Business
Ranil recalls how India overtook Sri Lanka in economic reforms journey while latter was hesitant at policy wheel
By Sanath Nanayakkare
During the Atal Bihari Vajpayee Memorial Lecture delivered by former president Ranil Wickremesinghe in India recently, he recalled that his first visit to India was as a young boy of 18 years to Chennai to sit for the London GCE A-level Examination — as was the practice in Sri Lanka at the time.
Referring to multiple interactions with Indian leaders over the decades which started in his role as an assistant to former president J.R. Jayawardene, he said,” When you have been in politics as long as I have, you end up knowing everyone – at some point or the other.”
The following are a few excerpts from his speech.
“I have also been an eyewitness to the pivotal and sweeping economic metamorphosis of India from the late 1990s onwards.”
“As you may recall, Sri Lanka was a forerunner in instituting an open economy in South Asia – as far back as in 1977. By 1989, as Minister of Industries, I had brought in the 2nd Generation Economic Reforms in the country, which included Sri Lanka’s Strategy for Industrialization. Not long after, in 1991, India’s first Generation of Economic Reforms were introduced by Prime Minister Narasimha Rao, whom I had known from the early 1980s, since he was my counterpart in India when I was the Minister of Education.”
“Dr. Manmohan Singh’s first budget speech as Finance Minister in Narasimha Rao’s government changed the course of Indian history. Without him, there would not have been any economic reforms in India, and without those reforms, there would not have been a modern India.”
“Indo-Sri Lank economic cooperation moves never kicked off as envisioned due to protests by certain political parties and trade unions in Sri Lanka.”
“However, the calamity of Covid-19 and the consequential economic crisis in Sri Lanka showed India at its best. At the most crucial moment when Sri Lanka declared bankruptcy and had only a few hundred million dollars in reserves, India valiantly stepped up to help us.
“The Sri Lankan people could not have survived without the 4 billion US dollars of financing received from India through various credit lines. It was India’s Neighborhood First Policy – in practice – that benefited Sri Lanka. India was followed by Bangladesh with a loan of US$200 million.”
“Furthermore, India, as a Co-Chair of the Official Creditors Committee, gave us valuable help. All this vindicated my stand on closer economic cooperation with India, including improving connectivity in key sectors. By then, it was clear to most in Sri Lanka that recovery from bankruptcy and fast growth could be achieved only through closer economic collaboration with India. In July 2023, PM Modi and I announced the “Promoting connectivity, catalyzing prosperity: India-Sri Lanka Partnership Vision.”
“The strategy in these statements is to enhance Sri Lanka’s economic development by coupling our economic recovery to India’s sustained and swift economic growth and technological advancement. It is expected that by 2040, India would be the third-largest economic power in the world. By then, Tamil Nadu’s GDP would have reached US$1 trillion. This is the powerhouse to which Sri Lanka has to connect as a nation. All this will establish larger markets for Sri Lankan exports and create two new economic sectors which are expected to be fast-growing. Establishing grid interconnectivity — thereby enabling Sri Lanka’s potential for surplus renewable energy to engage in trading with India and Bangladesh.”
“In the context of maritime and air connectivity – in addition to India as a global economic power, Indonesia will also be among the top 10 in time to come with Bangladesh following closely behind if all goes well.”
“This will lead to an explosion of trade in the Bay of Bengal area. As noted before, if Sri Lanka positions itself as a regional logistic hub, we can become a beneficiary of these developments in the region.”
Thus, the two governments must finalize the outstanding issues of the strategy within a short time frame and agree on the modalities to implement these proposals. Today, it is only fitting that we witnessed the conclusion of the talks on economic cooperation on Vajpayeeji’s birth century.
During his speech, Wickremesinghe said that Atal Bihari Vajpayeeji had an instinctive understanding of the nation-building exercise and the need to maintain the unity of India’s diverse peoples.
Demonstrating its commitment to supporting the nation’s next phase of economic transformation, Commercial Bank of Ceylon has become one of the first banks in Sri Lanka to enter into an agreement to establish a fully-fledged branch at Port City Colombo, marking a significant step in the Bank’s strategic expansion into the country’s emerging international financial hub.
The agreement was signed by Sanath Manatunge, Managing Director/CEO of Commercial Bank, and Xiong Hongfeng, Managing Director of CHEC Port City Colombo (Pvt) Ltd. The partnership further reinforces Commercial Bank’s position at the forefront of Sri Lanka’s evolving financial landscape.
The proposed branch will function as a fully-fledged banking branch, offering a full spectrum of products and services tailored to the needs of corporates, investors, businesses and retail customers operating within the Port City Colombo ecosystem. These will include digital banking facilities, trade services, foreign currency transactions, corporate banking solutions, deposits, lending, card services and remittance facilities.
By establishing a presence within Port City Colombo, the Bank said it aims to further strengthen its ability to support cross-border business and investment flows while positioning itself to meet the sophisticated requirements of global investors, multinational corporates and high-net-worth individuals expected to operate within the Special Economic Zone.
Commenting on this ground breaking initiative, Sanath Manatunge, Managing Director/CEO of Commercial Bank said the Bank’s decision to establish a fully-fledged branch within Port City Colombo reflects both its long-term confidence in the project and its readiness to support the evolving needs of a globally integrated financial ecosystem.
“As Sri Lanka’s largest private sector bank with a strong track record in serving corporates, international clients and high-value businesses, we see Port City Colombo as a pivotal development in the country’s economic future,” he said. “Our presence within this Special Economic Zone will enable us to seamlessly support cross-border transactions, facilitate international trade and investment, and deliver world-class banking solutions backed by advanced digital capabilities. Being one of the first banks to formalise plans for a full-service branch within Port City Colombo reaffirms our role as a pioneer in driving financial innovation and supporting national development.”
A 269-hectare extension of Sri Lanka’s central business district, Port City Colombo is being developed as a multi-service Special Economic Zone designed to serve as a regional financial centre, business and lifestyle hub. One of the largest public-private partnership projects in the country, it is envisioned as a catalyst for high-value investments, underpinned by advanced infrastructure, cutting-edge technology and a progressive regulatory framework.
“Our role as master developer goes beyond building the city itself. It is about creating the foundations for a functioning international business and financial hub,” said Mr Xiong Hongfeng, Managing Director of CHEC Port City Colombo (Pvt) Ltd. “The establishment of institutions such as Commercial Bank within Port City Colombo is an important part of that process, because it brings real operational depth and credibility into the ecosystem from an early stage. It reflects the broader momentum behind the project and the growing shift towards a more globally connected, investment-driven economy in Sri Lanka.”
Sri Lanka’s renowned specialty tea brand “Singharaja Wiry Tips,” produced by Lumbini Tea Valley Ceylon, has won two major accolades at the prestigious “The Leafies International Tea Awards” held recently at Fortnum and Mason in the United Kingdom.
The award-winning low-grown Ceylon tea secured the titles of “Best Ceylon Black Tea” and the overall “Best of All Black Teas,” emerging as the top black tea entered at the international competition.
With these latest honours, “Singharaja Wiry Tips” has now earned its 43rd and 44th international awards, further strengthening its reputation as one of the world’s most highly awarded black teas.
Classified as FBOPF EX SP (Flowery Broken Orange Pekoe Fannings Extra Special), the tea is named after its distinctive golden-tipped wiry leaves and unique flavour profile derived from the ecosystem surrounding the UNESCO World Heritage-listed Singharaja Rainforest, which borders the Lumbini plantation.
Lumbini Tea Valley’s latest innovation, “Lumbini Screw Buds,” also received high commendation at this year’s competition, highlighting the company’s continued excellence in producing premium Ceylon teas.
Chairman and Managing Director Chaminda Jayawardena, who accepted the awards in London, credited the achievement to the dedication of the Lumbini workforce and the support of nearly 1,800 tea farmers supplying high-quality green leaf harvested using the traditional “two leaves and a bud” method.
by SK Samaranayake
AIA Insurance Lanka marked its annual Company Conference and awards ceremony in Colombo recently, celebrating employee performance under the theme ‘Rising to the Top.’
Held at Cinnamon Life at City of Dreams, the event brought together staff from across the organisation for an evening of recognition, reflection and entertainment, underscoring the insurer’s emphasis on growth and internal excellence.
The ceremony was formally inaugurated with a curtain raiser unveiling the theme ‘Rising to the Top,’ symbolising the company’s focus on continuous improvement and upward mobility.
Addressing the gathering, Director and Chief Executive Officer Chathuri Munaweera outlined the company’s strategic direction, business performance and future ambitions, reaffirming its commitment to strengthening market position and workforce capability.
The awards segment honoured both individual and team achievements across multiple categories. Nine employees received the CEO’s Special Awards for exceptional contributions, while 217 winners were recognised under the AIA Essentials Team Awards for collaboration and collective performance.
Elite sales performance was acknowledged through Top of the Table (TOT) and Court of the Table (COT) honours, followed by recognition for Financial Planning Executives who achieved Million Dollar Round Table (MDRT) status.
Organisers said the awards reflected a culture of shared success and sustained professional excellence within the organisation.
The evening concluded with stage performances by employees and guest artists, adding a celebratory note to the event as AIA Insurance Lanka reaffirmed its focus on performance-driven growth.
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