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Adani, Sri Lankan authorities to be entangled in legal wrangle ?

Posted on July 14, 2025 | by TELO Admin

India’s Adani Green Energy and the government authorities are poised to be involved in a legal wrangle over the reimbursement of initial expenses made by the company before it withdrew from the renewable energy projects in Sri Lanka.

The company withdrew from the project after the Sri Lankan government ,led by the National People’s Power (NPP) was unprepared to press ahead with it according to terms agreed upon by the previous government which struck the agreement.

The company took that decision after Sri Lanka, under the new government led by the National People’s Power ( NPP), sought to lower the cost of the power generated. The NPP government disagreed with the cost agreed upon by the last government which struck the project with Adani. The company was to build a wind power plant project in the Mannar and Pooneryn towns in the northern province, investing $442 million.

The project was expected to add at least 350 MW to the national grid by 2025.The company authorities sent a letter to the government authorities in May this year asking for reimbursement of expenses it made initially for research and investigation along with the Sustainable Energy Authority (SEA) in Sri Lanka.

The Sustainable Energy Authority of Sri Lanka is currently in the process of seeking legal advice about reimbursements sought by the company for some expenses. The Authority is adamant that it cannot reimburse payment made for the energy permit. It is, however, prepared to consider reimbursement of other expenses depending on legal advice.

An informed source said that legal cases might entail due to differences over reimbursements following legal advice.

Hamilton Reserve $250mn outside Sri Lanka’s most favoured creditor clause

Posted on July 14, 2025 | by TELO Admin

About 250 million dollars of Sri Lanka sovereign bonds which are under litigation has been excluded from a most favoured creditor clause in newly restructured bonds, according to International Monetary Fund program documents.

A most favoured creditor clause refers to the right of all creditors to receive the same treatment if any creditor is given special benefits.

“The litigation entails risk to debt sustainability,” the IMF report said. “However, the risk is contained given the limited size of bonds under the litigation and the design of most favored creditor clauses on the new bonds: it does not apply to payment of any judgment which is final and non-appealable.

Hamilton Reserve Bank, an investor which has 250 million dollars of an older bond which has a so-called single series collective action close went to court after acquiring a 25 percent holding.

Sri Lanka has restructured most of the larger creditors by the time of the last review earlier this month. Small amounts of commercial debt below 50 million dollars remained to be restructured.

Sri Lanka has also appointed advisors to restructure SriLankan Airlines 175 million dollars government guaranteed bonds.

China and Sri Lanka to expedite FTA

Posted on July 13, 2025 | by TELO Admin

Chinese Foreign Minister Wang Yi yesterday called upon his Sri Lankan counterpart Vijitha Herath to expedite the finalisation of the China-Sri Lanka Free Trade Agreement (FTA).

Minister Yi was speaking during a bilateral meeting in Kuala Lumpur, Malaysia, where the two sides vowed to deepen their strategic cooperative partnership and enhance practical cooperation.

A China-Sri Lanka FTA, which has been under discussion for some time, is likely to boost two-way trade and also address the imbalance in the trade figures.

Minister Yi also called on both sides to deepen high-quality Belt and Road (BRI) cooperation, jointly implement the two flagship projects – the Colombo Port City and the Hambantota Port, and create new growth points for cooperation in fields such as Green Energy, Digital Economy, modern agriculture and maritime (Blue) economy.

Talking specifically on cooperation in the maritime domain, Minister Yi said such cooperation is mutually beneficial, adding that it does not target any third party and should not be interfered with by any third party. The Chinese Foreign Minister said the so-called “Indo-Pacific Strategy” pursued by certain parties provokes confrontation and coerces all parties to take sides, which is not in line with the trend of the times and will not be supported by regional countries.

Wang said China is ready to work with Sri Lanka to push the development of the strategic cooperative partnership featuring mutual assistance and ever-lasting friendship between the two countries. Minister Herath said Sri Lanka attaches great importance to its relations with China, and firmly adheres to the “One China” principle. Minister Herath said that bilateral cooperation has brought tangible benefits to Sri Lankans and promoted the development and connectivity of the region. Sri Lanka will enhance practical cooperation with China in areas including trade and investment, infrastructure and ocean, and further deepen the two countries’ strategic cooperative partnership in a number of sectors.

33 Northern Hospitals Without a Single Nurse, Says Health Minister Jayatissa

Posted on July 13, 2025 | by TELO Admin

Health Minister Dr Nalinda Jayatissa has revealed that 33 regional hospitals in the Northern Province are currently operating without a single nurse.

He made this disclosure while attending the opening ceremony of the new Outpatient Department (OPD) building at the Nainativu Divisional Hospital, which was officially handed over to the public on 12 July.

The Health Minister assured that these vacancies will be filled with upcoming nursing appointments, adding that steps will be taken to address these critical staff shortages.

The newly inaugurated OPD facility includes an emergency treatment unit, dispensary, vaccination room, dental unit, nurses’ rest area, ECG unit, minor surgery unit, primary care unit, and sanitation facilities.

Commenting during the ceremony, Health Minister Jayathissa noted that this was his first official visit to the Jaffna Peninsula in his capacity as Health Minister and that Nainativu Hospital was the first medical institution he visited there.

He further stated that a detailed plan has been developed over the past few months to establish similar regional health centres across the country.

Highlighting the need for transformation in the country’s healthcare system, the minister said that while global health services have evolved to be more patient-centric, Sri Lanka still largely operates on a doctor-centric model. He stressed that the public is accustomed to travelling long distances to receive medical care, leading to overcrowding at larger hospitals like the Jaffna Teaching Hospital.

He pointed out that properly functioning primary care units in island regions can significantly improve service quality. He also praised the Navy for completing the new OPD building within a short period—a task that, in many cases, would otherwise take over a decade.

Looking ahead, Jayathissa said that patients should not have to wait in queues, and that the ministry intends to introduce appointment systems using modern technology to streamline care delivery.

He also acknowledged weaknesses in the Ministry’s repair and maintenance division, particularly in relation to medical equipment and ambulances. Moving forward, he said, the Ministry will partner with institutions capable of maintaining expensive medical equipment and vehicles to ensure sustainability. He added that arrangements will be made to provide the hospital with the ambulance it requires.

President Anura Kumara Dissanayake Aims for Further U.S. Tariff Reductions

Posted on July 12, 2025 | by TELO Admin

President Anura Kumara Dissanayake says that discussions are ongoing with the aim of securing further reductions in the U.S. reciprocal tariff rate on Sri Lankan exports.

He made these remarks while participating in a discussion held this morning at the Presidential Secretariat with all stakeholders connected to the export industry.

The President noted that, as a result of previous negotiations between the two countries, Sri Lanka was able to secure a reduction in the U.S. reciprocal tariff rate from 44% to 30%.

He added that the government remains committed to pushing for further adjustments to ensure the tariff structure is more favourable to the national economy, businesses, the entrepreneurial community, and the general public.

During the discussion, attention was also drawn to the progress made in talks regarding the United States’ proposed new reciprocal tariff policy, the current status of those negotiations, and the economic challenges Sri Lanka may face once the policy is implemented.

Russia reiterates support for Sri Lanka in BRICS

Posted on July 12, 2025 | by TELO Admin

Russia reiterated support for Sri Lanka in BRICS, an intergovernmental organization comprising Brazil, Russia, India, China, South Africa, Egypt, Ethiopia, Indonesia, Iran and the United Arab Emirates.

Minister of Foreign Affairs, Foreign Employment, and Tourism Hon. Vijitha Herath met with Russian Foreign Minister Sergey Lavrov on the sidelines of ministerial events under the auspices of ASEAN in Kuala Lumpur.

During the conversation, the parties discussed pressing issues on Lankan–Russian relations and collaboration on international platforms.

Russian Foreign Minister Lavrov expressed his gratitude for Sri Lanka’s communication sent in October of last year, which articulated Sri Lanka’s interest in closer alignment with BRICS. Russia welcomes this step and stands ready to support a consensus on the matter unequivocally.

Further, Minister Lavrov noted that Sri Lanka has long been a trusted partner of Russia in South Asia. He acknowledged the deep and positive historical trajectory of bilateral relations and expressed a commitment to advance the relationship further as a model for future collaboration.

Minister Vijitha Herath thanked the Russian Federation for its longstanding friendship and consistent support for Sri Lanka, especially during critical times of need. He appreciated Russia’s historical ties with Sri Lanka and affirmed Sri Lanka’s commitment to deepening cooperation across multiple sectors.

Pakistan Army Chief Asim Munir to visit Sri Lanka

Posted on July 12, 2025 | by TELO Admin

Pakistan Army Chief Field Marshal Syed Asim Munir plans to visit Sri Lanka and Indonesia later this month, according to media reports.

Field Marshal Syed Asim Munir is likely to visit Colombo on July 21.

Reports added that Field Marshal Syed Asim Munir will also visit Indonesia after the Sri Lanka visit.

During the two visits, matters of bilateral interest would be discussed, according to the media reports.

Talking to The News, Indonesia’s Charge d’affaires in Pakistan Rahmat Hindiarta Kusuma talked about lack of frequent high echelon contacts between Pakistan and his country. The visit would, therefore, boost bilateral ties.

Source: The News International

China, Sri Lanka vow to deepen strategic cooperative partnership as FMs meet

Posted on July 12, 2025 | by TELO Admin

Chinese Foreign Minister Wang Yi on Saturday met with his Sri Lankan counterpart Vijitha Herath in Kuala Lumpur, Malaysia, and the two sides vowed to deepen their strategic cooperative partnership and enhance practical cooperation.

Wang, also a member of the Political Bureau of the Communist Party of China Central Committee, said China is ready to work with Sri Lanka to push the development of the strategic cooperative partnership featuring mutual assistance and ever-lasting friendship between the two countries.

He called on both sides to deepen high-quality Belt and Road cooperation, jointly implement the two flagship projects – the Colombo Port City and the Hambantota Port, speed up the negotiations on a China-Sri Lanka free trade agreement, and create new growth points for cooperation in fields such as green energy, digital economy, modern agriculture and marine economy.

China-Sri Lanka maritime cooperation is mutually beneficial, Wang said, adding that it does not target any third party and should not be interfered with by any third party.

The Chinese foreign minister said the so-called “Indo-Pacific Strategy” provokes camp confrontation and coerces all parties to take sides, which is not in line with the trend of the times and will not be supported by regional countries.

Herath said Sri Lanka attaches great importance to its relations with China, and firmly adheres to the one-China principle.

Noting that bilateral cooperation has brought tangible benefits to the Sri Lankan people and promoted the development and connectivity of the region, Herath said Sri Lanka will enhance practical cooperation with China in areas including trade and investment, infrastructure and ocean, and further deepen the two countries’ strategic cooperative partnership.

Source: CGTN

Trump nominates Eric Meyer as next US Ambassador to Sri Lanka

Posted on July 12, 2025 | by TELO Admin

The White House has announced the nomination of Eric Meyer, a career diplomat from California, as the next Ambassador Extraordinary and Plenipotentiary of the United States of America to the Democratic Socialist Republic of Sri Lanka.

U.S. President Donald Trump has formally submitted Meyer’s name to the United States Senate for confirmation.

Eric Meyer, a career member of the Senior Foreign Service, is the Senior Bureau Official for the Bureau of South and Central Asian Affairs.

He is responsible for overseeing the bureau and coordinating the Administration’s policy priorities throughout South and Central Asia, including in Afghanistan, Bangladesh, Bhutan, India, Kazakhstan, Kyrgyzstan, Maldives, Nepal, Pakistan, Sri Lanka, Tajikistan, Turkmenistan, and Uzbekistan.

Meyer’s most recent assignments include serving as Chargé d’Affaires, ad interim, at the U.S. Mission to Norway, and as Chargé d’Affaires, ad interim, and Deputy Chief of Mission at the U.S. Embassy in Skopje, North Macedonia—one of NATO’s newest member states.

He previously served as U.S. Consul General in Almaty, Kazakhstan, leading interagency operations and representing U.S. interests in southern Kazakhstan at the only U.S. Consulate in Central Asia. In Washington, Eric served as Special Assistant and Senior Advisor in the Bureau of South and Central Asian Affairs coordinating policy across all South and Central Asia countries.

Prior to that, he was Consul General in Phnom Penh, Cambodia where he frequently served as Acting Deputy Chief of Mission. Eric was previously Consul at the U.S. Embassy in Helsinki, Finland where he also served on the board of the Fulbright Commission. His first diplomatic overseas assignment was as Vice Consul in Buenos Aires, Argentina followed by an assignment as a Cultural Affairs Officer in Cairo, Egypt.

In Washington, Eric also served as an advisor in the Bureau of Oceans and International Environment and Scientific Affairs during the U.S. Chairmanship of the Arctic Council. Prior to joining the U.S. Department of State, Eric worked in corporate sales and government relations in the airline industry.

He graduated from the University of California Berkeley with a degree in Political Science and has an MBA from Georgetown University. He is the recipient of several State Department Superior and Meritorious Honor awards and speaks Danish, French, Khmer, Russian and Spanish.

Reciprocal tariff SL firm against U.S. proposed restrictive trading with China

Posted on July 12, 2025 | by TELO Admin

In the conduct of negotiations for the reduction of reciprocal tariffs, the U.S. authorities have proposed some restrictive measures on trading with China, but Sri Lanka has declined to do so in principle in conformity with its neutral foreign policy, the Daily Mirror learns.

Sri Lanka is among the countries that secured one of the largest reductions of President Donald Trump’s reciprocal tariffs. President Trump fired off a letter to his Sri Lankan counterpart, Anura Kumara Dissanayake, announcing that Sri Lankan products entering the U.S. market would be charged a 30 per cent tariff, a reduction from 44 per cent initially announced.

Sri Lanka currently remains happy since the tariff rate is lower than most other countries, such as Bangladesh, Myanmar, Cambodia and Laos which it competes in trading with the U.S. However, Sri Lanka is perturbed over the imposition of lower tariffs on countries such as Vietnam, which is a direct competitor to Sri Lanka in apparel exports.

In the letter addressed to President Dissanayake, Trump highlighted the longstanding trade imbalance between the United States and Sri Lanka, claiming the relationship has been “far from reciprocal” due to Sri Lanka’s tariffs, non-tariff policies, and trade barriers. He insisted that the new tariff was necessary to address what he described as persistent trade deficits, which he labelled a threat to U.S. economic interests and national security.

“Starting on August 1, 2025, we will charge Sri Lanka a tariff of only 30 per cent on any and all Sri Lankan products sent into the United States, separate from all sectoral tariffs,” the letter stated, adding that any attempts to bypass the tariff through transshipment would be met with higher penalties.

Trump further offered an incentive, saying Sri Lanka could avoid these tariffs if Sri Lankan businesses chose to manufacture products within the United States, promising expedited approvals for such ventures.

He also warned that should Sri Lanka retaliate by raising its own tariffs, the U.S. would increase the 30 per cent levy by an equivalent amount.

However, the Sri Lankan government has chosen a conciliatory approach, seeking to negotiate further with the U.S. authorities for further reduction of tariff rates.

According to a source familiar with negotiations, the U.S. has proposed some restrictive measures on trading with China, but Sri Lanka resisted it since it needs fair trading with all its partners. The source declined to elaborate more on what was discussed.