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CBSL approval not required for US-funded lending operations in SL

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HNB, JKH to disburse USD 4 mn

By Shamindra Ferdinando

Approval of the Central Bank of Sri Lanka (CBSL) was not required for the launch lending schemes here with overseas funding, a senior official said yesterday when he was asked whether the Hatton National Bank (HNB) and John Keells Holdings (JKH) had obtained CBSL approval for lending USD 4 mn to micro, small and medium-sized enterprises (MSMEs) in the food sector made available by the US.

 The US Embassy, in a statement, dated Dec. 29, called the USAID-funded lending operation an innovative supply chain facility meant to disburse capital through Keells Supermarkets and HNB. Asked whether regulatory authorities monitored such schemes, the official stressed that “money

lending is not a regulated activity though deposit taking from the public comes under the purview of the CBSL.”

According to the US Embassy, this facility would provide MSMEs with competitive fixed interest rate financing.  “The facility lent a total of USD 430,000 to eight suppliers in its first weeks of operations.  The partnership plans to support approximately 100 MSMEs to obtain USD 4 million worth of credit over six months,” the embassy said.

 The official said that current laws and regulations did not in any way hinder such lending operation. The statement quoted Gabriel Grau, the USAID/Sri Lanka and Maldives Mission Director as having said: “Sri Lankan enterprises face increasing pressures due to recent global supply chain disruptions, high energy costs, volatile inflation rates, and economic instability. This supply chain financing facility alleviates some of the pressures and enables MSMEs to optimize their working capital.”

 According to recent statements issued by the US embassy, WFP et al as well as Parliament, the USAID has provided funds for several initiatives ranging from fertilizer to awareness programmes for primary school children.

 Political sources told The Island that in the wake of the last presidential election in Nov 2019, the USAID had declared its intention to step up operations here.  The then President Gotabaya Rajapaksa in June 2021 discussed the status of USAID projects in Sri Lanka with Reed J. Aeschliman, senior official in charge of their Sri Lankan Office. They had agreed to accelerate the development projects, sources said, adding that the continuing crisis here has paved the way for accelerated interventions.



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‘Deshabandu is on SLC payroll’; Hesha tables documents 

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Ratnapura District SJB MP Hesha Withanage yesterday tabled several documents in Parliament to substantiate his allegations against Sri Lanka Cricket (SLC). He presented an Executive Committee meeting minute, claiming that according to it, payments to IGP Deshabandu Tennakoon had been approved.

The MP said that the SLC Executive Committee had appointed Tennakoon, the then Senior Deputy Inspector General (DIG) of the Western Province, as an Advisor to the Security Consultant of Sri Lanka Cricket.

The contract, effective from August 16, 2021, included a monthly allowance of Rs. 150,000, 200 litres of fuel per month, a Rs. 5,000 mobile phone allowance, a laptop, a mobile phone, and medical insurance, MP Withanage told Parliament.

The MP tabled the document in the House in response to SLC’s recent denial of his claims. The SLC had previously dismissed allegations that Tennakoon had been paid or provided with perks, calling them baseless and false.

The SLC denial came after Withanage, commencing the Committee Stage budget debate under the Head of Expenditure of the Ministry of Youth Affairs and Sports, claimed on Tuesday (18) that IGP Tennakoon had been on the payroll of SLC.

MP Withanage criticised the government, stating it had no intention of preventing the accused group from contesting the upcoming SLC election on 31 March. He also accused the current Sports Minister of supporting a corrupt faction within SLC and announced plans to take legal action over the matter.

“This denial by SLC is irrelevant,” Withanage said. “We have a copy of the report approved by the Executive Committee.”

By Saman Indrajith

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LG polls on 06 May

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R.M.A.L. Ratnayake

Election Commission (EC) Chairman R.M.A.L. Ratnayake yesterday announced that the Local Government (LG) elections would be held on 6 May 2025.The date was revealed during a special media briefing following the conclusion of the submission of nominations for LG polls.

Nominations for 336 LG institutions, which began on 17 March, were officially closed at 12:00 noon yesterday. Additionally, the deadline for placing deposits ended at midnight on 19 March.The EC said 17,296,330 persopns were eligible to vote in this year’s LG elections.

by Ranil Dharmasena

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Navy dives into depths off Colombo, where ocean whispers of history’s numerous wrecks 

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Two members of the diving team (pic courtesy SLN)

The Sri Lanka Navy conducted a successful shipwreck expedition from 10 to 17 March focusing on historically significant shipwrecks located in the sea area off the coast of Colombo.

The expedition was carried out to document the current state of numerous shipwrecks lying beneath the waves, off Colombo. The survey included the Coal Wreck, Chief Dragon Car Carrier, MV Astoria, MT Nilgiri, Thermopylae Sierra, MV Pecheur Breton, Taprobane East Wreck, SS Worcestershire, Toilet Barge, SS Perseus and some other unidentified wrecks, according to the Navy.

Navy divers explored a series of shipwrecks, including the historically significant SS Worcestershire and SS Perseus, both sunk during World War I. Beyond their historical value, the wrecks of the Chief Dragon Car Carrier and Thermopylae Sierra are now functioning as thriving artificial reefs, providing habitats for a variety of marine species.

A total of 14 diving officers and 15 diving sailors participated in this intensive shipwreck expedition. They used both atmospheric air and nitrox air mix as breathing agents, depending on depth and dive duration. This enhanced safety and efficiency, particularly for deeper and more complex dives.

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