Business
Releasing of State Bank funds to purchase paddy left in limbo
Agriculture Ministry Secretary keeping his fingers crossed until next Board Meeting at BOC
Farmers say private rice-millers buy paddy at lower prices and sell rice at higher prices
by Sanath Nanayakkare
M.B. Rohana Pushpakumara, Secretary to the Ministry of Agriculture told the media on Saturday that the Cabinet had approved a bank facility of Rs. 2000 million from State Banks to purchase Yala Season’s paddy harvest from the farmers, which decision had been subsequently informed to the Banks by the Ministry of Finance, but nevertheless these funds have still not been released to the Paddy Marketing Board (PMB).
“The Cabinet of ministers had given the approval to get a credit facility of Rs. 2,000 million from the Bank of Ceylon and the People’s Bank to purchase the paddy harvest of the Yala season. Accordingly, the Finance Ministry had informed the Banks to release these funds to the PMB. In this backdrop, we started purchasing paddy from farmers immediately, assuming that we would get those funds. But we have still not received Cabinet-approved funds from the Banks, “he said.
“After the directives, we bought paddy to the value of Rs. 850 which was actually bought on credit. Over the past few weeks, we settled 90% of these credit purchases with funds of the PMB. However, we continue to negotiate with the Bank of Ceylon (BOC) to obtain the credit facility soon. What we hear by today is that the BOC is going to hold a Board Meeting by 2nd October, and a decision would be made at it to release the funds. If that happens, we can resume purchasing of paddy which has come to a halt due to lack of funds,” he said.
Meanwhile, farmers told the media that although harvesting of Yala Season’s paddy has started, the government warehouses are not purchasing their yield, and therefore, farmers can’t sell their yield at a competitive price.
“Government’s paddy purchasing centres must be opened as quickly as possible to prevent private rice millers from buying paddy from us at low prices,” they said.
” If we can sell a kilo of paddy at Rs. 150, that will be sufficient for us to cover our expenses and have a fair profit margin. But now we are compelled to sell at Rs. 96-110. That is not enough to cover even the cost of production. A big warehouse in Polonnaruwa has put up a sign as a ‘paddy purchasing centre’, but it remains closed. If the government starts purchasing paddy, then only private millers will start offering competitive prices. What happens now is they buy paddy at lower prices and sell rice at a higher price. If they buy low and sell low, that’s fine. But they are doing it the other way round.”
A farmer association told the media that this situation could lead to a hunger crisis. They, however, said that officials at the Ministry of Agriculture pledged to resolve the issue within a month’s time. They warned that if a solution is not found to the issue within the timeline, farmers and all the people that consume rice as their staple food would take to the streets to launch an Aragalaya.
However, credible news reports earlier this month said that the government was going to mortgage its paddy stocks to state-run banks to obtain required cash to make purchases from farmers in the current season. The move came after the state-run banks declared they were not in a position to extend loans to the state-run PMB to buy paddy as the debt on previous loans amounting to nearly Rs. two billion was still outstanding.
Business
Cargills adopts Crow Island Beach in partnership with Clean Ocean Force Lanka
Cargills Food and Beverage Ltd. through its brands KIST and Knuckles, has signed a Memorandum of Understanding (MoU) with Clean Ocean Force Lanka (COF) to adopt Crow Island Beach for one year, reinforcing its commitment to long-term coastal conservation in Sri Lanka.
This pioneering initiative is designed to protect and preserve the coastal environment through several key measures, including the removal of plastic and other pollutants from the beach and surrounding coastal area. As part of the adoption programme, the beach will be maintained daily with the support of dedicated beach caretakers, while also supporting their livelihoods by providing meaningful income opportunities.
Marking the partnership and in celebration of World Recycling Day, a coastal clean-up programme was conducted at Crow Island Beach to remove plastic and other manmade pollutants. Volunteers from Cargills, Clean Ocean Force Lanka, the Interact Club of Colombo, the Colombo Municipal Council and the Women’s Force of COF Negombo (Sri Vimukthi Association) participated in the clean-up with support from the Marine Environment Protection Authority (MEPA), the Sri Lanka Police Environmental Division and the Ministry of Local Government and Environment as well as the Crow Island Beach Park Society.
Jerome Fernando, Chairman & Co-founder of Clean Ocean Force Lanka said that, “Marine & Coast Conservation demands a unified front. Our unique Public-Private-People Partnership model is the cornerstone of our mission, and today, we are thrilled to welcome Cargills (Ceylon) PLC as a vital partner in this journey adopting the Crow Island Beach for the next one year. This collaboration will not only amplify our efforts to eliminate plastic and manmade pollutants from our beaches, but also reinforce our commitment to empowering marginalized communities through sustainable livelihood opportunities. Cargills’ deep-rooted dedication to environmental sustainability and community wellbeing perfectly aligns with our vision.”

Jagath Gunasekara, General Manager of MEPA added, “The Marine Environment Protection Authority consistently promotes active private sector engagement in marine and coastal conservation, as well as pollution control initiatives. This approach aligns closely with our Beach Caretaker Programme. We are pleased to collaborate with Cargills (Ceylon) PLC in the adoption of Crow Island Beach through our long-standing partnership with Clean Ocean Force Lanka.”
During the event, Knuckles also launched Sri Lanka’s first tethered bottle cap, introducing a packaging innovation aimed at improving plastic waste management and supporting recycling efforts. The tethered cap is designed to remain attached to the bottle after opening, reducing the likelihood of caps being discarded separately. Bottle caps are among the most commonly littered plastic items globally and frequently enter landfills and waterways due to their small size and low collection rates.
Speaking on the initiative, Arjuna Kumarasinghe, Managing Director of Cargills Food & Beverage Ltd., said, “Cargills has always believed in taking responsibility for the communities and environments around us. By adopting Crow Island Beach, we’re able to work closely with our partners and local volunteers to protect this part of our coastline. Launching the tethered bottle cap is another way we’re addressing plastic waste and making recycling easier for everyone.”
Business
CBSL adopts cautious stance in the face of economic uncertainties
The Central Bank is keeping its overnight policy rates unchanged, adopting a cautious stance amid uncertainty over the inflationary impact of energy prices due to the Middle East crisis.
‘We maintained the overnight policy rate at 7.75 percent, considering low inflation and a restrained approach on the fallout of the US-Israeli war on Iran, Central Bank Governor Dr Nandalal Weerasinghe said.
The Governor made these remarks yesterday at a press briefing held at the Central Bank head office in Colombo to announce the monthly monetary policy stance.
Dr Weerasinghe added: ‘Inflation is now expected to reach the Central Bank’s target of 5 percent in the second quarter of 2026, after Sri Lanka raised fuel prices by about 35 percent this month.
‘However, spillovers from the ongoing conflict could weigh on domestic economic activity in the period ahead should the conflict be prolonged.
‘The rates were steady since last May as the nation recovers from a 2022 financial crisis driven by a severe dollar shortage.
‘Supported by a US$ 2.9 billion programme with the IMF, Sri Lanka posted a strong economic recovery last year, growing by 5 percent and now targeting growth between 4 percent and 5 per cent in 2026.
‘What stands out is that they see space for inflation to rise because of energy prices but still stay contained.
‘From now to June, underlying economic momentum has the space to keep pace despite the disruption because domestic liquidity and credit has been quite substantial as well.
‘An IMF team will arrive in Colombo on Friday for the combined fifth and sixth reviews of the bailout.
‘Furthermore, Gross Official Reserves increased to US$ 7.3 billion at end February 2026 and the Central Bank purchased a substantial amount of foreign exchange from the market in the first two months of the year.
‘However, the ongoing conflict in the Middle East poses risks to Sri Lanka’s external sector outlook, particularly through energy, tourism, trade and remittance flows, although the overall magnitude of the impact remains uncertain.
‘While the Sri Lanka rupee remained relatively stable in early 2026, some depreciation pressures were observed following the onset of the Middle East conflict, similar to the exchange rates of regional peers.
‘Meanwhile, the Monetary Policy Board remains prepared to implement appropriate policy measures to ensure that inflation stabilizes around the target, while supporting the economy to reach its potential.’
By Hiran H Senewiratne
Business
Dialog Unveils Dialog Play Mini with Netflix and Apple TV
Dialog Television, Sri Lanka’s #1 Pay-TV service provider, has announced the latest upgrade to its smart entertainment lineup with the Dialog Play Mini, featuring seamless access to global streaming platforms including Netflix, Apple TV and YouTube, alongside the Dialog Play entertainment ecosystem for a unified viewing experience. Previously known as the ViU Mini, the device has now been reintroduced as the Dialog Play Mini, reflecting the evolution of Dialog’s digital entertainment platform under the Dialog Play brand.
The Dialog Play Mini transforms any television into a smart 4K entertainment hub by enabling hybrid multi-platform streaming across leading global and local content platforms, delivering a smoother, more intuitive viewing experience. Whether enjoying Netflix originals, Apple TV exclusives, or local favorites, households can now experience world-class entertainment in one compact device.
The Dialog Play Mini brings a streamlined, user-friendly experience to any home setup. Its single numeric-keypad remote controls both the TV and the device, offering simplicity and convenience for everyday viewing. With multiple connectivity options including Wi-Fi, hotspot, LAN, or wingle, the device ensures uninterrupted entertainment even in areas without smart TVs or advanced broadband setups.
Bridging the gap between entry-level set-top boxes and premium Android TV devices, the Dialog Play Mini offers a plug-and-play smart experience. Supported by Dialog’s nationwide service network, local warranty, and after-sales care, it delivers a reliable, feature-rich entertainment experience for Sri Lankan homes.
“With Dialog Play Mini, entertainment becomes more directly accessible for every Sri Lankan home – with or without a Smart TV,” said Lim Li San, Group Chief Operating Officer of Dialog Axiata PLC. “By bringing Netflix, Apple TV, YouTube, and Dialog Play together in one compact 4K-ready device, we’re redefining home entertainment through simplicity, innovation, and the power of connectivity.”
The Dialog Play Mini is now available at Dialog Experience Centers and authorized retailers islandwide. To purchase online, please visit
https://dialog.lk/dialog-play-mini
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