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WB predicts Lanka’s poverty will increase to 28% in 2023 from 25% recorded last year
The World Bank predicts that Sri Lanka’s poverty will increase to 27.9 percent in 2023 from 25 percent in 2022 as the country continues to suffer from the most extreme deployment of ‘macro-economic policy’ in the history of its central bank.
The World Bank in a report titled ‘Sri Lanka Development Update: Mobilizing Tax Revenue for a Brighter Future’ said: “Poverty is projected to increase from 25 percent to 27.9 percent between 2022 and 2023. Poverty reduction could resume from 2024 and continue in 2025, but this depends on continued implementation of structural reforms and a restoration of economic growth and job creation.
“Inflation is expected to stay in single digits, reflecting weak aggregate demand, improving supply conditions, lower global commodity prices, and discontinued monetization of deficits.”
It said that downside risks for the Sri Lankan economy remain very high, given a narrow path to recovery and limited buffers. “A prolonged or insufficiently deep external debt restructuring, a deterioration in the political situation (including a backlash to the reforms), inadequate domestic revenue mobilization, limited external financing support, a sharper global slowdown, and a prolonged recovery from the scarring effects of the crisis are key risks to restoring stability, regaining a sustainable growth path, and bringing Sri Lanka back to pre-crisis rates of poverty. The financial sector needs continuous monitoring, given high exposures to the public sector, rising non-performing assets, and tight liquidity conditions. While the adjustment process may provoke resistance, and backlash from affected groups, it is essential for the country to stay the course on reforms, carefully navigate political and social pressures, and effectively mitigate the impact of the reforms on the most poor and vulnerable,” the report said.
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Sajith warns country is being dragged into authoritarian rule
Opposition and SJB Leader Sajith Premadasa has alleged that the current government is attempting to suppress freedom of expression and media freedom to lead the country towards authoritarian rule.
In a video message on Thursday (25), Premadasa said that in a democratic country, the four main pillars safeguarding democracy are the legislature, the executive, the judiciary, and the independent media, but, at present, the government is using the police to violate both the democratic rights of the people and the rights of police officers themselves.
He said that the government is working to establish a police state that deprives citizens of their right to access truthful information.
“For democracy to be protected, media freedom must be safeguarded, and space must be given to independent media. Instead, the government is interfering with the independent media process, using the police to suppress and intimidate independent media,” he said.
He noted that even when independent media present their views based on reason, facts, and evidence, the government attempts to suppress them. Such actions, he said, amount to turning a democratic country into a police state. “Do not suppress the voice of the silent majority, the independent media,” he urged.
Premadasa emphasised that independent media represent the voice of the silent majority in the country and must not be suppressed.
“Media repression is a step towards authoritarian rule, and the people did not give their mandate to create an authoritarian regime or a police state. If the government attempts to abolish democratic rights, the Samagi Jana Balawegaya will stand as the opposition against it,” he said.
The Opposition Leader further alleged that the government was interfering with police independence, stating, “Political interference has undermined the independence of the police, making it impossible for them to serve impartially. Suppressing freedom of expression is an attempt to lead the country towards authoritarian rule.”
Premadasa pointed out that the media has the right to reveal the truth, and interfering with that right is a violation of the rights of 22 million citizens.
News
Wholesale mafia blamed for unusually high vegetable prices
Vegetable prices at the Peliyagoda Manning Wholesale Market surged to unusually high levels yesterday (26), raising concerns among consumers as the festive season drives up demand. The situation is expected to persist over the next few days, a spokesman for the Manning Market told The Island.
He said a sharp increase in the number of buyers visiting the wholesale market, ahead of upcoming festivities, had resulted in a sudden spike in demand, prompting wholesale traders to raise prices significantly. The price hikes have affected a wide range of commonly consumed vegetables, placing additional pressure on household budgets.
According to market sources, the wholesale price of beans climbed to Rs. 1,100 per kilogram, while capsicum soared to Rs. 2,000 per kilogram. Green chillies were selling at around Rs. 1,600 per kilogram. Prices of other vegetables, including beetroot, brinjal (eggplant), tomatoes, bitter gourd, snake gourd and knolkhol, also recorded unusually high increases.
The spokesman alleged that despite the steep rise in prices, vegetable farmers have not benefited from the increases. Instead, he claimed that a group of traders, who effectively control operations at the wholesale market, are arbitrarily inflating prices to maximise profits.
He warned that if the relevant authorities fail to intervene promptly to curb these practices, vegetable prices could escalate further during the peak festive period. Such a trend, he said, would disproportionately benefit a small group of middlemen while leaving consumers to bear the brunt of higher food costs.
By Kamal Bogoda ✍️
News
Cyclone-damaged Hakgala Botanical Garden reopened with safety measures
The Hakgala National Botanical Garden, which was closed in the aftermath of Cyclone Ditwah, has been reopened to tourists from yesterday, the Ministry of Environment indicated.
The Ministry said the reopening was carried out in accordance with recommendations and guidelines issued by the National Building Research Organisation (NBRO) and the DisasterManagement Centre (DMC) after safety assessments were completed.
However, due to the identification of hazardous ground conditions, several areas, within the garden, have been temporarily restricted. These include the pond area, near the main entrance, and access roads leading towards the forest park where potential risks were observed. Warning signs have been installed to prevent visitors from entering these zones.
To ensure the safety and convenience of both local and foreign visitors, the garden’s management has introduced a special assistance programme, with staff deployed to guide and support tourists.
The Hakgala Botanical Garden was closed as a precautionary measure during the disaster situation triggered by Cyclone Ditwah. The Ministry noted that the garden has now been safely reopened, within a short period, following remedial measures and inspections, allowing visitors to resume access while maintaining necessary safety precautions.
By Sujeewa Thathsara ✍️
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