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Only $200 mn. in LCs have been opened for vehicle imports – CBSL Governor

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Governor of the Central Bank of Sri Lanka (CBSL) – Dr. Nandalal Weerasinghe has said that only around USD 200 million worth of Letters of Credit (LCs) have been opened so far for vehicle imports.

Speaking at the CBSL’s Monetary Policy briefing yesterday (March 26), the Governor announced the decisions of the Monetary Policy Board of the Central Bank of Sri Lanka (CBSL) made at the board’s meeting held March 25th for the second monetary policy review.

The Governor further said this year’s economic growth will depend on policies implemented within the year, mainly fiscal and structural policies.

He further mentioned that the Central Bank had anticipated managing around USD 1 billion for vehicle imports this year without difficulty.

However, as there are still about nine months remaining in the year, he stated that this amount is expected to be spent over that period.

Dr. Weerasinghe, who further clarified that the negative inflation is temporary, noted that it is mainly due to repeated reductions in electricity tariffs.

Deflationary conditions are expected to gradually ease in the third quarter of this year, moving toward the targeted level, he added.  

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DHL suspends high value US deliveries over tariffs

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DHL Express is suspending deliveries to the US worth more than $800 (£603) because of a “significant increase” in red tape at customs following the introduction of Donald Trump’s new tariff regime.

The delivery giant said it will temporarily stop shipments from companies in all countries to American consumers on Monday “until further notice”.

It added that business-to-business shipments will still go ahead, “though they may also face delays”.

Previously, packages worth up to $2,500 could enter the US with minimal paperwork but due to tighter customs checks that came into force alongside Trump’s tariffs earlier this month, the threshold has been lowered.

DHL said that the change “has caused a surge in formal customs clearances, which we are handling around the clock”.

It said that while it is working to “scale up and manage this increase, shipments worth over $800, regardless of origin, may experience multi-day delays”.

The company said it will still deliver packages worth less than $800, which can be sent to the US with minimal checks.

But the White House is set to clamp down on deliveries under $800 – specifically those sent from China and Hong Kong – on 2 May when it closes a loophole allowing low-value packages to enter the US without incurring any duties.

The removal of the so-called “de minimis” rule will impact the likes of the fast-fashion firm Shein and Temu, the low-cost retail giant.

Shein and Temu have both warned that they will increase prices “due to recent changes in global trade rules and tariffs”.

The Trump administration has claimed that “many shippers” in China “hide illicit substances and conceal the true contents of shipments sent to the US through deceptive shipping practices”.

Under an excutive order, the White House said the measures were aimed at “addressing the synthetic opioid supply chain” which it said “play a significant role in the synthetic opioid crisis in the US”.

Beijing has said that the opioid fentanyl is a “US problem” and China has the strictest drug policies in the world.

Last week, Hongkong Post said it was suspending packages sent to the US by sea and, from 27 April, would stop accepting parcels destined for America.

It said: “The US is unreasonable, bullying and imposing tariffs abusively.”

(BBC News)

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SriLankan retired cabin crew recalled amid ‘work to rule’ campaign

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According to reports, the SriLankan Airlines’ management has decided to immediately call up retired cabin crew members to service, following the ‘work to rule’ campaign launched by the Cabin Crew Members Association.

The SriLankan Airlines Cabin Crew Members Association launched a ‘work to rule’ campaign in April, citing several demands, including the reallocation of their onboard meal allowance.

In this backdrop, the national carrier is said to be operating with a reduced number of cabin crew which was further affected by the recent retirement of a significant number of experienced senior staff.

The staff were retired stating that individuals over the age of 60 would no longer be retained.

Efforts to extend the retirement age had been unsuccessful. 

Even though they had directed a formal request to President Anura Kumara Dissanayake on Dec. 12, 2024, no response was received, reports add.

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Google has illegal advertising monopoly, judge rules

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A US judge has ruled tech giant Google has a monopoly in online advertising technology.

The US Department of Justice, along with 17 US states, sued Google, arguing the tech giant was illegally dominating the technology which determines which adverts should be placed online and where.

This is the second antitrust case Google has lost in a year, after it was ruled the company also had a monopoly on online search.

Google said it would appeal against the decision.

“Publishers have many options and they choose Google because our ad tech tools are simple, affordable and effective,” the firm’s head of regulatory affairs Lee-Ann Mulholland said.

US district judge Leonie Brinkema said in the ruling Google had “wilfully engaged in a series of anticompetitive acts” which enabled it to “acquire and maintain monopoly power” in the market.

“This exclusionary conduct substantially harmed Google’s publisher customers, the competitive process, and, ultimately, consumers of information on the open web,” she said.

Google lost on two counts, while a third was dismissed.

“We won half of this case and we will appeal the other half,” Ms Mulholland said.

“The court found that our advertiser tools and our acquisitions, such as DoubleClick, don’t harm competition.”

The ruling is a significant win for US antitrust enforcers, according to Laura Phillips-Sawyer, a professor at the University of Georgia School of Law.

“It signals that not only are agencies willing to prosecute but also that judges are willing to enforce the law against big tech firms,” she said.

She said the verdict sets an important legal precedent and is likely to affect decision-making in corporate America.

Google’s lawyers had argued the case focused too much on its past activities, and prosecutors ignored other large ad tech providers such as Amazon.

“Google has repeatedly used its market power to self-preference its own products, stifling innovation and depriving premium publishers worldwide of critical revenue needed to sustain high-quality journalism and entertainment,” said Jason Kint, head of Digital Content Next, a trade association representing online publishers.

(BBC News)

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