Speeding up the recovery effort
Deputy Tourism Minister Prof. Ruwan Ranasinghe, flanked by industry officials, briefing the media on Friday on the measures being taken to restore normalcy in tourism. Pic by Eshan Fernando
Cyclone Ditwah delivers crushing blow to Sri Lanka’s economy
Sri Lanka now faces a potentially crippling economic damage from the recent cyclone and floods and early figures from industry leaders may be a conservative start. The initial loss estimates range from US$ 200 million to $ 2.9 billion, with the final toll “likely to reach 1-3 per cent of GDP” (approximately Rs, 300 -900 [...]
Plantations face crop and human losses
Sri Lanka’s plantations sector has been gravely affected by the cyclone that struck the country last week resulting in the loss of about 20-30 per cent tea crop and a low number of rubber and coconut trees impacted. Assessments are still being carried out to ascertain the actual extent of loss and damage to the [...]
Apparel industry workforce, factories hit hard by floods
Sri Lanka’s apparel industry is facing a severe adverse impact in the aftermath of the cyclone that hit the country last week as 20 per cent of their workers in the flood affected areas are still finding it hard to get back to normal. Joint Apparel Association Forum (JAAF) Deputy Chairman and Omega Line Chairman/MD [...]
SMEs affected worse than 2004 Tsunami
Sri Lanka’s micro and small businesses (MSMEs), battered by the twin effects of COVID-19 and the financial crisis, were dealt another severe blow last week by Cyclone Ditwah. Apart from Kalutara, Galle and Matara, MSMEs in all other districts have been ravaged by the crisis, said Mahendra Perera, President of the Ceylon Federation of MSME. [...]
UK: “Be cautious”
The British Government has issued a travel advisory on Sri Lanka updated on December 3, stating that “travel in many areas has been disrupted. Infrastructure including road networks, power lines and telecommunications remain disrupted in the most affected areas including Kandy, Nuwara Eliya and the wider Hill Country”. It also states, “There remains a risk [...]
Fury in the hills
There was an eerie silence. A pall of gloom had descended on the neighbourhood and even when Aldoris, the choon-paan karaya, came down the lane, it was sans his ear-splitting music from his tuk-tuk. Stopping at our gate, he began to offer pastries to the trio who were gathered outside. “Oyata suli-sulagin karadarayak wunada (Were [...]
Flash floods and earth slips with man’s footprints
Last week, Cyclone Ditwah brought severe devastation to Sri Lanka, unleashing deadly floods, landslides, and widespread destruction. Hundreds of lives were lost, many remain missing, and thousands of families were displaced as homes, roads, and transport networks were heavily damaged. It was a historic catastrophe, marked by rainfall exceeding 500 mm in some districts, gale-force [...]
Widescale disruption and many dead from cyclone, DMC says
While the financial cost of Cyclone Ditwah is still under review, a quick study by the Disaster Management Centre (DMC) as at December 2 found more than 1.8 million people affected, 410 confirmed fatalities and 336 individuals reported missing. Under the Joint Rapid Needs Assessment, the DMC said vegetable prices have spiked by 30 to [...]
Changes to Exchange Control to help start-ups
The Central Bank (CB) is looking at amending the Exchange Control Act to facilitate a fund of funds to boost start-ups. CB officials told the Sunday Times Business that the regulator is now in discussion with the Ministry of Digital Economy and the Ministry of Finance to enable this. Meanwhile, on the sidelines of a [...]
Affected hotels at Cinnamon Hotels and Resorts restored to normalcy
Cinnamon Hotels and Resorts, where several hotels were affected by the cyclone and resultant floods, said it stands united with its communities during this period of adversity and remains committed to supporting recovery efforts while ensuring the safety and wellbeing of guests and employees. In a statement it said adverse weather temporarily affected operations at [...]
Critical policy reforms, regional participation advocated to overcome Ditwah
Calling for the need for discipline to tackle the devastating disaster caused by Cyclone Ditwah, which has left a trail of destruction in the country for months to come, Samagi Jana Balawegaya (SJB) MP Dr. Harsha de Silva pointed out that the government can spend about US $1 billion a year in the aftermath of [...]
New VAT and SSCL threshold sparks unease among SMEs and consumers
Sri Lanka’s decision to reduce the VAT and Social Security Contribution Levy (SSCL) threshold to Rs. 36 million from Rs. 60 million marks one of the most far-reaching tax policy shifts since the country’s fiscal collapse in 2022. In the 2026 Budget, the reform aims to broaden the tax base, curb loopholes, and restore revenue [...]
Sri Lanka Para-Tariff reforms stall as US Zero-Tariff plan fades
Sri Lanka’s long-promised tariff overhaul pitched as a turning point for trade competitiveness has entered a complicated, politically fraught phase. While the government has recommitted to dismantling para-tariffs under the National Tariff Policy (NTP), the economic stakes are rising, and a once-discussed plan to reduce tariffs on selected US imports to zero has quietly disappeared [...]
SL Banks Association pledges strong support for economic revival
The Sri Lanka Banks Association (SLBA) at a meeting with the Governor of the Central Bank of Sri Lanka (CB) on Wednesday pledged its fullest support to revive the country’s economy following the damage inflicted by Cyclone Ditwah. The banks represented by the association stated that a detailed impact assessment has already been initiated across [...]
How can Colombo’s recovery from Cyclone Ditwah be transformative?
As the water recedes and people start cleaning their homes, salvaging what they can and going back to work, the gaps and cracks in Sri Lanka’s social protection system are extremely evident among Colombo’s working class poor communities. So much of their bad experience over the past week due to Cyclone Ditwah and the floods [...]
Critical need for rapid Ditwah Damage Assessment
There is an urgent and critical immediate need for a rapid assessment in the country in the aftermath of the devastating cyclone Ditwah, Gevorg Sargsyan, the World Bank (WB) Country Manager for Sri Lanka and Maldives, said at the Sri Lanka Economy Summit in Colombo this week. “It is important to assess the damage using [...]
BOI to engage with committed investors to boost economy
The Board of Investments (BOI), in the aftermath of the cyclone, is actively engaged in efforts to restore full operations in all free trade zones, is in discussions with potential investors who have expressed commitment to investing in the country, focusing on strategies to retain these investments. BOI Chairman Arjuna Herath told the Sunday Times [...]
Building townships in flood unaffected areas
The Cabinet has sanctioned the establishment of the Rebuilding Sri Lanka Fund as a statutory mechanism under the Presidential Secretariat, designed to finance the nation’s medium- and long-term recovery in the aftermath of the recent Cyclone Ditwah. This initiative is both urgent and indispensable, as it seeks to mobilise resources for the reconstruction of destroyed [...]
Will the response to Ditwah be worse than the disaster itself?
The Parable of the Broken Window In 1850, the French economist Frederic Bastiat penned “The Parable of the Broken Window.” A boy breaks a shop window, and a glazier is paid six francs to repair it. Onlookers muse that such accidents are good for trade, as they keep window-makers in business. This logic, Bastiat argues, [...]
Court orders FB to submit report on Blue Ocean fiasco
Colombo Chief Magistrate Asanga S. Bodaragama has directed the Criminal Investigations Division (CID) to arrest and produce those who posted fake news profiteering from trading in shares in the Colombo Stock Exchange (CSE) through social media. The magistrate also ordered a report on the perpetrators’ accounts to the Facebook meta platform, after the CID made [...]
“Changing of the guard’ at Hemas Holdings
Hemas Holdings PLC on Tuesday announced changes to its Board of Directors, with the stepping down of its chairman Husein Esufally, reflecting the group’s commitment to strong governance and a seamless leadership transition. Mr. Esufally, who has served Hemas for over four decades in various leadership capacities including Group Chief Executive Officer and Chairman, will [...]
Sri Lanka awaits more travellers this season
It’s “hakuna matata” on the island of Sri Lanka! The country’s main roads are back to normal, the tourism sites are open and the sector’s workforce is waiting to welcome the world. At the media briefing held at the Foreign Ministry Deputy Tourism Minister Prof. Ruwan Ranasinghe said that despite the devastating situation due to [...]
Over 100,000 H of paddy lands hit by Cyclone Ditwah
The country’s paddy lands amounting to 20 per cent of the cultivated areas have been devastated by Cyclone Ditwah. Peradeniya University Crop Science Senior Prof. Buddhi Marambe told the Sunday Times Business that of the 590,000 hectares of cultivated lands about 20 per cent have been damaged due to the cyclone floods. He noted that [...]
More financial literacy, demutualisation among others on the cards next year
The Securities and Exchange Commission (SEC), together with the Colombo Stock Exchange (CSE), having introduced blue, green and sustainable bonds, is in the process of introducing more such products, SEC chairman Professor Harendra Dissabandara said, addressing Session 3 titled, Sector Deep Dives II: Capital Market – Catalyst for Growth” at the Sri Lanka Economic And [...]
InsureMe listed on the Colombo Stock Exchange
InsureMe, Sri Lanka’s pioneering digital insurance aggregator and one of the country’s top insurance intermediaries, was listed on the Colombo Stock Exchange (CSE) this week, marking a new chapter in its growth journey as the nation’s first insurance intermediary to go public. Founded in 2016 and licensed by the Insurance Regulatory Commission of Sri Lanka [...]
WealthTrust Securities Ltd launches Rs. 500 m IPO
WealthTrust Securities Ltd (WTS), one of Sri Lanka’s leading non-bank Primary Dealers, has announced the formal commencement of its Initial Public Offering (IPO) process to raise Rs.500 million, following the successful conclusion of its media launch and investor forum held earlier this week. The event, which drew strong interest from media personnel, investment analysts, and [...]
Acuity Knowledge Partners rebrands to Acuity Analytics
Acuity Knowledge Partners this week announced its rebrand to Acuity Analytics, the new trading name for the firm. This change reflects the firm’s journey into a global leader in insight, analytics, data and AI-enabled solutions. The new brand is supported by a redesigned website that gives clients a clear and up to date view of [...]