Indo-Lanka relations: India converts $100 m loans to grants

The Government of India has converted nearly $ 100 million worth of loans issued to Sri Lanka, to grants, Indian High Commissioner to Colombo Santhosh Jha said yesterday (7).

Addressing a group of media personnel at the Indian High Commission in Colombo, Jha commented on 2024, calling it a good year for Indo-Lanka diplomatic relations, adding that the partnership between both Indian Ocean neighbours had matured over the years. He also said that Indian Premier Narendra Modi had been officially invited to visit Sri Lanka in 2025 by President Anura Kumara Dissanayaka but was unable to elaborate on details of the visit.

High Commissioner Jha stated that during his visit to New Delhi, Sri Lankan President Dissanayaka had specifically thanked India for its strategic decision to convert loans to grants in order to provide further fiscal headroom to Sri Lanka.

“US Dollars ($) 20.66 million has been extended as grant assistance to settle the payments related to seven completed line-of-credit projects in Sri Lanka. Similarly, there is another important project of rehabilitation of Kankesanthurai Harbour in the Northern Province with total grant assistance from India to the tune of $ 65 million. This is also something that was to be executed through a line of credit but will now be executed through a grant. Along with $ 14.9 million for the Maho-Anuradhapura Railway Signaling Project that I mentioned earlier, more than $ 100 million of loans have been converted by India into grants. This conversion of loans to grants was also discussed in the Sri Lankan Parliament, on the return of the President, with much appreciation,” said Jha to the press.

According to the High commissioner, India’s grant assistance to Sri Lanka stands at $ 780 million at present. Out of these, completed projects are estimated to be worth $ 390 million, ongoing projects are approx. $ 211 million and committed grant projects in the pipeline stand at nearly $ 180 million. The total new assistance overall is $ 391 million.

“If you take into account the value proposition of Indian grants, we should be the principal development partner of Sri Lanka,” the top Indian diplomat in Colombo opined.

Responding to a question about the inclusion of the United Arab Emirates (UAE) into the previously bi-lateral Indo-Lanka petroleum products pipeline proposed by the Indian Oil Corporation (IOC) to construct a multi-petroleum product pipeline from the new IOC-owned refinery in Cauvery Basin, Nagapattinam, Tamil Nadu, and Sri Lanka, High Commissioner Jha said that UAE was not a new addition to the project: “UAE is not a new addition, we were discussing with them for sometime. When the MOU on the project is finalised, you will get to know what responsibilities each partner (India, Sri Lanka and UAE) will have. We think the inclusion of UAE is a good initiative, given that the country is a power, energy and global energy supplier,” Jha said, adding that the Trincomalee ‘Energy Hub’ plans will also be pursued alongside the pipeline project.

Lasantha Will Never Be Forgotten By Lal Wickrematunge

It was on a day like today sixteen years ago, when my brother Lasantha Wickrematunge was murdered. Yes, sixteen years ago. Lasantha’s children lost a father when they were still very young. We lost a brother and my father and mother had to bury their youngest child. How cruel was that? Animals do not kill their species. Horrible and cowardly men do that to their species. Often they get others to do the dirty, which is why it’s cowardly.

The killers, though known to some investigators, are yet free. Those who did resort to despicable acts to cover up the tracks of the murderers go high up in the security and police chain. Karma has dealt with some and it may not take long for others to suffer a similar fate.

Four successive governments deliberately dragged their feet, avoided following up and/ or made certain that the perpetrators including those who ordered the murder were not brought before the law. We were fooled time and again. Initially, we believed that justice would be done with a change of government. Stuff and nonsense.

Lasantha’s so-called political friends whilst in power did nothing. That was the corrupt system. Finally, the penny dropped. Both sides of the political fence played a game. Your turn and then it’s mine, was THE SYSTEM. Apathy had set in and murder was carried out with impunity. People at large did not care as long as they were not affected. No society can last long in such circumstances and the Aragalaya had to happen.

It is widely known that Lasantha’s murder was connected to his writing on the infamous MiG aircraft purchase. The then Secretary Defence, filed a case in the Mt Lavinia Court alleging that Lasantha and the Sunday Leader had defamed him. In his evidence in Chief, under oath no less, he stated that the MiG deal was between a Government to Government. Now we know it was not. He went on to state publicly that it was the cleanest deal done in Sri Lanka. Do I have to say more? The verdict is out there. Contempt of Court?

Be that as it may, the loss of Lasantha lingers fresh within our family. He was the youngest of three sisters and two brothers. Sixteen years have passed and yet we grieve at the loss of our youngest sibling. The toughest situation I faced in my life was to call my parents on that fateful day and tell them “I couldn’t save him”.

The single reason why Lasantha’s murderers and those who gave orders to kill remain free is the lack of political will within successive governments. Our family has renewed hope that such will is present in the new President Anura Kumara Dissanayake. His intention is demonstrated by bringing back former DIG CID Ravi Seneviratne and Director CID Shani Abeysekera into service. We will wait for justice. Karma may not. But, I wish one or the other would happen.

Mr President, our family expects justice. We need closure.

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Sri Lanka – Germany Business Council holds 25th AGM

The 25th Annual General Meeting (AGM) of the Sri Lanka – Germany Business Council (SLGBC) was held recently at Hilton Colombo Residences, Colombo 2.

The Chief Guest, Federal Republic of Germany Ambassador Dr. Felix Neumann highlighted the enduring partnership between the two countries.

Reflecting on his recent discussions with President of Sri Lanka Anura Kumara Dissanayake, the Ambassador expressed Germany’s willingness to work together in the path to economic recovery. He emphasised Germany’s readiness to aid Sri Lanka’s efforts in skilled labour migration, noting the longstanding impact of German vocational training initiatives in Sri Lanka, exemplified by institutions like German Tech in Moratuwa and Kilinochchi.

Ambassador Neumann also acknowledged the robust presence of approximately 300 German brands in Sri Lanka, renowned for their reliability and long-lasting value. He emphasised Germany’s long-term commitment, with no German companies withdrawing during Sri Lanka’s recent economic challenges. On tourism, he noted Germany as the fourth-largest source market for tourist arrivals to Sri Lanka, accounting for over 7% of the market share. He underscored the people-to-people connections that drive bilateral relations, calling tourism a vital bridge between the two nations.

Hettigoda Industries Chairman and Managing Director Asoka Hettigoda was re-elected by the Members as the President for the year 2024-2025. In his address, Hettigoda thanked members for their continued trust and pledged to enhance trade and investment ties with Germany.

He provided a historical overview of the Council’s accomplishments and key activities over the past year. Further, highlighting Germany’s importance as Sri Lanka’s fourth-largest export market, he noted that in 2022, Sri Lanka’s exports to Germany – primarily rubber, tea, and textiles – totalled $ 888 million, while German exports to Sri Lanka, consisting of machinery, chemicals, and motor vehicles, amounted to $ 300 million. Germany also stands as Sri Lanka’s second-largest EU investor, with 51 German companies creating approximately 11,700 local jobs since 1951. Highlighting tourism, he noted 121,000 German visitors to Sri Lanka by November 2024, expressing optimism about surpassing the 2018 record of 156,888 visitors. Hettigoda concluded by underscoring the importance of strengthening trade and investment ties with Germany to support Sri Lanka’s economic recovery.

For the last 25 years, SLGBC has been fostering new initiatives and areas of corporation between business communities of the two countries with the exchange of trade missions, delegations, new investments and joint ventures and have extended yeoman service to both countries.

The primary objectives of the Sri Lanka Germany Business Council are; to promote trade, tourism and services between Sri Lanka and Germany, encourage German investment and establishment of joint ventures in Sri Lanka between German and Sri Lanka investors, to exchange information on trade and investment between the two countries, to conduct and facilitate joint meetings with German business organisations and to promote Sri Lankan participation in international fairs in Germany.

Hilton Colombo Residences General Manager Karim Schadlou and C.G.V. Anthony & Sons Ltd., Director Roy Anthony were elected as Vice Presidents. The Member Companies; Air Global Ltd., Aitken Spence Cargo Ltd., Aitken Spence Travels Ltd., Central Bearings and Machinery Ltd., Detroves Travels Ltd., Diesel & Motor Engineering PLC, MAC Holdings Ltd., Malship (Ceylon) Ltd., and Walkers Tours were elected to the Committee.

The outgoing President Ceylon Tours Ltd., Managing Director Surendra Ediriweera will continue to serve on the Committee as the Immediate Past President.

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Sri Lanka solidifies stance on One-China principle

Ahead of President Anura Kumara Dissanayake’s visit to China, the Cabinet has approved a proposal presented by Minister of Foreign Affairs and Tourism, Vijitha Herath, for Sri Lanka to continue adhering to the One-China principle.

Sri Lanka has reaffirmed its strong commitment to this principle, recognising the government of the People’s Republic of China as the sole legal government representing all of China, with Taiwan regarded as an inalienable part of its territory.

Sri Lanka, Maldives recall their envoys from Pakistan

Sri Lanka and the Maldives are preparing to appoint new envoys to Pakistan after both countries recalled their respective high commissioners in quick succession.

The Maldivian government recalled its High Commissioner, Mohamed Thoha, following a controversial meeting with Afghanistan’s top diplomat in Islamabad. Thoha’s engagement with Ahmad Shakib, Afghanistan’s chargé d’affaires, reportedly took place without prior approval from Maldivian authorities.

In a statement, the Maldivian Ministry of Foreign Affairs had clarified that the meeting was not authorized. “The Maldives is guided by the practice followed by the United Nations General Assembly regarding the representative character of a government. Accordingly, the Maldives recognizes the Government representing Afghanistan at the United Nations as the legitimate authority,” the statement read.

During the meeting, Ahmad Shakib emphasized Afghanistan’s goal of fostering constructive relations with all nations and its ambition to transform the country into a regional connectivity hub through economic policies. Photographs from the meeting were shared on the social media platforms of both embassies, further fueling the controversy.

In response, the Maldives Embassy in Islamabad removed all images of High Commissioner Thoha from its website and social media accounts, although the Afghanistan Embassy retained the photos. Thoha was recalled only a few months after his appointment, marking an abrupt end to his tenure.

Similarly, Sri Lanka has recalled its High Commissioner to Pakistan, Admiral Ravindra C. Wijegunaratne, less than six months into his posting. While the Sri Lankan Ministry of Foreign Affairs has not provided an official explanation, diplomatic sources suggest that political factors may have influenced the decision.

Both recalls highlight unexpected diplomatic challenges for Islamabad as it awaits the appointment of new envoys from the Maldives and Sri Lanka.

(Islamabad Post)

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President Summons AG, Expresses Concerns Over backlog of cases

President Anura Kumara Dissanayake held an important discussion with the Attorney General and officials from the Attorney General’s Department at the Presidential Secretariat on 6 January 2025, according to the President’s Media Division (PMD).

The President expressed serious concerns regarding the significant backlog of cases within the department during the meeting.

President Dissanayake stressed the need for coordinated efforts across all institutions involved in the enforcement of the law. He highlighted the critical role of the Attorney General’s Department in restoring public confidence in the judicial system.

The President also emphasized the importance of changing public perception regarding political interference and assured that steps are being taken to rebuild trust in the legal process. He reiterated the government’s commitment to ensuring actions that align with public expectations, aiming to restore fairness and equity within the justice system.

The meeting was attended by Minister of Justice and National Integration Harshana Nanayakkara, Secretary to the Ministry of Public Security Ravi Seneviratne, Attorney General Parinda Ranasinghe PC, and other senior officials from the Attorney General’s Department.

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Draft Bill to call for fresh nominations for LG polls gazetted

The Draft Bill for the amendment of the Local Authorities Elections Act to enable the cancellation of the nominations submitted for the 2023 polls and to call for fresh nominations has been gazetted.

The draft bill is to be presented to the Parliament for approval on a later date.

It is reported that the Draft Bill for the amendment of the Local Authorities Elections Act to cancel the nominations called for the 2023 Local Government Elections has been published in the Government Gazette as per the order of the Minister of Public Administration, Provincial Councils and Local Government.

According to the said bill, the nomination papers submitted for the Local Government Elections which was scheduled to be held on March 09, 2023 will become invalid.

The bill also provides for the refund of deposits made in respect of candidates nominated by a political party or independent group.

The bill is scheduled to be implemented after the relevant bill is presented to Parliament and passed.

Accordingly, the Election Commission should announce the date for calling fresh nominations for the Local Government Elections and it is noted that that date should be a date 3 months before the date of commencement of the said act.

MP Archuuna’s fate to be decided after committee probe: Speaker

A committee is currently probing MP Ramanathan Archuuna, and his fate will be decided based on its findings, Speaker Jagath Wickramaratne told Parliament today.

The Speaker provided this information after MP Archuuna inquired about a complaint he had made against Opposition Leader Sajith Premadasa, whom he accused of depriving him of his right to speak in the House.

Chief Opposition Whip Gayantha Karunathillake said the Opposition is awaiting the Speaker’s advice on MP Archuuna.

The MP in question is accused of misconduct in the recent past.

Sri Lanka to Receive Military Aircraft from US, Pakistan

Sri Lanka is adopting more American Bell 206 helicopters and a Pakistani Chengdu J-7 aircraft to enhance the country’s air force capabilities.

The investment stipulates eight of the 206 systems in their TH-57 Sea Ranger military derivative ordered from Washington DC and a single Chinese-made J-7 in its FT-7 export trainer variant from Islamabad.

Sri Lanka Air Force (SLAF) Commander Air Marshal Udeni Rajapaksa confirmed that the Bell fleet is scheduled to arrive later this year, Colombo-based news agency Daily Mirror reported.

Meanwhile, Rajapaksa’s recent bilateral meeting with Pakistan allowed the FT-7 order to be delivered as a grant, with the shipment expected “in the near future.”

“By acquiring modern drone security units and advanced air defence weapons, the SLAF has initiated a programme in collaboration with the government to upgrade both the air defence and radar systems,” Rajapaksa remarked.

“As the government aims to boost the economy by enhancing the tourism industry, the Sri Lanka Air Force has also launched several programmes to support these efforts.”

Airborne Fleet Expansion

The SLAF’s latest project follows the service’s induction of a Beechcraft King Air 360ER aircraft last year as part of a contract signed with US-based aerospace company Textron Aviation in 2022.

Concurrently, the military received a Beechcraft King Air 350 from the Royal Australian Air Force to bolster Sri Lanka and Canberra’s maritime security partnership across the Indian Ocean.

Sri Lanka is also engaged with Tel Aviv’s state-owned Israel Aerospace Industries to upgrade the SLAF’s existing Kfir fourth-generation fighter jets.

The modernized planes will obtain Kfir’s latest C12 configuration, replacing the air force’s older C2 and C3 models by 2025.

Additionally, the South Asian government accepted two Harbin Y-12s from China to bolster its tactical airborne cargo and personnel transportation.

Chinese Foreign Minister makes brief stopover in Sri Lanka

Chinese Foreign Minister Wang Yi made a brief stopover in Sri Lanka on Sunday while he was on his way to Namibia.Sri Lankan fashion

Airport and Aviation Services Sri Lanka (AASL) said that Member of the Political Bureau of the CPC Central Committee and Foreign Minister of China, Wang Yi, arrived at the Bandaranaike International Airport BIA at 1418hrs Sri Lanka time for a transit stopover enroute to Namibia.

The Chinese delegation of 18 members was welcomed by Qi Zhenhong, the Ambassador of China to Sri Lanka, AASL Chairman Rtd. Air Chief Marshall Harsha Abeywickrama, and Vice Chairman of AASL Cyril Wannigama.

The Chinese Foreign Minister and his delegation left Sri Lanka at 1623hrs Sri Lanka time.

Wang Yi is visiting Namibia, the Republic of the Congo, Chad, and Nigeria from January 5 to 11 at the invitation of these countries.

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