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Parliament has approved the appointment of three members from the civil society to the Constitutional Council. 

Accordingly, following members have been appointed to the Constitutional Council: 

Dr. Jayantha Dhanapala - Senior Special Advisor on Foreign Relations to the PresidentAhamed Javed Yusuf – Former Sri Lankan Ambassador to Saudi ArabiaNaganathan Selvakumaran – Senior Lecturer, Faculty of Law, University of Colombo 

The nominations were made by the Prime Minister and the Opposition Leader inline with the powers vested in them through the Parliament.

Concern over rising risks to emerging market economies were center stage this week as global Finance Ministers and Central Bank Governors gathered this week in Bali, Indonesia. Bali hosted both the biannual Ministerial Meeting of the Group of Twenty-Four (G-24) developing countries and the annual meetings of the International Monetary Fund and World Bank Group officials.

“Global growth continues broadly but risks are rising for developing economies with higher oil prices, rising interest rates, high debt levels and the threat of trade war as top concerns,” said Hon. Mangala Samaraweera, Minister of Finance and Media for Sri Lanka and Chairman of the G-24. “We urge major powers to reform and reinforce rather than discard the rules-based global trading system,” Samaraweera said.

Volatile capital flows, foreign exchange pressures and higher borrowing costs have buffeted emerging markets as major economies have begun rolling back the very low interest rates that have prevailed since the 2008 global financial crisis. “There is no avoiding the fact that the market for capital is global, which means policies and interest rates in advanced economies affect emerging and developing economies,” said Julio Velarde, first vice-chair of the G-24 and Governor of the Central Reserve Bank of Peru.

“Emerging markets that restrain debt levels and maintain prudent macroeconomic policies may weather volatility better but all emerging markets are adversely affected by excessive capital flow volatility,” Velarde said.

G-24 and IMF/World Bank delegates discussed debt vulnerabilities that are rising in some developing countries, particularly low-income countries. According to the IMF, debt as a percentage of GDP has risen from 33 percent to 47 percent in the last 5 years for low-income countries. “Such a rapid rise in debt and rates should be a concern to both creditors and debtors, which share a responsibility to foster debt transparency and sustainability,” Samaraweera said.

In the context of recurring volatility, there are multilateral actions that could mitigate this damage to developing countries. The G-24 reiterated the importance of a strong Global Financial Safety Net, with an adequately resourced, quota-based IMF at its center, which has the resources needed to act decisively when needed. One-third of the IMF’s lending resources will disappear next year when bilateral financing arrangements expire. Delegates said it is important that International Monetary Fund surveillance continues an even-handed and context-based assessment of macro-prudential and capital flow management measures, affording countries the latitude to implement appropriate measures to ensure financial stability.

G-24 delegates also agreed on the following of key measures to deal with the interrelated challenges of growth and debt:

1)   Trade uncertainties and financial and monetary conditions compound rising debt vulnerabilities. Improving debt sustainability depends on a supportive external trade and financial environment, timely contingency financing and the adequate flow of concessional financing for LICs – which, let us remember, has been down by almost 20 per cent if we compare figures from 2013 to 2016. 
 
2)   We called for action from the IMF, WBG and multilateral partners and donors on capacity building for fiscal and debt management and sustainability and debt transparency.
 
3)  We need to recognize the issue and try to improve the transparency around borrowing and recognize that both borrowers and lenders bear responsibility for ensuring sustainability. 
 
4)   On sovereign debt resolution, we have recognized that, with greater reliance on market-based finance, the challenges of maintaining debt sustainability and resolving sovereign debt crises evolve, and that we need a better framework to deal with such challenges.

U.S-based rights group, Human Rights Watch, in an 80 page report, underlined the ‘military occupation of civilian land in Sri Lanka’, saying that thousands of acres of land, taken over during the civil war, are still held by government forces owing to set up of security posts and buffer zones, Reuters reported.

The report, titled:  “Why Can’t We Go Home?”: Military Occupation of Land in Sri Lanka, is based on over 100 interviews between August 2017 to May 2018 with members of affected communities, activists, local officials, and lawyers.

“Now, there is no war. It’s now peacetime. So, why can’t we go back home?” Francis Croos, a resident of Mullikulam village in Mannar district, told HRW.

The report stated that state agencies such as the wildlife department hold properties as well, which looks into cases of military occupation across six districts, primarily in the country’s north and east.

“All those displaced during Sri Lanka’s brutal civil war are entitled to return to their homes,” said Meenakshi Ganguly, South Asia director at HRW.

“Despite repeated pledges by the authorities, the military has been frustratingly slow to restore land to the rightful owners,” Ganguly said in a statement.

More than 10,000 people remain in camps, and many others are still “effectively displaced”, living with other communities or close to areas where they fled from, she said.

Many of those who fled during the war were Tamils, an ethnic and religious Hindu minority in the Buddhist-dominated country.

The government has said it has returned between 80 percent and 85 percent of the confiscated land to original owners.

But while authorities have taken steps to return the land to the original owners, the process has been hindered by a lack of transparency and claims about national security, Ganguly said.

President Maithripala Sirisena last week said he had ordered the release of all civilian lands held by the state in the northern and eastern provinces by December 31.

“But the government must also draw up a resettlement policy to ensure adequate reparations and infrastructure on the land, including shelters, access to water, healthcare, education and public transport,” said Ruki Fernando, a human rights activist.

“It is crucial to ensure that the lands are in fit condition for people to live in dignity,” said Fernando, an adviser to INFORM, a human rights documentation centre in Colombo.

“Merely relocating people or providing financial compensation is not enough,” he told Reuters.

Former secretary to the defence ministry, Gotabaya Rajapaksa, Tuesday suggested his former Economic Development Minister Basil as the presidential candidate at next year’s elections.

Emerging from the new Permanent High Court at Bar in Colombo where his trial was put off for December 4, Gotabaya Rajapaksa accused the government of trying to create a rift among his politically ambitious siblings.

Asked what he thought of reports that former president Mahinda Rajapaksa was trying to promote basil over him (Gotabaya), he said the reports were circulated by the government to create dissension within the family.

“But, if you ask me, my choice for a presidential candidate is Basil Rajapaksa. It is up to President Mahinda Rajapaksa to decide, I don’t think he has decided yet,” Gotabhaya Rajapaksa told reporters.

Neither of the two brothers can contest the presidency or even a seat in parliament unless they renounce their US citizenship.

On a previous occasion, Gotabaya has said he could shed his US nationality and retain only Sri Lankan citizenship “within two months.”

In May, Gotabaya had launched his de facto presidential bid by launching what he called his Vision 2030 in the presence of some 2,000 invitees at the Shangri La hotel in Colombo.

Gotabhaya suggested Basil as a possible presidential hopeful as his criminal misappropriation of state funds case entered its trial phase after a nearly three-year investigation. He is accused of spending millions of rupees of government money to build a museum for his late parents.

His remarks came amid rumours that the Mahinda Rajapaksa-led SLPP, a breakaway faction of the Sri Lanka Freedom Party (SLFP) was going to unite with President Maithripala Sirisena to form a “caretaker” government.

Housing Minister Sajith Premadasa Monday dismissed reports of a "caretaker" administration and said he had full confidence in President Sirisena to honour his January 2015 mandate to work with the current coalition.

Premadasa said Sirisena risked his life to defect from the SLFP and challenge an autocratic presidency of Rajapaksa in 2015.

Constitutionally, the president has no power to form any other government without dislodging Prime Minister Ranil Wickremesinghe who can only be toppled through a no-trust vote in parliament.

An attempt to oust Wickremesinghe failed in February as well as in April and led to the breakup of Sirisena’s faction of the SLFP with a group of 16 crossing over to support the Rajapaksa faction.

Even if both Rajapaksa and Sirisena factions unite, they are still short of a considerable number of votes to bring down Wickremesinghe.

Source : Economy Next

The worker remittances to Sri Lanka have declined during July, though the earnings from tourism have continued to grow, providing a cushion to the current account of the external account of Sri Lanka, the Central Bank announced.   

Sri Lankan workers’ remittances to the island have declined to a moderate level of 1.6 per cent, year on year, to USD 619 million in July 2018.

Consequently, on a cumulative basis, up to July 2018 workers’ remittances grew by 0.5 per cent (year-on-year) to USD 4,243 million
Meanwhile, tourist arrivals increased moderately by 6.0 per cent with 217,829 tourist arrivals in July 2018 despite July being the traditional off season period for tourists during the year.

Total tourist arrivals during the first seven months of 2018 were 1,382,476 with a growth of 13.7 per cent in comparison to the corresponding period of 2017.

Earnings from tourism in July 2018 are estimated at USD 404 million, with cumulative earnings amounting to USD 2.5 billion during the first seven months of 2018.

Growth in tourist arrivals from India, United Kingdom, Netherlands, Australia and the United States contributed to the higher number of tourists during the period.

An Indian flight attendant has accused former Sri Lanka captain Arjuna Ranatunga of sexually harassing her at a hotel in Mumbai.

The woman narrated the alleged incident in a lengthy Facebook post which also contains some of the other sexual harassment encounters she has faced in the past.

During a visit to India, Ranatunga (currently Sri Lanka's Minister of Petroleum Resources Development), allegedly grabbed the woman by her waist. The woman allegedly later ran to the hotel reception and complained about Ranatunga's actions but the staff allegedly told her, "It is your private matter."

"My star struck colleague spotted Indian and Sri Lankan cricketers in the elevator of Hotel Juhu Centaur, Mumbai and decided to meet them in their room for autographs. I decided to chaperone her, fearing for her safety, we were offered drinks (perhaps laced) I declined and stuck to my bottle of water I'd brought along . They were 7 and we 2, they latched the room door putting the chain secure. My discomfort growing inside of me, I urged her to get back to our room.

"She was smitten and wanted to go for a stroll by the poolside, this was at 1900 hrs, the walk to the pool a desolate, unlit pathway at the back of the hotel, I look back to find (her friend) and the Indian cricketer nowhere in sight.

"Ranatunga grabs me by waist, sliding his hands along the side of my breasts, I scream fearing the worst, kicking on his legs and feet.

Threatening him of dire consequences, passport cancellation, reporting it to the cops etc., for he is a Sri Lankan misbehaving with an Indian. Wasting no time, I dashed for the hotel reception a good run on an incline screaming on top of my voice. The reception said, "it is your private matter" and that they can't help me," the woman wrote in her Facebook post.

The Me Too movement has gathered storm in India after Bollywood actress Tanushree Dutta accused veteran actor Nana Patekar of sexually harassing her on a film set back in 2010. Since Dutta's allegations, a lot of women from various fields come out to speak about their own sexual harassment encounters.

Source : India Today

After a hiatus exceeding two decades, Sri Lanka is reviving bilateral trade with the State of Kuwait, the second wealthiest economy in Gulf.

"The Government is reviving the Sri Lanka-Kuwait Joint Trade Committee after 21 years. This shall be a new turning point in the long-standing Kuwaiti-Sri Lanka relations” Minister of Industry and Commerce Rishad Bathiudeen said in Colombo recently.

Bathiudeen was addressing the Kuwaiti Ambassador to Sri Lanka  Khalaf Bu Dhhair in Colombo during a preparatory discussion on the Second Session of Sri Lanka-Kuwait Joint Trade Committee that will open in Kuwait on 9 October. 

A 13-member strong Sri Lankan official delegation led by Minister Bathiudeen, with officials from the Ministries of Industry and Commerce, Finance, Megapolis Development, Foreign Affairs, Higher Education, as well as state agencies (Foreign Employment Bureau, DoC and BoI) are scheduled to take flight on 8 October.
 
Kuwait is the second wealthiest country (per capita at US $ 30,000) in the Gulf region after Qatar (IMF).
 
According to the Department of Commerce, an Agreement on Trade between Sri Lanka and Kuwait was signed in April 1994.  The First Session of Sri Lanka - Kuwait Joint Committee Meeting was held in Colombo in March 1997.
 
“Kuwait is the 49th import partner of Sri Lanka while Sri Lanka is ranked as 82nd partner in Kuwaiti import basket by 2016. These data show there is great but unrealised bilateral trade potentials” Minister Bathiudeen said.
 
Sri Lanka’s total trade with Kuwait which was at US$ 46.68Mn in 2016 and has increased by 4% to US$ 48.56 Mn in 2017. Last year’s total Lankan exports to Kuwait were at US $33 Mn while imports totalled US $15 Mn. 
Sri Lanka’s leading exports to Kuwait this year so far have been Ceylon Tea, food preparations, fruits, nuts and other plant edibles, and Wood Fiberboard. Last year the top exports were Tea, edible preparations, desiccated coconut, wood and wood charcoal, and fish. 
Sri Lanka’s top imports from Kuwait this year so far have been mineral / chemical fertilizers, polymers (of ethylene), sodium hydroxide and petroleum oils, while 2017 top imports were plastics, organic chemicals, paper & paperboard, wood pulp and iron and steel.
Petroleum has not been among imports (to Sri Lanka) from Kuwait till last year though this year (January-May) a very small volume of US$ 0.04 Mn has been imported after a long period of absence.

In a special ceremony held on 9 October 2018, the Rabindranath Tagore Memorial Auditorium built with Indian grant assistance of SLR 300 million at the University of Ruhuna, Matara in the Southern Province, was dedicated to the people of Sri Lanka jointly by High Commissioner of India H.E. Taranjit Singh Sandhu and Vice Chancellor of the University of Ruhuna Senior Professor Gamini Senanayake. The ceremony was attended by a large gathering of more than 1000 people including the faculty, supporting staff, students of the university and other invited guests.
 
As part of the program and as continuation of the celebrations of 150th Birth Anniversary of father of the Indian Nation Mahatma Gandhi which started on 2nd October 2018, a brief video of his message and teachings was played.
 
The state of art auditorium with 1500 seating capacity is the largest in any of the Universities in Sri Lanka. It has been designed by the famous Sri Lankan Architect Geoffrey Bawa to conform to the philosophy of “Tropical Modernism”. The buildings of the Ruhuna University which is celebrating its 40th year of inception, have also been designed under the guidance of Geoffrey Bawa.
 
The auditorium named after Gurudev Rabindranath Tagore is a symbol of cultural links with India. The great Indian poet and nobel laureate has left behind an enduring aesthetic and intellectual heritage for the whole of South Asia and the world. This auditorium upholds his legacy. It will also address the needs of students and public of the Southern Province for cultural and academic activities.

Sri Lankan government’s is to integrate SMEs into the formal sector and also to establish hard and soft infrastructure frameworks to facilitate their growth

Measures are being taken to improve access to credit, access to markets, and encourage integration of value chains connecting SMEs and large firms.

This was stated by Finance Minister Mangala Samaraweera when he delivered the inaugural address at the Asia-Pacific Rural and Agricultural Credit Association (APRACA) on 8th October 2018 at Hilton Colombo.

The Government will encourage project-based lending rather than collateral based lending, rationalize upfront taxes that hinder expansion, and encourage knowledge sharing between R & D institutions and SMEs.

The government has identified the importance of the SME sector and initiated the ‘Enterprise Sri Lanka’ scheme to address some of these obstacles and minimise the SME finance gap in Sri Lanka.

Some of the issues targeted by this programme would be to make market interest rates more affordable by subsidising interest payments and addressing the pervasive issue of, lack of collateral, he said.

Youth unemployment is addressed partly by enabling young graduate’s to start-up companies, through access to interest free loans.

There are several subsidised loans for the agricultural sector, at various points of the value chain, in an effort to improve productivity and value addition in that sector, he added.

Chargé d'affaires Robert Hilton today inaugurated a two-year project to preserve pre-historic artifacts in the collection of the University of Jaffna.  The funding is provided by the U.S. Department of State under the Ambassadors Fund for Cultural Preservation (AFCP) and totals more than 23 million Sri Lankan rupees ($140,000). 

The project will rescue artifacts such as clay pots, brass and copper items, temple statues, coins, coral stones, and ceramic objects that are on the verge of irreversible decay.  Most of the collection was excavated in the Northern Province.  The project will involve both undergraduate and post graduate archaeology students of the University of Jaffna.  Professor P. Pushparatnam, a senior professor and the Project Director, submitted the successful proposal to the U.S. Embassy and AFCP.  University of Jaffna Vice Chancellor Professor R. Vigneswaran will assist with the project.

“A nation’s cultural heritage is one of its most precious resources,” said Chargé Hilton.  “Cultural heritage reminds us of the historical experiences of humanity.   I am delighted that the U.S. Embassy is supporting the preservation of these important artifacts, which tell the story of the Sri Lankan people.”  When preservation is complete, the objects will be on display at the University of Jaffna’s museum.

Since 2001, AFCP has funded 13 projects in Sri Lanka, including the conservation of a Buddhist temple, the restoration of the Batticaloa Dutch Fort, the preservation of Buddhist, Hindu, and other collections in the Anuradhapura Archaeological Museum, and the preservation of the intangible heritage of ritual music and dance forms of the Adivasi, Tamil, and Buddhist communities.

Former Attorney General and President’s COunsel Shibly Aziz has passed away at the age of 75. Aziz, a well-known and eminent President’s Counsel contributed extensively to the development of the legal system in the country from 1968.

He served on a number of national commissions and statutory bodies and represented Sri Lankan in several international fora.

Aziz was appointed to the constitution council as civil society members in the nomination of prime minister and opposition leader from 2015 to 2018.