Category: News

Sri Lankan citizens may only possess USD 10,000 in the form of foreign currency, reduced from the earlier permitted amount of USD 15,000, the Minister of Finance announced.

The directive, issued pursuant to Section 08 of Foreign Exchange Act No. 12 of 2017, is effective from the 16th of June.

In a statement, the Central Bank of Sri Lanka (CBSL) said the decision was taken with the intention of attracting foreign currency in the hands of the public into the formal banking system.

According to the CBSL, an amnesty period of 14 working days effective from the date of the Order (June 16, 2022) is granted for persons in, or resident in, Sri Lanka who hold foreign currency notes in possession for the following:

To deposit into a Personal Foreign Currency Account or into a Business Foreign Currency Account as specified in the Order, or

To sell to an Authorized Dealer (A licensed commercial bank or National Savings Bank)

At the end of the said amnesty period, the CBSL has the right to initiate actions against persons who hold foreign currency in possession by violating the Order, in terms of the provisions of the Foreign Exchange Act.

For further information, the general public can contact any licensed commercial bank or National Savings Bank, or refer to the Order under Section 8 of the Foreign Exchange Act published in the Gazette (Extraordinary) Notification No. 2284/34 dated 16 June 2022 via the official website of the Department of Foreign Exchange (www.dfe.lk).

They can also contact the Department of Foreign Exchange via 011-2477255, 011-2398511 and dfe@cbsl.lk.

A high-level delegation representing the U.S. Department of the Treasury and the U.S. Department of State will visit Sri Lanka from June 26- 29, the U.S. Embassy in Colombo says.

Members of the delegation include Deputy Assistant Secretary of Treasury for Asia Robert Kaproth and Ambassador Kelly Keiderling, who is also the Deputy Assistant Secretary of State for South and Central Asia.

The visitors will meet with a wide range of political representatives, economists, and international organizations.

In all their meetings, they will explore the most effective ways for the U.S. to support Sri Lankans in need, Sri Lankans working to resolve the current economic crisis, and Sri Lankans planning for a sustainable and inclusive economy for the future, the U.S. Embassy said further in its statement.

“This visit underscores our ongoing commitment to the security and prosperity of the Sri Lankan people,” said U.S. Ambassador to Sri Lanka, Julie Chung. “As Sri Lankans endure some of the greatest economic challenges in their history, our efforts to support economic growth and strengthen democratic institutions have never been more critical.”

Over the past two weeks, the U.S. has announced $120 million in new financing for Sri Lankan small and medium-sized businesses, a $27 million contribution to Sri Lanka’s dairy industry and $5.75 million in humanitarian assistance to help those hit hardest by the economic crisis.

The United States also committed $6 million in new grants to provide livelihood assistance to vulnerable populations, and technical assistance on financial reform that will help stabilize the economy.

In the coming months, the U.S. will continue to support Sri Lankans as they revive their economy, combat food insecurity, and promote public health and education.
The United States also strongly supports Sri Lanka’s decision to seek assistance from the International Monetary Fund, which can provide the most durable resolution to the present crisis.

The Tamil Makkal Viduthalai Pullikal (TMVP) has denied allegations that it was involved in several kidnappings and murders as alleged by a former member who had fled the country.

TMVP Leader and Member of Parliament Sivanesathurai Chandrakanthan alias Pillayan told Daily Mirror that the allegations appearing in the newspaper yesterday were baseless.

The MP told Daily Mirror that anyone can leave Sri Lanka and seek asylum by making false allegations.

He said that the alleged claims made by a former TMVP member against the party seemed one such attempt.

“We are a party which has entered the democratic process and we reject all these allegations,” Chandrakanthan said.

Daily Mirror reported yesterday that an informant of the TMVP, the breakaway faction of the LTTE, had made explosive revelations to the United Nations (UN) in Geneva.

Diplomatic sources had told Daily Mirror that the informant had revealed sensitive information related to the Easter Sunday attacks and a number of murders and enforced disappearances.

The informant had written to some key diplomatic missions in Colombo and overseas giving brief details of the information in his possession.

He had then fled the country recently and sought refuge overseas fearing for his life.

Minister of Ports, Shipping, and Aviation Nimal Siripala de Silva while regretting the cancellation of Japanese projects, urged Japanese Ambassador to Sri Lanka, Mizukoshi Hideaki, to invite investors to establish the proposed Trincomalee Industrial Zone.

The Minister met Ambassador Hideaki last week and regretted the cancellation of important development projects signed between Japan and Sri Lanka due to previous political decisions and mentioned that Japan has always assisted in development for closer political and socio-economic ties between the two countries, for which Sri Lanka is grateful to the people of Japan who have always come forward.

The Sri Lankan Government shelved the Japan-funded Light Rail Transit (LRT) project in 2020 and a major delay was shown in the Bandaranaike International Airport (BIA) expansion project also funded by Japan. Prime Minister Ranil Wickremesinghe too had said he is holding discussions with Japan to regain their confidence and secure their support and rebuild broken ties.

Minister de Silva recalled the immense assistance extended by the Japanese Government for the Peradeniya Children’s Hospital, Polonnaruwa General Hospital and many other health sector development projects during his tenure as the Minister of Health.

He also explained the delay of the Phase II BIA expansion project. A special report on the matter was handed over to the Japanese Ambassador. In particular, the Minister said that the Sri Lankan media has repeatedly raised the issue accusing him as the Subject Minister and the Government on delays in the project.

The Japanese Ambassador said he had been informed that project work had been delayed due to the Covid-19 Pandemic and Sri Lanka’s fuel crisis and pointed out that several other foreign companies engaged in the construction industry in Sri Lanka have also faced the situation.

The Ambassador expressed his confidence to resolve the matter soon and urged the Minister to sustain strong ties and credibility secured and continued between the two nations.

Mentioning that 65 per cent of the payments for the Phase II BIA expansion project are being done using Japanese Yen, the Minister inquired if the Government could facilitate to open a discussion with the Ceylon Petroleum Corporation if such foreign exchange could be used to purchase fuel required for construction work from foreign exporters.

The Minister also requested a meeting with the Japan International Cooperation Agency (JAICA), Taisai Corporation Japan that has undertaken the project and the Airport and Aviation Services (Sri Lanka) (Pvt) Limited with the presence of Japanese Ambassador, the Secretary to the Ministry of Ports, Shipping and Aviation and staffs to discuss the issues on the Phase II constructions at BIA. First Secretary of the Japanese Embassy – Chiharu Hoshiai, Japan Deputy Head of Mission – Katsuki Kotaro were also present at the meeting.

Australia has reiterated its support for Sri Lanka, which is facing its worst economic crisis and is on the verge of an economic collapse amid shortages of food, fuel, and electricity.

Australian Deputy Prime Minister and Defence Minister Richard Marles who is in India told ‘India Today’ that the South Asian powerhouse is the guide for Australia to help Sri Lanka.

“Our home affairs minister is in Sri Lanka at this moment seeking to look at ways in which Australia can help Sri Lanka at this moment. India is the guide and we want to be helping there within the framework of the assistance that India is giving and to make sure that we’re working closely with India in terms of how we can help Sri Lanka,” he said.

Commenting on the Chinese Debt Trap, the Deputy Prime Minister said that Australia and India need to work together for the betterment of other countries.

“I think you are right to use the term debt trap. We’ve seen that kind of relationship built by China with countries in the pacific and with the same consequence and it highlights I think the need for or the opportunity for Australia and India to work together for the betterment of a whole lot of countries within the Indo-Pacific,” he added.

Courtesy: India Today