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Debt restructuring: Opp. won’t accept President’s assurances; COPF examines proposals

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By Shamindra Ferdinando

SJB MP Dr. Harsha de Silva said that the all-party Committee on Public Finance (COPF) would have to examine the proposals presented by the Central Bank of Sri Lanka (CBSL) and the Treasury as regards the proposed domestic debt restructuring.

COPF Chairman de Silva said that the CBSL and Treasury representatives appeared before the watchdog committee yesterday (28) and tomorrow. Commercial Banks, EPF and other relevant institutions would appear today (29).

COPF would meet again on Friday to address outstanding issues, MP de Silva said.

The SJB economist said so when The Island sought his response to President Ranil Wickremesinghe’s declaration that the domestic debt restructuring wouldn’t be detrimental to the banking sector. The President also dismissed the Opposition’s claims that the proposed measures would have an impact on interests on bank deposits, the EPF, etc. President Wickremesinghe also holds the Finance portfolio.

Dr de Silva, a former UNP State Minister, emphasised that the SJB’s ‘Economic Blueprint’- a 10-point programme, which spelt out how to achieve stabilisation and equitable growth. He said he and his party were against domestic debt restructuring, but if absolutely necessary then the government should re-profile debt without hurting the public. He said there should be no face value haircuts; there could be maturity extensions with necessary regulatory measures to deal with capital adequacy issues so that there will be no adverse impact on individual depositors or EPF members, and the CBSL would be able to ensure liquidity for banks. “If done properly, the risk premiums will disappear and interest rates will fall. Will be positive for borrowers as well as banks … and will help growth.”

Speaker Mahinda Yapa Abeywardena yesterday issued a special gazette notification regarding the convening of Parliament on Saturday at 9.30 am. Director Legislative Services and Acting Director Communication, Parliament Janakantha Silva said that the announcement had been made in accordance with Standing Order 16 at the request of Prime Minister Dinesh Gunawardena.

Dr. de Silva said that the SJB had made its position clear ahead of the current crisis though the government continuously misled the public.

Top Opposition Spokesman Prof. G.L. Peiris said that their stand on the issue would not change simply because of a declaration made by President Wickremesinghe at a public event in Gampaha. Recalling the way the Wickremesinghe-Rajapaksa government had failed to brief Parliament on the IMF bailout package until the finalisation of the agreement in March, Prof. Peiris said that the basic problem was a chronic lack of clarity in the government’s stand. “Whether domestic debt restructuring is to take the form of coupon cut, haircut or adjustment of time of maturity is not clear. The idea is to take the country and, in particular, the banking system by surprise when the markets are shut down for five days. This has inevitably fuelled harmful speculation. Parliament and the Opposition have been taken for granted. The Business Committee meeting was postponed from Tuesday to Friday, and then the issuance of a special Gazette by the Speaker prior to the Business Committee meeting. Smoke and mirrors approach deprives the entire process of much needed candour and transparency. We therefore stand by the assessment we have already made.”



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Iranian ships stranded, Lanka fears US sanctions

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‘Companies may face US sanctions’: Lanka to put ‘national interest’ first as 19 Iranian vessels seek help

(ToI) Sri Lanka said on Friday it would “prioritise our national interests” before providing assistance to the crews of 19 Iranian ships anchored in international waters near the island nation.The crews are facing shortages of food, water and fuel. A foreign ministry spokesperson cited the risk of US sanctions against Sri Lankan companies supplying the vessels as a key concern.

The United States and Iran have been at war since February 28, when the US and Israel launched joint strikes against the Islamic Republic.

“Sri Lanka will put its national interest first before considering any help, and the companies that supply ships are aware of possible secondary sanctions from the United States,” spokesperson Thushara Rodrigo told reporters, ruling out any immediate assistance to the vessels.

Rodrigo clarified, however, that Sri Lanka had received no communication from the United States warning of repercussions if it decided to assist the vessels.According to Rodrigo, the ships are stationed 24 nautical miles off Sri Lanka’s coast.The Iranian Embassy said it had no information on the matter.

In March, a US torpedo attack sank the Iranian naval vessel IRIS Dena in Sri Lankan waters, killing 87 sailors.

The ship was returning to Iran after participating in a naval exercise at India’s invitation. A second Iranian vessel was brought to a Sri Lankan port after its crew reported technical problems.

Wounded sailors were treated at Sri Lankan hospitals, while those rescued from the second vessel were safely repatriated to Iran.

Sri Lanka is still recovering from an economic crisis, with both the United States and Iran serving as important trading partners. Washington played a key role in securing an International Monetary Fund bailout and supporting Sri Lanka’s agricultural sector to help avert a food crisis.

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Sri Lanka CERT warns of overseas university admission scams

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Sri Lanka CERT has warned the public of fraudulent social media advertisements offering admission to foreign universities after receiving complaints from parents and students who have lost hundreds of thousands of rupees to scammers.

The fraudsters reportedly pose as representatives of reputed foreign universities, promising admission, student visas, work permits and even eventual citizenship in return for registration fees and initial tuition payments.

They use convincing videos, photographs and documents circulated via email and WhatsApp to gain the confidence of unsuspecting victims before asking them to transfer money to foreign bank accounts. The scammers then disappear after receiving the payments, Sri Lanka CERT said.

The agency has urged prospective students and their parents to verify the authenticity of university representatives, documents and bank account details before making payments, and to seek overseas education opportunities only through legitimate and recognised channels.

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Navi Pillay’s Lankan affairs in focus as she wins 2026 Nobel Peace Prize

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Navi Pillay

Former UN High Commissioner for Human Rights and International Court of Justice judge Navanethem “Navi” Pillay has won the 2026 Nobel Peace Prize for her contribution to international law and efforts to promote peace, the Norwegian Nobel Committee announced in Oslo on Friday.

Announcing the award, committee chairman Jørgen Watne Frydnes said Pillay had “significantly enlarged the scope and impact of international law” and helped advance “a more comprehensive global legal order” with exceptional courage. He also praised her long career, which began as a lawyer confronting deep-rooted discrimination in South Africa, and described her as a person with a “firm moral compass”.

Pillay, 85, served as the UN High Commissioner for Human Rights from 2008 to 2014. Her tenure brought her into sharp focus in Sri Lanka, particularly over her assessment of the country’s human rights situation in the aftermath of the decades-long civil war.

During an official fact-finding visit to Sri Lanka from August 25 to 31, 2013, Pillay travelled to areas including Jaffna, Kilinochchi and Trincomalee, where she met civil war survivors, families of the disappeared and local communities.

Following the visit, she warned that Sri Lanka was moving towards authoritarianism and highlighted what she described as a persistent climate of fear.

She also reported intimidation and harassment of people who had sought to meet her during the mission.

Pillay urged the UN Human Rights Council to establish an international inquiry mechanism to investigate alleged war crimes and crimes against humanity committed by both government forces and the LTTE during the final stages of the 26-year civil war.

Her observations and recommendations became a significant part of international scrutiny of Sri Lanka’s post-war human rights record.

The Norwegian Nobel Committee received 287 nominations for this year’s Peace Prize, slightly more than a quarter of them being organisations. The committee traditionally considers efforts to promote peace, international fraternity and institutions that contribute to lasting stability.

Last year, Venezuelan opposition leader Maria Corina Machado won the prize for her campaign for a democratic transition in Venezuela. She was praised as a woman who kept the flame of democracy burning amid growing darkness.

The 2026 award marks the 125th anniversary of the Nobel Peace Prize, first presented in 1901. Over its history, the prize has recognised prominent figures and organisations involved in advancing peace, human rights and international cooperation.

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