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US sanction-hit Iran explores new partnerships with crisis-hit Lanka
ECONOMYNEXT –Iran, which is still grappling with a 2012 economic sanction imposed by the United States is exploring new ventures and trade and investment in Sri Lanka, the island nation which is still recovering from an unprecedented economic crisis.
Iranian Foreign Minister Amir Abdullahian met top Sri Lankan government officials including President Ranil Wickremesinghe, Prime Minister Dinesh Gunawardena, and his counterpart Ali Sabri on Tuesday (20).
Sri Lanka is unable to pay for Iran investment and imports due to the US sanctions, but it has successfully started paying for the dues in crude imports before 2012 through a “tea for oil” deal.
Iranian Foreign Minister comes after an official visit from Sri Lanka Foreign Minister Ali Sabri when he went to Tehran in August last year.His visit also comes ahead of Iran President Ebrahim Raisi’s official visit later this year, government officials said.
“The visit of his excellency (Iran Foreign Minister) into Sri Lanka is vital and will further enhance the close and cordial bilateral relationship,” Sabry said after his Iranian counterpart met all top Sri Lankan political dignitaries.
“There is a huge potential for further corporation in multi-faceted areas. During our discussion today, we addressed key areas of mutual of interests. Including political, economic, and cultural corporation, reflecting very solid bilateral relations.”
Government officials said Iran President is likely to visit when Sri Lanka sees the commissioning of Uma Oya 120 MW power generation project this year.
“Sri Lanka and Iran stand united in our pursuit of peace, security, and prosperity in our regions,” Sabry added.
Before the 2012 US sanctions, Sri Lanka heavily depended on Iranian light crude to its only refinery constructed by Iran in 1969. The island nation is now paying $250 million due for crude imports through tea exports.
The Iranian Foreign Minister during the meeting with Prime Minister Gunawardena noted that Iran is keen to cooperate with Sri Lanka in future projects utilizing their expertise in energy, water, agriculture, nanotechnology, medicine and biotechnology.
“Iran has also agreed to provide another 31 million euro grant for the rural electrification project,” Prime Minister’s office said in a statement.
“The Prime Minister and the Iranian Minister agreed that trade should be done in Asian currencies instead of US dollars. Minister Amir-Abdullahian said that banking arrangements have already been made to trade with Iran, India and China and similar arrangements can be made with Sri Lanka.”
“The Prime Minister expressed his appreciation for Iran’s continued support to Sri Lanka at the United Nations Human Rights Council and other international forums.”
News
New Chairperson and Members appointed to the Finance Commission
President Anura Kumara Dissanayake has appointed Ms N. R. Anees as the new Chairperson and a member of the Finance Commission.
J. M. C. J. Wijetunga and K. Karunaharan have been appointed as the other members of the Commission.
The letters of appointment were presented to the appointees by the Secretary to the President, Dr Nandika Sanath Kumanayake, at the Presidential Secretariat ton Monday (20) afternoon
The appointments were made to fill the vacancies createdy following the expiry of the terms of office of the previous members of the Finance Commission.
(PMD)
News
True leadership is not about titles or power, but about acting responsibly for the well-being of others – Prime Minister
Prime Minister Dr. Harini Amarasuriya stated that true leadership is not about titles or power, but about acting responsibly, with compassion, and working for the well being of the others.
The Prime Minister made these remarks while attending the President’s Guide Award and Prime Minister’s Award Ceremony, organized by the Sri Lanka Girl Guides Association, one of the country’s leading voluntary organizations dedicated to empowering girls and young women. The ceremony was held on Sunday (19th July )at Temple Trees in Colombo.
During the event, the Prime Minister presented medals and certificates to the award recipients.
A total of 350 awards were presented at this year’s ceremony, comprising 338 President’s Guide Awards and 12 Prime Minister’s Awards, in recognition of the recipients’ discipline, resilience, integrity, and commitment to serving others.
Addressing the occasion, Prime Minister Dr. Harini Amarasuriya stated that one of the greatest strengths of the Girl Guides association is its commitment to providing equal opportunities to every child, regardless of their background or abilities. The Prime Minister also emphasized that true leadership is not defined by titles or power, but by acting responsibly, listening with compassion, and working for the well-being of others.
The Prime Minister further noted that while women had limited opportunities in the past, today increasing opportunities are being created for girls and women across all sectors, and young women are making remarkable progress in every field. The Prime Minister further stressed that every girl and young woman deserves equal opportunities to improve themselves, noting that the country needs young women leaders who are ready to step forward to build a better future for Sri Lanka.
The Prime Minister also highlighted that, particularly at a time when Sri Lanka is undertaking significant economic and democratic reforms, achieving sustainable national progress requires not only economic growth but also the development of citizens who uphold strong ethical values and social responsibility. In this regard, she commended the invaluable contribution made by the Sri Lanka Girl Guides Association.
Guided by its motto, “Be Prepared,” the Girl Guiding Movement in Sri Lanka was first established on 21 March 1917 at Kandy High School by Miss Jenny Calverley Green. Today, the movement operates through seven branches; Butterflies, the Little Friends, the Guides, the Rangers, the Youth, the Differently Abled Guides, and the Community Guiding Units, catering to different age groups and abilities. The President’s Guide Award is the highest honour that can be achieved by a Girl Guide and is awarded only to those who successfully complete the required challenges, written and oral examinations, and the BP Challenge. The Prime Minister’s Award is presented as the highest recognition within the Ranger Guide section.
The event was attended by at the President of the Sri Lanka Girl Guides Association Swarnika Pitigala, Chief Commissioner Dr. Kushantha Herath, President’s Guide Commissioner Pushpa Perera, Prime Minister’s Guide Commissioner Aruni Karunaratne, other senior officials of the Sri Lanka Girl Guides Association, President’s Guides and Prime Minister’s Guides, as well as a large number of their parents.



(Prime Minister’s Media Division)
News
Customs asked to resume probe or face legal action
Rs. 16 bn BMW revenue fraud:
Public interest litigation activist Nagananda Kodituwakku has said he will initiate appropriate proceedings against Director General of Customs, Wimal S.K. Liyanagama, in terms of the Anti-Corruption Act No 9 of 2023, unless the Customs carries out a revenue fraud inquiry to recover approximately Rs 16 bn in lost government revenue.
General Secretary of Vinivida Foundation, and former Customs officer, Kodituwakku said that though the Department, in response to his request for a meeting to discuss the issue, in writing, assured them that the investigation was underway, they found that the actual situation was not so.
Kodituwakku alleged that the Customs Chief had neglected what he called statutory duties under the Customs Ordinance, by disregarding his request for a meeting.
Kodituwakku said the investigation into the importation of 1,728 brand new BMW vehicles, under the concessionary duty permits issued by the government for the public servants, between 2011 and 2014, had been stalled.
The civil society activist said that investigations had revealed the vehicles hadn’t been imported by the permit holders themselves but others. It also transpired that the value of the imported vehicles, mentioned in the commercial invoices, proforma invoices and the CusDecs, tendered to Customs in the names of the permit holders, were not the actual values for the vehicles in question.
The high-profile case has been handled by the Central Investigation Directorate, at that time headed by Murugesu Thayabaran, a batchmate of Kodituwakku.
The ex-Customs officer said that he had appeared as counsel for Thayabaran in Court of Appeal and was determined to bring the case to a successful conclusion. According to him, the importer, over the years, had been represented by nine President’s Counsel as the case dragged on from the time of P.S.M. Charles, Director General, Customs.
Kodituwakku made available letters he wrote to the Customs and other parties on this issue, to The Island. Pointing out that the Court of Appeal on 7 May, 2024, dismissed the importer’s final appeal regarding the case pertaining to the revenue loss of Rs. 16 bn, Kodituwakku said that although the court had cleared the way for the Customs probe, no action had been taken.
However, the Court of Appeal ruling was given before Liyanagama succeeded Seevali Arukgoda as DG Customs on 6 May, 2026. Liyanagama served as Director General of the Department of Management Services at the Treasury before the new appointment.
Kodituwakku said that he had also brought the Customs case to the attention of the Commission to Investigate Bribery or Corruption (CIABOC).
Emphasising the failure on the part of the Opposition to raise this issue, both in and outside Parliament, Kodituwakku said that since the exposure of the BMW scam, during Mahinda Rajapaksa’s presidency, there had been four presidents, namely Maithripala Sirisena, Gotabaya Rajapaksa, Ranil Wickremesinghe and incumbent Anura Kumara Dissanayake. Unfortunately, successive administrations had allowed the interested parties to drag the case. The lack of interest shown by political parties revealed that they not only protected those responsible but encouraged corrupt practices of allowing third parties to import vehicles in terms of permits issued to legitimate recipients of such permits.
Having campaigned on an anti-corruption platform, during the presidential and parliamentary polls in 2024, the NPP couldn’t, under any circumstances, turn a blind eye to this situation, Kodituwakku said, adding that even the IMF should be concerned of the failure on the part of successive governments to recover the money.
By Shamindra Ferdinando
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