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India extends USD 900 mn facilities as Sri Lanka struggles to repay loans

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As Sri Lanka is struggling to repay a US$ 500 million international sovereign bond (ISB) by the 18 January deadline whilst running short of reserves to purchase essential needs of the country, the Reserve Bank of India (RBI) will extend over US$ 900 million facilities to Sri Lanka, comprising Asian Clearing Union (ACU) settlement of over USD 500 million and currency Swap of USD 400 million.

Indian High Commissioner to Sri Lanka Gopal Baglay yesterday communicated this message to Sri Lanka’s Central Bank Governor Ajith Nivard Cabraal when the duo met at the latter’s office, according to the official Twitter handle of the CBSL Governor.

The Indian High Commissioner noted during the meeting that the steps were in line with India’s strong commitment to standing with Sri Lanka for its economic recovery and growth.

Governor of the Central Bank Ajith Nivard Cabraal tweeted yesterday that he had had a fruitful discussion with the Indian High Commissioner where he had confirmed a SAARC Swap by the Reserve Bank of India (RBI) and other forms of bilateral cooperation.

“Sri Lanka is at a decisive moment in raising overseas funds without going to the IMF so this signifies a positive development in mobilising funds from Sri Lanka’s friendly countries to tide over its current reserves crisis,” an analyst told The Island.

On 11 January, Vice President of ADB Shixin Chen met with the CBSL Governor where they had discussed ADB’s future programme in Sri Lanka, their Country Assistance Strategy and the upcoming ADB AGM to be held in Colombo in May 2022.

Asian Clearing Union (ACU) is a payment arrangement whereby the participants settle payments for intra-regional transactions among the participating central banks. A Swap is a contract through which two parties exchange the cash flows from two different financial instruments.



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The Colombo Plan celebrates its 75th Anniversary

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The 75th Anniversary Celebration of the Colombo Plan was held on Friday 03 July at the Galle Face Hotel in Colombo under the patronage of Prime Minister Dr. Harini Amarasuriya.

Delivering the keynote address, the Prime Minister stated that the Colombo Plan was established 75 years ago at a time when many Asian nations were embarking on the path to independence while confronting challenges of post-war reconstruction and economic development.

She noted that it is a matter of great pride for Sri Lanka that the organization bears the name ​“Colombo” and that the country continues to serve as its host.

The Prime Minister further noted that, as Sri Lanka pursues digital transformation, sustainable transport systems, and resilient supply chains, the Colombo Plan’s early investments in the country’s energy, agriculture, irrigation, and transport sectors continue to form an important part of the nation’s development foundation.

The Prime Minister also highlighted the significant contribution of the Colombo Plan’s Drug Advisory Programme in addressing the global drug menace, which has a profound impact on youth, public health, and social stability. The Prime Minister emphasized that, under the leadership of the President, the Government of Sri Lanka has accorded high priority to combating the drug menace and expressed appreciation for the continued support extended by the Colombo Plan towards these efforts.

The Prime Minister further stated that today’s world is far more complex than it was in 1951, with rapid technological transformation, climate challenges, and evolving geopolitical dynamics. In this context, the Prime Minister stressed that regional organizations such as the Colombo Plan must continue to evolve, becoming more adaptive and responsive to contemporary challenges. The Prime Minister also underscored the importance of strengthening cooperation in education and human capital development, while fostering greater awareness among younger generations of the value of international cooperation.

During the ceremony, a special tribute was paid to Dr. Benjamin P. Reyes in recognition of his distinguished service as Secretary-General of the Colombo Plan over the past four years. The newly appointed Secretary-General, Chulamee Chartsuwan, was also welcomed.

To commemorate the 75th anniversary, a special commemorative postage stamp and the publication titled ​“Colombo Plan 75 Years – 75 Stories” were officially launched.

The event was attended by Deputy Minister of Foreign Affairs and Foreign Employment Arun Hemachandra, Ambassador of Vietnam to Sri Lanka and Chairperson of the Colombo Plan Council  Trinh Thi Tam, along with many distinguished guests.

 


Prime Minister’s Media Division

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Out-of-control dengue epidemic spreads across Sri Lanka

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Dengue hyper-epidemic not yet under control, PHI Union warns

The Public Health Inspectors’ (PHI) Union of Sri Lanka on Friday said the country’s dengue hyper-epidemic situation has still not been brought under control, warning of a fresh rise in cases amid changing weather conditions.

Acting President of the PHI Union Upul Rohana said that although the situation has shown some improvement in areas where outbreaks were first reported, new clusters of infection are now emerging in other parts of the country.

He urged the public to maintain, and not reduce, current dengue prevention activities under any circumstances.

Rohana noted that light showers had begun in several areas under prevailing weather conditions, increasing the risk of mosquito breeding as vector density is already high.

He also identified unoccupied properties as a major challenge in dengue control, pointing out that houses belonging to persons working abroad, as well as newly purchased but uninhabited properties in urban areas, were contributing significantly to mosquito breeding sites.

Meanwhile, the National Dengue Control Unit (NDCU) said on Friday that dengue cases reported so far this year have exceeded 57,000, with 57,668 infections and 35 deaths recorded countrywide.

The NDCU said 1,253 new cases were reported within the past 24 hours alone.District-wise, Colombo has recorded 11,811 cases so far this year, while Gampaha has reported 11,443 cases, making them the two most affected districts.

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Yoshitha loses appeal in ‘Menik Malla’ case

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The Court of Appeal on Friday dismissed a revision application filed by Yoshitha Rajapaksa in connection with the money laundering case popularly known as the “Menik Malla” case.

The application challenged a ruling of the Colombo High Court, which had earlier rejected a preliminary objection raised by the defence during trial proceedings.

The judgment was delivered by a bench comprising Justices Amal Ranaraja and Sumudu Premachandra.

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