News
Uncertainty over impending elections could risk Lanka’s economic recovery: ADB
The “uncertainty” over the impending elections in Sri Lanka will cause a possible downward trend in the country’s economic outlook, the Asian Development Bank (ADB) has said, according to a PTI dispatch.
Sri Lanka is set to face a presidential election in the last quarter of this year, while the parliamentary election is due mid-next year. However, political uncertainty prevails in the country as opposition parties have pledged to reverse the current IMF-linked reforms, which have proved to be unpopular with the masses, the PTI repor says.
President Ranil Wickremesinghe, who has steered the recovery programme by going into a bailout deal with the International Monetary Fund (IMF) for a USD 2.9 billion facility, maintains that the island could once again face economic collapse if the IMF programme reforms are not adhered to.
Outlining the economic risks Sri Lanka is facing, the ADB in its South Asian chapter’s economic trends report released yesterday said, Among them the most important is uncertainty associated with the upcoming elections, including any possible impact on fiscal policy and reform implementation.
The ADB noted that there are signs of economic recovery in Lanka and emerging growth had revived in the second half of 2023 and is expected to continue in 2024 and 2025.
Inflation decelerated in single digits last year following a peak in 2022 and will remain below 10 percent in 2024 and 2025. Challenges remain and the upcoming electoral cycle must not delay the reforms required to address the recent economic crisis. Sri Lanka needs to address vulnerability to poverty to ensure inclusive growth, the report said.
It’s been two years since Sri Lanka declared its first-ever default of sovereign debt. The negotiations for debt restructuring continue.
Delays in the completion of a debt restructuring agreement and any barriers to passing key legislation could dampen sentiment and derail growth, the report warned.
The IMF in March said it had reached a staff-level agreement with Sri Lanka for the next phase that would enable it access to USD 337 million from the nearly USD 3 billion bailout approved in 2023 for the island nation.
Two tranches of USD 330 million each were released in March and December 2023 even as the global lender praised Colombo for its macroeconomic policy reforms, which it said, are starting to bear fruit.
News
Navy’s prompt search and rescue mission saves lives at sea
In a swift search and rescue (SAR) operation, the Sri Lanka Navy on 22 Jun 2026 rendered assistance to a one-day fishing trawler that had failed to return to its intended destination.
Reportedly, the fishing trawler and its 02 crew members ran into trouble due to adverse weather conditions off the north coast of the island. The rescue mission was launched
immediately following an alert from the Department of Fisheries and Aquatic Resources regarding the overdue trawler.
Responding to the distress call, the Maritime Rescue Coordination Centre (MRCC) Colombo, coordinated the deployment of naval craft for the SAR operation.
During the operation, naval personnel located the distressed trawler and its 02 fishermen in the seas off the Analaitivu Island and they were brought to safety.
Maintaining a round-the-clock vigil, the Sri Lanka Navy, through the coordination of MRCC Colombo, remains constantly prepared to deploy assets and extend vital lifesaving assistance to the naval and fishing communities facing perils within the Sri
Lankan Search and Rescue Region.
News
Judicial vacancies: President keeps country guessing
The NPP government has not taken a final decision regarding filling of the vacancies in the judiciary.
A group of Opposition MPs, led by SJB leader Sajith Premadasa, on 12 June, requested Speaker Dr. Jagath Wickremeratne to take up the issue of judicial vacancies with President Dissanayake. Opposition sources said that there were four vacancies, each in the Court of Appeal and the Supreme Court, and the inordinate delay had adversely affected the judiciary.
Government sources indicated that there was no change in the status quo as regards filling of vacancies. Referring to the government proposal to extend the retirement age of judges, authoritative sources said that no final decision had been taken yet.
SJB lawmaker Dayasiri Jayasekera told The Island that they would raise the issue in Parliament this week.
He said that the deliberate delay in making appointments to superior courts and the move to extend the retirement age couldn’t be taken separately.
The MP noted that the Bar Association of Sri Lanka, the Lawyers’ Collective, the Colombo High Court Lawyers’ Association, Colombo Magistrate’s Court Lawyers’ Association and the Bar Association of Badulla had opposed the government move.
There hadn’t been any public statements in support of the government move, MP Jayasekera said, urging the government to end uncertainty in the judiciary.
by Shamindra Ferdinando
News
Sajith calls on Opposition parties to rally around SJB
SJB leader Sajith Premadasa has invited the UNP and other political parties to join his party. Premadasa, who is also the leader of the Opposition, has emphasised that the UNP and the SJB could reach a consensus on policies but his party wouldn’t, under any circumstances, accept whatever formula to share positions. Premadasa said so, speaking to the media over the weekend, after meeting the Mahanayaka Thera of the Malwatta Chapter of the Siyam Nikaya Most Venerable Thibbatuwawe Sri Siddhartha Sumangala Thera.
A statement issued by the Opposition Leader’s Office quoted MP Premadasa as having extended an invitation to all political parties to give up extremist policies and join the SJB.
The SJB leader alleged that the NPP government feared facing elections and that was the reason for the inordinate delay in holding Provincial Council polls. PC polls were last held in 2012, 2013 and 2014, on a staggered basis. Premadasa said that if PC polls were held his party would definitely win the majority of PCs.Premadasa also urged the government to reduce electricity tariffs and fuel prices.
-
News7 days agoBeijing Capital Airlines to resume flights to Colombo signalling boost to tourism
-
Features6 days agoKilling of Colombo’s ancient trees — a warning on UN’s World Desertification Day – 17 June
-
News4 days agoCreditor receives USD 2.5 mn as Lankan public bears loss from theft of Treasury funds
-
News3 days agoCreditor not yet paid
-
News3 days agoConsumers bearing 22% tax burden despite 18% VAT claim: Dr. Harsha de Silva
-
Opinion5 days agoBeyond diagnosis: A strategic design for 7% growth by 2029 (Part I)
-
Opinion7 days agoFifty years after Soweto uprising
-
Sports7 days agoCatch every moment of the 2026 FIFA World Cup free on the Dialog PLAY App
