ECONOMY

The government has decided to impose taxes on 14 additional sectors, announced State Minister of Finance, Dr. Ranjith Siyambalapitiya. Among these sectors are large-scale private tutoring classes, private schools, private medical service centers, engineering service centers, and mining services. State Minister Siyambalapitiya stated that the Inland Revenue Department will conduct thorough investigations into the income…

Sri Lanka’s government debt stock has seen a notable reduction of 2.76%, amounting to Rs 803.2 billion, as of April 30, 2024. This decrease brings the total debt from Rs 29,150.4 billion on December 31, 2023, down to Rs 28,347.2 billion. A significant reduction was observed in the foreign debt stock, which fell by 9.2%…

Chethana Gomis Extending the principal loan repayment grace period till 2028 will save the country $500 crores. Sri Lanka has also concluded a debt restructuring agreement with International Sovereign Bondholders. Sri Lankan foreign debt amounts to USD 37 billion, comprising USD 10.6 billion in bilateral debt. Regarding accusations from many parties that the Government has…

On June 3, 2024, Sri Lanka reached a groundbreaking agreement with its private creditors to restructure its debt, becoming the first country to utilize a Governance-Linked Bond (GLB). This innovative financial instrument was designed by Verité Research in Colombo. The Verité-GLB adjusts repayments based on the country’s achievement of mutually agreed governance benchmarks. If these…

1. Introduction Context: Restoring economic stability post debt default in 2022. Recent Achievement: Agreement with official creditors on loan repayment. Communication: National address and consistent updates to Parliament. 2. Four-Step Economic Plan IMF Extended Credit Facilities: Establish financial discipline. Debt Stabilization Plan: Collaboration with Lazard and Clifford Chance. Economic Policies: Secure foreign investment and promote…

The Aswesuma Welfare Benefit Program has extended its special allowances for transitional and vulnerable categories, increasing the monthly payment to Rs. 5000 per beneficiary, effective June 2024. This decision, directed by President Ranil Wickramasinghe, aims to provide additional financial support in light of the current economic challenges. On June 27, the Welfare Benefits Board deposited…

In a significant step towards enhancing maritime safety and coordination, Sri Lanka has launched a Maritime Rescue Coordination Centre (MRCC) established with a USD 6 million grant from India. This state-of-the-art facility is equipped to monitor vast ocean territories encompassing not only Sri Lanka but also the Maldives, India, Indonesia, and Australia. The MRCC, inaugurated…

Sri Lanka is poised to sign a significant debt restructuring agreement with a group of creditor nations on Wednesday, a crucial step in stabilizing the country’s finances following a severe economic crisis. President Ranil Wickremesinghe informed his cabinet about the debt restructuring on Monday, Foreign Minister Ali Sabry revealed in a phone interview. The cabinet…