News
No import of vehicles anytime soon as govt. is concerned about drain on exchange reserves – Siyambalapitiya
By Rathindra Kuruwita
The government has not decided on a timeline to allow the free import of vehicles to the country, State Minister of Finance, Ranjith Siyambalapitiya says. He said that importing vehicles would be a drain on the country’s foreign currency reserves.
“We have allowed the import of 250 buses and 750 vans for tourism. We are looking into whether and how we can relax the import of vehicles. That’s it.”
Siyambalapitiya said there is one vehicle for five Sri Lankans. The government has appointed an expert committee to examine whether the country is ready to allow the import of private vehicles.
“We will decide what to do, based on what the Committee says. Some groups, like vehicle importers, are adversely affected by the restrictions on vehicle imports. However, we must look at national priorities.”
The State Minister said there will be a massive demand for vehicles, if the government relaxes the restrictions on vehicle imports. This would lead to a large outflow of foreign reserves.
“We have not allowed vehicle imports since 2020. The demand probably is huge now”.
Siyambalapitiya said there are sporadic rumours that the government will allow vehicle imports soon. “I don’t know how to make these videos and how they come with this idea,” he added.
He also said that they are closely monitoring the vehicles imported under a scheme to allow migrant workers to import vehicles.
Siyambalapitiya said that restructuring domestic debt was controversial and that the biggest burden of the restructuring was borne by the EPF.
“There are 2.7 million beneficiaries and last year, we promised to pay them an interest rate of 9 percent until 2026. However, at the end of 2023, we realized we can give a higher interest rate because of the good investments we had made with the fund. We decided to give an interest of 13 percent for 2023. What we will pay for 2024 will be decided in 2025,” he said.
He added that this is the first time that EPF beneficiaries received an interest rate of 13 percent after 2009.
Siyambalapitiya said in the past four months, the Central Bank has bought 1.2 billion dollars from the local market. If the Bank did not make this intervention, the exchange rate of the dollar will be about 250 rupees.
“This would have badly affected the exporters.”
Sri Lanka has exceeded its state revenue target for the first quarter of 2024 by 6 percent, Siyambalapitiya said, adding that the government expects a revenue collection of 4,106 billion rupees in 2024.
The State Minister said the government wants its revenue to be at least 14 percent of the GDP and that he believes the revenue target for the year can be achieved.
The Sri Lankan government collects revenue through three institutions, i.e., Sri Lankan Customs, the Excise Department, and the Inland Revenue Department, and has collected 834 billion rupees (about 2.8 billion dollars) in the first quarter, compared with an expected revenue target of 787 billion rupees (about 2.6 billion dollars) in the period, he said.
Siyambalapitiya mentioned that cheques will no longer be accepted to pay income tax. Over the years a large number of people have paid their income tax by cheque and a lot of these cheques have bounced.
The State Minister said that any government that comes into power will have to follow the current economic policies. There will be a collapse akin to 2022, if there is a diversion from the current path.
News
President meets with Department of Prisons Officials
President Anura Kumara Dissanayake met with the officers of the Department of Prisons, including Superintendents of Prisons, Jailers and other officials, on Friday (17) afternoon at the Presidential Secretariat.
Extensive discussions focused on the challenges currently faced by the prison system and the urgent measures required to address them.
Special attention was also given to the recent incident at the Negombo Prison, with lengthy discussions held on the steps needed to prevent similar incidents from occurring in the future.
The meeting also addressed the challenges faced by prison officers and matters relating to their welfare.
The officials noted that this was the first opportunity they had been given to discuss their concerns directly with the President and expressed their appreciation for the opportunity.
Minister of Justice and National Integration Harshana Nanayakkara, Minister of Labour and Deputy Minister of Finance and Planning Anil Jayantha Fernando, Senior Additional Secretary to the President Roshan Gamage, Secretary to the Ministry of Justice and National Integration Ayesha Jinasena, Commissioner General of Prisons Prasad Hemantha Kumara, Commissioner of Prisons (Rehabilitation) S.K. Pallethanna, Commissioner of Prisons (Operation/ Intelligence) A.C. Gajanayake, along with a number of other officials of the Department of Prisons, were present at the meeting.
(PMD)
News
Prioritize Vocational Education in future Education Planning – President
President Anura Kumara Dissanayake emphasised that greater priority must be given to strengthening Sri Lanka’s vocational education sector in parallel with the country’s ongoing education reforms, stating that the Government is prepared to allocate the necessary funding through the 2027 Budget.
The President made these remarks on Friday (17) during a meeting at the Presidential Secretariat to review the progress of projects implemented under the 2026 Budget allocations for the Ministry of Education, Higher Education and Vocational Education and to discuss the Ministry’s funding requirements ahead of the 2027 Budget.
A total allocation of Rs. 303 billion has been made to the Ministry under the 2026 Budget, comprising Rs. 160 billion for general education, Rs. 122 billion for higher education and Rs. 20 billion for vocational education.
The meeting reviewed the implementation of projects funded under these allocations, future plans and the Ministry’s funding requirements for the coming year. The President stressed that budget allocations should not be spent merely because they have been provided, but should instead be utilised in line with national priorities and identified needs.
Officials noted that the largest-ever capital allocation of Rs. 8 billion had been provided this year for vocational education. They also reported that 57,959 students had been enrolled during the first two quarters of the year across 310 Government vocational training institutions.
Particular attention was given to increasing the annual intake of students into vocational education institutions. Discussions also covered the allocation of a permanent site for the Ocean University, the gradual increase in student admissions to the University of Vocational Technology from next year and measures to expand both the number and quality of University Colleges across the country, enabling students in the regions to access technical degree and diploma programmes more easily.
The meeting also focused on programmes implemented under the general education sector. The President stressed that projects financed through foreign assistance should not become an unnecessary debt burden on the country, but should instead be undertaken only where they are aligned with Sri Lanka’s education policies and genuine national requirements.
Attention was also directed towards welfare programmes for schoolchildren. The President instructed that priorities be established to ensure that benefits reach those who genuinely require them based on the effectiveness of each programme. The President further noted that the President’s Fund remains ready to support scholarship programmes and instructed officials to prepare and submit proposals outlining such funding requirements.
The meeting also held extensive discussions on increasing the monthly financial assistance provided to students with special educational needs from 2026 onwards, as well as raising the allowances paid to student teachers at the National Colleges of Education.
Officials also briefed the President on issues relating to the existing student insurance scheme.
Discussions further focused on plans to invest Rs. 382 billion in the education sector during the 2027–2031 period to support its continued development. Particular attention was given to the proposed Digital Transformation Project, which forms part of this investment programme.
It was also noted that work has commenced on the rehabilitation of 20 schools and National Colleges of Education damaged by Cyclone Ditwah, with Rs. 1.9 billion allocated for the programme.
The meeting also agreed that teacher shortages, vacancies among non-academic staff and salary anomalies within the education sector should be addressed through a coordinated approach across the public sector. It was further agreed that a special commission would be tasked with recommending permanent solutions to these issues.
Prime Minister and Minister of Education, Higher Education and Vocational Education Dr. Harini Amarasuriya; Minister of Labour and Deputy Minister of Finance and Planning Dr. Anil Jayantha Fernando; Deputy Minister of Vocational Education Nalin Hewage; Secretary to the President Dr. Nandika Sanath Kumanayake; Chief of Staff to the President Prabath Chandrakeerthi; Senior Additional Secretaries to the President Russel Aponsu and Kapila Janaka Bandara; Secretary to the Ministry of Finance, Planning and Economic Development Dr. Harshana Suriyapperuma; Secretary to the Ministry of Education, Higher Education and Vocational Education Nalaka Kaluwewa; together with officials from the Ministry of Finance, Planning and Economic Development and the Ministry of Education, Higher Education and Vocational Education, were also present at the meeting.
(PMD)
News
Navy brings fisherman in distress off Pothuvil, ashore
The Sri Lanka Navy rescued a fisherman from a local fishing trawler that encountered distress due to adverse weather conditions off the eastern coast of Sri Lanka.
The rescue operation took place on 17 July 2026, approximately 15 nautical miles off Pothuvil. The operation was launched following information received by the Maritime Rescue Coordination Centre (MRCC) Colombo.
In response, the Sri Lanka Navy deployed the Offshore Patrol Vessel SLNS Vijayabahu along with additional craft to conduct a search operation in the designated sea area, where they successfully located the distressed fisherman.
Following the rescue, the individual was brought aboard SLNS Vijayabahu, where naval personnel administered preliminary first aid. He was subsequently brought to the mainland and rushed for further medical attention.
Meanwhile, the Navy, along with the coordination of MRCC Colombo, remains constantly prepared to swiftly respond to the eventualities faced by maritime and fishing communities operating within the island’s Search and Rescue Region (SRR).

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