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ISBs amounting to USD 10,000 mn issued by Yahapalana govt. ruined economy, says Mahinda

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2 years ago

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Mahinda

SLPP leader and former President Mahinda Rajapaksa, MP yesterday (20) alleged that USD 10,000 mn in new ISBs (International Sovereign Bonds) issued between 2015 and 2019 by the Yahapalana administration, comprising the UNP and the SLFP, had debilitated the economy.

Rajapaksa said that when he was voted out in January 2015, the outstanding ISB debt was only USD 5,000 mn. The Gotabaya Rajapaksa government ( 2020-2022) paid off USD 2,500 million in outstanding ISBs, which meant that only USD 2,500 million in ISBs now remained from his era.

The following is the text of the statement: Around 40 professional associations and trade unions representing vital sectors of the economy and the public services have been agitating for a reduction in income taxes for many months. In the meantime, the high tax burden has precipitated an exodus of educated and highly trained professionals from the country giving rise to a new crisis. Following increases in the VAT through the Budget for 2024, tax policy is set to become a major political issue in 2024.

The call to reduce taxes is based on solid economic principles. When taxes are low, both individuals and corporations have more money to spend and invest and this acts as a driver of the economy. Low taxes was a cornerstone of my government’s policy and it made a major contribution to the unbroken nine-year economic boom that this country experienced between 2006 and 2014. So as not to burden the people with taxes, my government of 2006-2014 restricted the overall year-on-year increase in government tax revenue to around Rs. 100 billion a year. Through careful economic management, my government reduced the debt to GDP ratio from 90% at the end of 2005 to 69% at the end of 2014 thus ensuring the feasibility of the low tax regime.

However, over the past several years there have been well-funded propaganda campaigns promoting a headlong and mindless opposition to everything, even remotely associated with the name ‘Rajapaksa,’ including the low tax policy. In order to blacken the very concept of low taxes, some even claimed that the Rajapaksa-led governments reduced taxes to help cronies. That is an outright lie. Tax exemptions can be granted only under laws like the Board of Investment Act and the Strategic Development Projects Act in order to attract investors for specified projects.

After 2015, the low tax regime was rejected in favour of a high tax regime. Unsurprisingly, Sri Lanka’s growth rate declined precipitously after 2015 ending up at 0.2 below zero by 2019. Due to bad economic management, the period from 2015 to 2019 saw an increase in taxes while at the same time experiencing a precipitous increase in foreign debt. When I was voted out in January 2015, the outstanding International Sovereign Bond debt was only USD 5,000 million. The Gotabaya Rajapaksa government of 2020-2022 paid off USD 2,500 in outstanding ISBs which means that only USD 2,500 million in ISBs now remains from my era.

Over USD 10,000 million in new International Sovereign Bonds were taken between 2015 and 2019. Hence we still have an outstanding ISB stock of USD 12,500 million. It was this USD 10,000 million in new ISBs taken between 2015 and 2019 that broke the back of our economy. When the Covid-19 pandemic struck Sri Lanka a few months after I became Prime Minister at the end of 2019, we wrote to the IMF in March 2020 asking for emergency assistance. The IMF wrote back saying that our debt levels disqualifies us from their emergency relief package.

They then proposed a raft of conditions that would qualify us for IMF assistance but those conditions would have made it impossible for us to face the Covid-19 threat in the manner that we did in 2020 and 2021. The present government is now implementing stringent conditions as part of an IMF programme. Thus one thing led to another, finally resulting in a situation where we now see top professionals holding multiple university degrees and professional qualifications agitating on the streets, demanding a reduction in taxes.

The SLPP which I lead is a part of the government. However the present Head of the Government and Head of State is the leader of a different political party with different policies. In a situation where this country was faced with complete anarchy, Parliament elected a President to serve the remainder of former President Gotabaya Rajapaksa’s term. The new President successfully restored law and order to the country. He is now directing government policy as the Executive President. At this moment, the primary duty of the SLPP is to ensure a stable government until the next national elections.

In the future, every member of the public should pay special attention to the tax policy and the past economic practices of the political party they vote for. As elections draw closer, once again we see attempts to hustle people blindly and unthinkingly in various directions through ramped up propaganda and social media hysteria. Whatever decision the people make at the next elections should be based on rational thinking, proper facts and correct data. We are still living through the consequences of January 2015 and this country cannot afford another mistake like that again.”


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Heat Index at Caution Level in the Northern, North-central, North-western, Western, Sabaragamuwa, Eastern and Southern provinces and in Monaragala district

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4 hours ago

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2026/04/19

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Warm Weather Advisory
Issued by the Natural Hazards Early Warning Centre
Issued at 3.30 p.m. on 18 April 2026, valid for 19 April 2026

The Heat index, the temperature felt on human body is likely to increase up to ‘Caution level’ at some places in the Northern, North-central, North-western, Western, Sabaragamuwa, Eastern
and Southern provinces and in Monaragala district.

The Heat Index Forecast is calculated by using relative humidity and maximum temperature and this is the condition that is felt on your body. This is not the forecast of maximum temperature. It is generated by the Department of Meteorology for the next day period and prepared by using global numerical weather prediction model data.


Effect of the heat index on human body is mentioned in the above table and it is prepared on the advice of the Ministry of Health and Indigenous Medical Services.

ACTION REQUIRED
Job sites: Stay hydrated and takes breaks in the shade as often as possible.
Indoors: Check up on the elderly and the sick.
Vehicles: Never leave children unattended.
Outdoors: Limit strenuous outdoor activities, find shade and stay hydrated.
Dress: Wear lightweight and white or light-colored clothing.

Note:
In addition, please refer to advisories issued by the Disaster Preparedness & Response Division, Ministry of Health in this regard as well. For further clarifications please contact 011-7446491.

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‘Agents of the devil’ seeking to block Easter probe, Cardinal warns

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4 hours ago

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2026/04/19

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Warning that “agents of the devil who wish to hide the truth behind a wall of political posturing” were attempting to obstruct investigations into the Easter Sunday terror attacks, the Catholic Church has called for intensified public support and prayer to ensure justice for victims.

In a message issued ahead of the seventh anniversary of the April 21, 2019 bombings, Colombo Archbishop Cardinal Malcolm Ranjith said there were ongoing efforts by various forces to derail credible inquiries into the coordinated attacks that claimed 278 lives and left nearly 500 injured.

The statement noted that many of those killed had been attending Easter Sunday Mass when suicide bombers struck churches, including St. Anthony’s Shrine, Kochchikade, St. Sebastian’s Church, Katuwapitiya, and Zion Church, Batticaloa, causing widespread devastation and long-term suffering among survivors.

Seven years on, the Caridnal said, critical questions remain unanswered, including who masterminded the attacks, their motives, and why places of worship were targeted on Christianity’s most sacred day.

Full text of Cardinal Malcolm Ranjith’s message: On 21st April 2026, the Church in Sri Lanka will be commemorating the 7th Anniversary of the Easter Sunday bomb blasts, which killed 278 of our fellow human beings and brethren in the faith in the most brutal fashion. Most of these people had come to our Churches for Easter Sunday Masses and prayer services. Many families were rendered destitute. Nearly 500 people were injured and some of them carry life long disabilities, suffering from the after effects of these blasts. St. Anthony’s Church Kochchikade and St. Sebastian’s Church Katuwapitiya of the Catholic community and the Zion Church in Batticaloa were, quasi totally destroyed. The economy of the country suffered immensely with untold problems affecting many families, ever since then. However much we try to console the families of these victims, it is something that we humans are unable to achieve as only the Lord can truly console them.

Besides, we still do not know who murdered these people and caused so much of suffering to many others, and why and for what purpose they chose our Churches on a day that was most sacred to us to organize these attacks. After repeated pleas by the Catholic Church, now at last, the incumbent government and the security establishment, seem to be holding a credible inquiry into this episode of mass murder in order to find out who was really behind it.

And there are many forces actively seeking to obstruct these inquiries and divert the direction of the inquiry in an aimless fashion in order to hide the truth behind these attacks. They are nothing but the agents of the devil who wish to hide the truth behind a wall of political posturing. We need to storm Heaven and ask the Lord to strengthen the hands of the investigators to find out what really happened and who was behind this mass murder as well as why it was done to innocent people who had nothing to do with politics.

Hence, I call upon all of you to kindly storm Heaven with your prayers calling upon the Lord to help us find out what really happened that most tragic day. And so, I am declaring Sunday, the 19th of April 2026, as a special day of prayer for this purpose. I shall be most grateful to every one of you, beloved brethren, if you could recite special prayers in all the parishes of the Archdiocese at Sunday Mass on that day and offer prayers at home too for the success of these investigations. The special prayer for truth and justice for the victims of the bomb attacks, already approved by the Catholic Bishops’ Conference, could also be recited. I call upon all our Catholic devotees to join us in this effort.

Let us stand together firmly behind the efforts to find out the truth. Let us not be deceived by attempts of different people to hide the truth or divert attention in all kinds of directions in order to confuse the public.

May the Blessed Mother, our Lady of Lanka, intercede for us in this most important matter.

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Nation to mark Easter Sunday attacks with countrywide observances, march for justice

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4 hours ago

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2026/04/19

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A series of solemn religious observances and commemorative events will be held on Tuesday, April 21, to mark the seventh anniversary of the Easter Sunday terror attacks, with ceremonies planned across the island and a public march for justice in Negombo.

The programme will begin with a coordinated observance in churches nationwide. At 8:45 a.m., funeral bells will toll, followed by a two-minute silence in memory of the victims. At 8:47 a.m., bells will toll again as the faithful light candles or oil lamps, with the morning observance concluding in a special prayer service at 8:50 a.m.

Major ceremonies are to be held at key locations affected by the 2019 attacks.

At St. Anthony’s Shrine, Kochchikade, the commemoration will be led by Malcolm Cardinal Ranjith and Bishop Anton Ranjith. Proceedings will commence at 8:15 a.m. with the arrival of ambassadors and dignitaries. Following the national moment of silence and prayer at 8:45 a.m., invitees will participate in a candle-lighting ceremony at 8:47 a.m. The programme from 9:10 a.m. will include interfaith reflections and addresses by the Apostolic Nuncio, a representative of the United Nations, and Cardinal Ranjith.

At St. Sebastian’s Church, Katuwapitiya, religious observances will be conducted under the guidance of Bishop Maxwell Silva and Bishop J. D. Anthony. Holy Mass is scheduled for 7:30 a.m., followed by the tolling of bells, a two-minute silence, and the lighting of candles at the memorial monument at 8:45 a.m.

The day’s commemorations will culminate in a Prayer March for Justice in Negombo. The march is set to begin at 4:00 p.m. from the Maris Stella grounds, with clergy and lay participants proceeding to St. Sebastian’s Church, where bishops and priests will conduct a Benediction service.The events are expected to draw large numbers of clergy, devotees, diplomats and members of the public, as the nation continues to remember the victims and call for truth and accountability.

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