News
Over 70% salary hike for CBSL employees: Gevindu demands explanation from FM
… draws attention to discrepancy in beneficial interest rates for EPF members
By Shamindra Ferdinando
Dissident SLPP lawmaker Gevindu Cumaratunga yesterday (18) said that the Wickremesinghe-Rajapaksa government owed an explanation how the Governing Board of the Central Bank had approved a massive salary increase to CBSL employees at a time the country was experiencing developing political-economic-social crisis.
The National List MP said the recent disclosure of over 70 percent salary increase to several different categories of CBSL employees should be brought to the attention of the International Monetary Fund (IMF), bilateral and private creditors as well.The Finance Ministry confirmed the salary increase when The Island raised the issue with a senior official.
President Ranil Wickremesinghe, in his capacity as the Minister in charge of Finance portfolio should explain the circumstances relatively affluent section of public sector workers received an unprecedented salary increase against the backdrop of a large grouping of health sector trade unions resorting to trade union action in a bid to secure Rs 35,000 DAT (Disturbance, Availability and Transport) allowance granted to doctors.
Cumaratunga said: “How could CBSL employees receive over 70 percent salary increase while the Finance Ministry repeatedly declared that health sector workers’ demands couldn’t be granted for want of funds. State Finance Ministers, Ranjith Siyambalapitiya and Shehan Semasinghe, both members of the SLPP should answer public concerns in this regard.”
Responding to another query, Cumaratunga said that he intended to raise the issue at hand in Parliament. “Let us all political parties represented in Parliament, civil society and the media take up this issue vigorously,” he said, claiming that salaries and allowances of a section of top officials had been increased by as much as Rs 600,000.
“This is not fair. Such actions cannot be justified under any circumstances,” the MP said. Referring to the 2024 budget, MP Cumaratunga said that public finance was in such a precarious situation, government servants were granted a salary increase on a staggered basis.
Having suspended debt repayment in April 2022, the country was yet to start paying its debt and there was no consensus with creditors, MP Cumaratunga said. Therefore, the CBSL, faulted along with others for the current crisis by the Supreme Court, couldn’t use the Central Bank of Sri Lanka (CBSL) Act, No. 16 of 2023 to its advantage, MP Cumaratunga added.
In terms of this Act, the Governing Board (GB) of the CBSL is responsible for overseeing the administration and management of the affairs of the CBSL and determination of the general policies of the CBSL.
The leader of the Yuthukama civil society organization pointed out in 2022, the CBSL employees had received a staggering 29.27 percent interest while the other EPF members received just 9 percent. “We took up this issue both in and out of Parliament though the government turned a blind eye to the unfair practice,” MP Cumaratunga said. The civil society activist questioned how CBSL employees received special status when EPF, managed by the Central Bank, were entitled for 9 percent interest, MP Cumaratunga said, alleging that funds amounted to Rs 21 bn that could have used to provide additional assistance were held in a special account while EPF members struggled to make ends meet.
The government had allowed an unprecedented discrepancy in what he called beneficial interest rates received by members of the Central Bank Provident Fund, MP Cumaratunga said. According to him, in terms of the Domestic Debt Optimization (DDO) plan passed on July 01, 2023, the government legitimised the flawed EPF interest payment scheme. The MP said that the ruling SLPP voted for the controversial resolution that was adopted with a majority of 60 votes. The resolution received 122 votes in favour whereas 62 voted against. Forty-one MPs skipped the vote.
Much of the 10-hour debate, on July 1, 2023, centered on how the DDO process impacted on the EPF and ETF (Employees Trust Fund). Unfortunately, Parliament never really wanted to address the issue, a vast majority of EPF members being disadvantaged by the CB-managed EPF. That is the crux of the matter, MP Cumaratunga said.
News
Parliament: Govt. questioned on returned cheques, delayed payments for disaster victims
Returned cheques, delayed payments and unresolved insurance claims dominated Parliament on Tuesday as National Democratic Front (NDF) MP Ravi Karunanayake asked the government to make statement on compensation and restoration following Cyclone Ditwah.
Raising the matter under Standing Order 27(2), Karunanayake said thousands of citizens, affected by the 28 November, 2025 cyclone, were still waiting for relief, despite a presidential directive that all compensation and restoration work be completed by 31 December, 2025.
Karunanayake told the House that affected communities were reporting “crippling delays, non-payment, returned cheques and unresolved insurance claims,” warning that the situation had left tens of thousands displaced more than a month after the deadline. “These delays raise grave concerns about transparency, administrative capacity and accountability,” he said.
Cyclone Ditwah caused widespread destruction across several districts, claiming lives and damaging homes, infrastructure, agriculture, fisheries and small and medium-sized enterprises. Karunanayake said reports indicated that around 48,000 people were still unable to return to their homes, underscoring the scale of the humanitarian and economic impact.
Full text of Karunayake’s statement: I rise under Standing Order 27(2) for an urgent Government statement on compensation and restoration after Cyclone Ditwah of 28 November 2025, which caused severe loss of life, destruction, and widespread damage. Despite a Presidential directive for completion by 31 December 2025, affected citizens report crippling delays, non-payment, returned cheques, and unresolved insurance claims. Reports suggest tens of thousands remain displaced, raising grave concerns.
For transparency, I seek clarification on:
1. Has the Disaster Management Centre formally approved a consolidated national loss and damage assessment? What is the total estimated loss and approval date?
2. What is the total restoration cost, disaggregated by housing, infrastructure, agriculture, fisheries and SMEs?
3. What is the total affected population? Provide a district-wise breakdown of casualties, displaced families, and destroyed/damaged houses. Is it correct that 48,000 persons cannot return home?
4. What compensation categories, eligibility criteria, and payment rates were approved for households, the deceased, farmers, SMEs, and others and under what authority?
5. As of 31 December 2025 and now, how many payments and total amounts have been disbursed for each band (e.g., Rs. 25,000; Rs. 50,000; Rs.1Mn for deceased; housing bands up to Rs. 10Mn), plus farmer and SME payments, by district?
6. How many eligible beneficiaries remain unpaid, by category and district and what are the principal causes (verification, documentation, banking, funding)?
7. Why have compensation Cheques been returned, how many cases exist and what remedial measures are in place?
8. What steps ensure Insurance Companies settle claims? How many claims and what value remain unpaid?
9. What donor funds (grants, loans, aid) have been received? How much has been spent on compensation vs. infrastructure and when will the International donor conference be held?
I request the Government table its response with annexed district-wise tables on assessments, allocations, disbursements, returned cheques, insurance status and unpaid balances.”
Deputy Defence Minister Major General (retd) Aruna Jayasekara said that the government needs two weeks to respond to the queries raised by MP Karunanayake.
by Saman Indrajith
News
President urges shedding of petty differences to achieve an economically strong Sri Lanka
President Anura Kumara Dissanayake yesterday called for unity, beyond petty differences, to build an economically strong Sri Lanka, declaring that the country’s greatest asset was its human resource and warning that there would be no place for racism or extremism in the nation’s future.
Addressing the 78th National Independence Day celebrations, at Independence Square, in Colombo, the President said Sri Lanka must embark on a path of rebuilding, rooted in its sovereignty, history and values, while embracing reform and progress. The national celebrations, held under the theme, ‘Rebuilding Sri Lanka’, commenced at around 7.30 a.m., paying tribute to those who sacrificed much to secure independence from British rule in 1948.
More than 4,500 personnel from the tri-forces and Police took part in the ceremony, alongside around 400 invited guests, including foreign diplomats. A special security and traffic management plan was also in effect, with over 2,000 Police officers deployed across Colombo to ensure public safety and smooth traffic flow.
In his address to the nation, President Dissanayake paid tribute to past generations who fought for the countrys freedom, describing them as heroic patriots whose sacrifices formed the foundation of the nation.
The land on which we stand today is drenched with the blood and tears of our ancestors, he said, adding that it was the duty of present and future generations to honour that legacy.
The President stressed that rebuilding Sri Lanka required drawing strength from the country’s proud history while rejecting harmful practices of the recent past. Economic development, he said, must not erode the foundations of the nation but instead be firmly rooted in the soul of the land and its people.
Emphasising the importance of human capital, the President said Sri Lanka must transform its human resources into a competitive force capable of standing alongside developed nations. He underscored the need to prioritise knowledge, unity and progress over ignorance, prejudice and division, and announced that the Government was ready to implement the most far-reaching education reforms in the country’s history to achieve this goal.
We are prepared to initiate a transformative era in education, he said, pledging to overcome resistance from outdated thinking, and expressing confidence that the people would support the reform process.
The President also highlighted the centrality of the rule of law, national unity and healthy international relations in rebuilding the country. True freedom, he said, could only be achieved through economic strength, supported by good governance and social cohesion.
Reaffirming his commitment to national unity, President Dissanayake said racism and extremism would not be tolerated, warning that both only weakened the nation. He called on all segments of society, including the Government, Opposition, public service and religious leaders, to unite with determination to rebuild Sri Lanka in every sphere.
News
PM: No withdrawal of modules introduced for Grade 6 under proposed education reforms
Prime Minister and Education Minister Dr Harini Amarasuriya told Parliament on Tuesday (3) that none of the modules introduced for Grade 6 under the proposed education reforms had been withdrawn.
Responding to a question by SJB Kurunegala District MP Nalin Bandara Jayamaha, the Prime Minister said the government was planning to implement reforms from 2027.
“Only the modules for the first term of Grade 6 have been printed so far. None of these modules has been rejected or withdrawn. They will be used when the reforms are implemented. No decision has been taken to discard them or to take any action that would result in a financial loss,” she said.
The PM said distribution of the printed Grade 6 textbooks, which had been stored in warehouses, had already commenced and that the government expected to complete the distribution of them by mid-February.
“The teaching process has already begun. As the existing syllabus remains in force, teachers are continuing instruction under the current curriculum,” the Prime Minister said.
MP Jayamaha said there had been controversy surrounding a particular Grade 6 module and sought clarification as to whether it would be withdrawn.
In response, the Prime Minister reiterated that no modules had been removed, due administrative action had been taken with regard to the relevant Grade 6 module and that the matter would be addressed appropriately.
By Saman Indrajith
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