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Domestic debt restructuring: Harsha insists money belonging to EPF members must be safeguarded

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Dr.Harsha de Silva

Opposition MP Dr. Harsha de Silva has highlighted the critical considerations surrounding Domestic Debt Optimisation and its impact on the members of the Employees Provident Fund (EPF). Speaking on behalf of the Opposition, recently, de Silva emphasised the need to prioritize the interests of EPF pension fund members in any decision-making process.

“Our foremost concern should be securing the retirement benefits of the hardworking people of Sri Lanka,” de Silva stated. “The EPF, as a pension fund, plays a crucial role in ensuring a financially secure future for its members upon retirement. We cannot allow the government’s pursuit of cheap money to jeopardize the interests of EPF pensioners.”

Referring to the EPF Act, de Silva underscored the obligation for a parliamentary resolution to ensure the EPF receives sufficient funds from the Treasury to meet minimum payment requirements if it is unable to do so. He further emphasized the importance of gradually settling any resulting loans over time. “We must protect the EPF pension fund from being subjugated to the government’s needs at the expense of pensioners. The negative 47 percent real return to EPF in 2022 has severely eroded the value of the fund, and we cannot disregard this significant loss,” de Silva added.

Discussing the risks associated with domestic debt optimization, de Silva highlighted the concept of opportunity cost. “Subjecting the EPF pension fund to this optimization may result in a loss of potential reinvestment opportunities,” he explained. “For instance, if the EPF currently holds bonds maturing within the next one or two years, they have the potential to be reinvested at higher rates, ensuring better returns for pensioners. However, if these bonds’ maturity dates are extended beyond 2027 at lower rates that will have a high opportunity cost to EPF members.”

Clarifying the EPF pension fund’s overall financial position, de Silva reassured the public that the EPF is not facing immediate trouble. “The EPF pension fund maintains a positive cash flow, with contributions consistently exceeding pension payouts by approximately 30 billion rupees in recent years,” he stated. “This ensures the EPF’s ability to meet its pension obligations. However, we must acknowledge that returns on investments may decrease.”

Concluding his remarks, de Silva firmly stated that “Considering the negative real interest rate the EPF pension fund has already experienced, it is unjust to overburden it further with large opportunity costs due to domestic debt optimization. We must prioritize the interests of EPF members and strike a balance between preserving reasonable returns to the members while providing debt relief to the government. The long-term financial security of Sri Lanka’s workforce cannot be jeopardized.”



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Cyclone Ditwah leaves Sri Lanka’s biodiversity in ruins: Top scientist warns of unseen ecological disaster

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Prof Wijesundara

Sri Lanka is facing an environmental catastrophe of unprecedented scale in the wake of Cyclone Ditwah, with leading experts warning that the real extent of the ecological destruction remains dangerously under-assessed.

Research Professor Siril Wijesundara of the National Institute of Fundamental Studies (NIFS) issued a stark warning that Sri Lanka may be confronting one of the worst biodiversity losses in its recent history, yet the country still lacks a coordinated, scientific assessment of the damage.

“What we see in photographs and early reports is only a fraction of the devastation. We are dealing with a major ecological crisis, and unless a systematic, science-driven assessment begins immediately, we risk losing far more than we can ever restore,” Prof. Wijesundara told The Island.

Preliminary reports emerging from the field point to extensive destruction across multiple biodiversity-rich regions, including some of the nation’s most iconic and economically valuable landscapes. Massive trees have been uprooted, forest structures shattered, habitats altered beyond recognition, and countless species—many endemic—left at risk.

Among the hardest-hit areas are the Royal Botanical Gardens, Peradeniya, Seethawaka Botanical Garden, Gampaha Botanical Garden, and several national parks and forest reserves under the Department of Wildlife Conservation and the Forest Department. Officials describe scenes of collapsed canopies, destroyed research plots, and landscapes that may take decades to recover.

Prof. Wijesundara said the scale of destruction demands that Sri Lanka immediately mobilise international technical and financial support, noting that several global conservation bodies specialise in post-disaster ecological recovery.

“If we are serious about restoring these landscapes, we must work with international partners who can bring in advanced scientific tools, funding, and global best practices. This is not a situation a single nation can handle alone,” he stressed.

However, he issued a pointed warning about governance during the recovery phase.

“Post-disaster operations are vulnerable to misuse and misallocation of resources. The only safeguard is to ensure that all actions are handled strictly through recognised state institutions with legal mandates. Anything else will compromise transparency, accountability, and public trust,” Prof. Wijesundara cautioned.

He insisted that institutions such as the Department of Wildlife Conservation, the Forest Department, and the Botanical Gardens Department must take the lead—supported by credible international partners.

Environmental analysts say the coming months will be decisive. Without immediate, science-backed intervention, the ecological wounds inflicted by Cyclone Ditwah could deepen into long-term national losses—impacting everything, from tourism and heritage landscapes to species survival and climate resilience.

As Sri Lanka confronts the aftermath, the country now faces a critical test: whether it can respond with urgency, integrity, and scientific discipline to protect the natural systems that define its identity and underpin its future.

By Ifham Nizam

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Disaster: 635 bodies found so far, 192 listed as missing

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The Disaster Management Centre (DMC) has categorised 192 persons as missing as search operations were scaled down in flood-affected areas.

The death toll has been placed at 635, while the highest number of deaths was reported from the Kandy District. Kandy recorded 234 deaths.

According to the latest data, a total of 1,776,103 individuals from 512,123 families, in 25 districts, have been affected by the impact of Cyclone Ditwah.

The DMC has said that 69,861 individuals from 22,218 families are currently accommodated in 690 shelters established across the country.

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More help from Pakistan

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The High Commission of Sri Lanka in Islamabad facilitated an air-cargo shipment carrying 20 tons of emergency relief items from there to Colombo to support communities affected by the recent cyclone and severe weather conditions, the Foreign Ministry here said.

Under the patronage of the Government of Pakistan, the National Disaster Management Authority (NDMA), in coordination with the Sri Lanka High Commission in Islamabad, has arranged another bulk shipment of relief items via SriLankan Airlines from Lahore to Colombo.

The High Commission extends its sincere appreciation to the Government of Pakistan and the National Disaster Management Authority (NDMA) for their support and coordination in dispatching the relief items.

The High Commission of Sri Lanka in Islamabad will continue to work with the respective authorities to ensure the smooth delivery and distribution of the assistance.

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