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Advocata calculates 55 SOEs have lost a cumulative Rs. 1.2 trillion from 2006-2020

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As many as 55 State Owned Enterprises (SOEs) have suffered a staggering Rs. 1.2 trillion cumulative losses from 2006-2020, says Colombo-based independent policy think tank Advocata.

The combined loss per day of the Ceylon Petroleum Corporation, Ceylon Electricity Board, SriLankan Airlines, Sathosa and the National Water Supply and Drainage Board is about LKR 384,479,189, according to data  for the year 2019, said Prof. Rohan Samarajiva, a veteran  policy expert  and an adviser of the Advocata Institute addressing a press briefing organized to highlight the urgency of carrying out  reforms in SOEs.

“The basic issue is that we, in this country, are suffering from a twin deficit. We need to  get started on addressing the core problem. Big, ponderous, government enterprises are not responsive to our needs. And because they’re not responsive, you will go home today and you will have a blackout of one hour, because they’re load shedding during peak hours,” said Samarajiva.

According to him privatizing a globally visible, yet loss making SOE’s such as SriLankan  Airlines is the best solution to create confidence among investors that Sri Lanka is serious about reforms.

Sri Lanka’s SOE are a serious burden on public finances. With the economic crisis reaching a tipping point, it is becoming increasingly impossible to keep these  loss making enterprises  afloat. Continuing to do so at the expense of the taxpayer can have serious consequences to the economic trajectory of the nation, Samarajiva said.

The massive loses have been incurred in a backdrop of the country wading through a serious debt crisis with questions  surrounding our ability to meet  forthcoming debt obligations.

The briefing brought together a panel of industry experts who  rang alarm bells on why Sri Lanka cannot afford to be complacent about State Owned Enterprise reforms anymore.

Prof. Samarajiva, explained the  seriousness of this issue along with how privatization can achieve positive outcomes for the country.

“In 1997, Sri Lanka Telecom was making losses and providing bad services. Today, after  privatization, it is  providing us with good services and employment at rates double what employees were earning (under the previous state-owned dispensation). It is also providing the government with a dividend which  generated billions to the government”.

He highlighted that the country has no other alternative  to prevent the hemorrhaging losses of SOEs apart from privatization.

“Privatization is not  a one size fits all model,  it is different in different countries and sectors – as seen in the telecommunication industry in Sri Lanka – with a good regulator we can have competition, leading to greater  efficiency and making technology accessible to the common public,” commented  Ms. Anarkali Moonesinghe, Advisor to the Advocata Institute.

She further elaborated that  possible avenues for privatization  that can be considered include  listing of SOEs on the  stock exchange. According to Moonesinghe, “our stock market could use large capital companies that are owned by the government today. It not only gives people ownership but also  broadens ownership by giving the average person an opportunity to become a direct stakeholder of these enterprises. This can be a better option than attaching the person through taxpayer money or having your EPF/ETF being invested in these enterprises”.



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NPP: Speaker won’t step down, CIABOC can investigate him

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Nihal

* New Auditor General should not have been sworn in before Speaker – Opp.

* Suspended House Dy. Sec. Gen. Chaminda Kularatne takes his case to CA today

General Secretary of the National People’s Power (NPP) Dr. Nihal Abeysinghe yesterday said that there was no need for Speaker Dr. Jagath Wickramaratne to step down in view of the complaint lodged against him with the CIABOC (Commission to Investigate Allegations of Bribery or Corruption).

NPP General Secretary said so in response to The Island query whether the parliamentary group of the ruling party discussed the growing Opposition calls for the Speaker, who is also the Chairman of the Constitutional Council, to step down to facilitate the investigation.

The NPP parliamentary group consists of 159 MPs, including 18 National List (NL) members.

NL member Dr. Abeysinghe asked whether any other person, who had been investigated by the CIABOC, stepped down from his or her position to facilitate the inquiry.

The top official emphasised that the CIABOC could go ahead with its investigation without any hindrance.

Chamindra and Dr. Jagath

Opposition sources said that there hadn’t been a similar situation before and the CIABOC investigation into Speaker Dr. Wickramaratne is unprecedented as he heads the 10-member CC responsible and directly involved in all key appointments, including that of members to the CIABOC.

Sources pointed out that the newly appointed Auditor General, Ms. Samudrika Jayaratne, took the oath of secrecy before the Speaker on 5 February in Parliament after suspended Deputy General Secretary of Parliament Chaminda Kularatne complained to CIABOC.

In accordance with Section 9 of the National Audit Act, No. 19 of 2018, Jayaratne took the oath of secrecy in her capacity as the Auditor General of the National Audit Office and Chairperson of the Audit Service Commission.

Sources said that Kularatne would move the Court of Appeal today (10) against his removal at the behest of the Staff Advisory Committee, headed by the Speaker.

By Shamindra Ferdinando

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Trinco Buddha statue case: All suspects, including 4 monks re-remanded till 11 Feb.

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One of the monks being brought to the Magistrate’s Court

The Trincomalee Magistrate’s Court yesterday (09) further remanded 10 persons, including four Buddhist monks, arrested on 19 January, 2026, for allegedly placing a Buddha statue in the coastal reservation, on 16 January.

The Buddhist monks, including Ven. Balangoda Kassapa Thera, and six other individuals, were further remanded until 11 February.

They have been accused of violating the Coast Conservation Act by placing a Buddha statue on a block of land belonging to the Trincomalee Bodhiraja Temple.

Of the four monks, Ven Balangoda Kassapa Thera and Ven Trincomalee Kalyanawansa Tissa Thera moved the Court of Appeal against the Magistrate’s Court decision. The case was heard on 22 January before a Bench comprising the President of the Court of Appeal, Justice Rohantha Abeysuriya, and Justice K. Priyantha Fernando.

Manohara de Silva, PC, and President’s Counsel Uditha Igalahewa, PC, appearing for the petitioners, urged the Court to take up the matter urgently, describing it as a case of exceptional importance.

However, the Court of Appeal on 3 February dismissed the petitions against the remanding of Ven Balangoda Kassapa Thera and Ven Trincomalee Kalyanawansa Tissa Thera.

The order was issued by the Court of Appeal bench consisting of the President of the Court of Appeal, Justice Rohantha Abesuriya and Justice Priyantha Fernando.

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Pakistan HC commemorates Kashmir Solidarity Day

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Exhibition focusing on Kashmir (pic courtesy PHC)

The Pakistan High Commission in Colombo recently organised a seminar and photo exhibition at the HC premises to commemorate Kashmir Solidarity Day. The following is the text of the statement issued by the PHC: “The event highlighted Pakistan’s continued support for the Kashmiri people and emphasised the importance of a peaceful and just resolution of the Jammu and Kashmir dispute. Members of the Pakistani community, friends of Kashmir, and local journalists attended the event.

The seminar concluded with remarks by the High Commissioner of the Islamic Republic of Pakistan, Major General (R) Faheem-ul-Aziz, HI (M). He reaffirmed Pakistan’s principled stance on the Jammu & Kashmir issue and underscored the need for sustained international engagement. He noted that the situation in Indian Illegally Occupied Jammu & Kashmir (IIOJK) has remained a matter of concern for decades and called upon the international community, particularly the United Nations, to play its role in promoting peace, stability, and respect for human rights.

The High Commissioner emphasised that the Jammu and Kashmir dispute should be resolved in accordance with international law and relevant UN Security Council resolutions, cautioning that prolonged tensions could have broader implications for regional peace and security.

The event featured keynote addresses by Shiraz Yunus and Ms. Suriya Rizvi, who highlighted the importance of dialogue, interfaith harmony, and peaceful coexistence. They also drew attention to humanitarian concerns and stressed the need for safeguarding fundamental rights in the region.

Earlier, messages from the President and the Prime Minister of Pakistan, issued on the occasion of Kashmir Solidarity Day, were read out by the Press Attaché and the Trade & Investment Attaché, respectively.

As part of the Photo Exhibition, photographs and digital presentations, depicting the humanitarian situation in IIOJK, were displayed during the seminar.”

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