News
Prez should have invited party leaders to consultation with IMF MD before finalization of agreement
By Rathindra Kuruwita
President Ranil Wickremesinghe should have invited political party leaders in Parliament to discuss the implementation of the IMF agreement with the fund’s Managing Director before signing the agreement, Chairman of the Communist Party of Sri Lanka (CPSL), D. E.W. Gunasekara said in a recent televised interview.
Recently, Wickremesinghe invited the leaders of the political parties represented in Parliament to discuss the implementation of the IMF agreement and come up with a collaborative approach.
“Now, the agreement has been signed. The purported objective of the agreement is to help the country restructure its debt. IMF staff and the Sri Lankan authorities have reached a staff-level agreement to support Sri Lanka’s economic policies in September 2022. So, almost 18 months have passed. We have only restructured domestic debt so far. That too was done by misusing the EPF and ETF,” he said.
Gunasekara said that by the time the 2015 bond scam happened, 16 companies had bought Treasury bonds and bills issued by the government. Four of them were owned by the state, i.e., the EPF, the Bank of Ceylon, the People’s Bank, and the National Savings Bank.
“So, 12 private companies also own a significant amount of debt. These were not subject to restructuring. If we look at the external debt, we have borrowed about 40 percent from the international capital markets. China, Japan and India are our main bilateral lenders,” he said.
After assuming duties, Wickremesinghe had been to Japan, France, England and India, Gunasekara said. In each of these visits, he has tried to persuade the leaders of those nations to persuade the Paris Club to give concessions to Sri Lanka, he said.
“This has not worked out at all. We are still trying to negotiate an agreement, and the government keeps postponing the expected date of finalising external debt restructuring,” he said.
News
Showers will occur at times in the Western, Sabaragamuwa, Central, North-western and Northern provinces and in Anuradhapura, Galle and Matara districts
WEATHER FORECAST FOR 16 MAY 2026
Issued at 05.30 a.m. on 16 May 2026 by the Department of Meteorology
According to the today’s latest weather analysis, the low-pressure area located northeast of Sri Lanka, still persists. The Department of Meteorology is continuously monitoring the behavior, development and path of the system.
Due to the influence of the above system, Showers or thundershowers will occur at times and cloudy skies are expected in the Western, Sabaragamuwa, Central, North-western and Northern provinces and in Anuradhapura, Galle and Matara districts. Fairly heavy showers about 75 mm are likely at some places in these areas. Showers or thundershowers may occur at a few places in the Uva and Eastern provinces after 1.00 pm.
The general public is kindly requested to take adequate precautions to minimize damage caused by temporary localized strong winds and lightning during thundershowers.
News
Lanka’s eligibility to draw next IMF tranche of USD 700 mn hinges on ‘restoration of cost-recovery pricing for electricity and fuel’
The International Monetary Fund (IMF) said on Thursday that the completion of Sri Lanka’s combined Fifth and Sixth Reviews, under the Extended Fund Facility (EFF), remains subject to approval by its Executive Board, which is expected to meet in the coming weeks.
Addressing a media briefing, IMF Communications Department Director, Julie Kozack, said IMF staff and Sri Lankan authorities had reached a staff-level agreement on 09 April.
She noted that several prior actions must be completed before the programme can be submitted to the Executive Board, including the restoration of cost-recovery pricing for electricity and fuel, measures to protect vulnerable groups, and the completion of financing assurances.
Upon Board approval, Sri Lanka would gain access to approximately US$700 million in financing, Kozack said.
Responding to a question on whether the government’s fuel subsidy scheme — including the Rs. 100 per litre diesel subsidy — was consistent with the IMF’s pricing framework, Kozack declined to comment directly on the measure. However, she reiterated that the programme requires both cost-recovery pricing reforms and safeguards for vulnerable communities.
Kozack also observed that Sri Lanka had recently faced “two very large shocks”, referring to Cyclone Ditwah and the wider external impact of the Middle East conflict, which, she said, had affected both the economy and the public.
Despite these challenges, she said Sri Lanka’s reform programme was yielding positive results, citing strong fiscal performance in 2025, progress in debt restructuring, 5 percent economic growth, and inflation returning to positive territory following a period of deflation.
She reaffirmed the IMF’s commitment to supporting Sri Lanka’s reform agenda, stressing that the institution continues to work closely with the authorities to sustain economic stability and recovery.
News
Sanath Nishantha’s brother sentenced to jail over assault case
Former Arachchikattuwa Pradeshiya Sabha Chairman, Jagath Samantha, was yesterday sentenced to five-and-a-half years’ rigorous imprisonment by the Chilaw High Court after being found guilty of assaulting the Arachchikattuwa Divisional Secretary.
The court also ordered Samantha to pay Rs. 1 million as compensation to the victim, failing which he will serve an additional 24 months in prison.
The case had originally been filed against former State Minister Sanath Nishantha and his brother Jagath Samantha over the assault incident.
However, following the death of Sanath Nishantha, in a road accident on the Katunayake Expressway, on 25 January, 2024, only Samantha appeared before court for the proceedings.
The verdict was delivered after the High Court considered the evidence and submissions presented during the trial.
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