Major rift in Govt. due to possible entry by Basil?

A major rift has erupted within the government following reports that Basil Rajapaksa will take oaths as an MP early next month and will thereafter receive a ministerial portfolio, the Daily Mirror learns.

Some government coalition party members have objected to the move, citing Rajapaksa’s dual citizenship as a reason, and have voiced their disapproval to the President and Prime Minister.

Sources said reports had surfaced that Rajapaksa was likely to be appointed as the Minister of Economic Development, a portfolio newly created for him and the one he held in the previous Rajapaksa government.

Although initially there were reports that he would also take over as the Finance Minister, this has been shot down as this portfolio is likely to be retained by Prime Minister Mahinda Rajapaksa. However, certain institutions which come under the purview of the Finance Ministry are likely to be transferred under the new portfolio. While Basil was set to receive his Cabinet portfolio early next month after he takes oath as an MP, the move may be delayed due to the strong objections raised by some of the party members.

Rajapaksa returned back to Sri Lanka last week after being in the US for a little over a month. He is currently the Head of the Economic Revival and Poverty Eradication Presidential Task Force.

Posted in Uncategorized

Sri Lanka lifts ban on passenger arrivals from several gulf countries

The Chairman of the Civil Aviation Authority (CAA) says that the ban on airline passengers with a recent travel history to Saudi Arabia, UAE, Qatar, Kuwait, Bahrain, and Oman during the last 14 days has been lifted subject to several conditions.

The CAA had announced on 28th June 2021, the imposing of restrictions on air passengers from the aforementioned 6 Middle Eastern countries stating that those with a travel history to these countries within the last 14 days will not be allowed to disembark in Sri Lanka.

However, the CAA says it has now revoked that decision subject to certain conditions.

It stated that in accordance with instructions received from the Ministry of Health and the National Operations Centre for Prevention of COVID-19 Outbreak (NOCPCO) the passenger restriction on the following 6 Countries (Qatar, Oman, Bahrain, United Arab Emirates, Saudi Arabia, Kuwait) is revoked with immediate effect on the following conditions:

• All arriving passengers must have a negative PCR Test obtained within 96 hours prior to departure. Airline to ensure this before boarding passengers.
• Antigen tests cannot be accepted as a pre-departure test for boarding.
• PCR test must be presented from a Government approved hospital/laboratory in the respective Country with a QR Code/Bar Code.
• Airlines must satisfy themselves with the authenticity of the test reports presented by the passengers.
• Passengers are permitted to arrive only for Hotel Quarantine or through the Sri Lanka Tourism Bio Bubble Route.

The above conditions will apply until further notice, the CAA chairman said.

Ministry of Defence signs $50 Mn deal to upgrade SLAF’s Kfirs

Israel Aerospace Industries (IAI) stated today (30) that it recently signed a contract, worth $50 million, with Sri Lanka’s Ministry of Defence to upgrade Kfir aircraft for the nation’s Air Force, Isreal Defense reported.

The deal includes replacing the aircraft’s basic avionics with advanced 4+ generation fighter aircraft avionics in order to one day integrate advanced radar, sensors, communication systems, and new helmets. The upgrade process will also include transfer of related knowledge and skills to Sri Lankan Air Force personnel. The upgrades will be completed in cooperation with the Air Force and in its facilities, IAI said.

Yossi Melamed , IAI Executive VP and GM of IAI’s Aviation Group, said, “I am proud that IAI’s Kfir has been chosen by customers around the world, including in the United States and as the Columbian Air Force’s primary fighter jet. I am grateful to Sri Lanka’s Air Force for choosing to renew their Kfir selection and continue using the Kfir as their Multi-Role Combat Aircraft. I believe this deal is an early step in preparing for future upgrades to the advanced model KNG (Kfir New Generation).”

The Kfir, when first developed, was a game changer on the battlefield with its ability to carry thousands of tons of ammunition and reach enemy targets in a precise manner, IAI stated.

Chinese company seeks Archaeology Department approval

The company involved in the Chinese Joint Venture (JV) to clean the country’s irrigation tanks has sought permission from the Archaeology Department on 28 June, following allegations that the first phase of the project at the Tissa/Tissamaharama Wewa was done without prior permission from the Department.

The controversial project, which was launched earlier this month, is currently on hold following concerns raised by the Archaeology Department.

The Morning learnt that a letter requesting permission has been received by the Department’s offices in Galle and that the Department is currently reviewing the request. It is learnt that permission may be given for the project, to proceed subject to a number of strict conditions.

At the time the venture was launched, the Irrigation Minister Chamal Rajapaksa told the media that when the water from the Uma Oya project is released, it is his Ministry’s responsibility to ensure it does not reach the sea and therefore the clean-up of dredged sediment at the Tissa Wewa is needed.

Government sources told The Morning that the clean-up at the Tissa Wewa using special machinery is done as a pilot project, to test the success of this particular clean-up technique.

According to sources, the cleaning of sediment in the Tissa Wewa is needed and the JV with the Chinese company involves a clean-up of an area of approximately 100 acres.

“If that kind of clean up is done using normal techniques, it would require the Tank to be drained, which would affect the farming cycles. Therefore, in order to combat this issue, the company would be employing special machinery to clean the Tank without draining it,” the sources added.

It is also learnt that the pilot project was due to be launched in Kurunegala, although it was later moved to the Tissa Wewa in February of this year.

Meanwhile, another controversy surrounding the project was that a worker wearing clothes allegedly similar to that of the Chinese military was seen near the Tissa Wewa. Responding to these concerns at the Cabinet media briefing held yesterday (29), Cabinet Spokesman Keheliya Rambukwella said that following an investigation by the Army and the Criminal Investigations Department (CID), they have clearly stated that this alleged piece of clothing can be worn in the country. “We are not silent or cowardly on the matter. There is a set of laws in the country that can be accessed if the Antiquities Ordinance has been violated. The Army and the CID have done a complete investigation into the matter about the uniform. There are workers of security companies in these work sites. As far as we know, they are not from the Chinese Army,” said Rambukwella.

Tissa Wewa, part of the country’s famous irrigation system, is one of the oldest reservoirs built during the 3rd Century Before Christ by King Devanampiyatissa.

Defence Secretary questions Chinese Embassy on camouflage uniforms

Defence Secretary General Kamal Gunaratne (Retd) has questioned the Chinese Embassy in Sri Lanka over camouflage uniforms worn by Chinese employees of a private company in Tissamaharama.

The opposition had recently questioned the presence of foreigners in Tissamaharama wearing clothing similar to the Chinese military uniform.

Samagi Jana Balawegaya (SJB) MP Manusha Nanayakkara raised the concerns in Parliament saying workers attached to a project in Tissamaharama were seen wearing clothing similar to the Chinese military uniform.

The Defence Ministry said that the Chinese Embassy had informed Defence Secretary General Kamal Gunaratne (Retd), that the said employees are not members of the People’s Liberation Army.

The Embassy has told the Defence Secretary that the clothes are part of the Chinese company’s uniform.

However, the Defence Secretary has told the Chinese Embassy to educate the respective employer to refrain its employees from wearing the controversial military style camouflage uniforms in future.

The Ministry of Defence has also informed the local company to ensure the staff do not wear such uniforms.

“Defence Secretary Gen. Kamal Gunaratne (Retd) has also directed the Southern Province Senior Deputy Inspector General of Police to thwart any further attempt of such nature,” the Defence Ministry said.

Meanwhile, Cabinet co-spokesman Keheliya Rambukwella had said today that the Criminal Investigations Department (CID) and the Military intelligence had investigated the claims and found that the allegations were baseless.

He said that some groups had raised concerns over the matter with vested interests.

Posted in Uncategorized

113 MPs write to the President requesting Basil in parliament

113 parliamentarians of Sri Lanka Podujana Peramuna (SLPP) have written to the President Gotabaya Rajapaksa to appoint the party’s National Organizer and his younger brother Basil Rajapaksa as a SLPP National List MP and offer him a suitable Cabinet Minister post.

The letter signed by 113 cabinet ministers, state ministers and parliamentarians of the Sri Lanka Podujana Peramuna was handed over to the President recently, Sri Lanka Podujana Peramuna MP Jagath Kumara told Dinamina.

MP Jagath Kumara said he told the President that Basil Rajapaksa, as a person who made a great contribution to the formation of the SLPP, continuing without representation in parliament is an obstacle to future development.

Mr. Jagath Kumara said that the President had responded positively to the request made by his group and that there had not been as much opposition from Basil Rajapaksa’s side as before and hoped that it would be fulfilled soon.

Posted in Uncategorized

Sri Lanka’s COVID-19 death toll exceeds 3,000

The Director-General of Health Services has confirmed 45 more COVID-19 related fatalities that have occurred yesterday (June 28).

The new development has pushed the official death toll due to the virus in Sri Lanka to 3,030.

According to the data released by the Department of Government Information, the new victims confirmed today include 24 females and 21 males.

One of them is aged below 30 years, twelve victims are between 30-59 years and the remaining 32 are aged 60 and above.

Posted in Uncategorized

Sri Lankan Govt. prints Rs.23 Bn worth of fresh cash

The Central Bank injected Rs.23 billion worth liquidity last Friday, taking the printed money stock in excess of Rs.900 billion as the monetary authority is now forced to provide liquidity to the cash-strapped government after the latter closed down the economy for a month.

Last week Central Bank’s holdings of government securities or the printed money stock had risen by Rs.34.51 billion since the country went into a near total lockdown on May 21 through June 18, 2021, bringing the total outstanding printed money stock to Rs.896.24 billion.

However, on June 25 alone, the Central Bank provided fresh liquidity worth Rs.23 billion to the government bringing the total holdings to Rs.919.22 billion.

story-page-image

The Central Bank was scaling back its holdings from Rs.904.02 billion in early April to Rs.856.65 billion by early June but it soon had to reverse course as the government was losing money from tax income while bills are adding up for payment including the State sector salaries and for virus containing efforts.

Meanwhile, the government last week sought parliamentary approval for an additional Rs.200 billion spending to assist the economy gutted by the restrictions, which accounts for an additional 1.2 percent of the Gross Domestic Product. The new spending will expand the budget deficit from the projected 9.5 percent to 10.7 percent in 2021.

Unlike in the developed markets, Sri Lanka cannot print money excessively, while keeping its economy shuttered, which could result in inflation and Balance of Payment deficits.

Even the United States ran 13-year high inflation in May when it registered 5.0 percent increase in consumer prices as a result of excessive monetary and fiscal stimulus continuing for over a year.

Sri Lanka also saw inflation spiking to 6.1 percent in May with the food inflation running at over 10.0 percent.

HRW concerned over threat to rule of law in SL

Human Rights Watch (HRW) has expressed concerns over what it termed as an alleged assault on Sri Lanka’s rule of law by the executive president.

HRW South Asia Director, Meenakshi Ganguly issuing a statement urged Sri Lanka’s international partners to keep up the pressure until there is “genuine reform to end systemic abuses” so that such partners will not be “deflected with unreliable promises or empty gestures”.

HRW also stated that the Government’s recent decision to pardon of 16 prisoners convicted under the Prevention of Terrorism Act (PTA), however welcome, does not address the urgent need to repeal what the HRW refers to as a draconian law.

“To mark a Buddhist festival on June 24, 2021, the government of President Gotabaya Rajapaksa pardoned 94 prisoners, including 16 people convicted under the PTA. The law has long enabled arbitrary detention and confessions obtained through torture, and been used primarily against members of Tamil and Muslim minorities. The president also pardoned a political ally, Duminda Silva, a former member of parliament who was convicted for the 2011 murder of a rival politician,” HRW stated.

Responding to this action, Ganguly further charged that the President’s recent pardons highlight the need for genuine rule of law in Sri Lanka, not favors to friends or blatantly cynical measures to keep trade preferences.

“The release of people imprisoned for years under the Prevention of Terrorism Act in no way removes the need to replace the abusive law or the need for pressure from Sri Lanka’s partners to do so,” she further claimed.

The HRW is of the opinion that since taking office in 2019, the Rajapaksa administration has used the PTA particularly against members of the Tamil and Muslim communities, while taking no action against those inciting violence and discrimination against minority groups.

“Among those still detained under the act are Hejaaz Hizbullah, a Muslim human rights lawyer who has been in custody since April 14, 2020, and Ahnaf Jazeem, a Muslim poet who has been held since May 16, 2020, for a book of verses promoting peace and tolerance,” the HRW said.

Referring to the recent amendments made to the PTA, HRW alleged that such amendments have made the act even more “abusive”.

“In March, new regulations were announced that would allow the authorities to incarcerate anyone accused of causing “religious, racial, or communal disharmony” for up to two years without trial. In June, the president announced that a police facility in Colombo, which has been a notorious torture site, would be used for holding PTA prisoners,” the HRW claimed.

In another allegation levelled against the President, HRW claimed that under the current leadership, the security forces have harassed and intimidated numerous civil society groups and human rights defenders, especially in the Tamil-majority north and east.

“For many years there have been domestic and international calls to replace the PTA with rights-respecting legislation. United Nations experts and human rights groups including Human Rights Watch have extensively documented grave abuses under the PTA,” HRW concluded.

Posted in Uncategorized

Restrictions to control foreign exchange remittances outside Sri Lanka further extended

The Cabinet of Ministers approved the further extension of orders issued under the Foreign Exchange Act to control foreign exchange remittances outside the country.

Previously, orders were issued under Section 22 of the Foreign Exchange Act No. 12 of 2017 to suspend external remittances related to certain transactions, taking into account the possible negative impact on the country’s foreign reserves and foreign exchange market due to the Covid 19 epidemic.

The orders expire on July 1, 2021, and the Central Bank of Sri Lanka said the order should be further implemented to minimize potential risk in the foreign exchange market and maintain the stability of the financial system.

Accordingly, the Cabinet approved the proposal presented by Prime Minister in his capacity as the Minister of Finance to extend the orders issued under Section 22 of the Foreign Exchange Act No. 12 of 2017 imposing certain restrictions/prohibitions on foreign exchange remittances, for a period of further 06 months from 2nd July 2021.