Page 20 - Sri Lanka

World Bank releases second tranche of $250 mn to cash-strapped Sri Lanka

Citing continued satisfactory progress in Sri Lanka's reform programme, the World Bank on Wednesday announced the release of the second tranche of USD 250 million to the cash-strapped country which will help stabilise the economy. The World Bank had pledged USD 500 million in budgetary support and released its first tranche in June to cash-strapped Sri Lanka, which has a total foreign debt of USD 46.9 billion. Through the facility known as the Resilience, Stability and Economic Turnaround (RESET) Development Policy Operation (DPO), the World Bank release was made considering the continued satisfactory progress made by the government with the reform programme. The RESET DPO, which provides budget support to the government, was originally approved in June this year, it added. Sri Lanka was hit by its worst economic crisis in history in 2022 when its foreign exchange reserves fell to a critical low and the public came out on the streets to protest the shortage of fuel, fertilisers and

Negotiating trade pact with EU, UK, Sri Lanka, Peru: Commerce ministry

India is negotiating free trade agreements with the European Union (EU), the UK, Sri Lanka, and Peru, according to a year-end review statement of the commerce ministry. India-European Union (EU) free trade agreement negotiations were formally re-launched on June 17 2022. "Negotiations cover 23 policy areas/chapters. Six rounds of negotiations have been held till October 2023," the ministry said. With the UK, 13 rounds of talks have been completed and the next round will take place in January 2024. "India-Sri Lanka Economic and Technology Cooperation Agreement (ECTA) negotiations are ongoing with the 12th round of negotiations conducted from 30th October to 1st November 2023 in Colombo," it said. It added that both sides also agreed to continue discussions on matters, including apparel quotas and pharmaceutical procurement. With Peru, it said discussions on various chapters, including rules of origin, trade in goods, trade facilitation, sanitary, and phytosanitary measures were ..

Sri Lanka arrests 14 Indian fishermen for allegedly poaching in its waters

The Sri Lanka Navy has arrested 14 Indian fishermen and seized their trawler for allegedly poaching in the island nation's waters, taking the total number of arrests this year to nearly 240. These fishermen were arrested on Sunday off the coast of Karainagar in the northern Jaffna peninsula, the Navy said in a release on Monday. So far this year, some 240 Indian fishermen, along with 35 trawlers, have been arrested for illegal fishing. Earlier on December 6, at least 21 Indian fishermen were similarly arrested with their four trawlers seized in the northeastern waters off Mannar and Kovilan. Last week, referring to the recurring problem of Indian fishermen doing illegal fishing in Sri Lankan waters, Fisheries Minister Douglas Devananda told Parliament that it needs a top-level diplomatic solution between the two nations. The fishermen issue is a contentious one in the ties between India and Sri Lanka, with Lankan Navy personnel even firing at Indian fishermen in the Palk Strait an

No alternative to IMF program: Sri Lankan president on economic crisis

Sri Lankan President Ranil Wickremesinghe on Sunday said that there was no alternative to the IMF programme for the cash-strapped island nation to get out of its economic bankruptcy. Last week, the International Monetary Fund (IMF) approved the release of the second tranche worth USD 337 million to the island nation, bringing the value of disbursements to USD 670 million in the four-year facility. Responding to the strong criticism from the opposition to the reforms, President Wickremesinghe, who is also the finance minister, said that he opted for the IMF programme as it was the only option available. People who make statements to please the gallery are not prepared to take the tough decisions needed. I opted for the IMF programme as it was the only option available, he said and urged all political parties to act responsibly while demeaning the USD 2.9 billion bailout. He added that tough decisions had to be taken to set in the reforms to correct the economic wrongs of the past.

Sri Lanka's economy records positive growth for first time since crisis

Sri Lanka's bankrupt economy has recorded a positive growth for the first time since the economic crisis hit the island nation, according to official data. The year-on-year GDP growth rate for the third quarter has been reported as 1.6 per cent of positive growth rate, the Department of Census and Statistics (DCS) said in a press release on Friday. Sri Lanka had recorded a minus 8 per cent growth when it declared bankruptcy in April 2022. The country's economy continued to be in the negative from the fourth quarter of 2021. The International Monetary Fund (IMF), which released the second tranche of its USD 2.9 billion bailout earlier this week, has said that Sri Lanka's overall growth for 2023 would remain negative. However, the country's economy in 2024 is expected to grow with a positive one plus growth, it said. Sri Lanka is currently going through a strict IMF based reform regime. President Ranil Wickremesinghe, who is also the finance minister, insists on reforms despite stro

Prevail upon Lanka to secure release of 45 fishermen, TN CM tells Centre

Tamil Nadu Chief Minister M K Stalin requested the Centre on Thursday to immediately take up through appropriate diplomatic channels the apprehension of fishermen from the state with Sri Lanka and secure the release of 45 fishermen and 138 boats. Expressing "a deep sense of anguish" on yet another incident of apprehension of six Indian fishermen by the Sri Lankan Navy on December 13, he said this was the third such occurrence in a week. "Six fishermen from Jegathapattinam fishing harbour, Pudukkottai district, who ventured for fishing in a mechanised fishing boat were apprehended by the Sri Lankan Navy along with their fishing boat," the Chief Minister said in a letter to Union External Affairs Minister C Jaishankar, a copy of which was made available to the media here. He said the Sri Lankan Navy continued to infringe upon the traditional rights of our fishermen, and their frequent arrests have jeopardised the livelihoods of the fishermen and have instilled fear and panic in the ..

Six Indian fishermen detained by Lankan navy, 2nd incident within a week

According to the Sri Lankan Navy, the fishermen were allegedly involved in 'illegal poaching' and were detained off the Kovilan Lighthouse in Kareinagar after a special operation on Wednesday

Sri Lanka to get access to $337 million from IMF to stabilise economy

The IMF Executive Board has completed the first review under the 48-month Extended Fund Facility with Sri Lanka, providing the cash-strapped country with access to about USD 337 million to restore macroeconomic stability and debt sustainability. Announcing this, Peter Breuer, Senior Mission Chief for Sri Lanka also said that the debt restructuring with China was concluded on a strictly confidential basis for the International Monetary Fund (IMF) to conclude its first review of the USD 2.9 billion bailout. China holds 52 per cent of Sri Lanka's total debt. The Chinese agreement in principle was very good news in Sri Lanka's debt restructuring talks. We have seen a summary of the key financial terms of the agreement shared by authorities on a strictly confidential basis," Breuer told reporters on Tuesday. The IMF late Tuesday concluded the review and approved the release of the second tranche worth USD 337 million to the island nation, bringing the value of disbursements to USD 670 .

Asian Development Bank approves $200 mn loan to debt-stricken Sri Lanka

The Asian Development Bank said on Friday that it has approved USD 200-million concessional loan to debt-stricken Sri Lanka to help stabilise the country's finance sector following an unprecedented economic crisis that engulfed the Indian Ocean island nation last year. The bank's announcement comes as Sri Lanka is awaiting International Monetary Fund approval for the second installment of a USD 2.9-billion bailout package to rescue the country from bankruptcy. The ADB said its Financial Sector Stability and Reforms Program for Sri Lanka includes two subprogrammes of USD 200 million each that would help strengthen the stability and governance of the country's banking sector, and deepen sustainable and inclusive finance, particularly for women-led micro, small, and medium-sized enterprises. The programme's overarching development objective is fully aligned with the country's strategy of maintaining finance sector stability, while ensuring that banks are well-positioned for eventual ..

Sri Lanka arrests 21 Indian fishermen for alleged poaching in its waters

At least 21 Indian fishermen have been arrested for allegedly poaching in Sri Lanka's territorial waters, the island nation's Navy has said, taking the total number this year to 195. The Indian fishermen were arrested and their four trawlers were seized on Wednesday in the northeastern waters off Mannar and Kovilan. The Navy said in 2023 they had arrested 195 Indian fishermen for poaching in Sri Lankan waters. The fishermen issue is a contentious one in the ties between India and Sri Lanka, with Lankan Navy personnel even firing at Indian fishermen in the Palk Strait and seizing their boats in several alleged incidents of illegally entering Sri Lankan territorial waters. The Palk Strait, which is a narrow strip of water separating Tamil Nadu from Sri Lanka, is a rich fishing ground for fishermen from both countries. There have been periodic instances of Indian fishermen being arrested by Sri Lankan authorities for allegedly crossing the International Maritime Boundary Line and ...

US govt examined Hindenburg allegations before giving $553 mn loan to Adani

Allegations in a scathing report by US-based Hindenburg Research, which erased around $100 billion from the Adani Group's market value earlier this year

More visa-free travel for Indians beneficial for Goa tourism as well

Visa-free entry is a carrot to expand $28 billion that 27 million Indians spent overseas in 2019. Those numbers had swelled eightfold and sixfold, respectively, in the two decades before the pandemic

OCC approves debt restructuring of Sri Lanka, paves ways for fund flow

The Official Creditor Committee (OCC) co-chaired by India, Japan and France on Wednesday reached an agreement with debt-ridden Sri Lanka on the main parameters of debt treatment, consistent with those of the IMF-supported Extended Fund Facility (EFF) for the island nation. This agreement will pave the way for the first review of Sri Lanka's EFF arrangement and enable further flow of funds to Sri Lanka. The Finance Ministers of India, Japan and France jointly launched the multilateral coordination platform in April 2023 under the G20 India Presidency. With this debt treatment agreement, India has set a benchmark in expeditious debt resolution for middle-income countries, the finance ministry said in a post on X. India remains resolutely positive in its commitment to the 'Neighbourhood First' Policy, it said. Sri Lanka was hit by its worst economic crisis in history when the country's foreign exchange reserves fell to a critical low and the public came out on the streets to protest

India to build 10k more houses in Sri Lanka in extension of housing project

India will build 10,000 more houses in the plantation areas of Sri Lanka in an extension of its housing project in the country. The High Commission of India signed two significant agreements for the construction of 10,000 houses in plantation areas of Sri Lanka under Phase-IV of the Indian Housing Project on Tuesday, a statement said. Separate agreements with the two Implementing Agencies namely National Housing Development Authority (NHDA) and State Engineering Corporation (SEC) are aimed at early rollout of the construction of the 10,000 houses. Counsellor and Head of Development Cooperation Wing, Eldos Mathew Punnoose, Chairman of SEC, Rathnasiri Kalupahana, and General Manager, NHDA, Kankanamalage Ajantha Janaka were the signatories to the two agreements. Phase IV of the Indian Housing Project is spread across 11 districts and 6 provinces of Sri Lanka. It may be recalled that the overall commitment of the Government of India under the Indian Housing Project currently stands a

21 fishermen reach Chennai after being released from Sri Lanka prisons

A total of 64 fishermen who belong to Rameshwaram and Mandapam were arrested in three separate arrests by the Sri Lankan Navy, allegedly for cross-border fishing in the month of October

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Sri Lanka implements free tourist visas for India, six other countries

Aimed at boosting the tourism sector, Indian tourists the largest inbound group to Sri Lanka, would receive free tourist visas with immediate effect, the Department of Immigration and Emigration has announced here. The facility follows a Cabinet decision from October to issue free tourist visas to travellers from India, China, Russia, Malaysia, Japan, Indonesia, and Thailand amidst efforts to rebuild the debt-trapped island nation's tourism sector that had slumped since the 2019 Easter Sunday bombings. The pilot project to offer free visas for the first 30 days would be in force till March 31, 2024, the announcement said. The travellers would be given dual entry status on arrival and the visa validity would be limited to 30 days' stay in the island nation. India is traditionally Sri Lanka's top inbound tourism market. In October 2023, arrival figures for India topped with over 28,000 arrivals or 26 per cent with Russian tourists trailing at over 10,000 arrivals as the second lar

PCB in deadlock with ACC on additional compensation for chartered flights

Pakistan Cricket Board (PCB) was on Tuesday caught in a deadlock with the Asian Cricket Council (ACC) for demanding additional compensation on organising chartered flights between Pakistan and Sri Lanka during the Asia Cup, which it co-hosted in August-September. The Asia Cup 2023 was organised in a hybrid model in Pakistan and Sri Lanka after the ACC accepted PCB's hybrid model, with majority of the matches organised in the island nation. A reliable source in the PCB informed PTI that apart from seeking the tournament hosting fees around $250,000 as well as shares from ticketing and sponsorship fees, they have also demanded additional compensation. The source said, The additional money is for expenses incurred on renting chartered flights for teams between Pakistan and Sri Lanka and other extra expenses like additional hotel and transport fees, which were not included in the initial budget for the Asia Cup." The source, however, informed that the ACC is not willing to pay ...

Sri Lankan sports min Roshan Ranasinghe sacked after claiming risk to life

Sri Lankan President Ranil Wickremesinghe on Monday sacked Sports Minister Roshan Ranasinghe, hours after he claimed that his "life is at risk" for "highlighting corruption" in the country's chaotic cricket administration and said that if anything happens to him, the president and his chief of staff should be held responsible. Ranasinghe was handed the termination letter, signed by President Wickremesinghe, as he arrived to attend the weekly Cabinet meeting. The letter states that Ranasinghe has been removed from the portfolios of Minister of Sports and Youth Affairs, and Minister of Irrigation, with immediate effect. Earlier in the day, Ranasinghe told Parliament that Wickremesinghe was trying to frame him for political vengeance and using false facts related to a vehicle. The minister said a vehicle imported by him was seized by the authorities under the pretext of tax manipulation to frame him on false charges. Is this the reward I get for highlighting corruption in cricket? I

Sri Lanka's sports minister Roshan Ranasinghe says his 'life is at risk'

Sri Lanka's Sports Minister Roshan Ranasinghe on Monday claimed that his "life is at risk" for "highlighting corruption" in the country's chaotic cricket administration and if anything happens to him, then President Ranil Wickremesinghe and his chief of staff should be held responsible. Addressing Parliament, Ranasinghe said Wickremesinghe is trying to frame him for political vengeance and using false facts related to a vehicle. The minister said a vehicle imported by him was seized by the authorities under the pretext of tax manipulation to frame him on false charges. Is this the reward I get for highlighting corruption in cricket? I took action based on audit reports, Ranasinghe said, referring to his move to appoint an interim committee to run the Sri Lankan cricket administration. He further questioned why the President is taking political revenge, when he, as the Sports Minister, had only exposed corruption. My life is at risk, I may be killed today or tomorrow. If something