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Proposed privatisation of SriLankan in line with IMF remedy – CEO
SriLankan Airlines CEO Richard Nuttall has declared that the Wickremesinghe-Rajapaksa government intends to privatise several state-owned enterprises, including SriLankan as part of the International Monetary Fund (IMF) programme.
Asian News International quoted Nuttall as having said on Wednesday (13): “The government is trying to privatise a number of state-owned enterprises as a part of the
IMF programme that it’s going through. One of those is SriLankan Airlines.”
Nuttall said that one of the steps taken in that direction is the government helping with the balance sheet which would be completed in a month or two.
“There are two parts to that. One is, the government working to help us with our balance sheet and a lot of work has gone on with that and we expect that to be finished in the next one or two months,” the CEO said.
Nuttal said that the airline is also looking for an investor, three candidates have been finalised and the government is in talks with them.
“And then the other side is looking for an investor. Expressions of interest were completed in April and there were six candidates. That’s now been whittled down to three. So the government is now talking to three different entities and we’ll see what happens from there,” he said.
The CEO shared that no Indian company has showed interest in investing in SriLankan Airlines but one of the consortiums have some Indians in them.
“There’s no Indian company, but one of them is a consortium that we understand has some Indian,” Nuttar said.
Replying to a question about the updates on the expansion plan of Sri Lankan Airlines, Nuttall said, “At the moment, our fleet is 21. We’re hoping for it to grow. It should grow to 22 next month. We’re looking to get another three aircraft within the coming twelve months, so that would take us to 25. So if you look, we’ve also got a couple of aircraft that we’re replacing with engines. So that’s about 50 per cent growth by the end of this year.”
The CEO said that the expansion will be from increased frequencies to existing destinations rather than adding new destination cities. “And I think most of the expansion that we’ll get from that will be not new cities, but it will be increasing frequencies to existing destinations, particularly in India and Southeast Asia,” he added.
Nuttall said that during economic downturn that the country is currently facing, more people tend to go and work overseas which in turn helps the airline.
“If one looks at Sri Lanka, two of the biggest sources of currency for the country come from the diaspora, Sri Lankans working abroad and tourism. So actually when you have an economic downturn, more people go overseas. So it’s a natural hedge. So for the airline that’s good and we can support the economic development of the country by supporting the people that want to go and work overseas,” the CEO said.
Nuttal highlighted that the tourism sector has recovered and back to pre-COVID times. He added that the Indian market has trebled in the last year.
“When it comes to tourism, actually tourism has come back really, really quickly to Sri Lanka. So tourism is now back where it was pre-COVID. And if we look at the Indian market, the Indian market has I think trebled in the last twelve months. We were doing roughly 1,012 thousand a month last year and now we’re up closer to 40,000,” the CEO said.
“And the Indians are just over 20 per cent of the tourists that comes to Sri Lanka. And you know, realistically, when we look at the size of the population here and we look at the growing economy, we think that 40,000 a month is just the tip of the iceberg. We think that number could grow,” Nuttal added.
News
Discussion on Sri Lanka Customs’ contribution for National Export Development Plan
A discussion on the modernisation initiatives required within the Sri Lanka Customs and measures to encourage exporters in support of implementing the National Export Development Plan (NEDP) 2026–2030 was held on Wednesday (17) morning at the Presidential Secretariat under the patronage of Secretary to the President, Dr. Nandika Sanath Kumanayake.
The meeting, organised by the Revenue Administration Reform and Modernization Bureau established under the Presidential Secretariat, focused extensively on the modernisation measures required within Sri Lanka Customs to facilitate the expansion of exports.
During the discussion, the Secretary to the President instructed Sri Lanka Customs to enhance the capacity, facilities and modernisation of the Export Facilitation Centre, where export containers are inspected, in order to create a more efficient and exporter-friendly environment.
Attention was also drawn to developing a programme aimed at encouraging exporters across the country to enter the export sector. The Secretary to the President further emphasised the need to review the Temporary Import for Export Processing (TIEP) scheme currently operated by the Customs Industrial Facilitation Division and to introduce a programme to support small and medium-sized enterprises (SMEs) that have not yet engaged in export activities.
The meeting also explored the possibility of decentralising customs operations to support the expansion of the export sector, with particular attention given to establishing a Customs Export Centre in Jaffna.
Discussions were also held on removing barriers affecting exports conducted through e-commerce platforms. It was decided to hold further discussions with the Department of Posts on measures that could be taken jointly to streamline these processes.
Participants also discussed introducing digital systems to expedite document processing, thereby reducing both, time and costs, as well as implementing a risk-based assessment mechanism that would provide greater facilitation for low-risk exporters.
It was further decided that Sri Lanka Customs, the Sri Lanka Export Development Board (EDB) and other relevant institutions would meet monthly under the leadership of the Revenue Administration, Reforms and Modernisation Bureau of the Presidential Secretariat to review progress, identify challenges faced by exporters and discuss appropriate solutions.
The National Export Development Plan has been formulated in line with the national vision, “A Thriving Nation – A Beautiful Life”, with the objective of enhancing Sri Lanka’s export competitiveness and achieving an ambitious yet realistic export revenue target of USD 36 billion by 2030.
Director General of Customs Wimal Liyanagama, Chairman of the Sri Lanka Export Development Board (EDB) Mangala Wijesinghe, Additional Directors General of Sri Lanka Customs T. Loganathan and L.K.S.D.K. Arewatta, Director of the Sri Lanka Export Development Board Dr. Sanjeewa Rathnasekara, Director of the Revenue Administration, Reforms and Modernisation Bureau of the Presidential Secretariat W.L.C. Thilakasiri and senior officials from Sri Lanka Customs and the Sri Lanka Export Development Board were also present.
[PMD]
News
Military held land: Govt. trying to maintain balance between security and civilian needs
The NPP government is trying to maintain a balance between continuing demands for releasing north-east land held by the military and post-war security requirements, says Deputy Defence Minister Major General Aruna Jayasekera (Retd), who has undertaken a series of visits to the northern and eastern provinces in the recent past to explore ways and means of releasing the land, without compromising national security requirements.
Since the armed forces brought the war to a successful conclusion in May, 2009, releasing of both privately- and state-owned land began cautiously in October, 2009, and by now over 90 percent of both categories have been released. At the height of the war, before the launch of Eelam War IV, in August 2006, Jaffna peninsula had the largest concentration of troops assigned to four Divisions.
In the first week of June, Deputy Minister Jayasekera visited the Trincomalee District to ascertain the situation. The Defence Ministry said that the Deputy Minister had assessed the current status of such lands and received briefings from senior military officers and relevant officials on security and administrative aspects regarding the properties.
Following the field inspection, the Deputy Minister chaired a meeting at the Governor’s Secretariat Office where the discussion focused on what the Defence Ministry called a balanced and practical approach to address land-related issues, protect the livelihoods of the people, and ensure that national security requirements were properly managed.
Jayasekera, with a career spanning well over three decades, retired in November, 2019, after having last served as the Eastern Commander for about a year.
During his June visit, the Deputy Minister visited various security forces establishments, including the 22 Infantry Division.
A senior retired military official said that those who had been demanding that all security forces held land, both state- and privately-owned, be released, have conveniently forgotten that this was made possible due to the eradication of the LTTE.
The Deputy Defence Minister conducted a series of field visits in the Jaffna and Wanni regions to assess the security situation and operational commitments. According to the Defence Ministry, the Deputy Minister addressed senior tri forces personnel at the Security Forces Headquarters – Jaffna (SFHQ-J) and the Security Forces Headquarters – Wanni (SFHQ-Wanni).
The Deputy Minister chaired civil-military coordination meetings in the Mannar and Jaffna districts to the ongoing land ownership issues, fostering socio economic growth, and streamlining local infrastructure layout in close cooperation with the regional administrative mechanism. The Ministry said that the Deputy Minister inspected agricultural zones, private residences and public common areas, presently placed within the operational infrastructure of the Sri Lanka Navy across several locations, in Mullikulam, Silawathura, Talaimannar, Wankalapadu, and Pallimune.
Members of Parliament for the Vanni Electoral District, Selvam Adaikalanathan, Kader Masthan, Thurairasa Ravikaran and the District Secretary for Mannar were also present at the meeting where matters related to socio economic grievances, local infrastructure demands, and land rights of the local residents were central topic in the agenda.
The Deputy Minister of Defence chaired a second meeting at the Governor’s Office in Jaffna where the main focus was existing land issues in the districts of Vavuniya, Mannar, Mullaitivu, Kilinochchi, and Jaffna.
The Jaffna proceedings were co-chaired by the Minister of Fisheries, Aquatic and Ocean Resources and Chairman of the District Coordinating Committee for the Jaffna and Kilinochchi Districts Ramalingam Chandrasekar and Deputy Minister of Co-operative Development Upali Samarasinghe.
The Defence Ministry said that stability depended on striking an optimal balance between prioritising national security obligations and resolving outstanding issues related to both state owned and privately used lands. “We are implementing a transparent mechanism to swiftly transition designated lands back into the hands of local communities for housing, fishing, and agriculture.”
The participation of the Commander of the Army and the Commander of the Navy underscored the importance of the discussions held in the north.
In the Mannar region the focus was on lands, presently used by the Navy, in the areas of Mullikulam, Silawathura, Talaimannar, Wankalapadu, and Pallimunai.
Authoritative sources said that since the end of the war, the military had given up held areas and what remained occupied were essential for security purposes. The depletion of the area under direct control should be examined taking into consideration gradual overall reduction of combined security forces strength over the years. At the end of the war, the Army had approximately 205,000 officers and men, both regular and volunteer. That figure has been reduced to 150,000 to 160,000. In line with the government thinking the Army strength would be brought down to 100,000 by 2030, a plan first announced by President Ranil Wickremesinghe.
By Shamindra Ferdinando
News
Yoshitha granted bail, travel ban imposed
Colombo Chief Magistrate Lahiru de Silva yesterday granted bail to Yoshitha Rajapaksa, second son of former President Mahinda Rajapaksa, on three sureties of Rs. 5 million each, and imposed an overseas travel ban.
The Commission to Investigate Allegations of Bribery or Corruption (CIABOC) arrested Yoshitha yesterday morning when he called over to make a statement regarding an ongoing investigation into his recruitment to the Sri Lanka Navy and training at the UK Royal Naval Academy.
CIABOC said that the arrest had been made in connection with an investigation into the 2006 recruitment of cadet officers to the executive branch of the Sri Lanka Navy.
It has been alleged that individuals were recruited without meeting the required qualifications and state funds were used outside established procedures for their training at the Royal Naval Academy in the UK.
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