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Sri Lankan rupee depreciates against USD, British pound and Indian rupee by more than 10%

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Food inflation recorded at 11.5 percent in August 2021

Given the cross currency exchange rate movements, the Sri Lankan rupee (LKR) depreciated against the US dollar by 10.1 percent, against the pound sterling (GBP) by 11.4 per cent and the Indian rupee by 10.3 per cent, during the year up to 03rd September 2021, the Weekly Economic Indicators report released by the Statistics Department of the Central Bank of Sri Lanka showed.

Referring to the Real Sector, the report said.” CCPI based headline inflation (Y-o-Y) increased to 6.0 per cent in August 2021 from 5.7 per cent in July 2021 due to monthly increases observed in prices of items in both Food and Non-food categories.”

“Food inflation (Y-o-Y) and Non-food inflation (Y-o-Y) recorded at 11.5 per cent and 3.5 per cent, respectively, in August 2021.”

“During the first half of 2021, domestic tea production increased notably in comparison to the corresponding period of the previous year owing to favourable weather conditions and prices.”

“Production of rubber also increased in response to high market prices while coconut production increased considerably due to the lagged effect of favourable weather conditions prevailed during latter part of 2020.”

“During the period under review (28.08.2021 to 03.09.2021), crude oil prices were on a largely upward trend. Prices were driven by supply concerns due to Hurricane Ida in the United States and on concerns of OPEC+ members regarding any further output increases amid the fourth wave of COVID-19 in some countries. Prices were also supported by favorable weekly employment data from the United States highlighting demand side recovery.”

“Overall, both Brent and WTI prices increased by US dollars 0.18 per barrel and US dollars 1.12 per barrel,

respectively, during the period,” the report said.

As for the Monetary Sector it said: “Weekly AWPR for the week ending 03rd September 2021 increased by 7 bps to 6.01 per cent compared to the previous week.”

“The reserve money increased compared to the previous week mainly due to the increase in deposits held by the

commercial banks with the Central Bank.”

“The total outstanding market liquidity was a deficit of Rs. 181.720 bn by the end of this week, compared to a surplus of Rs. 13.263 bn by the end of last week.”

“By 03rd September 2021, the All Share Price Index (ASPI) increased by 4.31 per cent to 9,316.65 points and the S&P

SL 20 Index increased by 4.47 per cent to 3,494.76 points, compared to the index values of last week.” the report said.

The Statistics Department noted that the gross official reserves were estimated at US dollars 2,805.9 million as at end July 2021.



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Sri Lanka betting its tourism future on cold, hard numbers

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“From Data to Decisions” initiative jointly backed by Australia’s Market Development Facility holds its panel discussion

National Airport Exit Survey tells quite a story

Australia’s role here is strategic, not charitable

In a quiet but significant shift, Sri Lanka’s tourism sector is moving beyond traditional destination marketing and instinct-based planning. The recent launch of the “From Data to Decisions” initiative jointly backed by Australia’s Market Development Facility and the Sri Lanka Tourism Development Authority, sent an unambiguous message: sentiment is out, statistics are in.

The initiative is anchored by a 12-month National Airport Exit Survey, a trove of data covering 16,000 travellers. The findings sketch a new traveller profile: nearly half are young (20–35), independent, and book online. Galle, Ella, and Sigiriya are the hotspots; women travellers outnumber men; and a promising 45% plan to return. This isn’t just trivia. It’s a strategic blueprint. If Sri Lanka Tourism listens, it can tailor everything from infrastructure to marketing, moving from guesswork to precision.

Tourists have a real sense of achievement after hiking the trail to Ella Rock

The keynote speaker, Deputy Minister Prof. Ruwan Ranasinghe called data “a vital pillar of tourism transformation.” Yet the unspoken truth is that Sri Lanka has long relied on generic appeals -beaches, heritage, smiles. In today’s crowded market, that’s no longer enough. As SLTDA Chairman Buddhika Hewawasam noted, this partnership is about “elevating how we collect, analyse, and use data.”

Australia’s role here is strategic, not charitable. By funding research and advocating for a Tourism Satellite Account, it is helping Sri Lanka build a tourism sector that is both sustainable and measurable. Australian High Commissioner Matthew Duckworth linked this support to “global standards of environmental protection” – a clear nod to the growing demand for green travel. This isn’t just aid; it’s influence through insight.

“The real test lies ahead,” a tourism expert told The Island. “Data is only as good as the decisions it drives. Will these insights overcome bureaucratic inertia? Will marketing budgets actually follow the evidence toward younger, independent, female travellers?,” he asked.

“The comprehensive report promised for early 2026 must move swiftly from recommendation to action. In an era where destinations are discovered on Instagram and planned with algorithms, intuition alone is a high-stakes gamble. This forum made one thing clear: Sri Lanka is finally building its future on what visitors actually do – not just what we hope they’ll do. The numbers are in. Now, the industry must dare to follow them,” he said.

By Sanath Nanayakkare

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New ATA Chair champions Asia’s small tea farmers, unveils ambitious agenda

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New Chairman of the Asia Tea Alliance (ATA), Nimal Udugampola

In his inaugural address as the new Chairman of the Asia Tea Alliance (ATA), Nimal Udugampola placed the region’s millions of smallholders at the core of the global tea industry’s future, asserting they are the “indispensable engine” of a sector that produces over 90% of the world’s tea.

Udugampola, who is also Chairman of Sri Lanka’s Tea Smallholdings Development Authority, used his speech at the 6th ATA Summit held in Colombo on Nov. 27 to declare that the prosperity of Asian tea is “entirely contingent” on the resilience of its small-scale farmers, who have historically been overlooked by premium global markets.

“In Sri Lanka, smallholders account for over 75% of our national production. Across Asia, millions of families maintain the quality and character of our regional teas,” he stated, accepting the chairmanship for the 2025-2027 term.

To empower this vital community, Udugampola unveiled a vision focused on Sustainability, Equity, and Digital Transformation. The strategic agenda includes:

Climate Resilience: Promoting climate-smart agriculture and regenerative farming to protect smallholdings from environmental disruption.

Digital Equity: Leveraging technology like blockchain to create farm-to-cup traceability, connecting smallholders directly with premium consumers and ensuring fair value.

Market Expansion: Driving innovation in tea products and marketing to attract younger consumers and enter non-traditional markets.

Standard Harmonization: Establishing common regional quality and sustainability standards to protect the “Asian Tea” brand and push for stable, fair pricing.

Linking the alliance’s goals to national ambition, Udugampola highlighted Sri Lanka’s target of producing 400 million kilograms of tea by 2030. He presented the country’s “Pivithuru Tea Initiative” as a model for other ATA nations, designed to achieve this through smallholder empowerment, digitalization, and aligned policy objectives.

By Sanath Nanayakkare

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Brandix recognised as Green Brand of Year at SLIM Awards 2025

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Brandix has championed best practices in the sphere of sustainable manufacturing over the years

Brandix Apparel Solutions was recognised as the Green Brand of the Year at the Sri Lanka Institute of Marketing (SLIM) Brand Excellence Awards 2025, taking home Silver, the highest award presented in the category this year.

The ‘Green Brand of the Year’ recognises the brand that drives measurable environmental impact through sustainable practices, climate-aligned goals and long-term commitment to protecting natural resources.

A pioneer in responsible apparel manufacturing for over two decades, Brandix has championed best practices in the sphere of sustainable manufacturing covering environmental, social, and governance aspects. The company built the world’s first Net Zero Carbon-certified apparel manufacturing facility (across Scope 1 and Scope 2) and meets over 60% of its energy requirement in Sri Lanka via renewable sources.

Head of ESG at Brandix, Nirmal Perera, said: “Being recognised as Green Brand of the Year is an encouraging milestone for our teams working across sustainability.”

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