabinet spokesman Bandula Gunawardena told reporters that a proposal was put forward to the cabinet to import eggs, and the cabinet, which held a meeting on Monday, approved the proposal, reports Xinhua news agency.

Gunawardena said egg price is high at the market resulting in a shortage, and Minister of Trade, Commerce and Food Security Nalin Fernando has been given the approval for import.

In the meantime, Gunawardena said, President Ranil Wickremesinghe has also instructed the relevant authorities to take appropriate measures to control the prices.

ALSO READ: Lanka’s central bank to reduce interest rates this year

Weerasinghe told media on Sunday that inflation is also expected to fall in 2023….reports Asian Lite News

Steps will be taken in 2023 to reduce key interest rates in Sri Lanka, said Governor of Central Bank of Sri Lanka, Nandalal Weerasinghe.

Weerasinghe told media on Sunday that inflation is also expected to fall in 2023.

He said that Sri Lanka’s inflation rate eased to 57.2 per cent in December from 61 per cent in November, noting that this reflected that the policies they have taken from April 2022 were successful, Xinhua news agency reported.

High interest rates have kept inflation down but the rates will be reduced as the economy stabilises, he said.

Sri Lanka’s central bank in November 2022 decided to maintain the Standing Deposit Facility Rate and the Standing Lending Facility Rate at the levels of 14.50 per cent and 15.50 per cent, respectively.

‘Critical year for Lanka’

Sri Lankan President Ranil Wickremesinghe on Monday said that as Sri Lanka walks into the New Year with the baggage from 2022, 2023 will be a critical year for the country to turn around its crisis-struck economy, reported Daily Mirror.

According to the Daily Mirror report: “Wickremesinghe in his New Year message acknowledged that the citizens of the country are looking at the year 2023 after having undergone the bleakest of times, immense hardships, as well as the uncertainties and hopelessness of the last year.” Wickremesinghe said: “I understand the great burdens that are placed on all of us and the setbacks that a majority of us have suffered due to the country’s abject economic collapse.”

The year 2022 which kicked off with optimism and hopes of reviving from the issues stemming from the COVID pandemic turned out to be somewhat of a nightmare for the citizens of the country.

The president said that 2022 started with optimism and hopes for reviving from the crisis caused by COVID. The year, however, turned out to be a nightmare for the country’s citizens.

Wickremesinghe said that just as economic activity was picking up in 2022, the poor policy decision taken over the years, brought the economy to its worst state in history.

“The lack of foreign exchange, revenue, and also food security threatened, and continues to threaten the people and businesses of the country, which has resulted in a flight of human resources,” Wickremesinghe said according to Daily Mirror.

The report also quoted the Sri Lankan President saying: “While at present the exit of workers is celebrated by the government as it is expected to bring the required foreign exchange by way of remittance, the impact of the loss of talent required to build the economy will soon be felt. The tourism sector is already feeling the impact.”

According to Wickremesinghe, the worst is over.

“I believe that we have already gone through the worst of these times. I sincerely appreciate all of you who are committed to our country first and I thank you for your patience and courage as we took the critical, initial steps to stabilise the economy,” he said.

The critical situation of the currency crisis in Sri Lanka has resulted in political, economic and social turmoil. Further, this currency collapse has resulted in a rise in food prices by 100 per cent in two years. Amid all this, President Ranil Wickremesinghe has sought support, The Island Online reported.

In Sri Lanka around 40 per cent of households depend on agriculture. And two out of ten homes have suffered income reduction from June to December 2022. And to recover from the income reduction one out of two households use negative coping mechanisms like loans to cope with the lack of food or money to buy it, according to The Island Online English-language daily in Sri Lanka. (IANS/ANI)

ALSO READ: India hands over 125 SUVs to Lanka

Dzhagaryan, revealed that Moscow plans to assist Sri Lanka in the construction of two mini nuclear power plants for official use…reports Ateet Sharma

Continuing with its renewed focus on South Asia, Russia has proposed to set up two mini nuclear power stations in Sri Lanka and add the island country to the region’s nuclear energy club.

Russia’s new Ambassador in Colombo Levan Dzhagaryan recently met the top officials of the Sri Lanka Atomic Energy Board (SLAEB) in a bid to set the wheels in motion and pave way for the visit of a high-level delegation from the Russian State Atomic Energy Corporation Rosatom.

Dzhagaryan, in an interview with Ceylon Today, revealed that Moscow plans to assist Sri Lanka in the construction of two mini nuclear power plants for official use with each station having a capacity of 55 megawatts.

“To begin with, it could be two plants, then four plants, and finally six plants. This suggestion was critical from several perspectives. First and foremost, this would save oil and coal. Second, because there will be no coal, it will be environmentally friendly, and the ecology will be safe and secure. It is also less expensive,” said the Russian Ambassador.

Last month, Sri Lanka’s Minister of Power and Energy Kanchana Wijesekera held talks with Dzhagaryan to discuss the country’s energy sector requirements and nuclear energy cooperation with Rosatom.

Interestingly, Dzhagaryan served as the Russian Ambassador to Iran for more than 11 years before coming to Sri Lanka. He not only oversaw the handing over of Iran’s first commercial nuclear reactor in Bushehr but also played a critical role in Tehran setting up more power units under Russian technologies.

Immediately after his arrival in Colombo last November, Dzhagaryan met Lankan Prime Minister Dinesh Gunawardana suggesting that the project can take off quickly as the energy crisis in the nation is continuing. The Russian diplomat believes that the setting up of mini nuclear power stations would not take much time.

“We have power stations all over Russia. We also have floating nuclear power stations for remote destinations,” he said adding that delegations from both countries have already had three rounds of video conferences on various topics such as ammonia and nuclear energy cyclotron.

Listing India as a “true friend”, the Russian Ambassador has been giving the example of civil nuclear cooperation through the Kudankulam Nuclear Power Plant in Tamil Nadu which remains an important component of the India-Russia Special and Privileged Strategic Partnership.

Moscow is also helping Bangladesh in the construction of its maiden nuclear power plant in Rooppur.

Consultations on cooperation in the area of peaceful uses of atomic energy have been held between Moscow and Colombo in the past as well.

In January 2018, a top-level delegation of Rosatom and its subsidiaries paid a working visit to Sri Lanka holding negotiations with Lankan atomic energy agency and also then President Mithripala Sirisena.

It was also under Sirisena that Sri Lanka sealed a nuclear energy pact with India in January 2015, a few months after the Narendra Modi government came to power in New Delhi.

(India Narrative)

ALSO READ: India hands over 125 SUVs to Lanka