Economic

State Minister of Urban Development, Coast Conservation, Waste Disposal and Community Cleanliness Dr. Nalaka Godahewa dismissed allegations levelled by JVP MP Anura Kumara Dissanayake in Parliament yesterday regarding the UDA leasing the Arcade Independent Square commercial complex to a private company.

Speaking at the ‘Colombo Development Symposium’ organised by Biznomics, Dr. Jayasundera said that as a responsible Government it had approached debt servicing and management responsibly amidst multiple challenges.

The Central Bank last week suspended the directive to banks and exporters requiring early conversion of export proceeds as well as inward worker remittances.

Port City investor company CHEC Port City Colombo Ltd., yesterday welcomed this week’s Cabinet decision to establish the Colombo Port City Special Economic Zone, which will be an international business and services hub with specialised infrastructure facilities.

State Minister of Money and Capital Market and State Enterprise Reforms Ajith Nivard Cabraal yesterday told Parliament that Rs. 15.9 billion in revenue was forgone due to the reduction in the Special Commodity Levy on sugar from Rs. 50 to Rs. 0.25 last October but the measure was taken for the benefit of the public.

The Central Bank has extended the debt moratorium granted for tourism industry by another six months from 1 April.

Cabinet has approved legislation that once gazetted and passed in Parliament by President Gotabaya Rajapaksa, an Economic Commission will be established for the $1.4 billion Colombo Port City enabling it to attract investment and function as an international financial city, a top official said yesterday.

It is reported that the government has decided to change the external appearance of the second passenger terminal of the Katunayake Bandaranaike International Airport (BIA) to resemble the shape of a lotus leaf.

The Colombo stock market yesterday completed a week of sustained bearish sentiments with both indices down by 5% to a 11-week low amidst below par turnover renewing concerns among investors.

The Colombo stock market yesterday produced what many called as a “spirited gain” amidst subdued investor activity.

The Central Bank of Sri Lanka (CBSL) and the People’s Bank of China (PBoC) entered into a bilateral currency swap agreement with a view to promoting bilateral trade and direct investment for the economic development of the two countries, and to be used for other purposes agreed upon by both parties.

The Central Bank yesterday has increased the maximum compensation payment under the Sri Lanka Deposit Insurance and Liquidity Support Scheme (SLDILSS) by Rs. 500,000 to Rs. 1.1 million in a major relief to thousands of customers of failed finance companies.

Cabinet consent given to draw up new tax to cover alcohol, cigarettes,vehicles,telecommunications and betting

Standard Chartered Bank (SCB) has upgraded Sri Lanka’s 2021 economic growth forecast to 4.5% from 3.5% earlier whilst noting recent initiatives have eased near-term external financing concerns though medium-term debt sustainability remains challenging.

The Sri Lanka Association of Inbound Tour Operators (SLAITO) yesterday expressed reservations over the new rules announced by Health authorities.

Sri Lanka’s export earnings have produced a 2.52% growth to a new high of $ 993.73 million in February from a year earlier, maintaining the growth momentum recorded during the past five months as per the provisional statistics released by Sri Lanka Customs.

Battered by the double whammy of the 2019 Easter Sunday terror attacks and the COVID-19 pandemic, the tourism industry has been given a fresh lifeline by the extension of the debt moratorium by six months.

Mastercard, a global technology company in the payments industry has come forward to support the first ever Thought Leadership Forum on the restaurants and credit card/banking industry scheduled for Wednesday 24 March, at The Stables, Park Street Mews.