Sri Lanka’s Projection – By Dr Harold Gunatillake
Transcript:
*Asia’s ticking debt bomb: Sri Lanka crisis sounds alarm bells across the region- headlines
Nikkei Asia.
*Basilur Tea opens an exclusive outlet at Bandaranaike International Airport.
Fuel queues-where are they?
Trishaw drivers push their vehicles as they move up in line to buy fuel in Colombo, Sri Lanka, in July.
Such queues at the petrol stations have disappeared after the QR code system for obtaining fuel was introduced. After introducing the QR code, fuel usage has dropped, and the Bowser owners who do not get hired to transport fuel stand at a loss of revenue.
“As reported by the Central Bank (CB), US$600 million had been spent on importing fuel monthly, and it had come down to US$230 million. It is a commendable decision taken by the government to uplift the economy.
Basilur Tea opens an exclusive outlet at Bandaranaike International Airport. Premium
tea gifting brand Basilur Tea expanded its network by opening its newest exclusive outlet at Bandaranaike International Airport (BIA). Located at the departure/transit area of the airport, passengers flying in and out of the country can avail themselves of a taste of the finest Ceylon Tea or select an elegant gift in unique packaging and premium quality for business partners or friends and family who are overseas.
Colombo Lotus Tower
Despite an economic-political crisis, Sri Lanka is happy and proud to rejoice in constructing one of the tallest buildings in the East, the Lotus Tower. https://youtu.be/3A6CG7c5Nv Website: www.Doctorharold.com
Colombo Lotus Tower is a 356 m (1,168 ft) tower located in Colombo, Sri Lanka. It also reflects the symbolic landmark of Sri Lanka. As of 16 September 2019, the building is currently the tallest self-supported structure in South Asia.
It is also the second tallest structure in South Asia after the guy-wire-supported INS Kattabomman in India. The tower is also the 11th tallest completed tower in Asia, and it is also the 19th tallest tower in the world.
China may be a hindrance to the IMF bailout.
IMF officials have hinted that China may emerge as a spoiler in Sri Lanka’s debt talks, torpedoing an agreement the government desperately needs between creditors as a precondition for the IMF bailout and condemning Sri Lanka to prolonged economic misery.
If creditors are unwilling to give assurances to Sri Lanka, it would “deepen the crisis and negatively affect Sri Lanka’s debt repayment capacity,” Peter Breuer, the IMF’s mission chief, told reporters in early September at the end of a visit to the country. “We urge all players to move expeditiously and swiftly so Sri Lanka can secure [an IMF bailout] to move forward.” Facing down powerful creditors has pushed Sri Lanka into uncharted financial waters. “From
now on, Sri Lanka will see the complexity in dealing with creditor equity,” said Manjula Fernandopulle, a Sri Lankan commercial lawyer advising the foreign ISB holders.
Adding to Sri Lanka’s headaches are complicated geopolitics. Colombo’s creditors: China, India, Japan and the U.S., are locked in a contest for dominance in the Indian Ocean. “Sri Lanka’s debt issue is now a geopolitical issue,” George Cooke, a former Sri Lankan diplomat, told Nikkei. “It cannot afford to upset any of its foreign allies who have helped the country financially.”
Asian diplomatic sources in Colombo say a U.S.-leaning bloc that includes India, Japan and other Western governments has pressured the new government under President Ranil Wickremesinghe not to give in to China’s favoured route of debt relief — refinancing through new loans or deferring payments — and insist on a haircut like other foreign lenders.
Finance Ministry Secretary K.M.M. Siriwardena, and US Deputy Chief of Mission Douglas Sonnek, celebrate the Development Objective Assistance Agreement at the Finance Ministry.
US-AID signs new five-year agreement with Sri Lanka
September 16, 2022 Building on the USAID Administrator Samantha Powers’s recent visit, US Ambassador to
Sri Lanka Julie Chung announced recently that the United States, through USAID, would provide an additional estimated $65 million in assistance to Sri Lanka over five years. The service falls under the Development Objectives Assistance Agreement (DOAG) signed by Gabriel Grau, Mission Director for USAID Sri Lanka and the Maldives and Mahinda Siriwardena, Secretary, Ministry of Finance, Economic Stabilization and National Policies.
This funding is in addition to over $60 million of new humanitarian and fertiliser assistance that Administrator Power announced last week in response to the current economic and political crises in Sri Lanka.
In celebration of the start of this new bilateral agreement, Ambassador Julie Chung remarked, “The United States and the American people are proud of our enduring and robust partnership with the people and government of Sri Lanka. We remain fully committed to supporting locally led initiatives to advance a stable, prosperous, and peaceful Sri Lanka – critical to promote a free and open Indo-Pacific in which all nations are connected, prosperous,
resilient, and secure.”
The jobless rate in 2Q increases as the economy continues to contract.
Sri Lanka’s official unemployment rate increased in the second quarter ended in June as the unprecedented economic crisis pushed many out of work amid sky-high interest rates, import restrictions, soaring inflation and other demand destruction policies implemented to arrest the situation.
The data released last week showed that the official unemployment rate had risen to 4.6 per cent by the end of the second quarter from the 4.3 per cent recorded in the first quarter. However, this may not paint the grim outlook of the local unemployment condition as the official jobless rate does not capture unemployed people who had given up looking for work during the survey period.
Sri Lanka Tourism Alliance launches destination marketing campaign
The Sri Lanka Tourism Alliance (SLTA) has launched a Destination Marketing campaign to drive winter bookings and increase the country’s visibility through several different mechanisms.
This is a critical requirement as, despite lifting most advisories, the return of stability is not being communicated to travellers in key markets who think Sri Lanka is not ready for tourists.
The campaign is primarily digital, covering the entire spectrum of the travel purchase decision. Potential travellers to Sri Lanka are the primary target group. The UK, France, Germany & Spain have been initially targeted, followed by the UAE/GCC.
Government to provide a nutritious meal for 1,080,000 schoolchildren before schools reopen: President
Measures have been taken to provide a balanced meal at the government’s expense. As an initial step, a nutritious meal for 1,080,000 schoolchildren before the reopening of schools is already in progress, President Ranil Wickremesinghe said. While issuing a message relating to World Children and Elder’s Day, he said the programme is being carried out to provide a balanced meal with the approval of Health Ministry Nutritionists.
India’s RSS chief says only India helped Sri Lanka.
Addressing a programme organised by Bharat Vikas Manch, an organisation associated with the Rashtriya Swayamsevak Sangh (RSS), chief Mohan Bhagwat said that it was only India that helped Sri Lanka and the Maldives when these countries were in distress while other countries were interested in finding business opportunities, the Indian media reported. Hello viewers, the situation in Sri Lanka is deteriorating in every aspect, but at the same time, the Sri Lankans are resilient. The future is hopeful,
Stay safe, and goodbye for now.
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