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IMF loan depends on decisions of India & China?

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It is reported that the International Monetary Fund (IMF) has already informed Sri Lanka that it cannot release the $2.9 billion loan to Sri Lanka without restructuring previous debt with China and India, two of Sri Lanka’s main creditors.

In the meantime, it is reported that China and India have called to sign two Free Trade Agreements (FTAs) with Sri Lanka before restructuring the debts.

Sources say that during an initial exchange of views with China, Sri Lanka has been informed that a FTA should be signed before restructuring the debt. Noting that a similar agreement has been signed with India in 1998, China is of the opinion that an equal opportunity is only fair.

Meanwhile, sources add that India has also informed Sri Lanka that the Economic and Technology Cooperation Agreement (ETCA) agreement, which would ensure Indian investments and service supply ventures being exempted from taxes, should be finalized before the debt restructuring talks.

It is learnt that neither China or India will participate in debt restructuring talks until these two pacts are finalized, which will in return, lead to a delay in the IMF loans.

Fabrication

Upon contacting the Chinese embassy in this regard, an embassy spokesman rejected the report as “a mere fabrication.”

Speaking to ‘Sri Lanka Mirror’, he said that “the ministries of Finance from China and Sri Lanka as well as the relevant financial institutes have been maintaining good communication.”

“Very recently, President Ranil Wickremesinghe, in his capacity as Financial Minister, had a virtual meeting with Chinese Minister of Finance Liu Kun. According to the PMD, the President had expressed his appreciation towards China and was optimistic on the process,” he further said.

Mutually beneficial

Meanwhile, informed official sources stated to ‘Sri Lanka Mirror’ that the ETCA, which paves way for stronger economic partnership between India and Sri Lanka, has been a matter under discussion between the two countries for several years now. 11 rounds of negotiations took place between the two countries till 2018 and clearly ETCA is not something that really popped up just now.

“The existing FTA benefits  60% – 65% of Sri Lanka’s exporters to India as opposed to around 5% of India’s exporters to Sri Lanka. But just as the country’s economies are different and asymmetrical, some asymmetries may exist and this was already factored in when the FTA was signed. Similarly for ETCA, the two sides could sit together and work out the finer details for ensuring a mutually beneficial agreement,” the source added.

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First capacity-building program under NCGG – SLIDA MoU concludes successfully

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A Memorandum of Understanding (MoU) between the National Centre for Good Governance of India (NCGG) and Sri Lanka Institute of Development Administration (SLIDA) was signed during the State Visit of President of Sri Lanka, H.E. Anura Kumara Disanayaka to India in December 2024 for training and capacity building of 1500 Sri Lankan civil service officers over a period of five years.

The first program under the MoU was successfully held at NCGG from 21 April to 02 May 2025, and was attended by 41 officers. Based on the request of the Government of Sri Lanka, the theme of the program was ‘digitization in governance’. The program featured a series of sessions focused on key areas such as digital service delivery, digital public infrastructure, financial inclusion through digital payments, and innovations in public grievance redressal systems. Senior officials and domain experts delivered presentations on flagship Indian initiatives in the digital domain, including Ayushman Bharat Digital Mission, e-Office, GeM, Aadhaar, PM Gati Shakti, among others.

At an interaction session with participants in the inaugural program organized on 08 May 2025 at SLIDA, the High Commissioner of India to Sri Lanka, H.E. Santosh Jha underscored that capacity building is an important pillar of the development cooperation between the two countries, with Sri Lanka being among the largest recipients of scholarships and capacity building initiatives offered by India. He highlighted that, demonstrating India’s continued commitment to enhancing capacity-building opportunities for Sri Lankans, Prime Minister of India had announced additional training avenues to 700 Sri Lankan citizens annually during his recent State visit. In that context, the High Commissioner said that the participants in the first NCGG-SLIDA programme also represented the first set of Sri Lankan nationals to receive training as part of the significantly enhanced capacity-building endeavour of India that will now benefit 1000 Sri Lankans annually.

The interaction session was also attended by Secretary, Ministry of Public Administration, Provincial Councils and Local Government, Mr S. Aloka Bandara; Director General of SLIDA, Mr A.V. Janadara; senior officials and faculty members of SLIDA; among others.

In view of the highly positive feedback from the participants in the inaugural NCGG-SLIDA program, based on request from SLIDA, a second program on the same theme under the MoU is now being planned for another batch of around 40 officers for early June 2025.

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Bell 212 helicopter crash : Death toll rises to 06 (Update)

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Another Special Forces (SF) soldier who was onboard the SLAF Bell 212 helicopter that crashed into the Maduru Oya Reservoir this morning (May 09) has succumbed to his injuries while receiving treatment at the hospital.

This brings the death toll from the fatal accident to six.

Six other armed forces personnel, who sustained injuries in the incident, are currently receiving treatment at the hospital.


(Previous news 2025 May 09 – 11.31.a.m.)

5 dead in Bell 212 crash

Five military personnel have been confirmed dead in the crash of a Sri Lanka Air Force (SLAF) Bell 212 helicopter into the Maduru Oya Reservoir earlier this morning (May 09.
According to the SLAF Spokesperson Group Captain Eranda Geeganage, the deceased include three members of the Sri Lanka Army’s Special Forces and two Air Force personnel.

The aircraft was carrying a total of 12 individuals, including six Army Special Forces members, two Air Force Regiment Special Forces personnel, two other Air Force members, and two pilots.

(Video : Accident 1st)

මාදුරුඔය පීරා බෙල් 212 සොයන මෙහෙයුම… #Accident1st #bell212 #Helicopter #crashe #MaduruOya

Posted by Accident 1st on Thursday, May 8, 2025

(Previous news 2025 May 09 – 9.57.a.m.)

SLAF helicopter crashes into Maduru Oya during training session

A Bell 212 helicopter belonging to the Sri Lanka Air Force (SLAF) has reportedly crashed today (May 09) into the Maduru Oya Reservoir.

The incident occurred during a training exercise held as part of the Sri Lanka Army Special Forces passing-out ceremony in Maduru Oya.

The aircraft was carrying ten Special Forces soldiers and two pilots at the time of the incident.

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LG Polls: EC sets deadline to submit campaign finance reports

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The Election Commission has instructed all candidates who contested the 2925 Local Government (LG) Elections to submit their campaign income and expenditure reports on or before May 28.

A statement by the Commission emphasized that candidates are required to prepare and submit their financial disclosures in line with the provisions of the Election Expenditure Regulation Act No. 03 of 2023. These reports must be handed over to the Returning Officers of the respective electoral districts.

Election Commissioner General Saman Sri Ratnayake stated that this process is part of the Commission’s efforts to ensure transparency and accountability in the electoral process.

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