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Crisis cannot be tackled by fuel price increases alone: SJB prescribes IMF

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By Shamindra Ferdinando 

Samagi Jana Balavegaya (SJB) spokesperson Dr. Harsha de Silva, MP, yesterday (21) called for immediate remedial measures in the wake of Energy Minister Udaya Gammanpila’s shocking admission that the national economy was in such a bad shape it found it difficult to pay for oil imports. 

 Former UNP non-Cabinet minister de Silva said that there had not been a previous instance of a minister expressing fears of collapse of the banking system under their watch unless corrective measures were taken. The Colombo District MP recommended the government to seriously consider seeking IMF’s assistance before the situation further deteriorated . 

Noting that both the Energy Minister and the Presidential Secretariat declared that state banks could be overwhelmed by staggering Rs 737 bn loans owed by the Ceylon Petroleum Corporation (CPC) and Ceylon Electricity Board (CEB), MP de Silva emphasised that the monetary crisis could not be addressed by increasing fuel prices alone. 

COPE member MP de Silva appreciated Attorney-at-law Gammanpila for being frank in his assessment. The SJB MP explained ways and means of addressing the issues at hand when The Island asked whether the Parliament as an institution should adopt a common stand on national economy and take tangible remedial measures? 

The Island also sought the MP’s suggestions on  stabilising the economy. 

Economist de Silva said that Minister Gammanpila is on record as having said that the Central Bank in a letter dated May 31, 2021 warned the Finance Ministry of dire consequences unless remedial measures were taken. 

MP de Silva said that State Minister of Finance, Capital Markets and State Enterprise Reforms Ajith Nivard Cabraal in a recent interview with Irida Lankadeepa confirmed Minister Gammanpila’s statement. However, it would be a grave mistake on the part of the government to believe such an extremely serious situation could be tackled by increasing fuel prices. 

The former Policy Planning Deputy Minister said the issue at hand is so serious, it could not be fixed by just increasing fuel prices. “A macro prudential analysis must be undertaken by the Central Bank without further delay. The systemic risks must be identified and assessed. The vulnerability of the banking system must be immediately addressed beyond the mere inability of the CPC to make good on their payments,” MP de Silva said. 

MP de Silva underscored the desperate situation the state banks were experiencing. The MP said that state banks were entering into dollar swaps at massive discounts. For instance, buying dollars today at Rs 199.99 with settlement in a year at Rs 181.99. “Consider the risk these state banks are running. Can they get dollars at Rs 181.99 in a year’s time or will the dollar cost Rs 210 or even higher? Whose money is at risk? Another glaring example is the plan to borrow USD 1 billion from ‘unsolicited’ bidders. This is unbelievable. Are we going to integrate our banking system with money laundering operators to allow them to clean black money? What will happen to our credibility in the longer run? These are all serious matters that need immediate attention.” 

Responding to another query, MP de Silva asserted that the best option available to the SLPP government was to restructure the country’s debt. “If we, do it now, we should be able to come out of the crisis with only a re-profiling exercise, meaning a delay in our payments to the bond holders instead of asking them to take a haircut, meaning to agree to a reduction in principle,” he said. 

The SJB heavyweight asked would working with the IMF acceptable than seeking deals with those hoping to clean their dirty money. The current crisis should be tackled by working with the IMF whatever the political agenda the SLPP hoped to pursue, the government had no option but to seek IMF assistance or face a catastrophe. MP de Silva said that he suggested six months ago that Sri Lanka had no option but to undertake a restructuring process with the IMF. Although the government had ignored warnings and declared it would never go to the IMF, the crisis triggered by the fuel price hike exposed the government. “Unfortunately for the people of Sri Lanka the more these people continue this delay in restructuring the greater the pain will be when it finally is thrust upon us. We need a soft landing. Not a hard landing,” Dr. de Silva said. 

 The former minister said that this would be raised in parliament. Referring to a media briefing called by Minister Gammanpila early this month whereas announced plans for a new oil refinery at Sapugaskanda, MP de Silva said that the PHU leader said that cash-strapped debt-ridden government lacked the wherewithal to make an investment therefore needed external financing amounting to USD 3 bn. The former Minister said that Minister Bandula Gunawardena and State Minister Dr. Nalaka Godahewa, too, acknowledged the severe financial difficulties with the latter explaining how the raging Covid-19 pandemic worsened the situation.



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Bodies of 84 Iranian sailors killed in US torpedo strike to be repatriated

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The bodies of 84 Iranian sailors killed in a torpedo attack by a US submarine last week in the Indian Ocean are due to be flown home on Friday, Sri Lanka’s defence ministry has said.

The seamen were among 130 thought to be aboard the Iranian warship, the Iris Dena, when it was sunk on 4 March about 40km (25 miles) from Sri Lanka’s southern coastline.

A police escort transferred bodies to Mattala Rajapaksa International Airport on Friday morning for the repatriation to Iran, after they were stored in two freezers at Galle National Hospital.

Sri Lanka said 32 sailors rescued by its navy after the torpedo attack “will remain in Sri Lanka”, according to news agency AFP.

A magistrate in the Sri Lankan city of Galle ordered that the 84 bodies should be released to the Iranian embassy.

US Defense Secretary Pete Hegseth said shortly after the sinking that the Iranian warship had died a “quiet death”.

Iran’s Foreign Minister Abbas Araghchi said the US had “perpetrated an atrocity at sea, 2,000 miles away from Iran’s shores”, adding that “the US will come to bitterly regret precedent it has set”.

Video released by the US Department of Defense after the incident showed a ship being struck, causing the stern to rise up before exploding.

The Iris Dena had been returning from a military exercise hosted by India when it was attacked.

Its sinking in international waters came during the current US-Israeli war with Iran and marked a dramatic widening of the conflict.

Iran has since launched retaliatory strikes across the Middle East – targeting Gulf countries allied with the US.

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Safeguarding linguistic heritage is not only a cultural responsibility, but also a shared commitment to preserving the diversity of our world – PM

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Minister of Education, Higher Education and Vocational Education Prime Minister Dr. Harini Amarasuriya participated as the Chief Guest in the special event organized to commemorate International Mother Languages Day 2026 on 13 March 2026 at the New Arts Theatre of the University of Colombo. The event was held under the theme ’Languages Unite: Diverse Voices, Shared Humanity’.

The event was jointly organized by the High Commission of Bangladesh and the Ministry of Education of Sri Lanka with the support of the United Nations, the Sri Lanka Scout Association, and the Sri Lanka Girl Guides Association.

Certificates and awards were presented to school winners of the painting, essay, and short video creation competitions organized in conjunction with the celebration of International Mother Language Day 2026.

Addressing the occasion, the Prime Minister Dr. Harini Amarasuriya stated:

“International Mother Language Day stands as a powerful reminder of the profound connection between language, identity, and dignity.

This global observance owes its origins to the visionary initiative of the People’s Republic of Bangladesh. Bangladesh’s advocacy transformed a national commemoration into a global movement one that celebrates the rich mosaic of humanity’s linguistic heritage.

Sri Lanka’s language diversity reflects the richness of our pluralistic heritage. This diversity should not be seen as a challenge to be managed, but as a strength to be valued and cherished.

When we protect language rights, we nurture social harmony. When we promote multilingual education, we empower future generations. And when we listen to one another in our own languages, we affirm each other’s humanity. At a time when divisions can easily take root, respect for linguistic diversity can instead serve as a bridge of empathy and cooperation.

In an increasingly digital age, we must also reflect on the importance of preserving linguistic diversity in cyberspace. Thousands of languages around the world remain vulnerable. Without conscious efforts in education, technology, and policy, many risk fading into silence. Safeguarding linguistic heritage is therefore not only a cultural responsibility, but also a shared commitment to preserving the diversity of our world”.

The Prime Minister remarked that the partnership between Sri Lanka and Bangladesh continues to grow in friendship and cooperation with the shared commitment to multilateralism, cultural understanding, and people-to-people engagement strengthens the bonds between the two nations.

The event was attended by the Bangladesh High Commissioner, Andalib Elias, Deputy Speaker Dr. Rizvie Salih, Secretary to the Prime Minister Pradeep Saputhanthri, FAO Country Representative for Sri Lanka and Maldives Vimlendra Sharan, Chief Commissioner of the Sri Lanka Girl Guides Association Dr. Kushantha Herath, diplomatic crops, members of the Sri Lanka Scout Association, and the Sri Lanka Girl Guides Association and students.

[Prime Minister’s media division]

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This is not an ordinary scholarship programme. It defines the future vision of our country – PM

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Prime Minister Harini Amarasuriya stated that the Government believes investments in education should be encouraged to develop highly skilled human resources essential for rebuilding the country, adding that the scholarship programme is a national initiative that reflects the country’s future vision.

The Prime Minister made these remarks while attending the inauguration ceremony of the scholarship programme that provides opportunities for students who excelled in the 2024 G.C.E. Advanced Level Examination to pursue their undergraduate studies at the world’s leading universities. The event was held on 12 March 2026 at the Ministry of Education, Isurupaya.

An investment of Rs. 4,001 million is expected to be allocated for this project.

Under this programme, it is planned to award 200 foreign scholarships to students during the period of 2025 and 2033. As the initial phase of the programme, 32 students have been selected for the 2025/26 academic year, and 9 students have already secured admission to some of the world’s leading universities, including those in Sydney, Melbourne, Monash in Australia, and Auckland in New Zealand.

A transparent selection process has been followed in selecting the students. They are required to pursue their studies in universities ranked within the top 500 of global rankings such as QS, THE, or ARWU.

For each selected student, a maximum financial allocation of Rs. 20 million per year will be provided, with a total of up to Rs. 80 million (Rs. 80,000,000) for the full four-year undergraduate programme.

Minister Dr. Harini Amarasuriya stated:

“Today brings a great satisfaction to the Ministry of Education. As the first phase of a promise we made in our policy statement, scholarships have been awarded today to 33 students who achieved outstanding results in the Advanced Level Examination to pursue higher education abroad. Implementing this programme was not easy. We had to engage in extensive discussions regarding student selection, maintaining transparency, and identifying universities with higher academic standards.

This is not an ordinary scholarship programme. It is a programme that defines the future vision of our country. It provides students with the opportunity to study at some of the world’s leading universities. Therefore, students selected for this programme must demonstrate not only academic excellence but also leadership qualities, personality, and resilience.

To build our country, we need good citizens. We must create a human resource capable of taking the country forward. Countries such as Singapore, China, and Malaysia have progressed by investing in human resource development. We must also follow that path.

Beyond becoming graduates, these scholarship recipients should become individuals capable of making a meaningful impact on society and serving as part of the broader social transformation of our country. This is a long-term investment we are making. We expect you to support fellow students, lead teams, and demonstrate strong character.

No matter the challenges you face including the climate changes, cultural differences, or missing loved ones, you must remain determined and not abandon your journey. Use such challenges to develop your leadership qualities. Even difficult experiences can become opportunities. Learn from new cultures, technologies, and systems of knowledge. Become innovative thinkers who can apply that knowledge to the development of our country.

Gain as much experience as possible. Develop communication skills, empathy, teamwork, and the ability to understand others. Thereby you will be able to deliver the change we expect for the nation. We will never be left alone. In any challenging situation, we are ready to intervene and support you. We will facilitate the necessary coordination and assistance through embassies. If we are to take our country toward social transformation, it must be done through collective effort, protecting and supporting one another. We must create leaders who can guide not only Sri Lanka but the entire world toward a more humane future”.

The event was attended by Deputy Minister of Education and Higher Education Dr. Madhura Senevirathna, Secretary to the Ministry of Education, Higher Education and Vocational Education Nalaka Kaluwewa, officials of the Ministry of Education, and the selected students.

[Prime Minister’s Media Division]

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