Economic

Government and main Opposition politicians traded points over rupee depreciation yesterday, in the backdrop of the Central Bank suspending the requirement for licensed banks to sell 10% of worker remittances and 50% of export earnings to the monetary authority and stopping the purchase of Sri Lanka Development Bonds as part of a multi-pronged effort to stabilise the currency.

The economy in 2020 suffered a 3.6% contraction despite a 1.3% improvement in the last quarter, the Department of Census and Statistics (DCS) revealed last evening.

The banking sector›s Return on Equity (ROE) has been diminishing over the past years, proving wrong the misperception that the industry is making hefty profits.

The film industry has become the latest sector struggling towards recovery post-COVID, calling on authorities for support in maintaining business and increasing occupancy levels to at least 50%, so as to encourage more people to patronise theatres.

Twenty plantation companies yesterday filed a writ application before the Court of Appeal seeking an order to invalidate the gazette notification issued last week to increase the daily wage of plantation workers to Rs. 1,000.

Long-term loans to the Government recorded a net outflow of $ 156 million in January, the Central Bank said yesterday in its latest external performance report.

Over 10,000 depositors of The Finance Company (TFC) yesterday appealed to the Government to carry out the additional payment of Rs. 500,000 from the Sri Lanka Deposit Insurance and Liquidity Support Scheme (SLDILSS) under the Central Bank as pledged earlier and pave the way for the company to be resuscitated.

Indian tycoon Gautam Adani yesterday expressed his gratitude to Sri Lankan leaders for the opportunity granted to develop the West Terminal in the Colombo Port.

The Ceylon Institute of Builders (CIOB) recently said that small and medium scale contractors and the public building their houses have been hit hard by increasing prices of tiles and bathroom sets, appealing to the Government to resolve the issue.

SriLankan Airlines has sued Airbus for $ 1 billion as damages, loss of reputation, reimbursement of costs and interests.

The Adani Ports and Special Economic Zones (APSEZ) Ltd., yesterday announced that it has received a Letter of Intent (LOI) from the Ministry of Ports and Shipping and the Sri Lanka Ports Authority (SLPA), acting on behalf of the Government of Sri Lanka, pursuant to approval from the Sri Lankan Cabinet of Ministers, for the development and operations of West Container Terminal (WCT) in Colombo, Sri Lanka.

Reuters: Shares ended higher on Friday, posting their best weekly gain in seven days, driven by gains in industrial and financial stocks.

Cabinet has given approval for SriLankan Airlines to lease a new aircraft to expand its cargo operations and tap into new industry opportunities created by COVID-19. Cabinet Spokesman Minister Keheliya Rambukwella told reporters that Cabinet had approved a proposal submitted by Tourism Minister Prasanna Ranatunga to procure a new aircraft so the National Carrier could expand its cargo operations.

¤ 5 million (around Rs. 1.15 billion) in Tier II qualifying capital, strengthening its capital ratios aimed at supporting its business growth. The Tier II qualified subordinated loan which has a tenure of five years, has been extended by Triodos Microfinance Fund and Triodos Fair Share Fund which are two financial inclusion funds managed by Triodos Investment Management.

The first phase of the city’s iconic residential apartment complex — the elegantly designed Altair, will be opened today (12).

The Government yesterday said it would not walk back the policy decision to raise the daily wage of plantation workers to Rs. 1,000 and stands ready to provide support to implement the measure, despite legal action taken by a group of plantation companies.

Indian tycoon Gautam Adani has added more billions to his wealth than anyone else in the world this year on the back of investor excitement around his ports-to-power plants conglomerate.

The apparel industry yesterday expressed reservations over achieving the $ 6 billion export target set by the Government for 2021 given the challenges, and insisted that focus should be to revert to pre-COVID performance.