News
Banks cannot provide US dollars even at Rs.345
by Sanath Nanayakkare
All licensed commercial banks in the country are still facing a huge crunch in foreign exchange inflow, although inward remittances can be converted to Sri Lanka rupees at a much higher rate since the Central Bank of Sri Lanka floated the Sri Lanka rupee.
This was revealed in a report released by the Lanka IOC.
It says that exporters are not coming forward for conversion of foreign currency, even at the rates higher than official ones.
Lanka IOC, a subsidiary of Indian Oil Corporation that operates retail petrol/diesel stations in Sri Lanka, says that the local currency has depreciated further and while the Central Bank’s TT selling rate is Rs.330 as of now, the licensed commercial banks are not able to provide US dollars even at the rate of Rs.345.
“Since the Central Bank floated the rupee on 7 March 2022, the local currency has been constantly devaluing against the dollar and currently hovering around Rs. 330 per US$, having shot up from the level of Rs. 203. This has made fuel import much costlier,” Lanka IOC notes.
The company says that rupee devaluation by more than 60% during the last one-month since 7th March 2022, compelled them to again increase its retail selling prices of gasoline by Rs 35/ltr and gasoil price by Rs 75/ltr.
“Even though international prices are stable since last one week amid the surge in COVID cases in China and preparation of the International Energy Agency for releases of oil reserves, the local currency depreciation is significantly increasing the cost of fuel imports”, Lanka IOC says.
LIOC Managing Director Manoj Gupta says, “Unstable currency rates and steep rupee depreciation has directly impacted the landed cost of gasoil and gasoline making them expensive by an equivalent amount per litre. Our current losses are exorbitantly high considering at current exchange rate and international prices leaving no other option but to increase the prices of gasoil and gasoline. In view of uncertainty in the global market coupled with Sri Lanka country risk, most of the suppliers are not participating in the tenders or quoting high premium for supply of gasoil and gasoline. Despite this price increase, there would still be heavy losses being suffered by the company. Lanka IOC has always remained committed towards the economic and social upliftment of Sri Lanka. We are very much disturbed and find it painful to pass on the impact of currency devaluation to our customers, but absolutely left with no option to ensure our sustenance and maintain an uninterrupted fuel supply.”
“We will review the selling prices on a periodic basis and would be more than happy to give some relief to our customers by reducing the prices as and when the situation improves and the currency appreciates and stabilises,” Gupta says.
News
Development projects can deliver results to the people more quickly when the political authority and the public service work together towards a common goal – PM
Prime Minister Dr. Harini Amarasuriya stated that development projects can deliver results to the people more quickly when the political authority and the public service work together towards a common, people-oriented objective.
The Prime Minister made these remarks while participating in a discussion held on Friday [September 18] at the Western Province Council Auditorium to review the progress of the development project to rehabilitate Rathmalana Kandawala Road and the drainage system on either side of the road, within the Dehiwala–Mount Lavinia Municipal Council limits in the Colombo District.
The project, which commenced on September 10, 2026, is scheduled to be completed before June 30, 2027. Implemented by the Provincial Road Development Authority (PRDA), the project includes the construction of a bridge at a cost of Rs. 64 million, the rehabilitation of the drainage system at a cost of Rs. 930 million, and the rehabilitation of the road at a cost of Rs. 115 million.
The Prime Minister also paid special attention to the progress of the responsibilities assigned to the Western Province Council, the Irrigation Department and the Ratmalana Divisional Secretariat in accordance with decisions taken at the previous committee meeting. Attention was also given to the current status of the plans being carried out by the Sri Lanka Land Development Corporation (SLLRDC), as well as the construction and maintenance activities being undertaken by the Provincial Road Development Authority (PRDA).
Commending the expedite and commendable progress of the project, the Prime Minister particularly appreciated the commitment demonstrated by officials of the relevant government institutions to work in close coordination with one another and in collaboration with the political authority.
The Prime Minister also emphasised the importance of taking measures well in advance to control flooding and minimise its impact on Colombo and several other districts in view of the rainy weather that may affect the Western Province during the latter part of this year.
The meeting was attended by the Chairman of the Colombo District Coordinating Committee and Member of Parliament Lakshman Nipuna Arachchi, Chairperson of the Ratmalana Divisional Coordinating Committee and Member of Parliament Samanmalee Gunasinghe, Chairman of the Roads Sub-Committee of the Colombo District Coordinating Committee Dewananda Suraweera, Mayor of the Dehiwala–Mount Lavinia Municipal Council Parakum Shantha, Chief Secretary of the Western Province K.G. Pradeep Pushpakumara, along with a number of government officials.
[Prime Minister’s Media Division]
News
Landslide Early Warnings issued to the Districts of Colombo, Galle, Kalutara, Kandy, Kegalle, Matara, Nuwara Eliya and Ratnapura
The National Buliding Research Organization has issued Landslide Early Warnings to the Districts of Colombo, Galle, Kalutara, Kandy, Kegalle, Matara, Nuwara Eliya and Ratnapura from 10:00 hrs on 20.09.2026 To 10:00 hrs on 21.09.2026
Accordingly,
LEVEL II (AMBER) landslide early warnings have been issued to the Divisional Secretaries Divisions and surrounding areas of Nagoda and Neluwa in the Galle district, Pasbage Korale in the Kandy district, Dehiowita and Yatiyanthota in the Kegalle district, Pitabeddara in the Matara district, Kotmale, Ambagamuwa and Norwood in the Nuwara Eliya district and Ayagama, Pelmadulla, Ratnapura and Eheliyagoda in the Ratnapura district.
LEVEL I (YELLOW) landslide early warnings have been issued to the Divisional Secretaries Divisions and surrounding areas of Seethawaka in the Colombo district, Palinda Nuwara and Bulathsinhala in the Kalutara district, Ganga Ihala Korale in the Kandy district, Deraniyagala in the Kegalle district, Kotapola in the Matara district and Ratnapura, Kalawana, Kuruwita and
Elapatha in the Ratnapura district.
News
Namal Rajapaksa Buddhist gambit fails, bail denied
MONETABRIEF – Namal Rajapaksa, son of Sri Lanka’s former leader Mahinda Rajapaksa, was denied bail by the Colombo chief magistrate despite pleading that he needed to attend important Buddhist rituals and travel to India.
The 40-year-old opposition MP’s lawyer, Shavindra Fernando, told the court that Namal had been invited to take part in a pinnacle-capping ceremony at the Pothgul Vihara temple on September 26.
“If my client fails to attend this event, it should be regarded as a disrespect shown to the chief incumbent of the temple,” Fernando said.
He added that Namal had also received an invitation to visit India from 27 September to 1 October and therefore sought bail.
However, he was remanded until September 29 in connection with allegations that he received kickbacks of $800,000 from the $2.3 billion Airbus aircraft purchase deal his father – Mahinda Rajapaksa – approved as president in 2013.
Deputy Solicitor General Janaka Bandara invoked the Buddha’s teachings in response to Namal’s lawyer, Fernando, saying that a judicial matter was far more important than attending a religious ceremony.
“According to what is being said here, the accused himself should have considered this while conducting dealings with Nimal Perera,” Bandara said, referring to the businessman who allegedly routed the bribe money to Namal.
Bandara quoted at length from a recent Supreme Court decision that expanded on the Buddha’s teachings, noting that when a ruler is righteous, the people follow; but when the ruler is dishonest, the citizenry follows that example too.
The 40-year-old MP was arrested on 4 September under the new anti-graft legislation parliament adopted unanimously in 2023.
Namal is primarily accused of accepting $800,000 out of a 1.4 euro million bribe that the then SriLankan Airlines chief executive, Kapila Chandrasena, is alleged to have received from Airbus after finalising a $2.3 billion purchase of aircraft in 2013.
Magistrate Asanga S. Bodaragama told the previous court hearing that he did not have the power to grant Namal bail because the Director-General of the Commission to Investigate Allegations of Bribery or Corruption (CIABOC) had issued a certificate under section 149 of the Act.
The provision stipulates that a magistrate may not grant bail when the CIABOC DG presents a certificate confirming that an offence under the Act has been committed.
The magistrate noted that he could grant bail only in “exceptional circumstances”, but there was no acceptable argument from the defence for him to do so.
A Buddhist temple festival and an invitation from India could not be considered good enough reasons to grant bail.
The businessman who acted as a conduit for the bribe – Nimal Perera – had turned state witness, providing details of how the money was given to Namal through two bank transfers in 2014 and 2015, the court was told.
Under the provisions of the August 2023 Act, Namal Rajapaksa could be held in custody until the conclusion of the trial, even though the magistrate remanded him until September 18, the maximum he could be incarcerated at a time.
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