Business

US underscores its partnership role in SL’s growth drive

Published

1 year ago

2025/01/29

Sahan Weerasooriya

US ambassador Julie Chung (L) / Dr. Harini Amarasuriya (R)

By Ifham Nizam

U.S. ambassador to Sri Lanka, Julie Chung reaffirmed the United States’ role as a partner in Sri Lanka’s journey, stressing: “Together, we can drive economic growth in both of our nations while setting new standards of excellence on the global stage. Our partnership is built on mutual commitment to transparency, ethical practices and long-term collaboration, ensuring sustainable growth and mutual prosperity.”

In a stirring address to key stakeholders in Sri Lanka’s apparel sector, Chung, emphasized the vital role of innovation, resilience, and collaboration in propelling the industry forward.

Speaking at the 42nd Annual General Meeting of the Sri Lanka Apparel Exporters Association (SLAEA) on Monday at the Cinnamon Grand, the event that brought together representatives from leading manufacturers, local entrepreneurs, and policymakers, Chung reasserted the United States’ commitment to strengthening its partnership with Sri Lanka’s thriving apparel sector.

Chung added: “The apparel industry plays an indispensable role in Sri Lanka’s economic growth, with clothing and textiles remaining one of the country’s leading foreign currency earners. You, every single one of you in this room, are an important part of the foundation on which Sri Lanka’s growth depends.

“In a rapidly changing world, the road ahead will undoubtedly present unique challenges, but also opportunities. I trust you will approach these twists and turns with the same tenacity, creativity, and commitment to innovation that has defined this industry.

“U.S. apparel manufacturing, a vibrant and diverse sector, is projected to generate USD 365 billion in revenue by 2025 while employing 83,000 Americans.

“The U.S. market is not only one of the largest and most lucrative in the world but also provides unparalleled access to advanced technology, skilled labor and robust infrastructure. By establishing operations in the United States, Sri Lankan companies can benefit from reduced shipping times, lower tariffs and the ability to respond swiftly to market demands. Sri Lankan firms need to explore business opportunities in the U.S.

“The Sri Lankan government’s efforts to create a transparent and welcoming business environment are praiseworthy. From this viewpoint, good governance, transparency and ethical practices are cornerstones in attracting foreign investment.

“The private sector’s ability to drive growth, unhindered by red tape and excessive regulation, will be crucial for fostering economic progress. Sri Lanka’s leadership in quality manufacturing and ethical practices sets a positive example for the global industry.”

Prime Minister Dr. Harini Amarasuriya lauded the apparel industry for its crucial role in Sri Lanka’s economic recovery and growth. In her speech as the Chief Guest, Dr. Amarasuriya celebrated the sector as a “global leader” in ethical and sustainable manufacturing, underscoring its resilience and its significant contribution to the country’s export revenue.

Amarasuriya added: “With a steady contribution of over 31% to total export earnings, the apparel sector, which generated USD 5.05 billion in revenue in 2024, continues to be a powerhouse of economic activity. Despite the ambitious USD 8 billion export revenue target for this year, it is ‘achievable’ through the collective efforts of the government, the private sector and the workforce.

“From overcoming the challenges of the COVID-19 pandemic to navigating the current economic crisis, Sri Lanka’s apparel industry has shown unwavering resilience, maintaining a steady inflow of foreign exchange and safeguarding livelihoods during times of uncertainty.

“Ethical and sustainable business practices are no longer optional; they are the way forward. The industry needs to continue to lead by example in environmentally conscious manufacturing.

“The sector’s pioneering efforts, such as the world’s first custom-built green apparel factory and Asia’s first carbon-neutral certified factory are commendable. The industry should expand these sustainability initiatives to reinforce Sri Lanka’s position as a preferred destination for environmentally conscious brands and consumers.”

One of the key highlights of the event was the election of Rajitha Jayasuriya as the first female chairperson of the SLAEA. Amarasuriya congratulated Jayasuriya, emphasizing the importance of empowering women in leadership roles within the industry. She stressed that gender equality and promoting women into decision-making positions are essential to fostering a thriving, innovative, and sustainable business environment.

The Prime Minister also pointed out the sector’s vital role in supporting women’s empowerment. With a workforce of approximately 350,000 people, a significant majority of whom are women, Amarasuriya described these women as “change-makers” who not only support their families and communities but also contribute to the broader economy. She called for greater recognition of both paid and unpaid labor, acknowledging that the contributions of women workers extend beyond the factory floor to their households and communities.

The Prime Minister outlined the government’s commitment to supporting the apparel industry’s growth through policy stability, improved infrastructure, and vocational training aligned with the evolving demands of the sector. She emphasized the need for collaboration between the government and industry leaders to meet the challenges of an ever-changing global market while ensuring sustainable and inclusive development.

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Business

GREAT 2025–2030: Sri Lanka’s Green ambition meets a grid reality check

Published

19 hours ago

2026/02/7

Thilina Walpola

Sri Lanka’s Renewable Energy Project Development Plan, branded GREAT 2025–2030 (Green Energy Acceleration Targets), reads like a confident pivot toward a cleaner, cheaper power system. With more than 2,600 MW of new renewable capacity planned—dominated by solar and wind—and a strong push on storage and grid stabilisation, the strategy signals intent. Yet beneath the headline numbers lies a harder business truth: generation is racing ahead of the grid, and unless infrastructure and control catch up fast, value will leak from an otherwise compelling transition.

At the core of GREAT is scale. Solar leads with 1,571 MW across multiple zones, while wind contributes 1,004 MW, primarily from Mannar, Kilinochchi and the North-Western belt.

Smaller but steady additions are planned in mini-hydro (51 MW) and biomass (38 MW). On paper, the mix lowers marginal costs, cuts imports, and insulates the economy from fuel price shocks—outcomes financiers and policymakers both welcome.

But a senior retired electrical engineer, who spent decades inside Sri Lanka’s power system, cautions that capacity alone doesn’t create reliability—or returns.

“We are adding megawatts faster than we are adding visibility and control,” he said. “Rooftop solar has already exceeded 1,350 MW, much of it invisible to operators. From a grid perspective, that is unmanaged generation, and unmanaged generation is risk.”

The business implications are immediate. Transmission bottlenecks, particularly delays in 220 kV and 400 kV lines, are constraining renewable evacuation. Projects commissioned on time can still face curtailment, eroding project IRRs and shaking investor confidence.

At the same time, electricity demand has softened amid economic pressures, compressing the system’s ability to absorb intermittent power—especially on Sundays and holidays, when demand dips but solar output peaks.

“Low demand days are now the stress test,” the engineer noted. “Without storage and grid-forming assets, you’re forced to back down renewables or keep thermal units running for stability. Both options cost money.”

GREAT attempts to address this with 650 MW / 2,250 MWh of Battery Energy Storage Systems (BESS) and 600 MW of pumped storage at Maha Oya by 2034, alongside synchronous condensers to maintain inertia. These are not optional add-ons; they are value enablers. Storage smooths volatility, captures excess midday solar, and shifts energy to peak hours—turning stranded electrons into bankable revenue.

Yet timing matters. Storage, controls, and transmission must arrive before or with new generation. Otherwise, developers face curtailment risk, lenders price in uncertainty, and tariffs fail to fall as promised.

The plan’s institutional fixes are equally commercial. A Renewable Energy Control Desk (from 2026), Distribution Control Centers in high rooftop solar areas, smart meter mandates, and grid digitalisation are designed to restore operational visibility. Time-of-use tariffs, paired with daytime EV charging and industrial load-shifting, aim to reshape demand—turning a system problem into a market opportunity.

“Tariffs are signals,” the engineer said. “If you want power used at noon, price it right. If EVs and factories move load to the day, solar becomes an asset, not a headache.”

For investors, the message is nuanced but clear. Sri Lanka’s renewable pipeline is real and sizeable.

The policy direction favours clean energy, and the cost curve is attractive. However, project bankability will increasingly hinge on grid-readiness—access to storage, firm evacuation paths, and participation in smart, controllable networks.

For policymakers, GREAT’s success will be measured not by megawatts announced, but by megawatt-hours delivered reliably and profitably. Accelerating transmission approvals, fast-tracking BESS procurement, and enforcing smart metering for distributed generation are the difference between a virtuous transition and a congested one.

“The transition is inevitable,” the engineer concluded.

“The question is whether we do it cheaply and safely, or pay twice—once for generation, and again for the fixes we delayed.”

GREAT 2025–2030 sets Sri Lanka on the right path. The business case now depends on execution—where grids, markets, and management must move at the same speed as ambition, he added.

By Ifham Nizam

Business

Zone24x7 enters 2026 with strong momentum, reinforcing its role as an enterprise AI and automation partner

Published

19 hours ago

2026/02/7

Thilina Walpola

Zone24x7 team

Zone24x7 concluded 2025 with significant industry recognition, securing seven awards across three leading technology competitions—marking one of the strongest years in the company’s 22-year journey. The awards recognized the Industrial Vending Machine solution developed for a client in Australia. It earned both national and regional honors, including Second Runner-up at the Asia Pacific ICT Alliance (APICTA) Awards 2025.

More than accolades, the recognition showcases Zone24x7’s ability to deliver practical, enterprise-ready solutions that create measurable business impact. Competing against leading technology companies across the Asia Pacific region, the wins highlight the company’s growing global footprint and its focus on translating innovation into operational value for customers.

Neschae Fernando, CEO of Zone24x7

Zone24x7’s award run began at the SLASSCOM National Ingenuity Awards 2025, where the company secured National Winner for Best Innovative Product in Manufacturing, National 1st Runner-up for Best Innovative Product (General), and two Provincial Winner titles in the Western Province. This success continued at the National ICT Awards (NBQSA 2025), with Gold in Manufacturing, Engineering & Construction, and the IoT Technology of the Year Award.

“2025 validated our approach of building technology around real business needs,” said Neschae Fernando, CEO of Zone24x7. “As we move into 2026, our focus is on helping enterprises improve productivity, visibility, and decision-making by applying AI, automation, and connected systems in ways that go far beyond standalone tools or chat-based solutions.”

Headquartered in the United States with a world-class technology hub in Sri Lanka, Zone24x7 serves over 50 enterprise customers across multiple industries. The company specializes in integrating artificial intelligence, IoT, and enterprise platforms to solve complex operational challenges at scale.

Its portfolio includes Generative AI capabilities that enhance workflows, system intelligence, and human productivity; AI-powered automation platforms that connect digital and physical data sources; and a Cognitive Vision Analytics Platform that delivers real-time insights from video and image data. In addition, Zone24x7 provides RFID-enabled solutions and Warehouse Management Systems that improve inventory accuracy, asset visibility, and supply chain performance.

“The value we bring lies in how we combine hardware, software, and AI into cohesive solutions that fit seamlessly into existing enterprise environments,” said Vipula Liyanaarachchi, General Manager at Zone24x7. “As organisations look ahead to 2026, we are focused on helping them scale efficiently, modernise operations, and unlock greater value from their data without disruption.”

The award-winning Industrial Vending Machine reflects this approach, integrating IoT hardware, intelligent software, and analytics to automate inventory control and enhance efficiency in manufacturing and industrial settings. Rather than being a standalone product, it demonstrates how Zone24x7 partners with clients to design solutions aligned to specific operational goals.

With more than two decades of experience and a strong research and development foundation, Zone24x7 is now investing further in advanced AI-driven automation, intelligent analytics, and system-agnostic architectures. As businesses navigate rapid technological change, the company is positioning itself as a long-term partner—helping enterprises adopt AI responsibly, enhance workforce productivity, and build resilient operations into 2026 and beyond.

Business

India’s Mazagon Dock Shipbuilders makes mandatory offer to buy remaining shares of Colombo Dockyard

Published

19 hours ago

2026/02/7

Thilina Walpola

India’s Mazagon Dock Shipbuilders Limited has made a mandatory offer to buy the remaining shares of Colombo Dockyard at Rs 40 each, following a 41.73 percent stake acquisition last month.The mandatory offer targets 58.27 percent of the company.

At the recent rights issue, Mazagon Dock Shipbuilders bought 164,916,229 ordinary shares of Colombo Dockyard from the unsubscribed rights entitlement of previous stakeholder Onomichi Dockyard Company.

Mazagon paid Rs 40 per share amounting to a total Rs 6,596,649,160 .

Both indices moved upwards. The All Share Price Index went up by 67.5 points, while the S and P SL20 rose by 23.57 points. Turnover stood at Rs 9.1 billion with 16 crossings.

Top seven crossings were reported as follows: Commercial Bank 9.7 million shares crossed to the tune of Rs 1.2 billion and its shares traded at Rs 224.50, TJ Lanka 14.3 million shares crossed to the tune of Rs 549.7 million; its shares sold at Rs 38.50, Renuka Hotels one million shares crossed to the tune of Rs 250 million; its shares sold at Rs 250, Melstacorp one million shares crossed to the tune of Rs 178 million; its shares fetched Rs 179, Sampath Bank 930,000 shares crossed for Rs 145 million and its shares traded at Rs 150, Sierra Cables two million shares crossed for Rs 74 million; its shares sold at Rs 37 and Lanka Milk Food one million shares crossed for Rs 71 million; its shares fetched Rs 71.

In the retail market companies that mainly contributed to the turnover were; Colombo Dockyard Rs 514 million (3.3 million shares traded), Ceylon Land Equity Rs 349 million (15.6 million shares traded), Sierra Cables Rs 339 million (1.4 million shares traded), Commercial Bank Rs 307 million (1.4 million shares traded), TJ Lanka Rs 247 million (6.5 million shares traded), Luminex Rs 232 million (19.6 million shares traded) and Renuka Foods Rs 180 million (11 million shares traded). During the day 311 million share volumes changed hands in 50661 transactions.

It is said that the market showed mixed reactions. The banking sector actively participated, especially Commercial Bank. The manufacturing sector also performed well.

Yesterday the rupee was quoted at Rs 309.30/40 to the US dollar in the spot market, stronger from Rs 309.45/50 the previous day, while bond yields continued to edge lower on the the mid- to long end of the yield curve, dealers said.

A bond maturing on 15.06.2029 was quoted at 9.45/50 percent.

A bond maturing on 15.09.2029 was quoted at 9.50/55 percent.

A bond maturing on 15.12.2029 was quoted at 9.52/58 percent, down from 9.55/60 percent.

A bond maturing on 01.07.2030 was quoted at 9.68/71 percent.

A bond maturing on 01.10.2032 was quoted at 10.21/24 percent, down from 10.23/25 percent.

A bond maturing on 01.06.2033 was quoted at 10.55/60 percent, down from 10.57/60 percent.

A bond maturing on 15.06.2034 was quoted at 10.77/80 percent.

A bond maturing on 15.06.2035 was quoted at 10.80/86 percent, down from 10.82/87 percent

By Hiran H Senewiratne