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I can turn around Sri Lanka’s economy, PM tells Al Jazeera

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Prime Minister Ranil Wickremesinghe has told Al Jazeera that he is confident of turning around the economy – but cautioned it will be 18 months before stability returns.

“The year 2023 is going to be difficult, but by 2024 things should pick up,” Wickremesinghe told Al Jazeera recently in a wide-ranging interview at his official residence in the capital, Colombo.

The 73-year-old leader, who in May became prime minister for the sixth time, said that he took up the job under extraordinary circumstances.

“We had nearly two days without a government; things were getting out of hand,” he said, recalling the mass protests over shortages of fuel and electricity that forced Mahinda Rajapaksa, his predecessor and the brother of President Gotabaya Rajapaksa, to resign.

“I thought ‘the situation is bad, it’s your country, so you can’t be wondering whether you are going to succeed or not. You take it over and work to succeed,’” said Wickremesinghe, who met the president at the request of some MPs from the ruling Sri Lanka Podujana Peramuna party.

“I have confidence I can turn the economy around,” he said.

The island nation of 22 million has been brought to a virtual standstill due to acute shortages of fuel and essential items such as food and medicines, as the government ran out of foreign reserves to import commodities earlier this year.

Sri Lanka defaulted on its external debt in April and the usable foreign reserves are so low that it has struggled to cover its needs from the international market.

Wickremesinghe, who has been tasked with lifting the country out of its worst crisis since independence in 1948, said there will be petrol shortages until at least July 22, when the next shipment is expected.

“We are buying fuel either using Indian credit lines or the foreign exchanges that we get from remittances. It’s [remittances] a small amount, but nevertheless, sometimes we get a billion dollar[s] or a billion and a half. The rest of the reserves from what we got from the creditors have already been busted,” he said.

“It’s a big setback to the economy and caused lot of hardship to the people … We have been taking steps … especially to get gas, which will be available in the next few days,” he told Al Jazeera, adding supplies of diesel and furnace oil have also been made.

“The issue has been petrol … and that will take a bit of time.”

Furthermore, the prime minister added that a gas deal has been secured, with most of the funding coming from the World Bank, which will ensure supplies for the next four months.

“We seem to have come to an agreement with IMF at the staff level. And this is needed to stablise the economy,” Wickremesinghe said, adding he would reveal further details in parliament this week.

The prime minister also said his government was planning to bring in an interim budget, most probably in August.

Meanwhile, protesters have been camping at the Galle Face in Colombo since April and demanding the removal of President Gotabaya Rajapaksa, blaming him and his elder brother, Mahinda Rajapaksa, for bringing the economy to the ground.

They also call for the removal of the executive presidency as part of the push for political reforms.

Wickremesinghe said that he backed the protesters’ demand for a change in the political system.

“I do not think protesters have very many demands; they just want a change,” he said. “It’s not just about abolishing the executive presidency. How do you make the parliament strong?”

“Young people … feel that they have been left out by the present system and that’s a valid point that they have made and parties have to open up,” Wickremesinghe added. He said that young people need to be given a platform to get into politics so that they will be able to shape the future of the country.

“I have made some proposals regarding the change in parliamentary structure, and referred it to the former Speaker Karu Jayasuriya; his report is available, both will be tabled in parliament, most probably on Wednesday,” Wickremesinghe said.

The veteran leader, who is seen as having good ties with the West, said he had been trying to get the support of a diverse group of countries, including India, China, Japan, the United States and the United Kingdom, as well as from European Union member states.

“The main players are Japan, India and China. Japan has expressed interest in having Tokyo as a meeting place for a donor conference,” the prime minister said.

“This will be a unique conference,” he said on the participation of two members of the QUAD – India and Japan – and China, which runs the global infrastructure project the Belt and Road Initiative.

“So it will be a geopolitical conference of interest,” he said, adding that he has been talking to both India and China – regional rivals who have jostled to get a foothold in Sri Lanka.

“India has always been a major player. They can’t have instability at their doorstep. Instability in Sri Lanka is not in India’s interest,” Wickremesinghe said.

Some foreign policy analysts, however, have pointed out that China, Sri Lanka’s third-biggest lender, has been slow to respond to the crisis in the island nation. They say Beijing is upset because the Rajapaksa government cancelled infrastructure projects last year by Chinese companies.

But Wickremesinghe denied any tension in the ties with China.

“I have been talking to China ever since I took over. Contracts with Chinese companies were cancelled, but the previous government cancelled contracts with Japanese companies, MCC [Millennium Challenge Corporation] and contracts with India. So in a way, the former government has been even-handed,” he said, with a wry smile. MCC is a programme run by the US government through which it grants funds to countries for infrastructure projects.

The prime minister also commented on the recent controversy over the awarding of a wind energy project to the Indian conglomerate Adani Group.

“Adani has been here for a while. They actually came here first on this East Terminal issue where Japan and India got together, and Indians nominated Adani. But the then-government cancelled it. Unlike the Japanese who went home, Adani stayed. He [Adani] got hold of John Keells and got the West Terminal. So, he knows how to invest in Sri Lanka.

“He [Adani] doesn’t need to ask [Indian] Prime Minister [Narendra] Modi,” he said over allegations that Modi pressured Gotabaya Rajapaksa to award the wind energy project in favour of Adani, who is seen as close to the Indian prime minister.

“I have seen the proposal [by Adani] and it is a good proposal, I must say. They will invest $500m. It will be a part of exporting energy to India. That’s good because we have so much power,” Wickremesinghe said.

United Nations agencies, including the World Food Programme, say 5.7 million Sri Lankans need humanitarian assistance, with 4.9 million facing food insecurity.

Wickremesinghe admitted there has been a drop in nutrition standards and said his government has set up a food security programme.

“We plan to allocate about rupees 200 billion [$560m] from the interim budget for welfare. We have already set aside money. I hope that will be enough with the food programme we are planning.

“I don’t want anyone to starve. People have already started some community kitchens in Colombo city, and this can spread. But we are taking steps so that no one goes hungry.”

Wickremesinghe said he planned to make Sri Lanka self-sufficient in terms of food from 2023 onward, amid fears of a global food crisis next year as the war in Ukraine grinds on.

He said the cultivation seasons from November [2021] to January-February 2022 were a failure because Sri Lanka had no fertiliser – a shortage that also marred the June-to-September season.

“We are going all out to get sufficient funds so we can start the next season that starts from October-November to about January-February 2023. We need about $500-600m. Once we get the fertiliser, seeds and other chemicals, and if there is no drought, then we will be self-sufficient in food from 2023,” he said.



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Navy seizes an Indian fishing trawler poaching in Sri Lankan waters north of Talaimannar

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During an operation conducted in the wee hours of Tuesday (23 Dec 25), the Sri Lanka Navy seized an Indian fishing trawler  and apprehended 12 Indian fishermen, while they were poaching in Sri Lankan waters north of Talaimannar.

Recognizing the detrimental effects of poaching on marine resources and the livelihoods of local fishing communities, the Sri Lanka Navy continues to conduct regular operations as
proactive measures to deter such activities. These efforts underscore the collective robust approach steadfast commitment to safeguarding the nation’s marine ecosystems while ensuring the economic security and wellbeing of its citizens.

The fishing trawler along with the fishermen held in this operation was handed over to the Fisheries Inspector of Mannar for onward legal proceedings.

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India’s External Affairs Minister meets Sri Lanka PM

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India’s External Affairs Minister, Dr. Subramaniam Jaishankar, met with the Prime Minister of Sri Lanka, Dr. Harini Amarasuriya, on 23 December at Temple Trees, during his visit to Sri Lanka as the Special Envoy of Indian Prime Minister Shri Narendra Modi.

The meeting took place as part of the official visit aimed at holding discussions with Sri Lanka’s top leadership, at a time when the nation commenced reconstruction efforts following the devastation caused by Cyclone Ditwah.

During the discussions, the Minister of External Affairs of India reaffirmed readiness to extend support for Sri Lanka, including assistance in rebuilding railways, bridges, and strengthening of the agricultural sector in the country. He also highlighted the importance of having effective systems in place to respond to disaster situations, supported by strong legislative, administrative, and institutional frameworks. Both sides reviewed ongoing relief efforts and explored avenues to further strengthen bilateral cooperation in disaster response and recovery.

The Prime Minister commended the Government of India for the continued support, noting that the recovery process following the devastation caused by Cyclone Ditwah include beyond immediate relief efforts to long-term measures such as resettlement, and reconstruction of habilitation and infrastructure.

The Prime Minister further stated that steps have been taken to reopen schools as part of the process of restoring normalcy, with close monitoring in place. The Prime Minister emphasized the need to ensure stability, reduce vulnerability, and strengthen protection mechanisms highlighting the solidarity of the people, their strong spirit of volunteerism, and collective action demonstrated during the emergency situation.

The event was attended by the High Commissioner of India Santosh Jha, Additional Secretary (IOR), MEA  Puneet Agrawal, Joint Secretary (EAMO), MEA  Sandeep Kumar Bayyapu, Deputy High Commissioner Dr. Satyanjal Pandey, and representing Sri Lankan delegation, Secretary to the Prime Minister  Pradeep Saputhanthri, Additional Secretary to the Prime minister Ms.Sagarika Bogahawatta, Director General (South Asia), Ministry of Foreign Affairs Samantha Pathirana, Deputy Director, South Asia Division, Ministry of Foreign Affairs Ms.Diana Perera.

[Prime minister’s media division]

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Sri Lanka’s coastline faces unfolding catastrophe: Expert

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Sri Lanka is standing on the edge of a coastal catastrophe, with the nation’s lifeline rapidly eroding under the combined assault of climate change, reckless development and weak compliance, Director General of the Department of Coast Conservation and Coastal Resource Management (DCC&CRM) Dr. Terney Pradeep Kumara has warned.

“This is no longer an environmental warning we can afford to ignore. The crisis is already unfolding before our eyes,” Dr. Kumara told The Island, cautioning that the degradation of Sri Lanka’s 1,620-kilometre coastline has reached a point where delayed action could trigger irreversible damage to ecosystems, livelihoods and national security.

He said accelerating coastal erosion, rising sea levels, saltwater intrusion and the collapse of natural barriers, such as coral reefs and mangroves, are placing entire coastal communities at risk. “When mangroves disappear and reefs are destroyed, villages lose their first line of defence. What follows are floods, loss of homes, declining fisheries and forced displacement,” he said.

Dr. Kumara stressed that the coastline is not merely a development frontier but the backbone of Sri Lanka’s economy and cultural identity. “More than half of our tourism assets, fisheries and key infrastructure are concentrated along the coast.

If the coast fails, the economy will feel the shock immediately,” he warned.

Condemning unregulated construction, illegal sand mining and environmentally blind infrastructure projects, he said short-term economic interests are pushing the coastline towards collapse. “We cannot keep fixing one eroding beach while creating three new erosion sites elsewhere. That is not management—it is destruction,” he said, calling for science-driven, ecosystem-based solutions instead of politically convenient quick fixes.

The Director General said the Department is intensifying enforcement and shifting towards integrated coastal zone management, but warned that laws alone will not save the coast. “This is a shared responsibility. Policymakers, developers, local authorities and the public must understand that every illegal structure, every destroyed mangrove, weakens the island’s natural shield,” he added.

With climate change intensifying storms and sea surges, Dr. Kumara warned that Sri Lanka’s vulnerability will only worsen without urgent, coordinated national action. “The sea has shaped this nation’s history and protected it for centuries. If we fail to protect the coast today, we will be remembered as the generation that allowed the island itself to be slowly eaten away,” he went on to say.

By Ifham Nizam

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