News
No import of vehicles anytime soon as govt. is concerned about drain on exchange reserves – Siyambalapitiya
By Rathindra Kuruwita
The government has not decided on a timeline to allow the free import of vehicles to the country, State Minister of Finance, Ranjith Siyambalapitiya says. He said that importing vehicles would be a drain on the country’s foreign currency reserves.
“We have allowed the import of 250 buses and 750 vans for tourism. We are looking into whether and how we can relax the import of vehicles. That’s it.”
Siyambalapitiya said there is one vehicle for five Sri Lankans. The government has appointed an expert committee to examine whether the country is ready to allow the import of private vehicles.
“We will decide what to do, based on what the Committee says. Some groups, like vehicle importers, are adversely affected by the restrictions on vehicle imports. However, we must look at national priorities.”
The State Minister said there will be a massive demand for vehicles, if the government relaxes the restrictions on vehicle imports. This would lead to a large outflow of foreign reserves.
“We have not allowed vehicle imports since 2020. The demand probably is huge now”.
Siyambalapitiya said there are sporadic rumours that the government will allow vehicle imports soon. “I don’t know how to make these videos and how they come with this idea,” he added.
He also said that they are closely monitoring the vehicles imported under a scheme to allow migrant workers to import vehicles.
Siyambalapitiya said that restructuring domestic debt was controversial and that the biggest burden of the restructuring was borne by the EPF.
“There are 2.7 million beneficiaries and last year, we promised to pay them an interest rate of 9 percent until 2026. However, at the end of 2023, we realized we can give a higher interest rate because of the good investments we had made with the fund. We decided to give an interest of 13 percent for 2023. What we will pay for 2024 will be decided in 2025,” he said.
He added that this is the first time that EPF beneficiaries received an interest rate of 13 percent after 2009.
Siyambalapitiya said in the past four months, the Central Bank has bought 1.2 billion dollars from the local market. If the Bank did not make this intervention, the exchange rate of the dollar will be about 250 rupees.
“This would have badly affected the exporters.”
Sri Lanka has exceeded its state revenue target for the first quarter of 2024 by 6 percent, Siyambalapitiya said, adding that the government expects a revenue collection of 4,106 billion rupees in 2024.
The State Minister said the government wants its revenue to be at least 14 percent of the GDP and that he believes the revenue target for the year can be achieved.
The Sri Lankan government collects revenue through three institutions, i.e., Sri Lankan Customs, the Excise Department, and the Inland Revenue Department, and has collected 834 billion rupees (about 2.8 billion dollars) in the first quarter, compared with an expected revenue target of 787 billion rupees (about 2.6 billion dollars) in the period, he said.
Siyambalapitiya mentioned that cheques will no longer be accepted to pay income tax. Over the years a large number of people have paid their income tax by cheque and a lot of these cheques have bounced.
The State Minister said that any government that comes into power will have to follow the current economic policies. There will be a collapse akin to 2022, if there is a diversion from the current path.
Latest News
Advisory for Severe Lightning for the Western and Sabaragamuwa provinces and Galle and Matara districts
Advisory for Severe Lightning
Issued by the Natural Hazards Early Warning Centre at 12.00 noon 07 February 2026 valid for the period until 11.00 p.m. 07 February 2026
Thundershowers accompanied with severe lightning are likely to occur at some places in the Western and Sabaragamuwa province and in Galle and Matara districts.
There may be temporary localized strong winds during thundershowers.
The general public is kindly requested to take adequate precautions to minimize damages caused by lightning activity.
ACTION REQUIRED:
The Department of Meteorology advises that people should:
Seek shelter, preferably indoors and never under trees.
Avoid open areas such as paddy fields, tea plantations and open water bodies during thunderstorms.
Avoid using wired telephones and connected electric appliances during thunderstorms.
Avoid using open vehicles, such as bicycles, tractors and boats etc.
Beware of fallen trees and power lines.
For emergency assistance contact the local disaster management authorities.
News
INS GHARIAL departs island
The Indian Naval Ship (INS) GHARIAL which made a port call in Colombo, departed the island on 06 Feb 26.
The Sri Lanka Navy bade a customary farewell to the departing ship at the Port of Colombo, following naval traditions.
During the ship’s port call, the crew took a sightseeing tour of key attractions in Colombo.
The visit also featured the handover of ten temporary Bailey Bridges, which were brought by INS GHARIAL, in coordination with the High Commission of India in Sri Lanka.
News
Stop the collection of funds from parents at school level for Smart Boards — PM
Prime Minister Dr. Harini Amarasuriya stated that the Ministry of Education has already commenced the distribution of Smart Boards required for the new education reforms, and that the collection of funds from parents at school level for this purpose must be stopped immediately. She further emphasized that no decision has been taken to curtail free education or to close the Jayewardenepura Faculty of Dental Sciences.
The Prime Minister made these remarks in response to a question raised in Parliament on Thursday [05th February] by the Leader of the Opposition, Sajith Premadasa.
Elaborating further, the Prime Minister stated,
“Although the Leader of the Opposition has not traditionally upheld free education as a policy, I appreciate your stance on the matter at this juncture. However, I urge that questions should not be raised based on social media content or unverified rumours in Parliament. No decision has been taken to curtail free education or to close the Jayawardenepura Faculty of Dental Sciences. The Medical Faculty of the Wickramarachchi University of Indigenous Medicine had commenced operations without regulatory approval and had introduced course work, resulting in students being placed in a vulnerable situation. Necessary action is currently being taken based on the recommendations of a report submitted by an expert committee appointed to examine the issue. This this is not a political decision, but one guided by expert opinion”.
“Arrangements are underway to distribute the required Smart Boards to schools during this year, and there is no need to collect funds from parents for this purpose. If any such collections are taking place, they must be stopped immediately. The Secretary to the Ministry of Education has already issued a directive instructing schools not to collect funds from parents”.
“The subject Information Technology will not be taught as a separate subject for Grades 1 to 5. However, recognizing the need to prepare students for a globally advancing technological world, discussions have been initiated based on expert advice on how to provide age-appropriate technological awareness to students. Decisions will be made after carefully considering child protection concerns and expert recommendations. The curriculum-related decisions will not be made politically, but by subject experts.
Based on the requests made by the universities and higher education institutions recruitment for essential academic vacancies is currently being carried out under the Cabinet approval. Although thirty years have passed since the establishment of the teacher service, further measures are required to enhance its quality. Existing issues relating to teacher promotions, considering the practical difficulties in evaluation processes and non-compliance with service minute provisions are being addressed alongside other challenges. The government is presently focused on formulating a systematic plan to ensure quality education.”
Responding to a question raised by the Member of Parliament Kader Mastan, the Prime Minister stated,
“Several programmes have been introduced based on government policy decisions to fulfill the basic needs of schoolchildren. These include the provision of school textbooks, uniforms, and the “Suraksha” health insurance scheme. Additionally, voucher schemes have been introduced to support the purchase of sanitary products for girls in Grades 6 to 13. Midday meals are also being provided for primary school students, and financial assistance is extended to students who pass the Grade 5 Scholarship Examination but do not receive bursaries. The Ministry of Education is in the process of gathering further information with the intention of expanding these programmes”.
The Prime Minister also announced that the 2025 G.C.E. Ordinary Level Examination is scheduled to be held from February 17 to 26. Although this period coincides with the observance of Ramadan, relevant authorities have confirmed that it will not pose an obstacle to the conduct of the examination. Furthermore, it has been decided to hold the Grade 5 Scholarship Examination and the G.C.E. Advanced Level Examination before August each year, and the G.C.E. Ordinary Level Examination in December. From 2026 onwards, efforts will be made to conduct examinations in accordance with this revised annual examination calendar.
[Prime Minister’s Media Division]
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