Sri Lanka SOE boards to decide on future direction, private capital

The Boards of directors of state-owned enterprises will decide on whether they continue or whether reforms or private capital is required, Deputy Minister of Finance and Planning Harshana Suriyapperuma said. It was not a question of whether the government should be in business or not, but the need for the government to be in a […]

IMF says Sri Lanka’s SOEs could remain state-owned or privatized

Sri Lanka’s state-owned enterprises (SOE) could be either state-owned or privatized, Peter Breuer, International Monetary Fund (IMF) Mission chief for the island nation said, as a move to restructure several loss-making SOEs has been resisted by the new government. Breuer’s comments come as President Anura Kumara Disanayake’s new government has been resisting the privatization or […]

S&P keeps Sri Lanka rating at selective default on unfinished SriLankan Airlines bond

Standard and Poor’s (S&P) said it was keeping Sri Lanka’s sovereign rating at selective default because a defaulted SriLankan Airlines bond has not yet been restructured, but has rated newly issued restructured bonds at CCC+. The 175 million dollar SriLankan Airlines bond is guaranteed by the government and remains in default. “We could raise our […]

Sri Lanka SOE container terminal to get tax exemptions as ‘special project’

A container terminal built by Sri Lanka Ports Authority has been named a ‘special project’ by the cabinet to give tax benefits Minister Vijitha Herath said. Private terminals in the port are given tax benefits under a Strategic Development Project law. The excessive length of tax breaks as well as exempting senior official’s companies from […]

Sri Lanka government would be owed Rs656bn for CPC debt taken over by end 2024

There will be owed 656 billion rupees of debt taken over by Sri Lanka’s central government to be offset by taxes on fuel by the beginning of 2025, Energy Minister Kanchana Wijesekera said. The Treasury took over 1,200 billion rupees of debt (3.4 billion US dollars) in 2022 and a 25 rupee tax was imposed […]

Sri Lanka delays Hilton building sale until after the elections

Sri Lanka has halted the sale of Hotel Developers (Lanka) Ltd, a state-run. company that owns the building housing Colombo Hilton, until elections are completed, the Finance Ministry said. The Finance Ministry statement said several social and mainstream media reports relating to the sale of Hilton hotel are not correct. A claim that the Government […]

Sri Lanka SOEs major source of corruption

Sri Lanka’s state-owned enterprises are a major source of corruption, and are beset by bad governance and some are operating with special privileges and monopoly power, a think tank said. “State-owned enterprises are a major source of corruption vulnerabilities in Sri Lanka,” Rehana Thowfeek, research consultant at Advocata Institute said. “I don’t think there’s anyone […]

Sri Lanka SOE sale process was slow to avoid reversals

Sri Lanka’s state enterprises privatization is slow due to the process that was followed to ensure that the transactions were transparent and there was no risk of being reversed, SOE restructuring unit chief Suresh Shah said. “If it is reversed it would have damaged the investment environment in the country,” Shah told a forum organized […]

Sri Lanka still negotiating with Melwa sale price for Hilton building

Sri Lanka is still negotiating the price to sell Hotel Developers Lanka Ltd, the owning company of Colombo Hilton with the company that submitted the financial bid, the State-Owned Enterprises Restructuring Unit said. Though four parties that were pre-qualified, only one Melwa Hotels & Resorts (Pvt) Ltd, submitted an offer, the SRU said earlier in […]

Sri Lanka SRU responds to SLT, Hilton sale allegations

Sri Lanka’s State-Owned Enterprises Restructuring Unit has responded to recent statements about the sale process of Hotel Developers Lanka and SLT. The full statement is reproduced below: With respect to the divestitures of Hotel Developers Lanka Ltd and Sri Lanka Telecom PLC, recent newspaper articles and social media content claim that: 1. The divestiture of […]

“Huge responsibility” delays Sri Lanka’s SOE restructuring: State FinMin

Restructuring of Sri Lanka’s state-owned enterprises (SOEs) is delayed as the government needs to ensure transparency, maximum value for them, protection of employees’ rights, and improvement in the quality of the service, State Finance Minister Ranjith Siyambalapitiya said. His comment comes after President Ranil Wickremesinghe’s government has not restructured any SOEs in the last two […]

Sri Lanka non-financial SOEs make Rs282bn in profits in 2023 amid monetary stability

Sri Lanka’s non-financial public sector enter which lost 910 billion rupees in 2022, as macro-economists printed money to boost growth and bungled a float with a surrender rule has made profits of 282 billion rupees in 2023, official data shows. In 2022 the same state owned enterprises made 910 billion rupees of losses. A major […]

Eight parties qualify to bid for Sri Lanka’s Litro Gas

Sri Lanka’s State-Owned Enterprises Restructuring Unit said eight parties were qualified to bid for Litro Gas Lanka and Litro Terminals (Pvt) Limited. A special Cabinet Appointed Negotiating Committee had approved the following bidders to progress to the requests for proposals stage. Read more on Economy Next

Sri Lanka’s CPC makes Rs120bn profit in 2023 after Rs884bn tax-payer injection

Sri Lanka’s state-run Ceylon Petroleum Corporation has made profits of 120.3 billion rupees, helped by a 20 billion forex gain and a lower interest bill, compared to 617 billion rupees when the currency collapsed in the previous year. In 2022, CPC posted a loss of 617.5 billion rupees, with 529.4 billion rupees coming the rupee […]

Divesting SOEs can generate greater profits through taxation: Sri Lanka restructuring unit

 Some profitable state-owned enterprises are being divested because the government can generate far greater profits through taxation, Sri Lanka’s SOE restructuring unit has said. “Taxes yield greater benefit to the public with far less financial cost and resources, burdening the country,” SOERU, established under the Ministry of Finance, said on its social media page X (twitter). […]

Sri Lanka chamber calls on political parties to support SOE reforms

The Ceylon Chamber of Commerce has asked all political parties to support the continuity of SOE reform and maintain reform momentum, building on the economic stability achieved. “The Chamber stresses that it is vital to prioritise and implement the reforms related to State-Owned Enterprises (SOEs), energy, and fiscal management, to ensure that the country does […]

Air Asia, SriLanka’s FITS, Hayleys bid for SriLankan Airlines

Malaysia’s AirAsia group, FITS Aviattion of Sri Lanka and Hayleys are among bidders for state-run SriLankan Airlines, a statement from the State-owned Enterprises Restructuring Unit said. Dharshaan Elite Investment Holding (Pvt) Ltd, . Sherisha Technologies Private Limited and Treasure Republic Guardians Limited are the other bidders. Read more on Economy Next

Sri Lanka to conclude most SOE sales by August; Srilankan by Sept

Sri Lanka is expecting to conclude all the transactions related to divestiture of State-Owned Enterprises (SOE) by August this year under an ambitious reform process, the government-led State-Owned Enterprises Restructuring Unit (SOERU) said. However, the divestiture of loss-making Srilankan Airlines is likely to be concluded by September, it said. The SOERU has already called for […]

Sri Lanka’s Litro Gas sale draws Vitol, Bharat Petro, China Aero among 14 investors

Fourteen investors have expressed interest in the divestiture of Litro Gas Lanka Ltd and Litro Gas Terminal (Pvt) Ltd, Sri Lanka’s State Owned Enterprises Restructuring Unit said. Read more on Economy Next

Euro Exim Bank, Fairfirst interested in Sri Lanka Insurance

Five local and international investors have responded to a request for proposals to divest Sri Lanka Insurance, the island’s State Enterprises Restructuring Unit said. LIC (Lanka) Limited, Union Assurance PLC and Asiri Hospital Holdings PLC have responded to the sale of Sri Lanka Insurance Corporation Life Limited. Euro Exim Bank Limited, Fairfirst Insurance Limited, have […]

Sri Lanka’s Hilton Colombo ready for private investment: state minister

Sri Lanka’s Hilton Colombo is ready for private sector investment, with four businessmen already expressing interest, State Minister for Urban Development and Housing Arundika Fernando said. However, securing the expected financial investment for the project’s success is essential, Fernando told reporters on Wednesday March 06. Meanwhile, progress on the Hyatt Hotel, which falls under Fernando’s […]

Five Indian firms among six prequalified for Sri Lanka’s Canwill Holdings RFP

Five Indian firms are among six bidders prequalified for the Request for Proposal (RFP) stage, the State-Owned Enterprises Restructuring Unit (SOERU) said on Wednesday. The SOERU called for expressions of interest in October last year from investors to divest Canwill Holdings, which owns almost a completed building for a hotel in the capital Colombo. The […]

Sri Lanka Telecom, chairman, directors resign

Sri Lanka Telecom Chairman Reyaz Mihular and three have resigned, the company said in stock exchange filings without giving reasons. Lalith Seneviratne, Ranjith Rubasinghe have resigned with effect from January 29 and K A Vimalenthirarajah from January 30, the filing said. Sri Lanka’s Daily FT newspaper reported earlier in the week that Mihular and other directors were […]

Sri Lanka hopes to issue first divestment RFP within a week

Sri Lanka plans to issue to first request for proposal to divest government companies within a week, Director General of State Enterprises Reform Unit, Suresh Shah said. Sri Lanka has a two-stage bidding process where expressions of interest is called, and qualified investors are given request for proposal documents to make financial bids for SOEs. […]

Pettigo, India’s Jio among investors interested in Sri Lanka Telecom

Three investors have expressed interest in the sale of Sri Lanka Telecom shares, the island’s State-Owned Enterprises Restructuring Unit said. They are: Jio Platforms Ltd, Gujrat, India, Gortune International Investment Holding Ltd, submitted by Capital Alliance Limited, and Pettigo Comercio International LDA submitted by NDB Investment Bank Ltd. Jio Platforms is a unit of Reliance Industries, […]

Sri Lanka to revise National Savings Bank Act to make bank more competitive

Sections of the National Savings Bank Act No.30 of 1971 are to be amended to facilitate the bank’s functions in a competitive financial market, a cabinet statement said. “The National Savings Bank has found it difficult to cope with the competitive and rapidly changing financial market due to the limitations existing in the National Savings […]

No bonuses, incentives or salary increments for CEB: Sri Lanka minister

Sri Lanka’s power and energy minister has instructed the Ceylon Electricity Board that there would be no bonuses, incentives or salary increments for employees for 2023. In a letter to its chairman, shared by Kanchan Wijesekera on X (twitter) he said: “I write to you further to the previously given instructions and policy decision to […]

Sri Lanka Telecom, SriLankan Airlines bid deadlines extended

The deadline to submit expressions of interest for Sri Lanka Telecom and SriLankan Airlines have been extended on investor requests, Director General of the State Enterprises Restructuring Unit, Suresh Shah said. The date to express interest for Sri Lanka Telecom was extended to January 12, 2024, from December 18. The date for SriLankan Airlines was […]

Sri Lanka gets 9 responses for Hilton Hotel sale

Nine parties have expressed interest to buy a stake in Hotel Developers (Lanka) Ltd, the State Enterprise Reform Unit said. The full statement is reproduced below: On 9th October 2023 via international and local media, The Government of Sri Lanka (GOSL) acting throughThe Ministry of Finance, Economic Stabilisation and National Policies called for Expressions of […]

Sri Lanka to sell down 20-pct of state banks, Rs450bn for bank recapitalization

Sri Lanka plans to sell 20 percent stake in state banks to strategic investors or the public, President Ranil Wickremesinghe said. “I propose that 20 percent of the shares of the two Iarge state-owned banks should be given to strategic investors or the public to improve capital and support the future growth of the two […]

Investors sought to divest Sri Lanka Telecom 50.23-pct stake

A 50.23 -percent majority stake in Sri Lanka Telecom is offered to investors according to a pre-qualification call by the island’s State Enterprise Restructuring Unit. Prospective investors must apply by December 18. Successful candidates will be selected by January 05 and given tender documents. The sale is expected to be completed by the second quarter […]

Sri Lanka cabinet nod for revising power tariffs every three months

Sri Lanka’s cabinet of ministers has approved a proposal to change the frequency of power tariff revisions from every six months to every three months. Cabinet spokesman and Minister of Transport Bandula Gunawardena told reporters at the weekly cabinet press briefing on Tuesday October 31 that President Ranil Wickremesinghe in his capacity as Minister of […]

Sri Lanka invites interest to sell Canwill Holdings

Sri Lanka’s State Owned Enterprises Unit has called for expressions of interest from investors to divest Canwill Holdings, which owns almost completely building in the capital Colombo. The 47-story building, built by Sinolanka Hotels & Spa Pvt Ltd, a fully owned unit, has 458 rooms and 100 serviced apartments, built to specifications of Hyatt hotels […]

Sri Lanka flexible for investor to start Grand Hyatt operations – Minister

Sri Lanka is ready to be flexible on the construction cost of the Grand Hyatt building if an investor is ready to complete the building, start operations, and repay a $35 million loan, State Minister for Urban Development and Housing Arundhika Fernando said. Hyatt building was constructed by then president Mahinda Rajapaksa government with $60 […]

Sri Lanka to call RFP for value addition, upgrading of some SOEs

Sri Lanka will call request for proposal (RFP) for either value addition or upgrading of some key state-owned enterprises, Industries Minister Ramesh Pathirana said, as the island nation is struggling to come out of an unprecedented economic crisis. “We are expecting to call request for proposal for the mineral sand value addition, Lanka Cement Company, […]

Sri Lanka SOE accumulated losses equal 18 times PAYE taxes: Advocata

Sri Lanka’s state owned enterprises ratcheted up losses amounting to 18 times the annual pay as you earn taxes collected from wage earners from around 2006, when privatisation was halted, a think tank has said. When state enterprises ran losses they were covered by loans taken from domestic banks as well as from capital markets. […]

Sri Lanka should speed up SOE sales before momentum dies: think tank

Sri Lanka should speed up the divestment of state enterprises to reduce the burden on the people, before the momentum for reform out, Advocata Institute, a Colombo-based think tank said. Key reforms have to be done in the first year of government, Rohan Samarajiva, an Advisor to Advocata Institute told reporters. “2024 by all estimates […]

Sri Lanka’s SEC approves new listing board and rules for SOEs

Sri Lanka’s capital market regulator has approved the creation of a separate listing board and listing rules at the Colombo Stock Exchange (CSE) for state-owned enterprises’ (SOEs) expected entry into the bourse. The salient features of the rules applicable to the new Board include a stated capital of not less that 250 million rupees revenue, […]

Sri Lanka may appoint local advisors for small SOE divestments

Sri Lanka may appoint domestic transaction advisors for smaller divestments in the future, Director General of the State Enterprise Restructuring Unit Suresh Shah said. In the first set of enterprises to be sold, which included Sri Lanka Insurance, Sri Lanka Telecom and Litro Gas, international transaction advisors were appointed. By appointing local advisors in future […]

Sri Lanka SOE to export mineral sands to China

Sri Lanka’s state-run Lanka Mineral Sands Limited is to export 60,000 metric tonnes of ilmenite to China, a government statement said. The statement quoted Lanka Mineral Sands Chairman Udeni Dasanayake as saying that two ships will arrive in Sri Lanka to carry the mineral.  Earlier this week a shipment of 30,000 tonnes of Zircon mineral sands […]

Sri Lanka has 80 SOEs that could move out of state hands: official

Sri Lanka has about 80 state commercial entities that need not be in state hands based on several criteria, Director General of State Enterprise Restructuring Unit, Suresh Shah said. There are about 130 commercial state-owned enterprises (SOEs) in Sri Lanka out of which 15 are non-operational and have to be closed. There were another 80 […]

Sri Lanka plans Temasek style SOE holding company

Sri Lanka is planning a holding company for state enterprises in the style of Singapore’s Temasek Holdings along with a law for SOE with the hope of improving governance and cutting fiscal risks, officials said. Sri Lanka has about 80 SOEs which can move completely out of state hands and another about 20 which for […]

Only 25-pct of Sri Lanka state agencies make satisfactory disclosure under RTI: survey

About a quarter of Sri Lanka’s ministries and public authorities made at least ‘moderately satisfactory’ disclosures under the Right to Information Act with informative websites, a survey has found. In terms of content disclosure 77 percent were ‘moderately unsatisfactory and only 23 percent were moderately satisfactory, according to a survey conducted by Verite Research, a […]

Sri Lanka will not revise electricity tariffs till January: power minister

Sri Lanka will see no tariff revision on electricity in the foreseeable future as the government has decided to revise prices biannually in January and July, Power & Energy Minister Kanchana Wijesekara said. “[The state-run Ceylon Electricity Board (CEB)] has planned for an uninterrupted supply of power islandwide throughout the year with no scheduled power […]

Sri Lanka Litro keeps LPG price unchanged, praises its imports at lower price

Prices of cooking gas distributed by Sri Lanka’s state run Litro Gas will be unchanged this month despite a price hike in the global market as the company has bought stocks when the price of domestic liquefied petroleum (LP) gas was low, the company said on Friday. Litro Gas Chairman Muditha Peiris in a statement […]

China’s Sinopec commences fuel distribution in Sri Lanka

China’s Sinopec has commenced discharging its first shipment of fuel to Sri Lanka with a second shipment due to arrive on Thursday August 03, Energy Minister Kanchana Wijesekara said. The minister tweeted on Tuesday August 01 that the entry of new retail suppliers to the domestic market will ease the forex requirements for petroleum products […]

Sri Lanka may un-bundle SOEs before divestment

Sri Lanka may break-up a number entities that are on track for privatization, after transaction advisors complete a study on the entities, Director General of State Enterprises Reform Unit Suresh Shah said. SriLankan Airlines which has catering, engineering and ground handling operations is one entity where earlier proposals had been made for separately selling the […]

Sri Lanka’s Sathosa restructuring will see CWE and Sathosa retail chain merged: official

Restructuring Sri Lanka’s Cooperative Wholesale Establishment (CWE) – abbreviated in Sinhala as Sathosa – won’t be a restructuring of the state-run Lanka Sathosa retail chain but, rather, a merging of the two entities, according to CWE Chairman Pasanda Yapa Abeywardena. Abeywardena told reporters that the objective of a proposed restructuring initiative of the CWE is […]

IFC selected to help divest Sri Lanka Telecom, SriLankan Airlines

Washington-based International Finance Corporation was selected to help divest SriLankan Airlines, Sri Lanka Telecom and Lanka Hospital Corporation, Cabinet Bandula Gunwardana said. Alvarez and Marsal will advise on the sale of Sri Lanka Insurance, Deloitte India will advise on the sale of Canwill Holdings Pvt Ltd, and Litro Gas Lanka. Read more on Economy Next

Sri Lanka CEB settles Rs4bn in arrears: Minister

Sri Lanka’s state-run Ceylon Electricity Board (CEB) has settled arrears payments amounting to  four billion rupee from the previous year, Minister of Power and Energy Kanchana Wijesekera said. “CEB has settled all its arrears payments up to the April 30 that was due to the Rooftop Solar Customers,  amounting to Rs 4 Billion that was […]

Sri Lanka selects privatization advisors

Sri Lanka’s state enterprise re-structuring unit has selected transaction advisors to help sell down four state enterprises, sources said. Capital Alliance Partners with Alvarez and Marsal has been selected for Sri Lanka Insurance. Platinum Advisors with Colliers, for Hotel Developers and Deloitte India for Litro Gas and Canwill Holdings, the owning company of Colombo’s Hyatt […]

Sri Lanka divestitures expected in fourth quarter

Sri Lanka’s state enterprise unit is expecting to make the first divestitures in the fourth quarter of 2023, Director General, Suresh Shah said. A government procurement is now evaluating bids for transaction advisors to planned divestitures, Shah told a forum organized by the central bank. Transaction advisors are required to value the companies. They will […]

Loss vs profit debate major fallacy in Sri Lanka SOE restructure talk: reforms chief

The discourse around restructuring Sri Lanka’s state-owned enterprises (SOEs) is unhelpfully focused on a misplaced dichotomy between loss-making and profit-making entities, according to the head of a government-appointed SOE restructuring unit. Suresh Shah, head of the Finance Ministry’s SOE Restructuring Unit, speaking at a webinar on Wednesday June 14 said that the loss-making versus profit-making […]

National security concerns over Sri Lanka Telecom shares sale unfounded: Harsha

Robust regulation is the best way to address any national security concerns associated with telecommunication services, and questions of ownership are largely immaterial, according to opposition MP Harsha de Silva. The main opposition Samagi Jana Balawegaya (SJB) legislator told EconomyNext Saturday June 10 morning that fears of a national security risk posed by the proposed […]

SLT shares down after privatization statement

Shares in Sri Lanka’s state run top landline phone company, Sri Lanka telecom fell 7.8 percent on Friday during the trade after a statement from the government legislator against its proposed privatization. Profit – making Sri Lanka telecom is one of the key state owned enterprises listed to be privatized under the reforms in line […]

Sri Lanka’s CPC owes almost billion dollars on India, Iran credit lines

Sri Lanka’s state-run Ceylon Petroleum Corporation owed 1,035 million dollars taken after transferring 2.44 billion US dollars borrowed from local banks during periods of monetary instability, official data showed. The central government had taken over 1.34 billion US dollars of loans from Bank of Ceylon and 1.09 billion US dollars from People’s Bank, a Finance […]

Sri Lanka cabinet approves SOE reform policy to reduce burden on country

Sri Lanka’s cabinet of ministers has approved a state enterprise reform policy to strengthen government finances and reduce the burden on the country and speed up an economic recovery, Minister Bandula Gunawardana said. “The aim of the policy is to transform state enterprises so that they will not be a burden to the country, a […]

Sri Lanka Insurance units Litro Gas, Canwill to be ‘carved out’ before divestiture

Units of state-run Sri Lanka Insurance including Litro Gas, Litro Terminals and Canwill Holdings will be ‘carved out’ before diverstiture, according to information given at a pre-bid meeting of prospective transaction advisors. Canwill Holdings, Litro gas and Litro terminals are subsidiaries of SLIC, which be carved out from SLIC to the Secretary of Treasury before […]

Sri Lanka to ink fuel deals with Sinopec, RM Parks-Shell in May

Sri Lanka will sign fuel retail agreements with China’s state-owned petroleum corporation Sinopec mid-May with operations to commence 45 days thence, Power & Energy Minister Kanchana Wijesekara said. Wijesekara tweeted Wednesday April 26 afternoon that he met a Sinopec team that arrived in the island the previous day to finalise the agreements. Read more on […]

Sri Lanka to seek competitive bids for state asset sales

Sri Lanka will adopt a competitive bidding process for asset sales and will shortly call for expressions of interest from transaction advisors to support the divestment program, the head of the state enterprise re-structuring unit Suresh Shah said. All assets will be sold through a competitive bidding process and no unsolicited bids will be accepted. […]

Sri Lanka president says state need not do business; seven SOEs to be divested

The State need not engage in business as its mandate is to provide services such as education and maintain law & order, Sri Lanka President Ranil Wickremesinghe said defending plans to divest government-held shares of seven state owned enterprises (SOEs). At a discussion held at the presidential secretariat Thursday March 23 morning, Wickremesinghe said responding […]

Sri Lanka holds talks on CEB restructure; ADB, WB, USAID, JICA discuss assistance

Sri Lanka’s Ministry of Power & Energy has held talks on the progress of restructuring the state-run Ceylon Electricity Board (CEB) with a number of multilateral and other development agencies communicating on the assistance they can offer. Minister Kanchana Wijesekara tweeted Saturday March 11 afternoon that the Asian Development Bank (ADB), the World Bank, the […]

Sri Lanka’s state-run CPC records significant reduction in fuel sales: minister

Sri Lanka has recorded a significant reduction in fuel demand over the year from January 2022 to January 2023, with consumption of auto diesel and petrol dropping as much as 50 and 30 percent respectively, Power & Energy Minister Kanchana Wijesekara said. The minister tweeted Friday March 10 that retail and industrial fuel sales records […]

Sri Lanka forex situation eased in December and January: CB Governor

Sri Lanka’s foreign exchange availability has increased over the past two months and essential importers are finding more money on their own, Central Bank Governor Nandalal Weerasinghe said. “The demand for dollars for essential imports from our resources has reduced, that is because they can find the money from banks,” Governor Weerasinghe said. “If there […]

Sri Lanka to discuss settling ACU, India emergency credits separately: CB Governor

Sri Lanka will discuss the repayment of emergency credits from India separately from other defaulted debt, Central Bank Governor Nandalal Weerasinghe said. The Asian Clearing Union and other Indian credits from India given in 2022 have been excluded from the perimeter for debt re-structuring process, he said. Central banks swaps from “and any short term […]

Sri Lanka remittances up after tight money kills parallel FX gap, Pakistan down

Sri Lanka’s remittances through official channels picked up to 476 million US dollars in December 2022 up from 353 million dollars a year earlier as parallel market premiums disappeared money printing reduced, while Pakistan is seeing a fall. Pakistan is seeing an external meltdown as foreign reserves are spent and money is printed to stop […]

Sri Lanka gets first response from China over debt restructuring

China has given Sri Lanka a positive response over the request for debt re-structuring State Minister Shehan Semasinghe said, as the country seeks assurances that debt will be re-structured in line with a program with the International Monetary Fund. The Exim Bank of China has indicated that they are willing to support Sri Lanka’s debt […]

Sri Lanka debt talks with India, China successful: President

Debt re-structuring talks with India and China are successful, President Ranil Wickremesinghe told parliament as the country is trying get an International Monetary Fund bailout. “I can tell this assembly that the talks are successful,” President Wickremesinghe told parliament. “Very soon we will have an answer.” Sri Lanka has raised taxes and tightened spending to […]

Sri Lanka’s CPC accumulated losses top trillion rupees on soft-peg

Sri Lanka’s state-run Ceylon Petroleum Corporation has lost 633 billion rupees up to August 2022 with 546 billion rupees coming from central bank actions, official data show. The CPC made a forex loss of 546 billion rupees as the central bank printed money and the rupee collapsed from 200 to 360 to the US dollar […]

Sri Lanka to sell SOEs to build reserves: President

Sri Lanka can raise 3 to 4 billion US dollars to build reserves by selling of state enterprises, President Ranil Wickremesinghe has said as the country grapples with the worst currency crises in the history of its intermediate regime central bank. “The only way in which we can raise foreign exchange reserves is by selling […]

Sri Lanka’s CEB to charge additional 2.5 pct of social security contribution levy

The Ceylon Electricity Board (CEB), Sri Lanka’s state-owned utility provider, will charge an additional 2.5 percent of social security tax of the total electricity bill with effect from October 01, the Public Utilities Commission of Sri Lanka (PUCSL) said. PUCSL Chairman Janaka Ratnayake said on Thursday October 27 citing a communique from the ministry of […]

Sri Lanka owes US$751mn to oil suppliers: Minister

Sri Lanka owes 751 million US dollars in arrears to foreign oil suppliers for purchases already made, Power and Energy Minister Kanchana Wijesekera said as the country struggles with the worst currency crisis in the history of the island’s central bank. Sri Lanka’s state-run Ceylon Petroleum Corporation has a habit of getting oil on credit […]

Sri Lanka’s CPC in profits from July 2022, forex loans drive Rs600bn loss

Sri Lanka’s Ceylon Petroleum Corporation started to make profits from July 2022 after prices were made cost based, Power and Energy Minister Kanchana Wijesekera said. Sri Lanka started market pricing fuel, gas and also raised electricity prices in the run up to a deal with the International Monetary Fund, as global fuel prices rose and […]

Sri Lanka can raise US$2-3bn by reducing SOEs: President

Sri Lanka plans to boost central bank reserves by reducing state-owned enterprises, President Ranil Wickremesinghe told parliament, in a possible reference to a privatization drive. “By reducing the burden of SOE we can expand the reserves by getting 2 to 3 billion US dollars,” President Wickremesinghe told parliament. Read more on Economy Next

Sri Lanka airport agency says usually profitable, 2022 a currency loss

Sri Lanka’s state-run airport authority says a 1.6 billion rupees loss up to June 2022 came from foreign exchange denominated loans and cost on borrowings for Mattala airport and the company is usually profitable. Sri Lanka’s Airport and Aviation Services Ltd, said it consistently made profits until the Covid-19 pandemic started in 2020. “Before the […]

Sri Lanka top five SOEs lose Rs931bn amid monetary instability

Sri Lanka’s top five state enterprises have lost 931 billion rupees in the first four months of 2022, official data shows.