News
Govt. to receive USD 780 mn via IMF SDR facility to get over COVID difficulties
State Minister Ajith Nivard Cabraal says Sri Lanka will receive USD 780 mn in terms of Special Drawing Rights (SDR) in support of efforts to meet difficulties caused by the Covid-19 crisis. Asked whether the government had agreed to a programme, the former Governor of the Central Bank Cabraal said that the funds were made available to all countries regardless of a programme.
Pointing out that the total IMPF allocation was about USD 650 bn, Sri Lanka was entitled to USD 780 mn.
Top SJB spokesman Dr. Harsha de Silva, MP said that every IMF member nation would get their share of the USD 650b new allocation to be used in any manner they wished but mostly for Covid-related expenses.
The MP said: “These allocations have taken place several times in the past as well. This time the proposal was stuck during the Trump administration but cleared by Biden.
Going to the IMF or not to resolve our debt issue is a separate matter. That is the decision of the government.
But the reality is that we are now on very thin ice because even with this windfall our official reserves will be around USD 3b at the end of August. And once the gold is removed, reserves will be around USD 2.5b. Then even if the reserves of all private banks and entities are added, at a national level usable reserves would be around USD 4.5b by the end of the month. But we have, both government and private sector, close to USD 7b in debt payments alone in the coming 12 months.
As we just saw last week the import ban is not working and the trade deficit is ballooning while remittances are falling and tourism is stuck. This means we will run a deficit in the current account of the balance of payments.
The result is additional requirements for reserves to meet imports.
Now I heard the Minister saying to CNBC that he expects USD 400m from India and USD 250m from Bangladesh. But these swaps are all very short term loans. A few months max. Maybe some additional money may come from China Development Bank etc. He said he expects anywhere from USD 400m to USD 1b from ‘utilizing underutilized assets’ in other words privatisation. This is I presume via Selendiva, but I am at a loss to figure out what would need to be sold to get that amount. That is still a one off inflow. Beyond that the much talked about FDI to Port City and elsewhere has not materialised and even if it does only a fraction would go to reserves as most would be spent on imports.
So even they have been harping on an ‘alternative’ no one has explained what it is.
So yes, I don’t see any other option but to approach the IMF to work out a facility to bail Sri Lanka out of the hole this government has put us into, starting from the unwise tax cuts in December 2019 and multiple blunders since, besides the pandemic. If they went to the IMF in late 2020 we could have settled at around LKR 190 to the dollar. If they go now perhaps around Rs 215 to Rs 220 and if we delay further then at a further depreciated rate. The choice is theirs but given the situation they have put us all into there is no way we can come out of this without the help of the IMF either now or 6 months down the road.
The MP said that instead of keeping the country open and letting thousands die because of their logic of the need to keep the economy moving, what they need to do is enter into a program with the IMF to restructure the debt and get a breather and close the country based on medical expert advice.”
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70,297 persons still in safety centers
The Situation Report issued by the Disaster Management Center at 06:00AM on 16th December 2025 shows that 70,297 persons belonging to 22,338 house holds are still being housed at 731 safety centers established by the government.
The number of deaths due to the recent disastrous weather stands at 643 while 183 persons are missing.

News
MEPA to crack down on marine polluters
… Warns would-be polluters of criminal prosecution, hefty fines and even blacklisting
The Marine Environment Protection Authority (MEPA) has warned that ship owners, operators and local entities responsible for marine pollution will face criminal prosecution, heavy financial penalties and possible blacklisting, MEPA Chairman Samantha Gunasekera said yesterday.
Gunasekera told The Island that Sri Lanka would no longer tolerate negligence and regulatory breaches that threaten the country’s marine ecosystems, coastal livelihoods and national economy.
“Any party that pollutes our seas—whether foreign vessels or local operators—should be prepared to face the full force of the law,” Gunasekera said. “There will be no room for excuses, delays or backdoor negotiations when marine pollution is involved.”
He said MEPA has intensified surveillance of major shipping routes, ports and environmentally sensitive zones amid rising maritime traffic through Sri Lankan waters, which remain among the busiest in the Indian Ocean.
by Ifham Nizam
News
SC delegation, headed by CJ Surasena, observes Indian Supreme Court in action
A 10-member delegation from Sri Lanka’s Supreme Court, headed by Chief Justice P. Padman Surasena, departed to New Delhi on the 11th of December, 2025, for an official visit to the Supreme Court of India as part of the ongoing official visit by the delegation to India.
The group was accorded a ceremonial welcome in the Court’s main hall, led by the Chief Justice of India (CJI) Surya Kant. CJI Kant told the assembled Judges that “the Indian judiciary was honoured to host” their Sri Lankan counterparts, expressing hope that the visit would be “meaningful and very constructive” and underscoring the “close emotional bonds” between the two countries.
The focal point of the programme was a special sitting of the Supreme Court. Chief Justice Surasena joined CJI Kant and Justice Joymalya Bagchi on the bench, presiding over the Court as a guest Justice. He was accompanied by nine other Supreme Court justices from Sri Lanka, who took seats in the well of CJI Kant’s courtroom to observe the day’s proceedings.
Supreme Court Bar Association President Vikas Singh formally greeted the delegation and praised Justice Surasena’s reformist efforts. Singh recalled the Sri Lankan Chief Justice’s own maxim, “If you want something you have never had, then you have got to do something you have never done”, highlighting the bold changes Surasena had introduced to modernise Sri Lanka’s Court system. Singh noted that these initiatives, particularly court digitization, were aimed at eradicating “the persisting problems of law delays” and streamlining case backlogs.
The Sri Lankan Judges spent the morning observing live Supreme Court proceedings in CJI Kant’s courtroom. This first-hand exposure to Indian court operations formed a key part of the programme’s judicial engagement. During the hour-long session, the visiting justices witnessed a range of cases on the Supreme Court’s roster, with Justice Surasena and the delegation following arguments from the front. The experience was designed to be immersive and following the hearing the Sri Lankan Judges were briefed on India’s own initiatives towards a digitalised court system, e-filing and case management systems.
The official programme then shifted to capacity-building and information exchange. In the early afternoon, Indian Supreme Court officials gave the Sri Lankan delegation detailed briefings on India’s technological initiatives. Court registrars demonstrated the e-filing system and other e-initiatives implemented by the Supreme Court of India. Additional presentations outlined the Court’s new case management systems and administrative reforms. These sessions highlighted how digital tools and better case-listing procedures have been used in India to increase efficiency. The Sri Lankan judges asked questions about India’s experience with electronic court records and the integration of technology in daily judicial work, reflecting their own interest in similar reforms back home.
The visit underscored the growing collaboration between the Indian and Sri Lankan judiciaries. Throughout the proceedings, both sides emphasised their shared legal traditions and mutual respect. As Chief Justice Surasena noted during the sitting, India is Sri Lanka’s “closest neighbour,” and historic links, even dating back to ancient epics, form the backdrop for today’s judicial dialogue. CJI Kant remarked that having the chief justices of two vibrant democracies together on the bench was a “significant moment” for the rule of law.
The Sri Lankan delegation continued its programme in Delhi on 12 December with a visit to the Delhi High Court and its International Arbitration and Mediation Centres. The exchange visit is expected to deepen judicial cooperation and provide practical insights for both courts. Officials on both sides say the engagement aimed at sharing best practices in court administration, reinforce legal ties and support ongoing reforms aimed at reducing case backlogs and delays.
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