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BOI, Sino Lanka sign USD 5 mn agreement for mixed development project

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Dhiren Kundanmal receiving the copy an agreement from Dr. Harsha Cabral (pic courtesy BOI)

~Project to commence operations in early 2023

The Board of Investment (BOI) of Sri Lanka has entered into an agreement with Sino Lanka Group for its latest development – Sino Lanka Properties Pvt. Ltd., for a mixed development project at Rajagiriya. The agreement was signed by Board Members Dr. Harsha Cabral and Sanjay Kulatunga on behalf of the BOI and Dhiren Kundanmal, Director of Sino Lanka.

The following is the text of the statement issued by the BOI: “The USD 5.6 mn, 40,000 sq. ft building will house five floors of usable space consisting three floors of commercial and co-working space and two floors dedicated to hotel accommodation. The property will also include a rooftop restaurant and cafe, serving both in house and external guests. The proposed rooftop restaurant and cafe will be the first of its kind in Rajagiriya, which is anticipated to be a much-needed recreational space, given the recent urbanization of the city.

The development is the culmination of many years of experience in the property development and hospitality sectors in Sri Lanka with Sino Lanka Group actively operating in these areas through their investments in OZO Colombo, Kandy & Amari Galle. With over 250,000 commuters passing by the property daily en-route to Colombo, it will provide alternate working options closer to home, instead of traveling to the city, as it is aimed at providing operating capacity for any business to set up as a satellite office or head office. It will also be equipped with the latest technology to enable seamless integration and communication so that occupants can plug and play their devices or expand their operations. Each floor will be decked with bio metric security and the latest fire and health safety protection devices available. The co-working space will host up to 80 workstations including private offices, meeting rooms, shared desks and common areas.

The proposed hotel will be an upscale city hotel with 20 rooms and four spacious suites, catering to individuals, groups, business travelers and long-stay guests who prefer to stay away from the center of Colombo yet would still need to be located close to the capital.

Sino Lanka Pvt. Ltd, a family-owned enterprise headquartered in Sri Lanka is involved in multiple ventures including investments in hospitality, education, renewable energy and property development in Sri Lanka.”



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Sri Lanka, India caught in US-Iran ship crisis

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By Shamindra Ferdinando

Iran has sought the Indian intervention, at the highest level, to provide lifesaving support to the crews of empty Iranian vessels stranded just outside Sri Lanka’s 12-nautical mile territorial waters off Galle.

Sources familiar with the issue said that Iran had brought the developing situation to the attention of New Delhi as the crews of almost 20 vessels, included Indian nationals. Sources stressed that the group of vessels that unloaded crude oil a couple of months back were now stranded within Sri Lanka’s Exclusive Economic Zone (EEZ).

The US Navy torpedoed an unarmed Iran frigate, returning from India, on 04 March, 2026, about 19 nautical miles off the Galle coast. The unprovoked attack killed nearly 100 Iranians.

The Iranian Embassy in Colombo has inquired from the Indian High Commission of their response to the situation, sources said. The US has issued a global warning against providing food, water, medicine and other services to the Iranian vessels. The outcome of Iran-India talks on the issue at hand was not known, though sources asserted India may not throw its weight behind Iranian efforts to address the issue.

Responding to The Island queries, sources said both Sri Lanka and India were in a dilemma due to the US warning. India couldn’t ignore the plight of the Indian crew members and the Iranian vessels in its backyard.

The Sri Lankan government remains tight-lipped about the vessels stranded in its EEZ. Our efforts to elicit a response from relevant authorities were in vain. In addition to Indians, there are Bangladeshis among the crew members. Iran has explicitly stated the responsibilities of the countries concerned to provide assistance in terms of international law.

The Iranian position was articulated by its Ambassador to Sri Lanka, Dr.Alireza Delkhosh, recently. In a special statement, Ambassador Delkhosh emphasised that in terms of the Convention on the Law of the Sea (Article 98) as well as SOLAS and SAR

Conventions, Sri Lanka couldn’t refrain from providing the needs of the Iranian vessels stranded in its EEZ.

SLMC leader Rauff Hakeem lambasted the NPP government in Parliament for failing to provide assistance to the Iranian ships. The former Minister alleged that the government was simply carrying out dictates of the US. He strongly criticised the way Foreign Minister Vijitha Herath was handling the issue.

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Namal further remanded

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MP Namal Rajapaksa being brought to the Colombo Magistrate’s Court yesterday. Pic by Nishan S Priyantha

MP Namal Rajapaksa, who is in remand custody over the controversial Airbus deal, was further remanded until October 27 by the Colombo Magistrate’s Court yesterday (13).

Colombo Chief Magistrate Asanga S. Bodaragama made the order after considering submissions by officers of the Commission to Investigate Allegations of Bribery or Corruption and lawyers representing Rajapaksa.

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IMF projects Lankan economic growth to moderate amidst mounting global uncertainties

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Sri Lanka’s economy is expected to sustain its recovery over the next two years, although growth is projected to moderate amid mounting global uncertainties, according to the International Monetary Fund’s (IMF) latest World Economic Outlook.

In its World Economic Outlook 2026: Resilience Under Strain, Urgent Choices, the IMF projects Sri Lanka’s economy to expand by 4% in 2026, slowing to 3.7% in 2027, following estimated growth of 5% in 2025.

Inflation, meanwhile, is forecast to rise to 5.3% in 2026 and 5.4% in 2027, reversing the average deflation rate of 0.5% recorded in 2025.

Unemployment is expected to remain steady at 3.9% throughout the forecast period.

The projections come amid growing pressure on the global economy from the ongoing conflict in the Middle East, elevated energy prices, geopolitical tensions and trade disruptions.

Sri Lanka’s external position is also expected to weaken, with the current account balance projected to shift from a surplus of 1.6% of gross domestic product (GDP) in 2025 to deficits of 0.5% in 2026 and 0.3% in 2027.

The IMF’s outlook points to continued economic expansion in Sri Lanka, but with slower growth, rising inflation and a narrowing external surplus giving way to current account deficits over the forecast period.

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