Category: Economy and Markets
Apex Bodies — Budget Report
A new tea sector association will talk over the responsibility of regulating the industry finance minister K. N. Chocksy told parliament today.rnThe association will also set up standards for Sri Lankan tea and enforce them.rn rnThe apparel industry will also get a new apex body to guide the industry towards the end of the multi-fibre […]
Public Benefits – Budget Report
All new public sector employees will have to contribute towards their pensions from January 01.rn rnThe EPF style scheme envisages an 8 per cent contribution from employees and 10 per cent contribution from the state.rn rnSalaries will be adjusted to conform to this.rn rnMeanwhile the government is also planning to close down all redundant government […]
Steering Off endash Budget Report
The government is expecting to end the year with a budget deficit of 8.9 per cent of GDP, which is just 0.4 per cent off target.rn rnThis is the best any government has done in recent years, with deficit target of 1.5 per cent to 2.5 percentage points being an accepted norm.rn rnThe overall deficit […]
Public Service
Though many government servants are looking to the budget for a salary increase analysts say any increase will be tied to a voluntary retirement scheme.rn rnThe government has already gone public with voluntary retirement packages to state enterprises such as the Ports Authority, Ceylon Petroleum and Salu Sala.rn rnMeanwhile the Treasury has already frozen employment […]
Country Road
Top Central Bank and Treasury officials will hit the road next week to raise dollar funds for the government.The US$ 100 mn fund raising exercise will see a Lankan team touching Singapore, Dubai, Bahrain, London and Abu Dhabi.rn rnCentral Banks Deputy Governor, W A Wijewardene will lead the local delegation from November 11-14.rn rnLast month, […]
To Let
Putting its restricting plans into action the Urban Development Authority (UDA) will let out two of its prime properties in Colombo on long lease to private developers.rn rnInvitations were called over the weekend to put up buildings that combine residential and commercial facilities in Chattam Street in Colombo 1 and on Galle Road, Colombo 3.rn […]
Lanka Inc.
Government is planning to set up an independent holding company to own and manage state enterprises.rn rnThe company set up on the lines of Temasek Holdings of Singapore will enable state enterprises to be run independent of the government while the Sate retains ownership.rn rnAn independent audit authority answerable to parliament is also on the […]
Holding Co.
Infusing fresh discipline into the bloated state machinery, a proposal to set up a Singapore style investment holding company and National Audit Authority has got the government quote s attention. rn rnThe Dutch government has sent a team of experts to look at the possibility of starting an independent National Audit Authority.rn rnThe new authority […]
Derivative Drive
The top level Financial Reforms Committee is looking at ways to promote derivative instruments in Sri Lanka.The committee has appointed debt market specialist Mangala Boyagoda, CEO of Standard Chartered Bank, to look at the legal gaps holding firms back from using derivative instruments.rn rnA derivative is a contract between two parties to buy or sell […]
Donor Prop Up
The World Bank will offer a loan to prop up the government budget next year.rn rnThe poverty reduction support credit will come on the back of the proposed growth facility loan currently being negotiated with the IMF.rn rnUnlike a program loan the PRSC funds will go towards financing the budget. rn rnThe government and the […]
Legal Hunt
The top level Financial Reforms committee is looking at ways to support derivative laws in Sri Lanka.The committee has appointed top debt market specialist Mangala Boyagoda, Chief Executive of Standard Chartered Bank, to look at the gaps that quote s holding firms back from using derivative instruments.rn rnA derivative is a contract between two parties […]
Donors For Rehab
Government is seeking donor assistance to resettle displaced people in the war-affected regions to establish normalcy and help the peace process.rn rnDespite the risks, bilateral and multilateral donors are also lining up to lend for reconstruction in the North and East provinces.rn rnSome institutions like the World Bank are taking a fresh approach to identify […]