Business
‘New CBSL Act set to have balanced impact on all sectors’
by Sanath Nanayakkare
The dominance of the fiscal policy used by the government over the Monetary Policy of the Central Bank is set to wax and wane under the new Central Bank Act, creating a more balanced and positive impact on all sectors of the economy , Central Bank Governor Dr. Nandalal Weerasinghe said in Colombo recently.
The Governor made this remark on July 21 while delivering the keynote speech at the CFA Society Sri Lanka CEO Forum.
“The new Central Bank Act which was passed in parliament recently will ensure the Central Bank’s mandate to maintain domestic price stability, financial stability and greater accountability to the general public of the country thanks to the provisions that establish the independence of the Central Bank. According to its provisions, whatever we do, we are accountable to the public, to the parliament and to the Cabinet. The new law empowers the Central Bank to implement flexible inflation targeting. And that framework will stay on course irrespective of the administration in power or whoever happens to be on the Monetary Board of the Central Bank. This will ensure predictability and stability of the monetary policy framework. It will also help negate the fiscal dominance on Monetary Policy,” he said.
“With the new law, the Secretary to the Treasury is moving out of the Monetary Board, creating conditions for a much more representative Monetary Board. When the Secretary to the Treasury is sitting on the Monetary Board obviously his mandate is to reduce borrowing costs for the government side by reducing the cost of financing, and this is in conflict with the Monetary Policy,” he said.
“Further, the Central Bank by law, engaged in monetary financing or so-called money printing as it was one of the instruments the Central Bank used over many years, and very heavily within the past two years to facilitate the fiscal policy and government spending. Now it is prohibited under the new Central Bank Act barring in extreme circumstances, subject to approval of parliament. When the fiscal policy’s objectives override, inevitably the Monetary Policy is tainted.” he noted.
The Governor emphasized the fact that Monetary Policy needs to encompass all sectors of the country and not just government’s public finance.
“Thus the new Act enables a welcome separation while having good coordination between the Fiscal Policy and Monetary Policy. Although there is no Treasury Secretary sitting on the Monetary Board now, there will be coordination between Fiscal and Monetary policies through a Coordinating Council, which is an embedded institutional structure in the new law,” he pointed out.
Referring to the appointments of the Central Bank Governor, members of the Monetary Board and the Governing Board, he said,” The new law stipulates the mandatory suitability of the appointees and checks and balances which the Minister of Finance recommends. Subsequently those appointments recommended by the Minister of Finance need to go through the Constitutional Council of bipartisan consensus. Thus the members for these posts will be made for fixed terms regardless of administration changes. Thus there are clauses in the new Act to consolidate the independence of the Central Bank which is a favourable outcome for all sectors in the country,” he said.
Referring to the recent debate in parliament over the draft bill of the Central Bank, the Governor said, “On the whole, it was a good debate although it was obvious that some members of parliament who took part in it, had not read the bill’s provisions.”
Business
SLTDA launches NTSP campaign to elevate national tourism quality and standards
by Claude Gunasekera
The Sri Lanka Tourism Development Authority (SLTDA) officially launched its nationwide capacity-building campaign, “Grow your Tourism Business with National Tourism Skilling Programme (NTSP),” August 31, from the scenic regional hub of Ella. Directed under the leadership of the Tourism Deputy Minister, Prof. Ruwan Ranasinghe, the comprehensive initiative aims to transform micro, small, and medium enterprises (MSMEs) by accelerating their digital readiness and business formalization across the local hospitality ecosystem.
The entire islandwide operation is under the direct coordination of Ms. Tharanga Rupasinghe, the SLTDA Director of Standards and Quality Assurance, ensuring that all rural operators align seamlessly with international hospitality standards. By utilizing the framework of the NTSP, the campaign focuses on delivering essential digital payment tools, modern online marketing insights, and compliance frameworks directly to village-level enterprises, handcraft artisans, and independent tour operators. Speaking at the launch event in Ella, Tourism Deputy Minister Prof. Ruwan Ranasinghe emphasised that sustainable growth in the travel sector relies heavily on empowering smaller stakeholders to become resilient, data-driven participants in the modern market. “True economic resilience in our tourism sector cannot be achieved through large-scale infrastructure alone, but must be built from the ground up by transforming our local communities and regional MSMEs into direct, digitally enabled beneficiaries of global travel traffic,” Prof. Ranasinghe noted. Through this synchronized, localized training approach, the SLTDA intends to systematically protect cultural heritage while elevating the service quality benchmarks of regional travel hotspots nationwide.
Regional hospitality groups, led by the Ella Tourism Association, have strongly welcomed the launch of the SLTDA national skilling campaign, calling it a vital step toward safeguarding the destination’s international reputation. Local operators noted that rapid commercial growth in the Uva Province has highlighted an urgent need for structural standardization, making the arrival of the National Tourism Skilling Programme (NTSP) highly timely. The grassroots response focused heavily on the benefits of formalization and digital integration for the region’s diverse service sector. The Ella Homestay Owners Collective praised the focus on digital payment tools, noting that transition support will help smaller vendors capture direct bookings and reduce their reliance on third-party booking commissions.
The Uva Tuk-Tuk and Adventure Guides Association highlighted that the safety and compliance training will build trust with high-spending international travelers, effectively raising service quality benchmarks across the town. Local association leaders emphasized that having Ms. Tharanga Rupasinghe, SLTDA Director of Standards and Quality Assurance, directly coordinate the field training ensures the program addresses practical, local challenges rather than just theoretical rules. Following the initial rollout, regional committees have pledged to work alongside the SLTDA to ensure that even the smallest village artisans and micro-enterprises achieve official registration, positioning Ella as a model hub for high-quality, community-driven sustainable tourism.
Business
Sri Lanka–Indonesia Business Council holds 3rd Annual General Meeting
The Sri Lanka–Indonesia Business Council of The Ceylon Chamber of Commerce held its 3rd Annual General Meeting recently, bringing together Council members and key stakeholders to review the Council’s activities and priorities for the year ahead. The AGM was graced by Dewi Gustina Tobing, Ambassador of Indonesia to Sri Lanka and Patron of the Council
Delivering her address, Dewi Gustina Tobing, Ambassador of Indonesia to Sri Lanka, provided a comprehensive overview of Indonesia’s political and economic landscape, highlighting the country’s focus on promoting economic independence, strengthening sectoral resilience, improving public welfare, and facilitating both inbound and outbound investment.
Re-elected as President of the Council for 2026/27, Sheamalee Wickramasingha, Chairman / Group Managing Director of Ceylon Biscuits Ltd. acknowledged the instrumental role played by the Ambassador in the re-establishment of the Council and reflected on the Council’s key achievements during the past year. She highlighted the successful Sri Lanka–Indonesia Business Delegation to Indonesia, which provided valuable opportunities for Sri Lankan businesses to engage with Indonesian counterparts and explore avenues for commercial cooperation.
Business
LAUGFS Supermarkets opens 46th outlet in Kotahena
LAUGFS Supermarkets has further strengthened its growing retail presence with the opening of its 46th outlet at No. 78, K.B. Christy Perera Mawatha, Kotahena. The new outlet operates 24 hours a day, offering customers a wide range of products together with bakery and hot food options, providing greater convenience and accessibility to the surrounding community.
The new Kotahena outlet further expands LAUGFS Supermarkets’ growing network and reflects the Group’s continued focus on strengthening its presence in strategic locations across the country. The opening ceremony was attended by the Group Chairman, Group Executive Vice Chairman, Acting Group Managing Director/Group Executive Director and senior management.
Commenting on the opening, the Sector Managing Director/CEO – Retail, Niroshan De Silva, said, “The opening of our 46th outlet reflects the dedication, teamwork and determination of our people, who have worked exceptionally hard to bring this outlet together. The new Kotahena outlet is designed to offer customers greater convenience, with an inbuilt bakery and hot food facility that provides freshly prepared food alongside our wide range of products, all under one roof. Our focus is to ensure that every LAUGFS Supermarket operates to the highest standards and consistently delivers quality, convenience and service excellence to our customers.”
The opening of the Kotahena outlet marks another significant milestone in LAUGFS Supermarkets’ ongoing expansion, bringing its products and services closer to more customers while further enhancing its 24-hour retail offering. With its growing network of outlets and continued focus on customer convenience and service excellence, LAUGFS Supermarkets remains committed to strengthening its presence and creating greater value for customers across Sri Lanka.
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