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Govt. to receive USD 780 mn via IMF SDR facility to get over COVID difficulties
State Minister Ajith Nivard Cabraal says Sri Lanka will receive USD 780 mn in terms of Special Drawing Rights (SDR) in support of efforts to meet difficulties caused by the Covid-19 crisis. Asked whether the government had agreed to a programme, the former Governor of the Central Bank Cabraal said that the funds were made available to all countries regardless of a programme.
Pointing out that the total IMPF allocation was about USD 650 bn, Sri Lanka was entitled to USD 780 mn.
Top SJB spokesman Dr. Harsha de Silva, MP said that every IMF member nation would get their share of the USD 650b new allocation to be used in any manner they wished but mostly for Covid-related expenses.
The MP said: “These allocations have taken place several times in the past as well. This time the proposal was stuck during the Trump administration but cleared by Biden.
Going to the IMF or not to resolve our debt issue is a separate matter. That is the decision of the government.
But the reality is that we are now on very thin ice because even with this windfall our official reserves will be around USD 3b at the end of August. And once the gold is removed, reserves will be around USD 2.5b. Then even if the reserves of all private banks and entities are added, at a national level usable reserves would be around USD 4.5b by the end of the month. But we have, both government and private sector, close to USD 7b in debt payments alone in the coming 12 months.
As we just saw last week the import ban is not working and the trade deficit is ballooning while remittances are falling and tourism is stuck. This means we will run a deficit in the current account of the balance of payments.
The result is additional requirements for reserves to meet imports.
Now I heard the Minister saying to CNBC that he expects USD 400m from India and USD 250m from Bangladesh. But these swaps are all very short term loans. A few months max. Maybe some additional money may come from China Development Bank etc. He said he expects anywhere from USD 400m to USD 1b from ‘utilizing underutilized assets’ in other words privatisation. This is I presume via Selendiva, but I am at a loss to figure out what would need to be sold to get that amount. That is still a one off inflow. Beyond that the much talked about FDI to Port City and elsewhere has not materialised and even if it does only a fraction would go to reserves as most would be spent on imports.
So even they have been harping on an ‘alternative’ no one has explained what it is.
So yes, I don’t see any other option but to approach the IMF to work out a facility to bail Sri Lanka out of the hole this government has put us into, starting from the unwise tax cuts in December 2019 and multiple blunders since, besides the pandemic. If they went to the IMF in late 2020 we could have settled at around LKR 190 to the dollar. If they go now perhaps around Rs 215 to Rs 220 and if we delay further then at a further depreciated rate. The choice is theirs but given the situation they have put us all into there is no way we can come out of this without the help of the IMF either now or 6 months down the road.
The MP said that instead of keeping the country open and letting thousands die because of their logic of the need to keep the economy moving, what they need to do is enter into a program with the IMF to restructure the debt and get a breather and close the country based on medical expert advice.”
The U.S. Embassy in Colombo welcomed the U.S. Sports Envoys to Sri Lanka, former National Basketball Association (NBA) and Women’s National Basketball Association (WNBA) players Stephen Howard and Astou Ndiaye, from June 8 through 14.
The Public Diplomacy section of the U.S. Embassy said that it would launch a weeklong basketball program intended to harness the unifying power of sports, made possible through collaboration with Foundation of Goodness and IImpact Hoop Lab.
While in Sri Lanka, Howard and Ndiaye, both retired professional basketball players, will conduct a weeklong program, Hoops for Hope: Bridging Borders through Basketball. The Sports Envoys will lead basketball clinics and exhibition matches and engage in leadership sessions in Colombo and Southern Province for youth aged 14-18 from Northern, Uva, Eastern and Western Provinces, offering skills and leadership training both on and off the court. The U.S. Envoys will also share their expertise with the Sri Lanka Basketball Federation, national coaches, and players, furthering the development of basketball in the country. Beyond the clinics, they will collaborate with Sri Lankan schoolchildren to take part in a community service project in the Colombo area.
“We are so proud to welcome Stephen and Astou as our Sports Envoys to Sri Lanka, to build on the strong people-to-people connections between the United States and Sri Lanka,” said U.S. Ambassador Julie Chung. “The lessons that will be shared by our Sports Envoys – communication, teamwork, resilience, inclusion, and conflict resolution – are essential for leadership development, community building, equality, and peace. The U.S. Sports Envoy program is a testament to our belief that sports can be a powerful tool in promoting peace and unity.”
SJB Colombo District MP Mujibur Rahuman in parliament demanded to know from the government the reasons for CEB suspending the leave of all its employees until further notice from Thursday.
MP Rahuman said that the CEB has got an acting General Manager anew and the latter yesterday morning issued a circular suspending leave of all CEB employees with immediate effect until further notice.
“We demand that Minister Kanchana Wijesekera should explain this to the House. This circular was issued while this debate on the new Electricity Amendment Bill was pending. There are many who oppose this Bill. The Minister must tell parliament the reason for the urge to cancel the leave of CEB employees,” the MP said.However, Speaker Mahinda Yapa Abeywardena prevented Minister Wijesekera responding to the query and said that the matter raised by MP Rahuman was not relevant.
The Chartered Institute of Personnel Management (CIPM) successfully concluded the 8th Annual CIPM Symposium, which took place on 31st May 2024. Themed “Nurturing the Human Element—Redefining HRM in a Rapidly Changing World,” the symposium underscored the pivotal role of human resource management (HRM) in today’s dynamic global landscape. Since its inception in 1959, CIPM has been dedicated to advancing the HR profession through education, professional development, and advocacy, solidifying its position as Sri Lanka’s leading professional body for HRM.
Ken Vijayakumar, the President of the CIPM, graced the occasion as the chief guest. The symposium commenced with the welcome address by the Chairperson, Prof. Arosha Adikaram, followed by the Web Launch of the Symposium Proceedings and Abstract Book by the CIPM President. The event featured distinguished addresses, including a speech by Chief Guest Ken Vijayakumar, President of CIPM, and an address by Guest of Honor Shakthi Ranatunga, Chief Operating Officer of MAS Holdings Pvt. Ltd., Sri Lanka.
The symposium also featured an inspiring keynote address by Prof. Mario Fernando, Professor of Management and Director of the Centre for Cross Cultural Management (CCCM) at the University of Wollongong, Australia.
Vote of Thanks of the inauguration session was delivered by Dr. Dillanjani Weeratunga, Symposium Co-chair.
The symposium served as a comprehensive platform for researchers to present their findings across a wide range of critical topics in HRM. These included Cultural Diversity and Inclusion, Talent Development and Retention, Ethical Leadership and Corporate Social Responsibility, Adapting to Technological Advancements, Mental Health and Well-being at Work, Global Workforce Challenges, Employee Empowerment, and Reskilling and Upskilling.
The plenary session was led by Prof. Wasantha Rajapakse. Certificates were awarded to the best paper presenters during the valedictory session, followed by a vote of thanks delivered by Kamani Perera, Manager of Research and Development.
The annual symposium of CIPM was a truly inclusive event, attracting a diverse audience that spanned undergraduates, graduates, working professionals, research scholars and lecturers. This widespread interest highlights the symposium’s significance in the field of HRM, offering a unique opportunity for everyone to network and learn from scholarly brains.The CIPM International Research Symposium was sponsored by Hambantota International Port, Sri Lanka Institute of Information Technology (SLIIT), E B Creasy & Co. PLC, and Print Xcel Company.
US sports envoys to Lanka to champion youth development
Rahuman questions sudden cancellation of leave of CEB employees
