WikiLeaks: GL a Pomme, Mlinda a Yankee, US cable contends

By Colombo Telegraph -

“In pursuing this pro-U.S. course, Wickremesinghe has been supported by two dynamic advisers, Minister of Constitutional Affairs G.L. Peiris and Minister of Economic Reform Milinda Moragoda.” the US Embassy Colombo informed Washington.

The Colombo Telegraph found the related leaked cable from the WikiLeak database. The cable classified as “CONFIDENTIAL” analyses the Sri Lanka’s pro – US foreign policy under the Prime Minister Ranil Wickremesinghe. The cable was written on May 29, 2003 by the US Ambassador to Colombo E. Ashley Wills.

Ambassador Wills wrote “In general, the Oxford-educated Peiris’ focus has been more on cultivating ties with former colonial power Britain and other Commonwealth countries, but he is very pro-U.S. and often visits Washington. More than Peiris’, Moragoda’s direct focus has been on cultivating relations with the U.S. and with India. Re the U.S., the intelligent, articulate Moragoda is a perfect fit. Born in Washington, D.C, he is a dual national Amcit (please protect) married to an American, with plenty of Washington connections, many from his days as a visiting fellow at the Heritage Foundation and at Harvard. A “big picture” person, Moragoda is also highly aware that the U.S. is the most powerful country in the world, and he feels that it is better that Sri Lanka recognize that fact and work within it.”

Placing a note the ambassador further wrote “Of late, the duo of Peiris and Moragoda have been joined by a new pro-U.S. player: In just several months on the job, Ambassador Devinda Subasinghe, a U.S.-educated financier and close friend of the PM, has already made a mark in Washington.”

Below we give the relevant part of the confidential cable;

Related news to this cable; WikiLeaks: “Ranil is a Yankee, like his uncle” US cable implies

C O N F I D E N T I A L SECTION 01 OF 04 COLOMBO 000909   SIPDIS   DEPARTMENT FOR SA, SA/INS, S/P, IO, INR/NESA; NSC FOR E. MILLARD   LONDON FOR POL/RIEDEL   E.O. 12958:  DECL:  05-29-13 TAGS: PREL PGOV PINR CE UN SUBJECT:  Sri Lanka's foreign policy:  Prime Minister tilts toward U.S., but faces resistance   Refs:  Colombo 873, and previous   (U) Classified by Ambassador E. Ashley Wills. Reasons:  1.5 (b,d).   ¶1. (C) SUMMARY: Since coming to power, PM Wickremesinghe has taken steps to steer Sri Lankan foreign policy closer to the U.S.  In doing this, he has had successes, including the signing of an ICC waiver with the U.S. and in regard to Iraq where the GSL steered a constructive course.  Moreover, one of his key ministers recently proposed that the GSL take the lead in forming some sort of counterweight to NAM.  That said, the PM's initiative has faced stiff resistance from MFA bureaucrats.  In addition, the president and Opposition, backed by much of the press and the intelligentsia, have cut into his room for maneuver via their generally anti-U.S. biases.   ¶2.  (C) In the post-Iraq war environment, we think the GSL will continue to want to draw closer to the U.S. With the PM facing a precarious cohabitation situation, however, additional steps toward the USG will have to be carefully plotted out.  Nonetheless, with Sri Lanka facing a difficult peace process and needing help to constrain the Tamil Tigers, we think the larger trend in the country provides ballast for the PM's pro-U.S. proclivities.  END SUMMARY.   -------------------- PM tilts toward U.S. --------------------   ¶3. (C) Since coming to power in late 2001, Prime Minister Ranil Wickremesinghe has taken steps to steer Sri Lankan foreign policy closer to the U.S. Wickremesinghe's pro-U.S. views have been long-standing and are in part a function of family connections.  His uncle, J.R. Jayewardene, for example, was Sri Lanka's president from the late 1970s through the late 1980s, and maintained very close links with the U.S. (Note:  In fact, Jayewardene was called "Yankee Dickey" by leftists for years.)  Moreover, Wickremesinghe, who comes from a very wealthy business family, is a strong advocate of free enterprise and strongly opposed to the disastrous socialist policies of former governments. Wickremesinghe is also surprisingly knowledgeable about U.S. history and politics; he is an avid reader about the American Civil War, U.S. military history, and U.S. legislation.  The prime minister's pro-U.S. views also emerge out of his political calculus that Sri Lanka needs the support of the international community, especially the U.S., to constrain the Tamil Tigers. With the peace process his government's number one priority bar none, the prime minister has worked hard to secure U.S. support for his efforts in this area from very early on in his tenure.   ¶4.  (C) In pursuing this pro-U.S. course, Wickremesinghe has been supported by two dynamic advisers, Minister of Constitutional Affairs G.L. Peiris and Minister of Economic Reform Milinda Moragoda.  (Note:  Beyond their official titles, both Peiris and Moragoda play key roles as peace process negotiators and policy formulators for the GSL.)  In general, the Oxford-educated Peiris' focus has been more on cultivating ties with former colonial power Britain and other Commonwealth countries, but he is very pro-U.S. and often visits Washington.  More than Peiris', Moragoda's direct focus has been on cultivating relations with the U.S. and with India.  Re the U.S., the intelligent, articulate Moragoda is a perfect fit. Born in Washington, D.C, he is a dual national Amcit (please protect) married to an American, with plenty of Washington connections, many from his days as a visiting fellow at the Heritage Foundation and at Harvard.  A "big picture" person, Moragoda is also highly aware that the U.S. is the most powerful country in the world, and he feels that it is better that Sri Lanka recognize that fact and work within it.   ¶5.  (C) (((Note:  Of late, the duo of Peiris and Moragoda have been joined by a new pro-U.S. player:  In just several months on the job, Ambassador Devinda Subasinghe, a U.S.-educated financier and close friend of the PM, has already made a mark in Washington.)))  WILLS

>> Source

Only Gotabhaya thought a military victory was possible – Erik Solheim

By Colombo Telegraph -

“No one, may be with the exception of Gothabaya Rajapaksa, but he’s the only person I can mention who thought a military victory was possible. I was very hard to say very close to Indian intelligence and an enormous amount of time throughout this process and never, ever did any Indian official hint that a military victory was possible until mid 2008. Then they started, I observed the change in Mr.M.K.Narayanan and others and gradually shift into the position that may be, state may be the government can wipe out the tigers military victory.”Norwegian peace envoy Erik Solheim said last week

“Sri Lankans try to manipulate every single day for whole this 10 years, for their business interest part of that they tried to manipulate all. We may be fool but no so foolish that we understand that they tried to manipulate.” Minster of the Environment and international Development Erik Solheim further said.

Eric Solheim made this remarks last week in Oslo seminar followed by the launch of the evaluation report of the Norwegian Peace effort in Sri Lanka. The evaluation has been performed by CMI in Bergen and the School of Oriental and African Studies (SOAS) in London, and deals with the Norwegian peace effort in Sri Lanka between 1997 and 2009.

Following is the full text of the speech made by Erik Solheim

Let me start by thanking Mr.Gunnar and his team for a very valuable and interesting report. I’ve not been able to study everything at this stage, we will go through it, all the big and small parts…the big and small issues which are covered by the report and see to what extent I can inform and to see what I can do to assist Sri Lanka in the future and more importantly how this can help Norwegian efforts in other peace processes.

Norway is involved in one way or other in may be 20 peace processes in world and very few of them, at the moment, not as a main actor as in Sri Lanka, but in supporting the parties and supporting other international actors in bringing peace so it’s very valuable to look into all these experiences which are experience, this may be the first time, certainly, it isn’t normal, that one involved in the peace process is commissioning a report in to all the positive and negatives of what happened.

>> Full Story

"Lies Agreed Upon": Sri Lanka counters Channel 4

>> Full Video:

Full Text of Human Rights Record of the United States in 2010

Facts and Figures: U.S. human rights situation

BEIJING, April 10 (Xinhua) -- China's Information Office of the State Council, or cabinet, published a report titled "The Human Rights Record of the United States in 2010" here Sunday. Following is the full text:

Human Rights Record of the United States in 2010

The State Department of the United States released its Country Reports on Human Rights Practices for 2010 on April 8, 2011. As in previous years, the reports are full of distortions and accusations of the human rights situation in more than 190 countries and regions including China. However, the United States turned a blind eye to its own terrible human rights situation and seldom mentioned it. The Human Rights Record of the United States in 2010 is prepared to urge the United States to face up to its own human rights issues.

I. On Life, Property and Personal Security

The United States reports the world's highest incidence of violent crimes, and its people's lives, properties and personal security are not duly protected.

Every year, one out of every five people is a victim of a crime in the United States. No other nation on earth has a rate that is higher (10 Facts About Crime in the United States that Will Blow Your Mind, Beforitsnews.com). In 2009, an estimated 4.3 million violent crimes, 15.6 million property crimes and 133,000 personal thefts were committed against U.S. residents aged 12 or older, and the violent crime rate was 17.1 victimizations per 1,000 persons, according to a report published by the U.S. Department of Justice on October 13, 2010 (Criminal Victimization 2009, U.S. Department of Justice, http://www.ojp.usdoj.gov). The crime rate surged in many cities in the United States. St. Louis in Missouri reported more than 2,070 violent crimes per 100,000 residents, making it the nation's most dangerous city (The Associated Press, November 22, 2010). Detroit residents experienced more than 15,000 violent crimes each year, which means the city has 1,600 violent crimes per 100,000 residents. The United States' four big cities - Philadelphia, Chicago, Los Angeles and New York - reported increases in murders in 2010 from the previous year (USA Today, December 5, 2010). Twenty-five murder cases occurred in Los Angeles County in a week from March 29 to April 4, 2010; and in the first half of 2010, 373 people were killed in murders in Los Angeles County (www.lapdonline.org). As of November 11, New York City saw 464 homicide cases, up 16 percent from the 400 reported at the same time last year (The Washington Post, November 12, 2010).

>> Full Story

MR orders full inquiry

While denying reports that the Sri Lankan Navy had fired on Indian fishermen, President Mahinda Rajapaksa said that he instructed the Navy to carry out a detailed investigation into the incident, the Hindu reported today.

Talking over breakfast to foreign correspondents at his Temple Trees residence in Colombo this morning, he said that the Sri Lankan Navy was not involved in the incident.

Asked if Prime Minister Manmohan Singh had spoken to him about the incident, he said that the Prime Minister had not. Asked if the Sri Lankan government would take action in the event of the firing being committed by its security forces, he said that despite the preliminary investigation - which established that the Navy was not involved -- he had asked the Navy Commander to conduct a detailed investigation.

The Sri Lankan Navy’s chief of operations, said that the incident occurred well within the Indian waters. “The sea is very shallow in these areas and the position of all our ships’ locations are monitored by land-based and other equipment. This is in the open and anyone can check,” he told The Hindu, denying that the Sri Lankan Navy had anything to do with the incident.
>> Full Story

Nearly US$ 79 million earned from Duty Free Shops at KIA

By Lal Gunesekera

The Bonds Division of the Customs Department had a revenue collection of Rs. 7.3 billion in 2009. A sum of US$ 56,978,451 was earned from the duty free shops at the arrivals lounge of the Katunayake International Airport (KIA) and US$ 22,570,509 from the departure lounge with total revenue earned being US$ 78,548,960. The Bonds Investigation Unit (BIU) recovered a total of Rs. 54,534,000 last year.

The Investor Facilitation Centre (INFAC) earned revenue of Rs. 10,664,211,070 from Board of Investment (BOI) enterprises with duty recovered from cancellation of agreements being Rs. 12,766,307.

The Customs at the KIA had a revenue collection of Rs. 452,853,349 last year, while Rs. 84,316,750 was collected mostly from currency cases (Rs. 30,315,241) and gold jewellery cases which was Rs. 28,795,405.


Also during the year (2009), the Customs Narcotics Control Unit (NCU) made two noteworthy detections resulting in the seizure of 2kg 798 grams of heroin concealed in potatoes and continued to maintain its surveillance on all flights arriving from source countries and suspected airports. The NCU conducted joint operations with the Police Narcotics Bureau at KIA, Air Cargo, LCL Warehouses and Container yards.

Since 1984, the NCU has seized 385.723 kg of heroin with the largest seizure of 62.607 kg being in 1990. Among the other narcotics that have been seized since 1984 was hashish (88.904 kg), opium (95.98 kg), cannabis 2.45 kg), cocaine (9.018 kg) and hashish oil (0.0028) in 1994.

The Excise (Special Provisions) division collected Rs. 47,996.88 million during last year (2009) mainly from cigarettes (Rs. 37,670.16 million) and petroleum (Rs. 7,854.18) and also recovering Rs. 600,000 from 20 Court cases.
>> Full Story

A Steep Upsurge in Business for Commercial Banks

Commercial Banks in Sri Lanka have registered an upsurge in business in the recent months. In the month of October alone these banks have provided new loans amounting to Rs. 50 Billion, which registers a 20% increase over the same period last year.
Loans from foreign exchange banking units have increased by Rs. 5.2 billion to Rs. 156.3 billion.

However, loans to the government from the banking system, including the central bank, have fallen steeply by Rs. 36.6 billion to Rs. 565.5 billion as the government repaid credit following a billion dollar sovereign debt sale.

Credit from the Central Bank to government has also fallen by Rs. 15 billion to Rs. 85 billion.

Last year, loans to private business contracted as the government ran a deficit of around 10% of gross domestic product and banks bought risk free Treasury bills instead of lending to risky private business. Financial sources said that following a balance of payments crisis in 2008 and 2009, banks curtailed credit and were facing rising bad loans. Central bank data indicates that bad loans were now falling appreciably.

With many incentives and concessions given to the private sector in the new budget potential for banks to increase businesses, especially their lending portfolios have increased and business analysts comment that banks have every possibility of getting further strengthened in the future months.(niz).

>> Full Story

UN SG Panel – LLRC will adhere to Warrant

In the event of the government facilitating UN Secretary General's Panel to visit Sri Lanka, the Lessons Learnt and Reconciliation Commission (LLRC) will hear such representations on the basis of its Warrant and the usual procedures followed for such hearings, the LLRC said in a statement.

Following is the statement:

UN SG's Panel

There have been some inquiries from the national media regarding a visit to Sri Lanka by the UN Secretary General's Panel. Any decision to facilitate the UN SG's Panel to visit Sri Lanka lies entirely with the Government of Sri Lanka. If a decision is made to permit such a visit the Lessons Learnt and Reconciliation Commission (LLRC) will hear such representations on the basis of its Warrant and the usual procedures followed for such hearings
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Cargo Trends

Sri Lanka port handles record four million containers
Dec 21, 2010 (LBO) - Colombo port volumes hit a new record of four million containers Tuesday supported by strong growth in both transshipment and import-export cargo, the Sri Lanka Ports Authority (SLPA) said in a statement.

The number of twenty-foot equivalent units (TEUs) of containers handled by the port is up 20 percent so far this year from a year ago.
It is also up 11 percent compared with the total of 3.68 million TEUs done in 2008, the highest-ever performance by the port before recession hit global trade.

SLPA managing director Nihal Keppetipola said efficiency improvements and removal of security restrictions with the end of a war had helped increase cargo volumes and reinforce Colombo's status as south Asia's hub port.

The number of import-export containers handed by Colombo is up 25 percent this year compared with last year while transshipment cargo has increased by 18 percent, the SLPA said.

The state-run Jaya Container Terminal (JCT) handling its highest-ever monthly volume of 201,217 TEUs in August this year.

Keppetipola said a new computerised terminal operating system at the JCT costing 800 million rupees helped integrate all terminal operation and plan and optimize rapid movement of containers between the gate and the quay.

This reduced dwell times for containers and turnaround times for vessels, Keppetipola said.

A satellite-based communication system was also added to monitor container stacking

“Last year we reopened the northern entrance, which had been closed for ten years due to security reasons, to facilitate smoother maritime transportation and to increase productivity in the port,: he said.

"This move put an end to the navigation restrictions that have caused congestion at the port causing delays in cargo handling and turn-around times of vessels."


Sri Lanka's 30-year ethnic war ended in May 2009, resulting in the withdrawal of war risk insurance surcharges and accelerating economic growth.
The JCT has handled 2.1 million TEUs this year with the remaining 1.9 million TEUs handled by the privately-owned South Asia Gateway Terminals in which Sri Lankan conglomerate John Keells Holdings has a 42 percent stake.

Keppetipola said the combined effort of the state-run and privately-owned terminals was critical to Sri Lanka's drive to become a major centre of shipping, trade and logistics in the region.

He said it was "an ideal test case of public-private partnership arrangements in the port management area."
>> Full Story

Battle against LTTE elements abroad will continue – President

'We have already commenced the battle against them in the international sphere and are committed to continue it'. President Rajapaksa said so at the ceremonial passing out parade of Cadet officers at the Sri Lanka Military Academy (SLMA) in Diyatalawa
today (21 Dec).

We are now at a significant phase in the humanitarian operation. Our endeavour is to win hearts and minds after freeing the people and lands from terrorism. The humanitarian operation includes de-mining, resettlement and providing basic requirements among other tasks. All development programmes carried out in the North and East are part of the humanitarian operation, the President stated.

He stressed that this humanitarian operation will not stop until the painful memories of terrorism and all thoughts of separatism are
removed from people's hearts.

'You pass out today to contribute to this noble humanitarian operation', the President told the Cadet officers.

A person does not excel through talent and knowledge alone. Instead, the most important element is the love for one's country, he pointed out.
'The government not only lined up the security forces for the humanitarian operation but also organized the people against terrorism.

The government received tremendous support from the people in eliminating terrorism', he said.
'The highest tribute to these people is to ensure that terrorism does not raise its ugly head', he emphasized.>> Full Story

Onion Pickle

By Jayantha Kovilagodage
Sri Lanka onion prices to rise after Indian export ban
Dec 21, 2010 (LBO) - Prices of onions and leeks in Sri Lanka could rise after India's decision to suspend exports of onions, a trade official said.

Pettah Wholesale Traders' Association vice chairman Nihal Seneviratne said 90 percent of Sri Lanka's onion requirement is imported from India and imports from other origins would be more costly.
India on Monday suspended exports of onions, a key food staple, after prices of the vegetable soared, adding to the government's inflation woes.

Sri Lanka might be forced to import from sources like Pakistan, China, Egypt and the Netherlands, Seneviratne told Vimasuma.com, our sister news website. "Pakistani onions are not as good as Indian onions and they spoil quickly," he said.

"To ship onions from China takes about a month and requires use of a refrigerated container. Therefore, onion imports from these countries will invariably be more expensive than from India."

Even if the government reduces a 10-rupee a kilo import tax on onions retail prices cannot be reduced under present conditions, Seneviratne said.

Stocks of onions in the Pettah wholesale market were running low and Indian exporters had even taken back cargoes of onion already loaded on ships, he said.

Prices of onions grown in Sri Lanka's northern Jaffna peninsula as well as leeks are likely to rise.

Sri Lanka imports 4,000-5,000 tonnes of onions a week from India which supplies about 60 percent of the world requirements of onions.>> Full Story

Dawood aide probed for LTTE links

Mirza Mohiddin Baig was arrested in Colombo last year
Mumbai's Anti Terrorism Squad is questioning a key member of Dawood Ibrahim gang for alleged links with the banned outfit Liberation Tigers of Tamil Eelam (LTTE) to supply arms for terror activities in India.

ATS has sought a fresh remand for D-Company top lieutenant Mirza Mohiddin Baig, currently under Crime Branch's custody, to question him in connection with terror links in the country.

Additional Director General of Police, Rakesh Maria, has confirmed to MiD DAY that Baig is being interrogated for terror links in India. He refused to give further details.

Baig, who was on the Interpol's wanted list, had been arrested in Colombo on May 8, 2009, after a long stint in Sri Lanka, and deported to India. The police had recovered three pistols and 18 live rounds from him.

Since then, the gangster had been in judicial custody until last week when the Crime Branch took over, after his name cropped up again after intelligence reports indicate that D-Company is procuring arms and ammunition from the remaining members of LTTE for operations in the country.

Investigations by ATS and the Crime Branch provide evidence that D-gang members have allied with the Pakistani Lashkar-e-Taiba for spreading terror in the country. Reports indicate that under the 'Karachi Project', terrorist organisations have been using Dawood's network in India for logistic support.

A few hundred of the LTTE core cadre have gone underground with huge quantities of arms and deadly explosive RDX after the Sri Lankan army stormed their bastion killing their leader V Prabhakaran last year.

Baig was arrested soon after the operations.

Sources informed that Pakistani Inter-Service Intelligence operatives have covertly trained and armed members of LTTE to carry out attacks in India. Even more so after the Indian Peace Keeping Force was deployed in the Island since late 1980s.

Reports indicate that LTTE have also been selling sophisticated arms and explosives to the Maoist factions across the country.

Baig's questioning assumes significance in light of reports that LTTE is planning to target the country's Prime Minister and Home Minister.

Police sources said that Baig could also be questioned for the alleged involvement of D-Company, directly or indirectly, in the Varanasi bomb blast earlier this month.

Backgrounder

Baig climbed up the mafia ranks after he was running illegal ISD facilities. Dawood's second-in-command, Chhota Shakeel, soon made him the nodal person in Mumbai.
The gangster from Kortula in Karim Nagar district in Andhra Pradesh was assigned the task to deliver arms to D-Company shooters in Mumbai, before he was arrested by the Crime Branch's Criminal Intelligence Unit.

An AK-47 rifle and four imported revolvers were recovered from Baig during the raid on his hideout in 2000.

The gangster had then confessed of having links with gun suppliers in Bangkok, Nepal, Pakistan and Sri Lanka, a former Crime Branch officer said. Baig soon jumped bail and escaped to Dubai and later surfaced in Colombo.

Rashid Malbari, another ace shooter in Dawood's gang, was carrying out underworld operations from Sri Lanka.
>> Full Story

Sri Lanka extend support to legal affairs in Fiji island

(SLBC) Sri Lanka is to provide support to enhance legal section in Fiji Island. Visiting Fijian Chief Justice Anthony Harold met President Mahinda Rajapaksa at the Temple Trees this morning. At the discussion he pointed out that many Sri Lankan legal experts are engaged in state and private legal activities in the Fiji Island. President Mahinda Rajapaksa stressed that service of the Sri Lankan legal experts should be obtained in more efficient manner and pledged necessary support and advice to streamline legal activities in the Fiji island.
>> Full Story

World Bank MD calls on President: Acknowledges Lanka's improved economy

Surpassing the USD 2000 per capita income, Sri Lanka is no longer an underdeveloped country and as a result not qualified for International Development Association (IDA) loans that provide interest free financial assistance to underdeveloped countries, Dr. Ngozi Okonjo-Iweala, Managing Director of the World Bank Group stated.

She made this statement when she called on President Mahinda Rajapaksa at Temple Trees today (17).

Instead, the World Bank will consider providing a commercial loan of USD 265 million from International Bank for Reconstruction and Development, she said.

International Bank for Reconstruction and Development (IBRD), an arm of the World Bank aims to reduce poverty in middle-income and creditworthy countries by promoting sustainable development through loans, guarantees, risk management products, and analytical and advisory services.

'The World Bank has been an active partner in supporting Sri Lanka in its transition from a low income country in conflict to a middle income country in peace', said Dr. Okonjo-Iweala.

The post-conflict environment provides an opportunity to build on our relationship to support the government's vision to firmly establish the country's place in the ranks of fast growing middle income countries, she said.

In addition to funding, she said the World Bank is willing to share knowledge and expertise with Sri Lanka regarding urban development.

Foreign Direct Investment is vital for any middle income country to achieve its economic targets, she added.

She also emphasized the importance of seeking alternative energy sources as the world is on the brink of an energy crisis.
Deputy Minister of External Affairs Geethanjana Gunawardena, Secretary to the President Lalith Weeratunga and Governor of the Central Bank Ajith Novard Cabrall were also present at the dicussion.

'Dr. Ngozi Okonjo-Iweala's trip coincides with a new era of development in Sri Lanka as it embarks on an ambitious new course towards a middle income country in lasting peace,' a World Bank said in a recent statement.

Dr. Okonjo-Iweala, a national of Nigeria, was formerly the Minister of Foreign Affairs as well as the first female Minister of Finance and Economy for Nigeria.

>> Full Story

Sri Lanka ready to assist India in combating LTTE

(Colombo Lankapuvath) Sri Lanka is to consider assisting India in combating the threat posed by LTTE elements said Minister of Media Keheliya Rambukwella.

Answering a query of a journalist at the Cabinet media briefing held in Colombo a short while ago (16), he said that Sri Lanka will consider on the issue if such a request is made and the country will share all its experiences in combating terrorism.

India is the neigbhouring country of Sri Lanka who has had strong ties for centuries mentioned the Minister.

The Minister mentioned this commenting on the very recent reports on LTTE attempts to take the lives of Indian Prime Minister Manmohan Singh and TamilNadu Chief Minister M Karunanidi. These details were revealed by the intelligence units of the country.

>> Full Story

Healthcare delivery: Lanka on top

Sri Lanka has once again emerged as the most successful country in South Asia in healthcare delivery, recording low indicators in Maternal Mortality and a high rate of Life Expectancy , ‘The State of World Population 2010’ (Report) issued by the United Nations Population Fund (UNFPA) said today.

According to the Report all other countries in South Asia, India, Pakistan, Bangladesh, Nepal, Bhutan and Maldives lag much behind Sri Lanka in respect of these important health and social indicators.

The Infant Mortality Rate per thousand births in India in 2010 was 52, Pakistan 61, Bhutan 41, Nepal 38 and Maldives 20 while Sri Lanka had only15 deaths which was highly satisfactory.

The Maternal Mortality rate per 100,000 births stood at a high 830 in Nepal while in India it was 450, Bangladesh 570, Pakistan 320, Maldives 120 with Sri Lanka only 58 mother deaths.

The life expectancy in India respectively for male and female was 62 / 66 years, Bangladesh 68 years for both, Pakistan 66 / 67, Nepal 66 / 68, Maldives 70 / 74 and Sri Lanka was 71 and 74 years.

The country with most dismal indicators in the world, Afghanistan records 152 infant deaths per 1,000 births and 1,800 maternal deaths per 100,000. The life expectancy in Afghanistan is only 44 for both sexes.

Some of the best countries to live in, Sweden, Australia and Switzerland, the Infant Mortality rate, Maternal Morality rate and Life Expectancy stood respective at 3, 3 and 79 / 83, 4, 4 and 79 / 84 and 4, 5, and 79 / 84.

Mrs. Lene K. Christiansen, UNFPA country director Sri Lanka, addressing the gathering at the ceremony held to mark the release of the Report said the Report makes the case for replacing the vicious cycle of crisis and underdevelopment with virtuous cycle of peace and stability.

“It is time to tear down the false barriers between crisis, recovery and development. Investing in the development soften the impact of crisis and natural disaster and whatever is invested during humanitarian response can become a solid foundation for development and rebuilding a society,” Mrs. Cristiansen stressed. Mr. Reza Hassaini and Mrs. Sunila Abesekara also addressed the ceremony. (Sandun A. Jayasekera)
>> Full Story

TOURISM ARRIVAL FIGURE PASSES 600,000 MARK

December 14, 2010: A landmark in the island's tourism will be recorded today with the arrival of a group from London that will see tourist arrivals to Sri Lanka surpassing the 600,000 mark.

“This is a very significant event for tourism in Sri Lanka,” said Lakshman Yapa Abeywardena, Deputy Minister of Economic Development, speaking to Newsfirst.

“By end November last year, only 447,890 had arrived as tourists, but this year, it rose to 569,849. Going by the month of November, the increase in arrivals was 63 per cent, and today, with the arrival of the flight from London around 4pm, the arrival figure for this year will surpass the 600,000 mark,” said Minister Yapa.

He observed that in the month of November alone, 71,151 tourists had arrived in Sri Lanka and the percentages of the increase by regions were: Europe – 50.5; Middle East - 60; India – 51 and North America – 19.5.

>> Full Story

Thai Hotel Chains eye Sri Lanka’s tourist industry

The rapidly growing Sri Lankan tourist industry has become a focal point for foreign hoteliers to invest in Sri Lanka. Thailand’s two main hotel chains are the new prospective investors to invest in the Sri Lankan hotel industry.

These Thai hotel chains include Minor International, popularly known as MINT and Centara Hotels and Resorts.

MINT is to invest Thai Bhat 10 billion to open 42 hotels and food outlets in domestic and internationals including Sri Lanka, while Centara Hotels and Resorts, plan to form a joint venture with one of the biggest European tour and airline operators in a strategic move to expand the group's mid-range hotels in Asia.

Other countries that include in MINT chain, Anantara Sanya Resort and Spa’s expansions plan are China, India and U.A.E.

The Centara Hotels and Resort’s expansion plan, other than Sri Lanka, include establishments of hotels and resorts in Maldives, Egypt, India, the Philippines Vietnam., Bahrain, Malaysia and Indonesia. (niz).

>> Full Story

Partnership Model

Sri Lanka said keen on public-private partnerships
Dec 13, 2010 (LBO) - Sri Lanka is keen on partnerships between the public and private sectors in developing its economy, the International Finance Corporation, which is supporting the initiative, said in a statement.

“Sri Lanka is actively considering options to increase private participation in development," it quoted Sarath Amunugama, Sri Lanka’s Senior Minister of International Monetary Cooperation as telling a forum.
"A sustainable public-private partnership model is an important part of our framework for economic growth and infrastructure development.”

The IFC, a member of the World Bank Group, said it is working with policymakers and private sector players to help meet Sri Lanka’s ongoing development agenda through public-private partnerships.

The forum held in Sri Lanka Monday was part of a series of IFC-led events in South Asia to identify and address concerns and challenges related to public-private partnerships among stakeholders, it said.

The event brought together specialists and expert speakers from around the world and was attended by officials of ministries and public sector departments of health, transportation, and municipal infrastructure and other multilateral partners.

"Improving quality of services in Sri Lanka, gaining efficiencies, and boosting economic growth through private participation in social and physical infrastructure were part of the discussions," the IFC said.

“Long lasting public-private arrangements receive public ownership while generating interest among local private sector players and other development partners with shared goals,” said Vipul Bhagat, Manager of IFC Advisory Services for Public-Private Partnerships in South Asia.

The Sri Lankan government is committed to facilitating the transition necessary to boost the country’s economic growth and build on development fundamentals, the IFC statement said.

"Public-private partnership activity can make an important contribution to help address the country’s immediate infrastructure needs and garner needed funding for the purpose."
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Investment Option

Sri Lanka new gilt-edged fund eyes small investors

Nov 30, 2010 (LBO) - Ceybank Asset Management (CAM), Sri Lanka's largest unit trust fund manager, has launched an open ended gilt-edged fund aiming to attract small investors especially in rural areas, officials said.

The 'Ceybank Surakum' fund will invest in government Treasury bills and bonds and other government-backed securities but not in equities and aim to give a return higher than interest rates on bank deposits which have been falling.
Chitra Sathkumara, chief executive of CAM, said their initial target is to raise at least two billion rupees

"This will give small investors a better choice," he told a news conference.

"In Sri Lanka most people invest a part of their money in savings accounts and fixed deposits but interest rates on savings accounts are falling while the cost of living is increasing, and people get poorer."

This had prompted some investors to search for high interest yielding but risky products and lose money in financial scams, he said.

"Many investors lost their life saving trying to get super returns. The Surakum fund aims to earn returns above savings accounts while ensuring safety. We aim to bridge the gap between savers and investors through this fund."

The minimum investment in the fund is 10,000 rupees and each unit 10 rupees.

The Ceybank Surakum fund will pay two dividends a year in January and July, with the first dividend being paid in July 2011.

Dividends from investments are tax free, the investments can be encashed at the prevailing market price and investors can switching their money among other funds managed by CAM.

The fund will be marketed with the help of the branch network of the state-owned Bank of Ceylon, which has a 43.4 percent stake in CAM.

Other shareholders are state-owned Sri Lanka Insurance, Carson Cumberbatch & Co. and Unit Trust of India, said K Hewage, chairman of Ceybank Asset Management.

Proposals in the government's 2011 budget announced last week exempting unit trusts from certain taxes and relaxing foreign exchange controls to allow foreigners to invest in the funds will help promote the industry, he said.
The budget also made income earned by unit trusts from listed stocks and bonds free from income tax.

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