Category: Economy and Markets
Road Rules – Budget Report
The government hopes to set up a road fund, monies of which will go towards maintaining and developing Sri Lanka quote s road network.rn rnContributions to the road fund will come from an additional charge to be imposed on licence renewals.rn rnThe government estimates to generate up to 500 million in 2003, and will directed […]
Broad Base endash Budget Report
VAT will be slapped on wholesale and retail trade from July 01 next year.This will apply to businesses with a turnover of more than Rs 1.8 mn a year.
Reform tracking endash Budget Report
A new Economic Management Law will be brought to parliament, which will compel each ministry to report to parliament the progress made on reforms every six months.rn rnldblquote Under that law, the budgets for the respective ministries will be directly linked with the progress made in implementing reforms, dblquote Finance Minister Chocksy told Parliament on […]
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 […]
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 […]
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 […]
Fund Raising
Lead managers for the governments dollar raising exercise plan to tap the American and Europe markets in about ten days time. Deutsche Bank and UBS Warburg on Tuesday, won the mandate to raise US$ 100 mn through a five-year floating rate note.rn rnThe investment banks have the option of raising a further US$ 100 mn […]
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 […]