June records lowest tourist arrivals so far in 2026
Jul 2 (FT) Sri Lanka's tourist arrivals fell by 10% in June year-on-year (YoY), marking the lowest inflow for the year so far, trailing last year’s pace amid a sharp decline in Indian travellers. According to provisional data from SLTDA, June 2026 arrivals stood at 124,551, down from 138,241 in June 2025. It also fell 15% compared to May 2026, with weekly inflows showing moderate dispersion; 27,043 in the first week, 27,423 in the second, 28,585 in the third, and 41,000 in the final week.
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Top tax official reassures businesses over reforms amid compliance push
Jul 2 (FT) In a rare public explanation of SL’s tax policy, Finance Ministry Tax Policy Adviser Thanuja Perera recently sought to reassure businesses that recent tax reforms are intended to modernise the tax system, improve fairness, and strengthen compliance rather than impose additional burdens on compliant taxpayers. Addressing a seminar on recent tax changes, Perera outlined the rationale behind VAT on overseas digital services, recent legislative amendments, and
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Sri Lanka finish sixth after defeat to Indonesia at Junior AHF Cup
Jul 2 (DN) Sri Lanka finished sixth at the Men’s Junior AHF Cup 2026 after going down 4-2 to Indonesia in the fifth-place playoff in Taldykorgan, Kazakhstan yesterday. Indonesia made a strong start and took the lead in the 12th minute through captain Arthur Wibowo from a penalty corner. Muhamad Al Muroqi doubled the advantage with a field goal just before half-time to give Indonesia a comfortable 2-0 lead at the break. SL fought back after the interval when Kavindu Udawatthe converted
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President’s ambulance handed over to Mullaitivu Hospital
Jul 2 (NW) An ambulance previously allocated for the use of the President has been handed over to the Mullaitivu District General Hospital to strengthen healthcare services in the district. According to the Ministry, the ambulance had been assigned to the Presidential Security Division but was no longer being used for active official duties. Presidential Secretariat decided to transfer the vehicle to the Ministry of Health, taking into account the needs of the country’s health service.
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සලේ පරාදයි! ශානිව ඉවත් නොකරයි!
Cabinet approves procurement of 535 utility vehicles for development work
Jul 2 (NW) The Cabinet has approved a proposal to begin the procurement of 535 utility vehicles to address shortages that have hampered the implementation of govt development projects and field operations. The proposal, presented by President Anura Kumara Dissanayake, seeks to strengthen the operational capacity of government institutions engaged in development activities. The approved procurement includes 175 tractors, 100 water bowsers, 100 backhoe loaders and 160 tipper trucks.
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Cabinet clears agreements for $ 450 m Indian disaster recovery package
Jul 2 (FT) Cabinet of Ministers approved entering into the necessary agreements to secure a $ 450 million disaster recovery package from India, comprising a $ 350 million line of credit and a $ 100 million grant, to support Sri Lanka’s post-Cyclone Ditwah reconstruction efforts. Govt has estimated reconstruction needs at $ 3.5 billion, including $ 2.1 billion in physical damage and $ 1.4 billion in economic losses caused by Cyclone Ditwah, which struck Sri Lanka in Nov 2025.
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China pledges closer party-to-party ties with Sri Lanka
Jul 2 (NW) China has expressed its willingness to strengthen cooperation with all political parties in SL while expanding collaboration in areas including poverty alleviation, digital cities and governance. Speaking at a reception marking the 105th anniversary of the founding of the Communist Party of China (CPC), Chinese Ambassador to SL Qi Zhenhong said the CPC is ready to deepen exchanges with SL political parties on the principles of independence, equality, mutual respect
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Sri Lanka to digitize central bank’s supervision dept with ADB help
Jul 2 (EN) Cabinet has approved a proposal to procure a services provider to digitize the operations of the central bank’s Banking Supervision Department, with the technical assistance of the Asian Development Bank. The department is tasked with regulating and supervising licensed commercial and specialized banks to ensure the stability and soundness of the island’s banking system. “The majority of these functions are performed through physical record management,
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Cabinet approves Rs. 1.96 bn for 2nd phase of Jaffna Municipal Council building
Jul 2 (NW) The Cabinet has approved a revised cost estimate of Rs. 1,958.85 million (without tax) to complete the second phase of the Jaffna Municipal Council building project, including the installation of an air-conditioning system. The proposal, presented by the Minister of Transport, Highways and Urban Development, authorises Central Engineering Consultancy Bureau (Pvt) Ltd, the project’s original contractor, to complete the remaining construction work.
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Sri Lanka regains upper - middle - income status
Jul 2 (FT) Three years after facing what was the worst economic crisis which pushed Sri Lanka to the brink of collapse, the island nation has regained upper-middle-income status. The World Bank, in its latest income classification update released yesterday reclassified Sri Lanka from the lower-middle-income category after the economy expanded by 5% in 2025, supported by a broad-based recovery across industries and growth in tourism and financial services.
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Sri Lanka’s monthly fuel bill doubles in May to US$536mn
Jul 2 (EN) SL’s monthly oil import bill surged by 112% to US$ 536 million in May compated to a year ago due to buying fuel at a higher cost following the Middle Eastern escalation. CB said the increase was, driven by the increase in oil prices and volumes. “However, on month-on-month basis, expenditure on fuel imports reduced by 39.5% in May 2026.” SL saw a fuel import bill of US$ 886 million in April 2026, accounting for 36% of the total monthly expenditure on imports of US$ 2,457 million.
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Jul 2 (FT) Colombo Stock market yesterday faced a two-and-a-half hour opening delay after active trading accounts had been mistakenly deactivated. Colombo Stock Exchange said the Central Depository System Ltd. (CDS) suspended the CDS accounts that were inactive for more than 15 years on 30 June 2026 as notified on 15 June 2026. During the implementation of the suspension, certain active CDS accounts were also inadvertently suspended. This matter was detected during the pre-open session today
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මහ බැංකු අධිපති නන්දලාල් වීරසිංහ
Mangrove restoration seen as creating jobs and promoting rural economic vibrancy
Jul 2 (Island) Mangrove restoration is emerging as a powerful rural economic development model, generating income, strengthening community enterprises, creating village savings schemes and opening new opportunities in nature-based tourism, according to leading marine scientist Professor Sevvandi Jayakody. She said ecosystem restoration should no longer be viewed solely as an environmental exercise but as a long-term investment that delivers measurable economic and social returns
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TEA calls for urgent support to lift tea smallholder productivity, exports
Jul 2 (FT) Tea Exporters Association (TEA) has urged President Anura Kumara Dissanayake to extend targeted support to tea smallholder farmers to restore productivity and reverse a structural decline in export volumes, warning that output constraints are limiting foreign exchange earnings despite existing processing capacity. At a meeting with the President on 26 June, TEA Chairman Huzefa Akbarally noted that while exporters are capable of handling around 400 million kg of tea annually,
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President eyes 7-8% growth with push into IT, electronics exports
Jul 2 (FT) Prez Anura Kumara Dissanayake yesterday set out an ambitious strategy to lift SL’s economic growth to 7-8% over the coming years, identifying the information technology (IT) and electrical and electronics industries as key drivers of export-led expansion and higher foreign exchange earnings. Addressing leading investors and industrialists from the IT and electrical and electronics sectors at the Presidential Secretariat, Prez said the Govt’s objective
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Groundbreaking study in Kelani Ganga basin
Jul 2 (Island) The first comprehensive study on antibiotic resistance in the Kelani River Basin, a freshwater system that supplies drinking water to over 80% of the Greater Colombo region and supports more than a quarter of the national population has been completed. The Centre for Water Quality and Algae Research in the department of Zoology at the University of Sri J'pura has conducted the study in collaboration with Hayleys Fabric PLC, a subsidiary of Hayleys PLC.
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Trump reined in
Jul 2 (Island) Prez Donald Trump is full of himself as he enjoys unified Republican control of the US federal govt. He exercises control over the White House and both chambers of the Congress. The composition of the current US Supreme Court (SC) with its conservative majority is also considered favourable to Trump; the apex court is widely viewed as being receptive to his constitutional arguments. Nevertheless, executive powers are far from untrammelled thanks to the robust US Constitution,
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සලේ සැලේ ශානි නොසැලේ
The bus fare revision
Jun 2 (DN) The National Transport Commission (NTC) has submitted a proposal to the Cabinet on the proposed revision of Sri Lanka Transport Board (SLTB) and private bus fares. The NTC says the exact percentage of the bus fare hike will be announced after analysing all relevant factors, including fuel price changes. The decision has been taken in line with the annual bus fare revision scheduled to take effect from July 01, NTC Director General Nilan Mirando said.
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Toothless fines and broken systems
Jun 2 (TM) The sight of rubbish strewn along the verges of our streets has become a distressing feature of modern life. It is a visual blight that speaks of a deeper social malaise, where civic duty is discarded as easily as a plastic bottle. However, pointing the finger solely at the individuals who dump their waste at the roadside misses a troubling picture. As senior law enforcement figures have recently highlighted, the crisis of illegal dumping is not merely a failure of personal conscience.
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Corruption crackdown shocks Opposition
Jun 2 (DN) The law enforcement authorities’ crackdown on corruption and its bid to enforce law and order led to the arrest of two prominent personalities with links to the opposition last week while an opposition MP was also convicted. The former was shocking because of the nature of the charges. SJB Horana electorate organiser Charitha Abeysinghe and Rakhitha Rajapaksa, son of former Minister Wijeyadasa Rajapakshe were arrested on charges made by CIABOC last Thursday.
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We had a plan to reduce fuel dependence. We cancelled it
Jun 2 (FT) Sri Lanka’s economic crisis exposed a critical weakness that continues to threaten the country’s stability: our heavy dependence on imported fuel. Fuel quotas, import restrictions, and price increases may provide temporary relief during periods of shortage, but as long as millions of Sri Lankans rely on fuel-powered vehicles for their daily travel, the country will remain vulnerable to fuel shortages, foreign exchange pressures, and global energy shocks.
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The 60-million-rupee question
Jun 2 (ST) Imagine walking into a supermarket to buy household essentials that are subject to VAT. You spend Rs. 10,000 on your purchases. The supermarket, a large‑scale enterprise with annual turnover above Rs. 60 million, is VAT‑registered, so your purchases fall within the scope of VAT‑liable transactions. VAT is legally borne by the customer but administered by the supermarket, which collects it at the point of sale and remits it to the govt. At the 18% rate,
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The persistent reality of child malnutrition
Jun 2 (TM) While SL has recorded modest improvements in key child nutrition indicators recently, official data suggest that malnutrition among children under five remains a significant public health challenge. According to the 2025 National Nutrition Month report, the country has seen a reduction of underweight, wasting, and stunting among children under five years of age when compared with 2024, while the overweight and obesity percentage has risen slightly.
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The post-war Sri Lankan state: Some reflections – Part 1
Jun 2 (GV) It was my experience of conflicts and state repression during the post-1977 period in Sri Lanka that led me to examine the subject of the state and state power more closely. State repression was responsible for 17 of the 32 mass graves found across the country. It is the task of future researchers on Sri Lanka not to ignore the fate of thousands of citizens and the families that suffered from these events. It is difficult to ignore these events if you want to understand Sri Lanka.
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The need for comprehensive value education reforms
Jun 2 (CT) Over the past three decades, leading global education reports have consistently highlighted value education as a central pillar of human development and social progress. Collectively, these reports affirm that value education is not peripheral, but integral to creating well-rounded individuals and developing peaceful, sustainable societies. All policy statements issued in Sri Lanka over the last three decades from 1992-2022 have recognized the need for, and explicitly stated
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පිල්ලෙයාන් මඩකලපු උසාවි ගෙනාවාම..!
Plans accelerated for Temple City project around Gangaramaya Temple
Jul 1 (PMD) A discussion on the proposed Temple City project, which aims to develop the area surrounding Beira Lake into an international tourism and cultural destination centred on the Hunupitiya Gangaramaya Temple, was held yesterday afternoon at the Presidential Secretariat under the patronage of the Secretary to the President, Dr. Nandika Sanath Kumanayake. Hunupitiya Gangaramaya Temple, which enjoys the respect and reverence of both local and international visitors,
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Dehiwala Zoo to announce names of popular lion cubs on July 3
Jul 1 (DM) National Zoological Gardens Dept will announce the selected names for the two lion cubs born recently at the Dehiwala National Zoological Park, which have attracted widespread public attention and affection. The names were selected from suggestions submitted by animal lovers, and prizes will be awarded to those whose entries were chosen. The announcement will be one of the highlights of the Dehiwala Zoo's 90th anniversary celebrations, scheduled to be held on July 3
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Dengue: Refrain from doing self-diagnosis, consult a doctor: Medical experts warn
Jul 1 (DM) With over 54,000 dengue cases and 31 deaths being reported in the country, medical experts warn that the country’s healthcare system would be crippled if more cases surge. A majority of patients reported so far are women, and medical experts suspect whether this is due to a delay in seeking treatment. During a special media briefing, medical experts advised public to refrain from doing self-diagnosis & to seek treatment immediately.
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Actor Gamini Samarakoon passes away
Jul 1 (GLN) Veteran actor Gamini Samarakoon, who rendered an unparalleled service to the SL arts field, has passed away. He, who won the hearts of audiences through the fields of stage, cinema, and tele-drama for decades, was an artist who left an indelible mark in the memory of fans through the eternally popular song Sobawa De Mepura – Siri Wisithuru from the stage play Tharawo Igilethi. Mr. Samarakoon, who displayed an exceptionally prominent acting talent in stage drama,
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BIA set for Rs. 15bn terminal upgrade
Jul 1 (DM) Sri Lanka's aviation sector is set to undergo significant infrastructure development, with plans underway to modernize the first passenger terminal of Bandaranaike International Airport with an investment of approximately Rs. 15 billion over the next two years, Ports and Civil Aviation Deputy Minister Janitha Ruwan Kodituwakku said. Deputy Minister said several historic development initiatives are currently being implemented across the country's aviation sector.
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SJB: Petrol and diesel prices could have been reduced by Rs. 115 each per litre
Jul 1 (Island) Samagi Joint Trade Union Alliance Spokesman Ananda Palitha maintained that the prices of a litre of auto diesel and a litre of petrol 92 Octane could have been reduced by Rs 115 each. Instead, CPC reduced petrol 92 Octane and auto diesel prices by Rs. 20 and Rs. 25 per litre, respectively. Petrol 92 Octane is now priced at Rs. 414 per litre and auto diesel at Rs. 382 per litre. The former CPC employee said that NPP's
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Cabinet green lights to 2027 student shoe programme
Jul 1 (DM) Cabinet has approved the implementation of a programme to provide a pair of footwear each to selected school students, as well as to lay and monastic students of Pirivenas and Seelamathas for the year 2027. The decision was taken based on a proposal submitted by the Prime Minister in his capacity as the Minister of Education. Under the proposed programme, eligible students will be provided with a gift voucher valued at Rs. 3,000 each for the purchase of footwear.
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