July 2 (ST) The current balance of payments difficulties owing to the growing large trade deficit are being financed by further foreign borrowing; mostly commercial loans. Furthermore, additional borrowing is needed as there is a large repayment of debt and debt servicing costs in the coming months and foreign reserves are inadequate. The large foreign borrowing is a tacit admission that the net reserves position is weak, that there would be a balance of payments deficit and that more..

July 2 (DN) Public Health Inspectors (PHIs) filed court cases against nearly 800 persons who failed to maintain clean surroundings paving the way for dengue mosquito breeding, during raids throughout the country in the past week. Health Minister Maithripala Sirisena announced June 25 to July 25 as the National Dengue Control Month after meeting the Presidential Task Force on Dengue. more..

July 2 (Island) Now that three Provincial Councils (PCs) have been dissolved, there is a mad scramble for nominations, we are told. Among those queuing up to contest are said to be the kith and kin of influential politicians. The wealthy and the nouveau riche given to vainglory and lawbreakers trying to rise above the law will also do their damnedest to obtain nominations from the two main parties to use the PCs as a stepping stone to national politics. Politics in this country has become a more..

July 2 (FT) Minister Rishad Bathiudeen welcomed United States Trade Representative Ron Kirk’s announcement on 29 June that the Generalised System of Preferences (GSP) country practice review on worker rights in Sri Lanka has closed without any change to Sri Lanka’s GSP trade benefits. “This is also a confirmation of the strong assurance given to me by Michael Delaney, Assistant United States Trade Representative for South and Central Areas Affairs on more..

July 2 (ST) Reckless driving snatched the lives of five people in a road accident in Pothuhera, Kurunegala last Sunday adding to the increasing number of traffic accident victims islandwide. According to police, the passengers–three males and two females were travelling in a three-wheeler after attending a wedding in Ranjanagama. The driver of the three-wheeler had attempted to overtake another vehicle when he lost control and collided with a private bus. more..

July 2 (FT) Sri Lanka and China are to sign a comprehensive economic cooperation agreement shortly in a bid to further enhance strong bilateral ties currently being enjoyed. This matter was discussed when the new Ambassador to China Wu Jianghao paid a courtesy call on Minister Basil Rajapaksa last week. “The Minister and the Ambassador reviewed the present status of trade and economic relations and the Ambassador suggested that a comprehensive plan on more..

July 2 (LBO) Dendro power plants in Sri Lanka may be unviable if too many are licensed to operate close to each other because competition may drive up firewood prices to high levels, an industry official has warned. Tokyo Power, a unit of Sri Lanka's Tokyo Cement group is building a 5 MegaWatt dendro power plant in Mahiyangana, and is encouraging farmers and residents in surrounding areas to grow gliricidia. S R Gnanam, joint managing director of the Tokyo Cement group says more..

July 2 (DN) The calling for tenders for the construction of Northern Expressway, which is the second Expressway in Sri Lanka, is to be completed within this year. The Northern Expressway would be constructed from Colombo to Jaffna. The first phase of the project would cover the construction of 95 kms from Colombo to Kandy, and as estimated it would cost about USD one billion. These facts were revealed at the more..

July 2 (DN) The Institute of National Social Development (INSD) will be upgraded to that of university status to offer degrees in social work related fields. “The title, University of Social Work has been proposed for this university and the relevant Cabinet paper is to be submitted shortly seeking the approval of the Cabinet of Ministers,” Minister Felix Perera said. He was addressing the graduates of the Institute of National Social Development at the convocation at the BMICH recently. more..

July 2 (ET) Whatever transpired during the extremely brief visit of National Security Adviser Shivshankar Menon to Colombo, ostensibly to deliver an 'act on the reconciliation front' message, it is clear that New Delhi has decided to up the ante on Sri Lanka. The recent Indian vote for the US-backed resolution in the UNHRC against Lanka was an indication of that. There is increasing room to believe that Colombo is not sincere about giving Tamils and other minorities their due more..

July 2 (Island) Amidst a challenging macroeconomic environment govt expenditure growth has raced ahead of revenue growth and the government deficit for the first four months of this year topped 3.8 percent of GDP, the Ministry of Finance and Planning said last Friday. The full year budget deficit target for 2012 is 6.2 percent of GDP and the Treasury said that it would stick to this target despite the aberrations the economy was facing. "The fiscal performance has to be more..

July 2 (Island) Many an eyebrow has been raised over the appointment of a retired bank employee as the CEO of the Board of Investment (BoI) in the wake of many senior staff being forced to leave upon reaching the retirement age. The former General Manager of the Bank of Ceylon (BoC), W. D. Malini was appointed to the well paid job late last week by the Treasury, though many expected a younger person to be given the opportunity to lead the country’s investment drive. more..

July 2 (NIP) Traditionally close Indo-Sri Lankan ties forged by shared culture and ethnicity and reinforced by history and legend, are showing signs of coming under strain. Partially caused by New Delhi’s failure to provide more forthcoming policy responses to Colombo’s requests, India’s diplomatic influence is now getting eroded. China stepped in to occupy the space and has, of late, begun expanding its presence in Sri Lanka. It is acquiring a meaningful presence in the political, commercial and cultural sectors. more..

July 2 (Island) The govt has abandoned an ambitious plan to divert the waters of Kalu Ganga to prevent periodic flooding of Kalutara and Ratnapura districts and to bring water to perennially parched Hambantota district. Secretary to the Ministry of Irrigation and Water Management K.W. Ivan de Silva Saturday told a specially summoned meeting at Malwala Rajamaha Viharaya that the plan to divert the river by building a dam across two of its more..

July 2 (Island) UGC chief Prof. Gamini Samaranayake said that while endorsing the right of workers to strike, the International Labour Organization (ILO) had decided that they shouldn’t be paid for the days they don’t work. He said that in line with the ILO directive, university non-academic staff wouldn’t be paid as they didn’t report for work recently. The official was responding to non-academic staff of the Rajarata and Eastern Universities who alleged that more..

July 2 (Island) Two thousand eight hundred and fourteen suspects on whom warrants were pending for various offences were arrested between June 20 and 30 from eight provinces. Police sources told ‘The Island’ that 550 were arrested from the Southern Province (Tangalle, Galle, Elpitiya and Matara Divisions), 573 from Central Province (Kandy), Gampola, Matale, Nuwara-Eliya and Hatton) and 466 from North Western Province (Kurunegala, Kuliyapitiya, Nikaweratiya, more..

July 2 (DN) The Committee on Emergency Drought Relief appointed by President Mahinda Rajapaksa to help farmer communities affected by the prevailing drought, is to revive the old and dilapidated irrigation systems, feeder canals and tanks in the drought-affected districts, apart from providing necessary compensation to farmers. Minister S M Chandrasena said that they (the Committee) have sent equipment needed to more..

July 2 (DN) Foreign employment authorities are planning to provide houses to needy Sri Lankan migrant workers at concessionary rates. Authorities will undertake the responsibility of constructing houses in accordance with the plans and locations of the recipients. The migrant workers will have to bear only two thirds of the cost while one third will be borne by the authorities. It will be carried out as a project under the newly formed 'Rataviruwo'(heroes of our economy) organization. The Sri Lanka Bureau of Foreign Employment and the Samurdhi more..

July 2 (Island) A rich businessman and four others, who were digging for a treasure at a location close to Thambalawewa, Jayanthipura in Polonnaruwa were arrested by the police in the early hours of yesterday. A charmer, who was making an offering by chanting some mantra and attempted to escape on seeing the police too was apprehended by the raiding party from the Polonnaruwa police. Police recovered joss sticks, incense powder, coconut oil, lamps, and trays of offerings, electric grinders, drills, water pumps and more..

July 2 (Island) We as a group of Emeritus Professors and former members of the academic staff of Sri Lankan State universities wish to record our grave concern at the deteriorating situation in our national universities and reports of threats of violence against members of the academic community. We are shocked by the alleged death threats received by the current president of the FUTA, more..

July 2 (DN) The Customs Narcotics Control Unit seized 123 kilogrammes of banned tobacco based intoxicants worth over Rs 1.2 million at the Bandaranaike International Airport yesterday. This is the second time in a week sleuths seized such banned substances at the airport. Sleuths seized 75 kgs of tobacco based intoxicant Babul Hans at the BIA last Sunday. “The latest stock included 100 kgs of chewing tobacco and 23 kgs of SVS snuff,” Deputy Customs Superintendent more..

July 2 (DM) One spectator was killed and two other two other spectators were seriously injured during the 4X4 Challenge Race meet in Kochchikade, on Sunday. The victims were rushed to the Negombo hospital in serious condition for treatment but one had to sacrifice his life for the love of the sport. The race meet, organized by the Negombo 4X4 Club, has to be curtailed due to this incident. The deceased body is lying at the Negombo Hospital and yet to be identified. more..

July 2 (Island) Close on the heels of the US expressing concern over Friday’s police raid on Sri Lanka Mirror and Lankanews websites, the EU has reminded the Sri Lankan govt that any attempt to intimidate the media will amount to a clear violation of UN human rights standards. The Heads of Mission of the European Union have noted with concern the action taken against the Sri Lanka Mirror and the Lankanews websites. Freedom of the media is a vital element in more..

July 2 (Island) The police have arrested a 38-year-old woman for allegedly killing the wife of her husband’s best friend by slitting her throat in the bathroom of the suspect’s home situated at Sumanadasa road, Kurunegala. The police identified the victim as Chamila Ruchirani Vithanaarachchi (36) of 61/3 Pethiyagoda, Gampaha, a mother of two. The victim and her attacker had known each other for some time, sources said. There had been cut wounds all over the victim’s body, more..

July 2 (Island) Dr. Anuruddha Padeniya was re-elected at the annual election of the Govt Medical Officers’ Association (GMOA) on Saturday at the Western Province Aesthetic Education Centre. Dr. Pardeniya’s faction secured 2,393 votes while his opponent Dr. Jayantha Balawardena group received only 1,047. GMOA Spokesman Dr. Navin de Soysa said that the incumbent office bearers led by Dr. Padeniya (President) would continue in office as their team had been elected by a vast majority. more..

July 2 (Island) President Mahinda Rajapaksa at a meeting held to review the progress of State development projects in the Kandy district strongly objected to the filling of paddy lands and warned that Divisional Council (Pradeshiya Sabha) chairmen would be held responsible for such action. The President said that some land owners willfully allowed paddy lands to be filled or abandoned so as to put up buildings there later on. Divisional chairmen should be vigilant and prevent more..

July 2 (Island) Armed police blocked a group of persons from protesting in Trincomalee on Sunday against the failure on the part of law enforcement authorities to arrest several persons wanted in connection with last week’s attack which left one person dead, another injured and a fishing craft damaged. Fishermen alleged that the police were dragging their feet on the probe, though the identities of the assailants were already known. The protesters dispersed after more..

July 2 (DN) All doctor vacancies in Northern Provincial hospitals and medical centres are to be filled by July end, Northern Provincial Governor Maj. Gen. G.A. Chandrasiri said. “The 128 doctor vacancies in hospitals and medical centres in the Northern Province will be filled soon, “ he said. “A number of doctors have sent their applications while some have requested for transfers to Northern hospitals”,” he added. “Most infrastructure facilities for doctors like living quarters in more..

July 2 (LB) The Central Bank (CB) is in murky waters from the time S&P's rated Sri Lanka with an economic risk score of ‘8’ and an industry risk score of ‘7’ which are considered as ‘very high risks.’ Several politicians and economists have criticized the CB for accusing S&P, the 150 year old, widely-respected global rating agency and stating that their rating was ‘illogically analyzed,’ and ‘highly contradictory.’ more..

July 2 (SL) Nishantha Wickremesinghe, Chairman SriLankan Airlines admitted that he personally chose a company handling airline in-flight duty free sales to be contracted from April this year to manage and handle duty free in-flight sales on all SriLankan flights. He did so blatantly violating necessary tender procedure given that SriLankan Airlines is a state owned entity. more..

July 2 (ST) The increasing cost of living is forcing consumers to purchase less than they usually do or, prioritise and do away with certain items now deemed as luxuries. These are, by and large, the reactions of consumers, observed by a team of Sunday Times reporters, during a visit to some of the main market places within Colombo city and its suburbs. There has been a series of price increases in food items such as milk foods and bread, services such as more..

July 2 (CT) Officials of the UNHCR in Sri Lanka said they have held ‘positive’ discussions with the External Affairs Ministry over the deportation of more than 200 foreign refugee and asylum seekers currently in Sri Lanka. UNHCR Colombo spokesperson Sulakshini Perera said they were optimistic about a positive response over the discussions held last week and said that none of the refugees had so far been deported. The two week deadline given to 88 refugees and more..

July 2 (GDI) It is the objective of the government to help and uplift standards of sports ofthe rural talented youth to reach national and international arenas, as it is is assured in the Mahinda Chinthana Future Vision. This was stated by President Mahinda Rajapaksa upon declare opening the refurbished Jayathilake Sports Complex in Nawalapitiya. The Nawalapitiya Jayathilake Sports Complex, which was redeveloped at more..

July 2 (LBO) Legal hard liquor production has fallen 2.6 percent in the first five months of 2012, from a year earlier, but soft liquor (mainly beer) had risen 12.5 percent the finance ministry said in a report. But due to an increase in excise duty on March 2012, tax revenues had risen 11.8 percent to 35,404 million rupees up to May from a year earlier. There are no reliable estimates of tax unpaid liquor but more..

July 2 (LBO) India has committed 740.8 million US dollars out of 1,015 million US dollars of foreign financing to Sri Lanka in the first four months of 2012, including 275.1 million US dollars as an outright grant, official data shows. The massive grant, which is unusual in Sri Lanka's recent history, will go to construct 49,000 houses in North, East, Central and Uva provinces, the finance ministry said in a mid-year fiscal report. more..

July 2 (PN) CHRISTMAS Island is today preparing to offload yet more asylum seekers who arrived by boat overnight, most likely from Sri Lanka. The small ramshackled fishing vessel carrying the 39 mainly male asylum seekers is currently sitting not far from shore at Christmas Island’s cove, with around five Navy officers on board. The men waved and smiled to the media this morning as they sat and stood on their rickety boat more..

July 2 (Xinhua) The govt on Monday insisted that the local media are not being suppressed despite a police raid on the office of a news website last week. Minister Keheliya Rambukwella said that the authorities cannot allow media freedom to be abused and in the process ruin the lives of individuals. Both the embassies of the United States and the European Union in Sri Lanka had over the weekend raised concerns over the raid on the office of the Sri Lanka Mirror news website more..

July 2 (DM) India’s National Security Advisor Shivshankar Menon has made it clear to the Sri Lankan top brass that New Delhi’s stance at the Universal Periodic Review (UPR) of Sri Lanka’s human rights record at the UNHRC in November will depend entirely on what Colombo does to improve its human rights image, the Indian Express reported. Menon’s refrain that the issues of ethnic reconciliation and political settlement of the Tamil question in Lanka are matters to be more..

July 2 (DM) Addressing the Marylebone Cricket Club (MCC) Spirit of Cricket Cowdrey Lecture last week, former England cricket captain Tony Greig urged Indian cricket officials to act in the best interests of the game and give responsible leadership, as the game’s global powerhouse, to protect the future of the game – more specially test cricket. A year after Sri Lanka’s Kumar Sangakkara stood on the same stage and pleaded with the ‘cronies’ who were running Sri Lankan cricket to stop rotting the country’s game, Mr. Greig vehemently more..

July 2 (GDI) US imports from Sri Lanka in the first quarter of this year has increased by 30%. This was stated by the Sri Lankan Ambassador Jaliya Wickramasuriya and said that Sri Lanka and the United States have embarked on a journey to further consolidate our multifaceted relationship. The Ambassador thanked the US officials for their understanding and cooperation, particularly the officials of the office of United States Trade Relations. He also acknowledged the more..