The Milk Industries of Lanka Company (MILCO) has recorded the highest profit and sales revenue in its history, driven by strong performance under the flagship Highlands brand, Agriculture Minister Lal Kantha said.

Addressing a Performance Incentive Awards Ceremony held at the MILCO Head Office in Narahenpita on December 31, the Minister said the achievement marked a decisive turnaround for the state-owned dairy enterprise, which had earlier been prepared for divestment.

“When we assumed office, MILCO was being readied for sale. Today, we have been able to rescue it and transform it into a profitable institution,” Minister Lal Kantha said. “By October 2025, the company had generated profits amounting to Rs. 1,490 million, the highest profit ever recorded in MILCO’s history.”

He noted that 2025 has also become the year with the highest sales revenue since the company’s establishment, reflecting improved operational efficiency, renewed consumer confidence and stronger market penetration under the Highlands brand.

The Minister said the government intends to ensure that the gains from the company’s financial recovery are shared across the value chain. “A portion of the profits will be distributed as incentives among dairy farmers,” he said, adding that plans are also in place to provide free life insurance coverage to 15,000 dairy farmers in 2026.

The incentive awards ceremony was organised to recognise employees who played a key role in achieving record sales targets and historic profitability, with senior management highlighting improvements in production planning, supply chain management and farmer engagement.

Minister Lal Kantha paid tribute to the dedication of the MILCO workforce, stating that the turnaround was the result of collective effort.

“This achievement belongs to everyone who worked tirelessly to restore confidence in this institution. I extend my sincere appreciation to all those who contributed to this success,” he said.

MILCO’s performance in 2025 is being viewed as a benchmark for the revival of state-owned enterprises, particularly within Sri Lanka’s agri-based industrial sector.

By Ifham Nizam

Pan Asia Bank marked the New Year with a moment of reflection, not on numbers alone, but on the deeper forces that shape progress over time. As the organisation looks ahead, leadership set a tone anchored in trust, responsibility, and the willingness to move forward with intention.

Director/CEO Naleen Edirisinghe drew attention to the role of people as the true drivers of sustained growth. Institutions evolve, he noted, not simply through strategy or scale, but through how leaders guide their teams, share perspective, and create clarity in moments that demand consistency. When people feel supported and trusted, performance follows naturally and the organisation’s values are carried into every interaction beyond its walls.

This emphasis on leadership and collective ownership reflects a belief that culture is built daily, through example rather than instruction. In an environment where expectations are clear and guidance is purposeful, individuals are empowered to contribute with confidence, strengthening the organisation from within.

Chairman of Pan Asia Bank Aravinda Perera complemented this view by speaking to the necessity of movement. Progress, he observed, rarely comes from certainty alone. It requires the courage to make decisions, to step forward even when outcomes are not fully assured, and to accept that learning is often shaped by experience rather than perfection.

By encouraging a mindset that views mistakes as part of growth rather than a deterrent to action, leadership reinforces resilience and sharper judgment. Such an environment allows initiative to flourish, enabling teams to think independently while remaining aligned with shared purpose and values.

Together, these reflections frame the year ahead as one defined not by caution, but by thoughtful confidence. As Pan Asia Bank moves forward, its focus remains on nurturing leadership at every level, strengthening its culture, and creating space for people to act with intent, learn continuously, and contribute meaningfully to long-term, sustainable growth.

The Colombo Consumer Price Index (CCPI, 2021=100) based headline inflation (year-on-year, Y-o-Y) remained unchanged at 2.1% in December 2025. This was primarily supported by the favourable statistical base effect, despite a substantial month-on-month increase in prices in December 2025 due to Cyclone Ditwah.

Food inflation (Y-o-Y) remained unchanged at 3.0% in December 2025 compared to the previous month, whereas Non-Food inflation (Y-o-Y) accelerated to 1.8% in December 2025 from 1.7% recorded in November.

On a month-on-month basis, however, the CCPI recorded a notable increase of 1.26% in December 2025. The Food category contributed 1.25 percentage points to this increase, reflecting the supply-side disruptions caused by the adverse weather conditions, while the Non-Food category contributed marginally by 0.01 percentage points.

Meanwhile, core inflation (Y-o-Y), which reflects the underlying inflation trends in the economy, accelerated to 2.7% in December 2025 from 2.4% in November 2025.

Inflation projections made at the monetary policy round in November 2025 indicate a gradual acceleration of inflation towards the target of 5% in the period ahead, with the support of appropriate policies.