Business

Sri Lanka ratings upgrade depending on debt restructuring parameters and reforms programme

Published

3 years ago

2023/04/3

Thilina Walpola

Bingumal Thewarathanthri, CEO, Standard Chartered Bank

by Sanath Nanayakkare

Sri Lanka can reasonably expect a much desired ratings upgrade after the government of Sri Lanka has announced its debt restructuring plans and its sustained commitment to the economic reforms programme, Bingumal Thewarathanthri, Chief Executive Officer, Standard Chartered Bank said recently. He made this remark while addressing a Central Bank hosted webinar titled,”What is next for Sri Lanka in the wake of the IMF Programme?”

Keynote Speaker at the webinar was Dr. Indrajit Coomaraswamy, Former Governor, Central Bank of Sri Lanka. Deshal De Mel, Economic Advisor, Ministry of Finance and Murtaza Jafferjee, Managing Director, JB Securities were the other panelists.

The CEO of Standard Chartered Bank said that Sri Lanka is still not out of the woods and everybody needs to be very clear on that. Getting this EFF done in a six months was outstanding work compared to countries like Zambia and Surinam. But we should not overcelebrate it. Although it is commendable, we can’t be complacent because we can’t forget what we went through last year,” he said.

“There are guidelines on fiscal reforms in the IMF framework with specific targets in terms of debt to GDP ratio as well as a surplus in the primary account by 2025, among other things. Now, a lot of people are talking about a ratings upgrade for Sri Lanka by the global ratings agencies. But we have to wait until the government announces the debt restructuring parameters. After that, there will be some clarity and hopefully there will be an upgrade. However, to what level it would be upgraded, we don’t know. Further, it substantially depends on how Sri Lanka commits itself to the economic reforms programme going forward. The IMF is asking us to do something that we have been talking about in terms of our public sector workforce.

We have to re-purpose and re-size its 1.7 million people without asking them to leave their jobs. If you re-purpose at least half a million government sector workers into different things, the country will get productivity from them. Re- purpose and re-size, that’s the way to go. I am not a big fan of trying to save money from the government’s salary bill which is more than Rs. 1.2 trillion. We need to look at paying the right people better. I don’t need to tell you how doctors and professionals in various industries are getting paid.. We can’t retain talent at that level and we are losing over 50 doctors per month as we speak. That’s a thing we must fix. The IMF would give us broad guideline, but we have to fix things at the ground level appropriately.”

“We might receive some financing from the ADB and the World Bank. But real capital can come through FDIs. They are rare these days because the global markets are struggling, and so, capital is rare. So If you expect FDIs to flow into Sri lanka, first we need to understand why investors should come to Sri Lanka. Our investment policy is not very stable because it changes with change of government. So is our tax structure. Therefore, I think our investment policies have to be documented at constitutional level.

They should be made constitutional laws which can’t be changed without a proper mandate. We need to clearly understand what will take our GDP to the next level. You would have seen the predictions by the authorities as well as from the IMF, I think we are forecasting 2.5% growth and I think that is below Sri Lanka’s potential. Sri Lanka should be firing about mid-single digit growth in our view compared with other emerging markets. Sri Lanka has that potential. It is very important for us to understand the strategic pillars to take the economy to that level and ensure that the platform is well-documented. Basically there needs to be a legal framework around it so that changes of governments cannot change the investment policies,” he said.

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Business

Nissan redefines Sri Lankan family mobility with all-new GRAVITE launch

Published

6 mins ago

2026/05/25

Thilina Walpola

Associated Motorways (Pvt) Ltd (AMW), the exclusive authorized distributor for Nissan in Sri Lanka, has officially launched the All-New Nissan GRAVITE. This game-changing 7-seater MPV enters the domestic market at an attractive introductory price starting from LKR 6.99 million, signaling a decisive brand resurgence for Nissan following the success of its top-selling Magnite.

Purpose-built for modern Sri Lankan families, the GRAVITE blends striking global design lines and high ground clearance with pioneering modularity. It features flexible seating configurations for two to seven passengers, offering up to 625 liters of segment-leading cargo space when the third-row seats are removed. Inside, the cabin boasts premium quilted leatherette seats, a cooled center console, and a tropicalized AC system with three-row vents to maximize passenger comfort.

“The introduction of the All-New Nissan Gravite is another step towards our commitment to the Sri Lankan market,” said Atul Aggarwal, Director Aftersales and South Asia Business at Nissan Motor Co Ltd. “We are certain that it will mark the beginning of our sustained growth phase.”

Business

Ceylon Chamber of Commerce concludes high-level economic engagements in Mumbai

Published

24 hours ago

2026/05/24

Thilina Walpola

L-R - Manish Mohan, Vishal Kamat, Anurag Agarwal, Dr Rajesh Ravindra Gawande, Mahishini Colonne, Krishan Balendra, Duminda Hulangamuwa, Priyanga Wickramasinghe, Shiran Fernando

To catalyze bilateral trade and investment and drive regional economic integration, the Consulate General of Sri Lanka in Mumbai facilitated a series of high-level strategic engagements between The Ceylon Chamber of Commerce and leading Indian commercial institutions on May 13 and 14.

The delegation from The Ceylon Chamber of Commerce was led by its Chairman Krishan Balendra, CEO of John Keells Holdings Pvt Ltd and comprised a distinguished group of Sri Lankan industry leaders from Hirdaramani Group, Maliban Biscuit Manufactories (Pvt) Ltd, Sierra Cables PLC, A. Baur & Co. (Pvt) Ltd, Jetwing Travels (Pvt) Ltd, Ceylon Biscuits Ltd, Hayleys PLC, Vidullanka PLC, MAS India Clothing (Pvt) Ltd, Tudawe Brothers (Pvt) Ltd, David Pieris Holdings (Pvt) Ltd, Bank of Ceylon, Aitken Spence PLC, LTL Holdings Ltd. and Orel IT Pvt. Ltd.

On May 13, The Confederation of Indian Industry (CII) and The Ceylon Chamber of Commerce jointly hosted the ‘India–Sri Lanka Business Forum: Partnering in Sri Lanka’s Growth and Investment’ and an exclusive CEO interaction in Mumbai. The forum convened senior government officials, policymakers, and industry leaders from both countries.

These included, among others, High Commissioner of Sri Lanka to India Mahishini Colonne; Consul General of Sri Lanka in Mumbai Priyanga Wickramasinghe; Senior Economic Advisor to the President of Sri Lanka Duminda Hulangamuwa; Secretary (Protocol, FDI, Diaspora & Outreach) and Chief of Protocol Government of Maharashtra Rajesh Ravindra Gawande; Co-chairman, CII Western Region Sub-committee on International Trade & Investment and Chief Executive Officer, Polycab India Ltd. Anurag Agarwal; Chairman, CII Western Region Sub-Committee on Tourism and Hospitality and Executive Director, Kamat Hotels India Ltd Vishal Kamat and Secretary General & CEO of The Ceylon Chamber of Commerce Shiran Fernando.

Conversations centered on accelerating cross-border cooperation across high-priority sectors, including technology, manufacturing, healthcare, renewable energy, and digital transformation.

On May 14, the delegation engaged in productive Business-to-Business sessions with the IMC Chamber of Commerce and Industry, culminating in the formal renewal of the Memorandum of Understanding between The Ceylon Chamber of Commerce and IMC. The delegation also participated in an interactive session hosted by the World Trade Center (WTC) Mumbai and the All India Association of Industries (AIAI).

The two-day mission concluded with a robust exchange of views cementing a strong foundation for sustained bilateral collaboration and paving the way for a new era of industrial synergy between Colombo and Mumbai. (Consulate General of SL, Mumbai)

Business

Commercial Bank among the first banks to partner with Port City Colombo to open a branch

Published

24 hours ago

2026/05/24

Thilina Walpola

Sanath Manatunge, Managing Director/CEO of Commercial Bank and Xiong Hongfeng, Managing Director of CHEC Port City Colombo (Pvt) Ltd. exchange the agreement in the presence of senior representatives of the two companies

Demonstrating its commitment to supporting the nation’s next phase of economic transformation, Commercial Bank of Ceylon has become one of the first banks in Sri Lanka to enter into an agreement to establish a fully-fledged branch at Port City Colombo, marking a significant step in the Bank’s strategic expansion into the country’s emerging international financial hub.

The agreement was signed by Sanath Manatunge, Managing Director/CEO of Commercial Bank, and Xiong Hongfeng, Managing Director of CHEC Port City Colombo (Pvt) Ltd. The partnership further reinforces Commercial Bank’s position at the forefront of Sri Lanka’s evolving financial landscape.

The proposed branch will function as a fully-fledged banking branch, offering a full spectrum of products and services tailored to the needs of corporates, investors, businesses and retail customers operating within the Port City Colombo ecosystem. These will include digital banking facilities, trade services, foreign currency transactions, corporate banking solutions, deposits, lending, card services and remittance facilities.

By establishing a presence within Port City Colombo, the Bank said it aims to further strengthen its ability to support cross-border business and investment flows while positioning itself to meet the sophisticated requirements of global investors, multinational corporates and high-net-worth individuals expected to operate within the Special Economic Zone.

Commenting on this ground breaking initiative, Sanath Manatunge, Managing Director/CEO of Commercial Bank said the Bank’s decision to establish a fully-fledged branch within Port City Colombo reflects both its long-term confidence in the project and its readiness to support the evolving needs of a globally integrated financial ecosystem.

“As Sri Lanka’s largest private sector bank with a strong track record in serving corporates, international clients and high-value businesses, we see Port City Colombo as a pivotal development in the country’s economic future,” he said. “Our presence within this Special Economic Zone will enable us to seamlessly support cross-border transactions, facilitate international trade and investment, and deliver world-class banking solutions backed by advanced digital capabilities. Being one of the first banks to formalise plans for a full-service branch within Port City Colombo reaffirms our role as a pioneer in driving financial innovation and supporting national development.”

A 269-hectare extension of Sri Lanka’s central business district, Port City Colombo is being developed as a multi-service Special Economic Zone designed to serve as a regional financial centre, business and lifestyle hub. One of the largest public-private partnership projects in the country, it is envisioned as a catalyst for high-value investments, underpinned by advanced infrastructure, cutting-edge technology and a progressive regulatory framework.

“Our role as master developer goes beyond building the city itself. It is about creating the foundations for a functioning international business and financial hub,” said Mr Xiong Hongfeng, Managing Director of CHEC Port City Colombo (Pvt) Ltd. “The establishment of institutions such as Commercial Bank within Port City Colombo is an important part of that process, because it brings real operational depth and credibility into the ecosystem from an early stage. It reflects the broader momentum behind the project and the growing shift towards a more globally connected, investment-driven economy in Sri Lanka.”