Business
Value of the rupee against USD to remain stable in Q4 2021
By Sanath Nanayakkare
The Central Bank would make efforts to maintain the Rupee at the very competitive level of Rs. 199 to Rs. 203 against the USD over the next three months and would be reviewed thereafter, the Central Bank said unveiling its six-month Road Map on Friday.
The Central Bank is poised ensure forex inflows into formal channels with the use
of existing and restored licenses and will act to avoid informal, and/or illegal channels of forex inflows and outflows thus disallowing parallel market activity at diverse exchange rates
In managing foreign exchange reserves, due regard will be paid to the differential between building reserves through borrowing and investing in low-yielding global assets.
With regard to resolving debt and forex issues in the banking/ non-bank sector, plans are afoot to mobilise fresh forex funding on competitive terms based on the strength of the bank’s / financial institution’s own balance sheets. The target for this has been set at USD 1.5 bn.
Further, forex positions will be closely monitored while prudently screening the forex outflows with the implementation of the Tax Amnesty through the Finance Act.
At the same time, forex investments will be encouraged in government securities and Sri Lanka Development Bonds.
Essential imports will be facilitated wherever possible while engaging with counterparties to dampen undue speculation on the debt situation and enhance their knowledge on the Sri Lankan economy and the financial system.
Foreign investors will be supported to invest in non-bank sector institutions while also supporting the establishment of equity funds for SMEs.
The repatriation and conversion of proceeds of services exports and adherence to systems that monitor forex flows related to services will be ensured.
Support will be extended to prepare for the resumption of tourism, and ensure the repatriation and conversion of earnings
Moves will be taken to avoid speculative demand for imports and the build-up of large inventories thus ensuring the supply of goods to the domestic market with a reasonable profit, rather than generating super-normal profits through speculative price increases.
Utilising domestic inputs will be encouraged to diversify businesses with a greater focus.
New opportunities are being explored through investment in production for the domestic and export markets. Increased domestic investment and partnerships with foreign investors will be facilitated in dedicated industrial zones.
Campaigns will be expanded to attract foreign investors for Sri Lankan real estate, including condominiums.
Foreign investment in Sri Lankan real estate will be promoted based on the resident/long-term visa incentives, as well as investment in warehousing, plug & play services, and dedicated zones for IT.
With the return of stability in the forex markets and the interest rates opportunities will open up for investment and expansion With the passing of the new SEC Act investments into listed corporate debentures will be more attractive For resolving debt and forex issues of the government, the target is to increase to exports to above USD 1.0 bn per month, on average during the remainder of 2021.
High-level discussions with respective governments to secure short to medium term G2G financing to buttress inflows (short-term target: USD 1.0 bn; Next 3 months: USD 500 mn).
Monetising selected non-strategic and under-utilised assets to accrue USD 1.0 bn. Publishing Port City Commission by-laws to attract FDIs into the Colombo Port City Facilitating inflows from the implementation of the Tax Amnesty through the Finance Act (Target: USD 100 mn).
Rebasing GDP (which is overdue by 1 ½ years) without further delay, to reflect the true size of the economy.
Introducing appropriate tax adjustments to promote domestic value addition of exports and ensure conversion of export earnings; Discouraging forex leakages through online and informal channels Considering to introduce a mechanism to allow the import of motor vehicles to Sri Lanka using foreign earnings or FDI, with relevant taxes being paid to the Government in forex.
The contents of the Road Map of the Central Bank thus signals a business-friendly budget in November 2021 with detailed financing strategies.
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.”
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