Business
At Asia’s crossroads, Sri Lanka must decide how it will join the future
In the ancient Silk Road city of Samarkand, where merchants once connected civilisations through trade and ideas, a new conversation unfolded from 3–6 May at the 59th Annual Meetings of the Asian Development Bank.Political leaders, central bank governors, investors, innovators and development partners gathered under a compelling theme: “Crossroads of Progress: Advancing the Region’s Connected Future.”
The message resonating across the forum was unmistakable. Asia and the Pacific are entering a decisive decade in which connectivity, technology and regional cooperation will shape economic power and social resilience. Supply chains are being redesigned. Artificial intelligence is transforming productivity. Energy systems are becoming increasingly interconnected. Financing models are evolving to accommodate climate pressures and development needs. Countries that move quickly and cohesively are likely to benefit from this transformation. Those trapped in internal fragmentation risk falling behind.
The Annual Meetings demonstrated that the future envisioned by the ADB is no longer theoretical. Across the region, governments are already repositioning themselves to participate in a more integrated Asian economy. Discussions focused heavily on cross-border infrastructure, digital innovation, energy interconnection, sustainable finance and regional policy harmonisation.
One recurring theme was that “integration is power.” In an era marked by geopolitical uncertainty and economic disruption, regional cooperation is increasingly viewed as the foundation of resilience. From trade corridors and logistics systems to energy-sharing mechanisms such as the ASEAN Power Grid, policymakers emphasised that countries can no longer afford to operate in isolation.
The conversations in Samarkand also reflected how development itself is being redefined. Data, digital infrastructure and artificial intelligence are becoming as important as roads, ports and airports. Governments across Asia are already deploying AI-enabled public services, fintech systems, smart agriculture and real-time disaster response technologies to improve efficiency and social inclusion.
Equally important was the recognition that public financing alone will not be enough to meet the region’s ambitions. The ADB repeatedly stressed the need for innovative financing mechanisms capable of mobilising private capital while strengthening domestic fiscal systems. Climate adaptation, energy transition and infrastructure expansion will require development finance that is scalable, catalytic and capable of attracting long-term investor confidence.
For Sri Lanka, the discussions carried particular significance.
Having emerged from one of the gravest economic crises in its post-independence history, Sri Lanka today stands at a delicate juncture. The country possesses many of the advantages needed to participate meaningfully in Asia’s next growth phase: strategic geographic positioning, human capital, maritime access and longstanding relationships with multilateral institutions such as the ADB. Yet the gap between potential and preparedness remains considerable.
While many Asian economies appear to have moved toward greater institutional maturity and long-term policy coordination, Sri Lanka continues to wrestle with recurring political instability, governance concerns, debt restructuring pressures and inconsistencies in economic policymaking. Questions surrounding legal processes, public sector reforms and policy continuity continue to affect investor confidence and national coherence.
The challenge facing Sri Lanka is therefore not merely economic. It is fundamentally institutional and political.
The larger Asian story unfolding in Samarkand was one of countries aligning national purpose with regional opportunity. Whether through digital transformation, energy integration or climate financing, many nations appear increasingly focused on continuity, coordination and long-term execution. Sri Lanka, by contrast, still appears engaged in resolving foundational questions about governance, accountability and economic direction.
This does not diminish the country’s prospects. Rather, it highlights the urgency of reform and policy harmonisation if Sri Lanka is to become a meaningful participant in the region’s connected future.
The ADB’s vision for Asia is ultimately centered on resilience through cooperation. It is a vision in which countries strengthen themselves not in isolation, but through deeper engagement with regional systems of trade, finance, energy and technology. For Sri Lanka, this presents both an opportunity and a warning.
The opportunity lies in leveraging multilateral partnerships, embracing digital modernisation, strengthening institutional credibility and integrating more deeply into emerging regional networks. The warning is that Asia’s transformation is accelerating. Countries unable to build stable governance structures and coherent development strategies may struggle to capture its benefits.
Samarkand itself offered a symbolic reminder of this reality. Historically, it flourished because it connected worlds. Today, Asia is once again building new networks of connection – digital, financial, infrastructural and geopolitical.
The question confronting Sri Lanka is whether it can align its political will and economic resilience quickly enough to travel alongside the region’s next decade of growth rather than watch it from the margins.
By Sanath Nanayakkare
By Ifham Nizam
A USD 57.4 million investment package is set to reshape the economics of electricity for small and medium-sized businesses, while creating a stronger platform for private investment in rooftop solar and other distributed renewable-energy projects.
The financing package—comprising a USD 35 million concessional loan from the Asian Development Bank (ADB), a EUR 15.4 million grant from the European Union (EU), equivalent to USD 16.94 million, and a USD 5.5 million grant from the Japan Fund for the Joint Crediting Mechanism (JFJCM)—will finance a five-year programme to modernise the electricity distribution system from 2026 to 2030.
For the business community, one of the most significant elements is the planned introduction of Virtual Net Metering (VNM), which will be implemented in the country for the first time.
The EU-funded component will support 25 MW of aggregated rooftop solar PV capacity, specifically aimed at helping reduce the electricity-bill burden of small and medium-scale entrepreneurs.
The move could open a new investment channel for SMEs that have traditionally faced difficulties in absorbing high energy costs and making the upfront investment required for renewable-energy systems.
Rather than viewing rooftop solar simply as a household energy solution, the programme positions distributed solar as an important business-cost management tool.
For SMEs, which operate with considerably tighter margins than many large corporates, electricity expenditure can have a direct impact on competitiveness, cash flow and the ability to expand operations.
By allowing electricity generated from qualifying rooftop solar installations to be applied through a virtual net-metering arrangement, the programme is expected to broaden the economic benefits of solar power beyond individual premises.
The financial significance of the scheme extends beyond the initial 25 MW.
By establishing the infrastructure and regulatory framework required to manage aggregated distributed generation, the project could help create greater investor confidence in the development of decentralised renewable-energy assets.
The investment therefore has the potential to leverage additional private capital into the renewable-energy sector rather than functioning solely as a government-funded infrastructure programme.
The financing package is particularly notable because a substantial portion comes in the form of grants and concessional funding, reducing the cost of financing technologies that would otherwise require significant upfront capital.
The ADB loan will support the wider modernisation programme, while the EU and Japanese grant components will help finance renewable-energy integration and technologies designed to strengthen the grid.
At EDL, the investment will upgrade the existing CEBAssist platform with Advanced Metering Infrastructure (AMI), a Distributed Energy Resource Management (DERM) system and distribution control centres supported by an Advanced Distribution Management System (ADMS).
These systems will give the utility real-time visibility of electricity consumption and distributed generation, allowing it to manage an increasingly decentralised power system more efficiently.
That digital infrastructure is critical to the business case for expanding rooftop solar.
As more SMEs and other consumers generate their own electricity, the distribution network needs to know where generation is taking place, how much electricity is entering the grid and how those flows are affecting local network conditions.
Renault has taken another significant step in its return to the Sri Lankan market with the opening of the Renault Experience Centre at Majestic City, Colombo, offering customers an opportunity to discover the brand and experience its latest models.
The Centre was officially declared open by Jawahar Ganesh, Group Managing Director of Associated Motorways (Private) Limited, accompanied by Prasanna de Silva, Director – Sales, AMW. The occasion was attended by AMW management and staff, members of the media, customers, well-wishers and other invited guests.
Located at the lobby of Majestic City, the Centre features three Renault models being introduced to the Sri Lankan market – the Renault Kwid, Renault Kiger and Renault Triber. Visitors can explore the vehicles, learn about their features and specifications, and take advantage of test drives available at the location.
Adding to the convenience for customers, AMW has ample stocks of Renault vehicles available in Sri Lanka, allowing customers to take delivery of their chosen vehicle without having to wait for months for it to arrive. Subject to completion of the necessary documentation and registration, customers can look forward to driving away in their new Renault within as little as one day, making the purchase experience faster and more convenient.
Customers can also enjoy greater peace of mind with a three-year manufacturer warranty, supported by dedicated Renault aftersales facilities to provide professional service and support throughout their ownership journey.
Commenting on the opening, Jawahar Ganesh, Group Managing Director of AMW, said, “We are delighted to welcome Renault back to Sri Lanka and to open the Renault Experience Centre at Majestic City. Renault is a brand with an exceptional heritage, a strong global presence and a reputation for innovation and distinctive automotive design. Through AMW, we are bringing that heritage and experience closer to Sri Lankan customers”.
Business
Dialog and Indira Cancer Trust continue breast cancer awareness initiative through Yeheli.lk
Dialog Axiata PLC, Sri Lanka’s #1 connectivity provider, marked the beginning of Breast Cancer Awareness Month by illuminating its Corporate Head Office in pink, in partnership with the Indira Cancer Trust, to stand in solidarity with individuals and families affected by breast cancer and encourage greater awareness, regular screening and early detection.
Building on previous breast cancer awareness campaigns conducted through Dialog’s Yeheli.lk platform in collaboration with the Indira Cancer Trust, this year’s initiative will continue throughout October under the theme, ‘A Pledge from the Heart’. As part of the campaign, members of the public can visit yeheli.lk to register for a free monthly SMS reminder and take their pledge for early detection throughout Breast Cancer Awareness Month.
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