Business
Need for manufacturer-authorized brand new EVs stressed

A key factor that needs to be borne in mind when introducing electric vehicles (EV) to Sri Lanka is the need to allow only manufacturer authorized brand-new vehicles of this kind into the country, it was revealed at a recent forum organized by the Ceylon Motor Traders Association (CMTA) and the Association of International Marketing Graduates in Sri Lanka (AIMG). The event which was titled ‘Road to Electrification’ was held at the Jetwing Colombo.
A press release said: ‘The joint forum was participated in by over 100 automotive industry experts, marketers, corporate leaders, executives, and professionals and was aimed at initiating productive discussion within the community and imparting knowledge on the introduction of EV to the Sri Lankan market and its impact on the economy of Sri Lanka.
‘The speakers at the event included Dr. Harsha Subasinghe, founder of VEGA, the first electric super car made in Sri Lanka; Dr. Niles Perera, logistics specialist from the University of Moratuwa; Ms. Maricor Muzones, regional program development lead for GGGI; and Lalith De Alwis, additional secretary for the Ministry of Transport and Highways. Yasendra Amerasinghe, immediate past Chairman of CMTA and CEO of Carmart (Pvt) Ltd, served as the moderator.
‘A vibrant and thought-provoking panel discussion took place, with the speakers sharing their knowledge of technical expertise, environmental protection, and regulatory policy development requirements to embrace the EV age. While both the pros & cons of the EV rollout was well highlighted, one key factor which was established was the need to strongly regulate the EV eco-system and for the need to allow only manufacturer authorized brand-new electric vehicles to the country.
‘In his introduction, Dr. Subasinghe stated that “the future for electrically powered vehicles is very bright” and delved into the benefits and issues of EVs that we need to overcome. He further stressed the importance of charging networks and the exportation of charges to other countries, and he shared his wealth of experience on batteries, controllers, etc. Speaking in terms of electricity generation, Dr. Subasinghe delved into SMR (small modular reactor) systems and the possibility of Sri Lanka adapting them.
‘Ms. Maricor Muzones spoke on GGGI, which is a treaty-based organization operating to get the principle of green growth in Sri Lanka. In her opinion, “Sri Lanka has put in many development policies, out of which the transport policy is now being reviewed for strengthening.” Although the mandate is available, how it should be operationalized is the question. “GGGI is looking at supporting the government and there should be an operational plan’. GGGI’s role is to support the government of Sri Lanka; however, Muzones believes the involvement of the private sector is vital.
‘De Alwis, as a Sri Lanka Government representative, stated, “Transport is the key factor to the economy, and there are guidelines being prepared for EV vehicles with the support of the UNDP.” De Alwis also spoke on the financial issues and the national transport action plan that is being prepared, including e-mobility, technology, environmental protection, infrastructure, etc. Concluding, De Alwis spoke on the policy changes needed and highlighted the important factors relating to the awareness of EV.’ He also stated that by 2030, there will be an action plan in place to develop renewable energy sources up to 70%, and he asked for private sector participation in this effort.
‘Dr. Niles stated that in transportation there is a lot of movement toward sustainable transportation, mentioning that EV is the fastest developing technology. The aim should be to move faster with better sustainable resources, and in order to do that, it is important to look at the supply chains for electric vehicles, such as mining and so on. He also stated that “there should be a plan to train people, provide charging stations, and build other infrastructure to support electric mobility.” Converting the existing fleet to electric vehicles is not feasible. For the transition, a new fleet of electric vehicles should be brought in, and in terms of energy, his point was to ensure Sri Lanka’s energy security while putting the required regulations and infra-structure in place.
‘The event concluded with a question-and-answer session. The corporate partners of CMTA and AIMG are SLIC, HNB Leasing, SLT-Mobitel, Sampath Bank & Emerging Media.’
Business
Environmental devastation seen as precipitating economic crisis in Northern Sri Lanka

As parched soil cracks underfoot and once-thriving fields lie fallow, the farmers of Mannar are living on the frontlines of a crisis that is no longer just environmental — it’s economic. Climate change has tightened its grip on this northern region, and with each failed monsoon and dwindling harvest, the livelihoods of entire communities are evaporating.
The Centre for Environmental Justice (CEJ), along with local stakeholders, has raised urgent concerns over the increasingly hostile conditions faced by farmers in the region. At the heart of the problem are erratic weather patterns — prolonged droughts, unpredictable rainfall, and extreme heat — all of which disrupt the delicate balance required for traditional farming practices.
“The erratic weather patterns triggered by climate change are not only drying up water sources but also pushing already vulnerable farming communities deeper into poverty, Dilena Pathragoda, Executive Director, CEJ told The Island Financial Review.
He added: “The economic consequences are severe — from crop failures to loss of livelihoods — and without timely interventions and climate-resilient strategies, the long-term sustainability of agriculture in regions like Mannar is in jeopardy.”
In 2024 alone, nearly 3,000 acres of paddy land in Mannar District were left uncultivated due to lack of water, according to data from local agrarian offices.
In other words, this represents an estimated loss of over Rs. 225 million in potential harvest income, based on average yields and market prices. Farmers who once cultivated rice, onions and vegetables with predictable seasonal success now face devastating uncertainty.
The failure of rain-fed tanks (reservoirs) and the drying up of canals have made irrigation nearly impossible in some areas. In Nanattan and Musali divisions, water availability dropped by some 60 per cent compared to historical averages. As water becomes scarcer, so do incomes, leading many families to take on debt or abandon agriculture altogether in search of daily-wage labour.
This agricultural downturn is having ripple effects throughout the local economy. In Mannar, where over 60% of households depend directly or indirectly on farming, the collapse of agricultural productivity has led to rising food prices, shrinking local markets, and reduced cash flow for small businesses. Fertilizer vendors, seed suppliers and even transport workers are reporting significant losses.
“Some farmers have seen their seasonal incomes drop from Rs. 200,000 to under Rs. 50,000, noted one local agriculture officer. “Many are defaulting on informal loans and are now relying on relief aid to survive.”
Economists warn that this trend, if unchecked, could contribute to broader socio-economic instability. Rural depopulation, youth migration, and heightened inequality are already being observed in vulnerable districts. Women, in particular, face added burdens as household food security becomes more precarious and access to clean water requires greater physical labor.
Despite these challenges, experts insist that solutions are within reach. Climate-resilient farming techniques — such as drip irrigation, drought-tolerant crops, and community-managed water systems — have shown promise in pilot projects across other dry zones. However, scaling these up requires political will, coordinated planning, and substantial investment.
Environmental advocates also call for a shift in national agricultural policy. “Rather than pouring money into outdated infrastructure or monoculture subsidies, Sri Lanka must pivot towards sustainable, adaptive farming models, said Pathragoda. “This includes better support for farmers’ education, access to technology, and integrated land and water management.”
Civil society groups, including CEJ, are urging both the government and international donors to treat the Mannar crisis as a wake-up call. Climate finance mechanisms, they argue, must be made accessible to grassroots communities, not just large-scale development firms. Moreover, climate justice must take center stage — recognizing that those suffering most have contributed least to the global emissions causing these disruptions.
As Sri Lanka navigates an uncertain economic recovery, ensuring food security and rural resilience is more than an environmental imperative — it’s a matter of national stability, Pathragoda stressed.
By Ifham Nizam
Business
CSE and NCE partner to empower Sri Lankan exporters

The Colombo Stock Exchange (CSE) and the National Chamber of Exporters of Sri Lanka (NCE) entered into a strategic partnership to support Sri Lankan exporters by enhancing their access to capital market opportunities and broadening visibility for their businesses.
The partnership agreement was signed by Shiham Marikar, Secretary General / CEO, The National Chamber of Exporters of Sri Lanka, and Ms. Vindhya Jayasekera, Chief Executive Officer Designate, CSE. The signing ceremony was attended by Ms. Dilini Gamlathge, Assistant Director, Member Services/Operations, The National Chamber of Exporters of Sri Lanka; Ms. Punyamali Saparamadu, SVP Commercial, CSE; Ms. Himashi Wickramasinghe, Manager, Commercial, CSE; Ms. Shivandini Liyanage, SVP, Legal, Enforcement and Compliance, CSE; and Kanishka Gunawardana, Manager, Enforcement and Compliance, CSE.
This partnership with the CSE will provide NCE members—both experienced exporters and aspiring ones—with access to vital capital market knowledge and services to support their business expansion efforts.
This collaboration aims to offer exporters tools and resources to strengthen their market presence and growth potential. It also creates a platform for SMEs within the export sector to consider listing on the Colombo Stock Exchange, particularly through the Empower Board—dedicated to facilitating capital raising for small and medium-sized businesses.
Through this partnership, CSE will also gain direct access to a network of established exporters, enhancing the reach of capital market education, awareness-building, and strategic financing solutions among key players in Sri Lanka’s export economy.
The collaboration will further enable opportunities for joint forums, knowledge-sharing sessions, and networking events, providing exporters with guidance on alternative avenues for capital generation and highlighting the benefits of corporate good governance and transparency through listing.
This partnership adds credibility to the CSE and NCE’s shared efforts and signals trustworthiness to potential stakeholders, offering significant advantages for fostering growth, strategic opportunities, and long-term development within Sri Lanka’s export sector.
Business
A case for a visa-free tourism regime in SL

Sri Lanka should not have any restrictions for tourist arrivals and a visa-free regime is the need of the hour to woo more visitors, said travel and aviation expert Nihal C.B. Perera.
The founder of a family-owned company in Sri Lanka, Sparklink Travels, Perera said that Sri Lanka should offer the same ‘Visa Free facility’ initiated by Singapore and now successfully implemented by Thailand.
A former Ceylon Tourist Board, Development and Publicity Director, he said that during his time, they leased or gave several unused state land areas to build hotels. “But we told the investors that the construction has to start in six months, and this happened.”
One such venture was the opening of the Pegasus Reef Hotel at Wattala.
Perera also initiated the creation of special tourism zones in Bentota, Hikkaduwa and several other areas.
After a nearly 15-year stint at the Tourist Board, he formed his own travel company, Sparklink Travels, in 1979 with just 4 employees. “With the rapid expansion of business, and being recognized as an IATA-accredited travel agency, we increased our employee strength and moved into our own four-storey building in Bambalapitiya. We also opened a branch in Australia, he said.
“After the COVID pandemic, we also negotiated with airlines and refunded all passenger tickets purchased and cancelled due to COVID-19, Perera explained.
He recalled the days when people were issued small booklet-type air tickets and how his staff had to visit the airline offices to collect them. Perera added: “The online has changed these and I think this is a time-saving move.
“Unlike two decades ago, online and payment gateways have enabled people to book their own air tickets from home and we too have changed our strategies to find new businesses.”
Today, Sparklink Travels continues with his son Praki Perera, heading the company’s operations in Sri Lanka and Australia.
Their dedication ensures that the company remains a premier provider of air travel, cruises and tours, with professional services tailored to enhance the true essence of travel.
Perera, who has been a pioneering force in Sri Lanka’s tourism sector, was also honored as a ‘Tourism Legend’ at the annual industry awards.
By Hiran H. Senewiratne
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