I thank Assistant Secretary General and Regional Director at the Regional Bureau for Asia and the Pacific of the UNDP Madam Kanni Wignarajah for presenting the Country Programme Document for Sri Lanka for the term 2023-2027 notwithstanding the difficult economic environment. The crisis is referable to multiple compounding factors such an adventurous tax policy, money creation, a mistiming of a nationwide policy to shift to organic or biological farming, the 2019 Easter bombings, and the impact of the COVID-19 pandemic in Sri Lanka and finally exacerbated by the present crisis in Eastern Europe.
The Board of Investment (BOI) of Sri Lanka has launched the "Partnership Finder" (PF), a new strategic initiative aimed at attracting investments and facilitating partnerships between existing investors and entrepreneurs of Sri Lanka as well as new entrepreneurs and innovators.
For more details please visit : https://investsrilanka.com/
The Government and the Central Bank of Sri Lanka (CBSL) have been implementing several measures to ease the burden of the current economic hardships on the people. One major factor that is contributing to the current crisis and the resultant hardships is the lack of foreign exchange liquidity in the banking system. Such shortage of forex liquidity has affected the provision of essential imports, including fuel. To ensure adequate foreign exchange liquidity in the banking system, the CBSL had to impose surrender requirements on export earnings. Further, measures were taken by the Government and the CBSL to discourage foreign exchange outflows, such as imposing restrictions on certain imports and payment terms and introducing margin requirements, while encouraging foreign inflows through the banking system, rather than those being channelled through the grey market. The success of these regulatory measures and the ability to achieve the intended outcomes depend on the support and cooperation from the trading community and the banking system. However, it has been brought to the notice of the CBSL that certain market players are not being fully compliant with these regulations. Such practice, if continued, would deprive the people of the support expected from the Government in difficult times, while undermining the moral obligation of ‘equal burden sharing’ that is expected of all stakeholders under difficult and extraordinary circumstances.
Minister of Foreign Affairs Ali Sabry assumed duties at the Ministry today (25 July, 2022) at a simple ceremony.Foreign Secretary Aruni Wijewardane and the senior officials were present.