News
Dr Kohona: developing countries should covet China model
One-time Foreign Secretary and Sri Lanka’s ex-Ambassador to China, Dr. Palitha Kohona, drawing from his diplomatic experience, underscored the Chinese development model as a key reference for Asian economies. Dr. Kohona elaborated on China’s economic transformation, emphasising its state-led investments, long-term strategic planning, and infrastructure-driven growth. He pointed out that China’s focus on industrialisation, coupled with strategic global partnerships, has enabled its rapid ascent as the world’s second-largest economy.
Dr. Kohona, also a former top UN bureaucrat, said so at a discussion titled “Critical overview on the development models in emerging Asian superpowers” at Janaki Hotel, in Colombo, recently.
The former top diplomat also highlighted China’s governance structure, policy consistency, and emphasis on technological advancement, positioning the country as a model for other developing nations. Dr. Kohona stressed the need for Sri Lanka to carefully analyse and selectively adapt elements of the Chinese model that align with its own economic and social realities.
The discussion, arranged by the Nexus Research Group, brought together policymakers, academics, and industry professionals to analyse the economic strategies of rising Asian powers.
The discussion featured two distinguished speakers Dr. P Kohona and Shiran Ilanperuma, an expert in international trade and economic policy. Milinda Rajapaksa moderated the session while Prof. Charitha Herath, Chair of Nexus, provided the opening remarks, framing the debate around how emerging superpowers are shaping global economic dynamics.
Following Dr. Kohona’s address, Shiran Illankotuwa delivered a detailed presentation on China’s economic strengths, labour market strategies, and trade policies. He analysed China’s export-led growth, strong manufacturing sector, and dynamic trade relationships.
He pointed out that China’s ability to balance state intervention with market-driven policies has been a critical factor in its economic success. He also discussed how the country has leveraged low-cost labour, foreign direct investments, and global trade agreements to maintain its competitive edge.
The presentation further explored how China’s Belt and Road Initiative (BRI) and other economic policies have influenced trade flows and regional development, drawing both admiration and critique from international observers.
The discussion sparked a broader conversation on how Sri Lanka and other developing economies can learn from China’s model while tailoring strategies to their unique political and economic landscapes. Participants engaged in a dynamic Q&A session, debating the adaptability of China’s policies in smaller economies and the challenges of replicating such large-scale state-led development in different governance structures.
The event reinforced the importance of evidence-based policymaking and strategic economic planning for Sri Lanka’s future growth. As global economic dynamics continue to shift, forums like these serve as crucial platforms for knowledge exchange and policy innovation.
The Nexus Research Group is a Colombo-based think tank dedicated to public policy research and economic analysis. Its board of directors includes Prof. Charitha Herath, Dulma Kadaramage, Dr. Saranga Alahapperuma, and Karu Paranawitana. Nexus aims to foster informed debate on pressing policy issues and contribute to sustainable and inclusive development strategies in Sri Lanka and beyond.
News
Removing monk’s robes matter for Sangha to decide: Mahanayake Theras
The Mahanayaka Theras of all Nikayas have protested against Bodu Bala Sena (BBS) General Secretary Ven. Galagodaaththe Gnanasara Thera, who is serving a prison sentence for contempt of court, being produced before court in civilian attire.
In a letter to the Commissioner General of Prisons, the Mahanayaka Theras have said they were surprised and concerned by the decision to remove the monk’s robes.
The letter has been signed by Most Ven. Thibbotuwawe Sri Siddhartha Sumangala Thera of the Malwatu Chapter, Most Ven. Warakagoda Sri Gnanarathana Thera of the Asgiri Chapter, Most Ven. Karagoda-Uyangoda Maithri Murthi Thera of the Amarapura Maha Nikaya and Most Ven. Makulawe Sri Wimala Thera of the Ramanna Maha Nikaya.
The Mahanayaka Theras have said they respect the Constitution and the judicial process, but maintained that removing a monk’s robes or ending his status as a member of the Buddhist Order is a matter that should be decided by the Maha Sangha.
They have said the relevant Sangha Council has not determined that Ven. Gnanasara Thera committed a Parajika offence or any other offence warranting his removal from the Buddhist Order.
The Mahanayaka Theras have also referred to Regulation 550 of the Prison Standing Orders, which they say stipulates that convicted prisoners should not be taken to court in prison uniform and should be allowed to wear the type of clothing they normally wore before their conviction. In the case of a Buddhist monk, they have said, this means his monastic robes.
They also referred to the United Nations Standard Minimum Rules for the Treatment of Prisoners, which provide for prisoners taken outside prison to be allowed to wear their own clothing or other unobtrusive clothing.
The Mahanayaka Theras have requested the Commissioner General of Prisons to allow Ven. Gnanasara Thera to wear his robes when appearing in court and to maintain his status as a monk while he remains in prison.
Prisons authorities have said that the clothing decision was made under prison regulations, and the Prisons Department has stated that prisoners serving sentences of more than three years are required to wear prison-issued clothing when produced before court.
News
NDB fraud Rs 60mn more than reported
The Committee on Public Finance has said that the actual losses suffered by the NDB bank are much more than what was initially reported. When compared with the initial disclosure made by NDB on 6 April 2026, the reported amount of the fraud had increased by Rs. 0.4 billion, from Rs. 13.2 billion to Rs. 13.6 billion, the committee said.
When compared with the amount disclosed by NDB on 26 June 2026, based on the interim report dated 22 June 2026, the additional amount of fraud is Rs. 60 million.
The has committee issued the following statement: The Committee on Public Finance recently summoned officials of the Central Bank of Sri Lanka to Parliament to inquire into the financial irregularities identified at NDB Bank and the final audit report relating to the matter.
The Committee meeting, chaired by Member of Parliament Dr. Harsha de Silva, discussed irregularities identified in NDB Bank’s financial statements, shortcomings in the audit process, and the relevant audit reports.
The meeting was attended by Deputy Ministers Chathuranga Abeysinghe, Dr. Kaushalya Ariyaratne, and Nishantha Jayaweera, as well as Members of Parliament Attorney-at-Law Rauff Hakeem, Ravi Karunanayake, Ajith Agalakada, Nimal Palihena, Wijesiri Basnayake, M.K.M. Aslam, Champika Hettiarachchi, and Attorney-at-Law Lakmali Hemachandra.
The Committee also focused on the findings of the investigation conducted by the Sri Lanka Accounting and Auditing Standards Monitoring Board (SLAAMB), as well as the findings revealed through the investigation conducted by Deloitte Touche Tohmatsu India LLP. In particular, the Committee inquired into the failure of the external auditors to identify irregularities in NDB Bank’s financial statements.
The accountability of senior management with regard to corporate governance and risk management in relation to the financial irregularities was also discussed.
As a significant proportion of NDB Bank’s shares are held by institutions representing public and state funds, the Committee also considered the potential impact of such financial irregularities on public funds and the general public.
The Committee also discussed the progress made by LankaPay in establishing a centralized fraud monitoring system to prevent fraud within the financial system. The need to strengthen fraud monitoring systems at the individual bank level to monitor transactions carried out within each bank was also emphasized.
Accordingly, the following observations are included in the final audit report concerning the financial irregularities at NDB Bank:
1. The audit covers the period from 1 April 2016 to 31 March 2026. The audit report specifically identifies the financial impact arising from fraudulent transactions amounting to Rs. 13,639,664,684 (Rs. 13.6 billion).
2. According to the disclosure made on 29 September 2026, the financial impact arising from the fraudulent transactions is as follows:
· Rs. 1.5 billion for the period prior to 1 January 2025;
· Rs. 9.6 billion during 2025; and
· Rs. 2.5 billion for the quarter ended 31 March 2026.
3. Compared with the initial disclosure made by NDB on 6 April 2026, the reported amount of the fraud has increased by Rs. 0.4 billion, from Rs. 13.2 billion to Rs. 13.6 billion. Compared with the amount disclosed by NDB on 26 June 2026, based on the interim report dated 22 June 2026, the additional amount of fraud is Rs. 60 million.
4. The final audit report has also confirmed the previous disclosures that no customer accounts were affected as a result of the fraud incident.
5. The report has identified several governance failures at NDB relating to the processing of CEFT transactions, user-level activities within the Core Banking System, and the management of user credentials and access information. In addition, shortcomings have been identified in several operational areas, including transaction monitoring, daily account reconciliation, financial compliance, internal audit, branch network management, and operational risk management.
The audit report has made comprehensive recommendations to strengthen the control mechanisms, governance structures, and processes relating to the above-mentioned activities of the bank.
News
President orders review of laws on treatment of imprisoned monks
President Anura Kumara Dissanayake has ordered the formation of a committee to review the laws and regulations on how Buddhist monks serving prison sentences are treated, including the procedures that apply when they are taken out of prison.
He revealed this at a special meeting with Maha Sangha representatives held yesterday (8) at the Presidential Secretariat. The meeting was called after concerns were raised over how Ven. Galagoda Aththe Gnanasara Thera was treated when he was taken from prison to court.
The committee will recommend amendments to existing laws and, where needed, new prison standing orders and regulations. Its members will be drawn from the Attorney General’s Department, the Ministries of Justice, Public Administration, and Buddha Sasana, Religious and Cultural Affairs, and the Department of Prisons, including the Commissioner General of Prisons. It has been given two weeks to review the current legal provisions and submit its recommendations. The President added that any changes specific to Buddhist monks would be made in consultation with the Maha Sangha.
Outlining the legal background, the President said prison administration was governed by the Prisons Ordinance of 1877, along with the regulations and standing orders issued under it. That framework mostly addressed prisoners in general, he said, and had few provisions dealing specifically with Buddhist monks.
The meeting was attended by senior Maha Sangha members representing the Siyam, Amarapura and Ramanna Nikayas, along with Minister of Buddhasasana, Religious and Cultural Affairs Hiniduma Sunil Senevi and Minister of Justice Harshana Nanayakkara.
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