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SriLankan Airlines’ debt restructuring would influence country’s sovereign credit profile: CB Governor
Central Bank Governor Dr. Nandalal Weerasinghe recently told a breakfast meeting hosted by Sri Lanka-Germany Business Council of the Ceylon Chamber of Commerce that there were no basis for concerns regarding external debt repayments from 2028. Dr. Weeerasinghe said that such concerns were unwarranted, given the buffers established by the Government and its commitment to meeting obligations.
The event was graced by Dr. Felix Neumann, Ambassador of the Federal Republic of Germany to Sri Lanka, Patron of the Council, and brought together over 100 distinguished participants, including Council members, representatives of German-affiliated organisations, senior government officials, and leading members of Sri Lanka’s private sector.
Welcoming the gathering, Gerard Victoria, President of the SLGBC highlighted the Council’s longstanding commitment to strengthening trade and investment ties between Sri Lanka and Germany. Established in 1999, the SLGBC continues to serve as a vital platform for fostering bilateral commercial relations built upon over seven decades of diplomatic and economic cooperation between the two nations.
Addressing the forum under the theme “Sri Lanka: The Way Forward,” Governor Weerasinghe shared insights into the country’s macroeconomic outlook and reform trajectory. He noted that the current path of economic stabilisation is expected to continue, supported by a strengthened policy framework and improved fundamentals. The Governor expressed appreciation to the German Government for its support in Sri Lanka’s external debt restructuring process and emphasised that the recent progress, including developments related to
SriLankan Airlines’ debt restructuring, is expected to positively influence the country’s sovereign credit profile.
He underscored the importance of addressing legacy structural issues to unlock higher and more sustainable growth, while reassuring participants that concerns regarding external debt repayments from 2028 onwards are unwarranted, given the buffers established by the Government and its commitment to meeting obligations.
During the interactive discussion, the Governor highlighted that the current low interest rate environment presents a conducive climate for business planning and investment. He explained that monetary policy remains guided by an inflation-targeting framework, with inflation now more stable and anchored at mid-single-digit levels compared to previous periods.
Providing an update on the IMF-supported program, the Governor stated that while the fifth review had experienced a delay due to post-program assessments, he remains confident that the program will remain on track during the year.
He noted positive trends in external inflows, including increased remittances—particularly from skilled migrants—and improved recording of earnings from freelancers. Addressing global risks, he pointed to ongoing geopolitical uncertainties and emerging disruptions linked to advancements in artificial intelligence, emphasizing the need for both the Government and private sector to adapt swiftly to remain competitive.
The event concluded with a vibrant exchange of views between policymakers and the business community, reaffirming the importance of constructive dialogue in shaping Sri Lanka’s economic future and further strengthening Sri Lanka–Germany economic cooperation.
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Advisory for High Waves for the sea areas extending from Colombo to Pottuvil via Galle, Matara and Hambantota
Advisory for High Waves
Issued by the Natural Hazards Early Warning Centre Issued at 03.30 p.m. on 26 August 2026 Valid for the period until 03.30 p.m. 27 August 2026
An advisory for high waves has been issued for the sea areas extending from Colombo to Pottuvil via Galle, Matara and Hambantota and naval and fishing communities engaged in activities in the aforementioned sea areas, as well as coastal communities living in the aforementioned nearshore areas, are advised to remain vigilant in this regard
The swell waves (about 2.0 m – 3.0 m) height (This is not for land area) may increase in the sea areas off the coast extending from Colombo to Pottuvil via Galle, Matara and Hambantota. There is a possibility that near shore sea areas off the coast extending from Beruwala to Matara via Galle, may experience surges due to swell waves.
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We must create social awareness to ensure the physical and mental well-being of children with disabilities – PM
Prime Minister Dr. Harini Amarasuriya stated that, given their particular vulnerability children with disabilities require protection, and stressed the need to foster social awareness to protect them from negative social influences while promoting their physical and mental well-being. She emphasized the need to implement awareness programmes for parents, teachers and other members of society towards this end.
The Prime Minister made these remarks on Tuesday [August 25] while visiting and observing the National Institute of Special and Inclusive Education – Shishyodaya, located in Veniwelkola.
The purpose of the Prime Minister’s visit was to observe the institutional structure and gain an understanding of the areas that require further development.
The Prime Minister emphasized that a systematic mechanism should be established to transform the institution, which was established in 2019 outside the basic standards and plans for Inclusive Education, into an institution that provides quality education to children and fulfills the targeted objectives of inclusive education. She also proposed appointing a special committee to make the necessary recommendations in this regard.
The Prime Minister further stated that steps would be taken in coordination with the Ministry of Health to address the shortage of therapists and medical professionals required to provide clinical services to students at the institution. She also stressed that the maintenance of equipment and buildings should be carried out properly using the financial allocations provided for such purposes.
The Prime Minister further noted that finding sustainable solutions to the issues faced by the institution is essential, while immediate interventions should be made to address issues that can be resolved without delay. The welfare of the teachers serving at the institution was also discussed during the visit.
Member of Parliament Anura Panagoda, Chairman of the Homagama Pradeshiya Sabha Kasun Rathnayake, Secretary to the Ministry of Education, Higher Education and Vocational Education Nalaka Kaluwewa, ministry officials, parents and students were present.

[Prime Minister’s Media Division]
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Govt. determined to press ahead with 22A: Justice Minister
By Shamindra Ferdinando
Justice and National Integration Minister Harshana Nanayakkara said yesterday that the government would proceed with both the 22nd Amendment to the Constitution, and the Judicature (Amendment) Bill, because the government could not achieve its goal by increasing the retirement ages of a section of the judges.
The Attorney-at-Law declared that the government would go ahead with both Bills, whatever the obstacles. The Minister was responding to The Island query whether the government would go ahead with the Judicature (Amendment) Bill that hadn’t been so far challenged in the Supreme Court, pending the decision on the controversial 22nd Amendment facing tough legal challenge.
Nanayakkara emphasised the importance of the enactment of both Bills. The 22nd Amendment seeks to increase the retirement ages of Supreme Court judges to 67 from 65 and Court of Appeal judges from 63 to 65. The Judicature (Amendment) Bill seeks to increase the retirement ages of the High Court judges to 63 from 61, and that of the District court judges and and Magistrates to 62.
Minister Nanayakkara said that the enactment of both Bills simultaneously would make a significant contribution to improve the overall situation, particularly dealing with a backlog of 1.1 million cases.
Joint Opposition and the Bar Association of Sri Lanka (BASL), too, acknowledged that petitions against the Judicature (Amendment) Bill were yet to be filed.
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