Business
Unwarranted rating action by S&P amid arrangements to settle ISB maturity in Jan. 2022 – CBSL
The Government of Sri Lanka (GOSL) is perturbed over today’s announcement by S&P Global Ratings, at a time when the GOSL has diligently lined up adequate funds to repay its maturing foreign debt liabilities and its repeated assurances over the strong commitment to oblige its debt service payments, including the International Sovereign Bond (ISB) maturing on 18 January 2022.,the CBSL said in a press release.
It adds – This move demonstrates repetitive nature in which S&P and other rating agencies acted to initiate rating actions just prior to the settlement of ISB obligations. S&P’s action also fails to recognise the positive developments taking place in Sri Lanka, in an environment in which the entire world is grappling with repeated waves of the COVID- 19 pandemic.
The sense of urgency on the part of an internationally recognised rating agency is inconceivable, particularly since S&P was being constantly updated by the Sri Lankan authorities on the latest developments in all sectors of the economy and many measures to shore-up foreign exchange inflows. In fact, these repeated rating actions, which have undermined and delayed the efforts of authorities’ to augment foreign exchange inflows, have negatively affected investor confidence, potential investment inflows and the gradual build-up of official reserves of the country. Recent rating actions also negated momentum of reserve-build-up and adversely affected investors who acted over such announcements.
As against the S&P’s claim on unforeseen positive developments, major economic and financial indicators are aligned in line with the measures and plans unveiled in the recent Budget announcement of the GOSL and the Six-Month Road Map announcement Communications Department 12 January 2022 by the Central Bank of Sri Lanka (CBSL). The near-term funding arrangements are being finalised by the GOSL and the CBSL with various bilateral sources, which are due to be materialised.
Following several headwinds faced by the Sri Lankan economy in view of the COVID-19 pandemic, there are strong signs that economic activities are now returning to normalcy with all leading indicators signalling positive momentum. Tourism is on the rise and exports are continuously increasing. A number of measures introduced to enhance workers’ remittances are also yielding anticipated results. Government to Government financing initiatives, including liquidity facilitations and trade financing, and central bank swap arrangements are negotiated with neighbouring countries through high-level engagements. These facilities are expected to strengthen and fast track the recovery of the Sri Lankan economy.
With the expected inflows materialising as envisaged in the Six-Month Road Map, at the end of 2021 the reserve position amounted to over US dollars 3 billion level and such level is expected to be maintained in the near-term with gradual build-up with both non-debt and financing inflows. In addition, during the recent past, foreign currency debt exposure has been reduced due to various measures taken by the GOSL and the CBSL. Thus, taking the absolute value of reserve levels only into consideration against the overall exposure of the country’s debt portfolio is inappropriate.
Hence, S&P’s assessment to downgrade the rating has clearly failed to recognise the recent progress made by the Government and the CBSL in securing foreign exchange inflows to meet the government’s forthcoming debt obligations.
Against this backdrop, the Government wishes to re-assure all stakeholders, including the international investor community, that Sri Lanka remains committed to honouring all forthcoming obligations in the period ahead and maintain its unblemished record of debt servicing. The Sri Lankan authorities also welcome direct engagement with investors and invite investors for regular one-on-one discussions without being distracted by such unfounded announcements by external agencies.
The Delegation of German Industry and Commerce in Sri Lanka (AHK Sri Lanka) proudly facilitated the first-ever Sri Lankan delegation’s participation at Drupa 2024, the world’s largest trade fair for the printing industry and technology. Held after an eight-year hiatus, Drupa 2024 was a landmark event, marking significant advancements and opportunities in the global printing industry.
AHK Sri Lanka played a pivotal role in organising and supporting the delegation, which comprised 17 members from the Sri Lanka Association for Printers (SLAP), representing eight companies from the commercial, newspaper, stationery printing, and packaging industries. This pioneering effort by AHK Sri Lanka not only showcased the diverse capabilities of Sri Lanka’s printing sector but also facilitated vital bilateral discussions with key stakeholders from the German printing industry.
Business
Unveiling Ayugiri: Browns Hotels & Resorts sets the stage for a new era in luxury Ayurveda Wellness
In a captivating reimagining of luxury wellness tourism, Browns Hotels & Resorts proudly unveiled the exquisite Ayugiri Ayurveda Wellness Resort Sigiriya. This momentous occasion, celebrated amidst a vibrant and serene grand opening on the 6th of June, heralds a new chapter in the Ayurveda wellness tourism landscape in Sri Lanka. Nestled amidst 54 acres of unspoiled natural splendour, Ayugiri features 22 exclusive suites and stands out as the only luxury Ayurveda wellness resort in the country offering plunge pools in every room, rendering it truly one-of-a-kind.
The grand opening of Ayugiri Ayurveda Wellness Resort was an enchanting event, where guests were captivated by the melodies of flutists and violinists resonating through Sigiriya’s lush landscapes. As traditional drummers and dancers infused the air with vibrant energy, Browns Hotels & Resorts’ CEO, Eksath Wijeratne, Kotaro Katsuki, Acting Ambassador for the Embassy of Japan and General Manager, Buwaneka Bandara, unveiled the resort’s new logo, marking a significant moment witnessed by distinguished guests from the French Embassy, Ayurveda and wellness enthusiasts along with officials from the Sigiriya area, LOLC Holdings and Browns Group.
“Our strategic expansion into wellness tourism with Ayugiri Ayurveda Wellness Resort Sigiriya symbolises a significant milestone for Browns Hotels & Resorts. Wellness tourism has consistently outperformed the overall tourism industry for over a decade, reflecting a growing global interest in travel that goes beyond leisure to offer rejuvenation and holistic well-being. By integrating the timeless wisdom of Ayurveda with modern luxury, we aim to set a new standard in luxury wellness tourism in Sri Lanka. Whether your goal is prevention, healing, or a deeper connection to inner harmony, Ayugiri offers a sanctuary for holistic well-being” stated Eksath Wijeratne.
Ayugiri encapsulates the essence of life, inspired by the lotus flower held by the graceful queens of the infamous Sigiriya frescoes. Just as the lotus emerges from the murky depths, untainted and serene,
Ayugiri invites guests on a journey of purity and rejuvenation, harmonised with a balance of mind, body and spirit, the essence of nature, echoes of culture and the wisdom of ancient Ayurvedic healing.
HNB General Insurance, one of Sri Lanka’s leading general insurance providers, has been honored as the Best General Bancassurance Provider in Sri Lanka 2024 by the prestigious Global Banking and Finance Review – UK.
The esteemed accolade underscores HNB General Insurance’s unwavering commitment to excellence and its outstanding performance in the field of bancassurance. Through dedication and hard work, the HNB General Insurance team has continuously endeavored to deliver innovative insurance solutions, cultivate strong relationships with banking partners, and provide unparalleled service to customers nationwide. This recognition is a testament to the team’s dedication and relentless pursuit of excellence in the bancassurance business.
“We are honored to receive this prestigious award, which reflects our team’s tireless efforts and dedication to delivering value-added insurance solutions and exceptional service through our bancassurance partnerships,” said Sithumina Jayasundara, CEO of HNB General Insurance. “This recognition reaffirms our position as a trusted insurance provider in Sri Lanka and motivates us to continue striving for excellence in serving our customers and communities.”
US sports envoys to Lanka to champion youth development
Rahuman questions sudden cancellation of leave of CEB employees
