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India, Sri Lanka to sign historic defence pact during Modi’s visit

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For the first time, India and Sri Lanka are set to sign an ambitious defence cooperation pact during Prime Minister Narendra Modi’s visit to Colombo next week, in a significant move that comes nearly four decades after the IPKF’s intervention in the island nation.

The two sides are also likely to firm up a currency swap framework and seal several other agreements including one on debt restructuring following talks between Modi and Sri Lankan President Anura Kumara Disanayaka on April 5, people familiar with the matter said.

An arrangement to develop the Trincomalee oil firms jointly by India, Sri Lanka and the United Arab Emirates is also being finalised, they said. In the second and final leg of his two-nation tour, Modi will arrive in Sri Lanka on the evening of April 4 on a three-day trip after concluding his visit to Thailand.

At a media briefing Friday, Foreign Secretary Vikram Misri said an MoU (Memorandum of Understanding) on defence cooperation is expected to be inked and it is being signed for the first time.

If signed, the MoU on defence cooperation is set to signal a major upward trajectory in India-Sri Lanka defence leaving behind the bitter chapter relating to India pulling out the Indian Peace Keeping Force (IPKF) from the island nation around 35 years ago.

Finer details of the proposed defence pact are not immediately available but it is expected to enhance the two-way defence engagements against the backdrop of China’s increasing presence in the Indian Ocean Region.

The docking of Chinese missile and satellite tracking ship ‘Yuan Wang’ at Hambantota port in August 2022 had triggered a diplomatic row between India and Sri Lanka. Another Chinese warship docked at the Colombo port in August 2023.

“Sri Lanka is an integral part of our ‘Neighbourhood First’ policy and the relationship, based on mutual trust and good will, has stood the test of time,” Misri said on the overall relations.

Modi’s visit will focus on promoting investments and deepening connectivity — physical connectivity, digital connectivity, energy connectivity and boost cooperation in various other domains, he said. Modi will be the first foreign leader to be hosted by Disanayaka in his capacity as the Sri Lankan president. Modi last travelled to Sri Lanka in 2019.

The prime minister’s trip to Sri Lanka comes over three months after Disanayaka visited India during which he categorically conveyed to Modi that the island nation will not allow its territory to be used against New Delhi’s security interests.

“India has come to the assistance of Sri Lanka at critical moments, most recently during the unprecedented economic crisis that it faced in 2022,” Misri said. “India was glad to be able to play a key role in economic stabilisation and recovery of Sri lanka, demonstrating its commitment as a dependable neighbour to Sri Lanka,” he said.

Misri said Modi’s visit to the island nation comes in the context of a recovering Sri Lankan economy. As Sri Lanka resumes its “growth path”, the visit is coming at an opportune moment for giving the two countries an opportunity to explore new areas of partnership and cooperation, he added.

Sri Lanka was reeling under a massive economic crisis two years back and India extended financial assistance worth USD 4.5 billion to the country. The foreign secretary said Modi is expected to raise the fishermen issue during his talks with Disanayaka.

This is a longstanding issue, Misri said, adding India has been highlighting the need to avoid use of force under all circumstances.The foreign secretary said a long-lasting solution can be found through constructive engagement. In Colombo, Modi and Disanayaka will dedicate several projects that are being built in that country with India’s assistance.

We will also witness exchange of several MoUs pertaining to energy connectivity, digitisation, health and multi-sectoral grant assistance, Misri said. The two leaders will also witness the virtual ground breaking of the Sampur solar energy project.

This is in many senses going to be a milestone in the bilateral partnership, Misri said. Modi is also scheduled to meet several political leaders. On April 6, Modi and Disanayaka will travel together to the historic city of Anuradhapura where they will pay their respects at the Mahabodhi temple.

They will also jointly inaugurate two India-assisted projects there, according to Misri. India-Sri Lanka bilateral ties witnessed upward trajectory in the last few years.

Source: PTI

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Fuel prices upped

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The Ceylon Petroleum Corporation (CPC) has announced a revision of fuel prices, effective from midnight today (June 30).

The price of Petrol 92 Octane has been increased by Rs. 12 to Rs. 305 per litre, while the price of Kerosene has been increased by Rs. 07 to Rs. 185 per litre. The price of Auto Diesel has also been increased by Rs. 15, bringing it to Rs. 289 per litre.

However, the prices of Petrol 95 Octane and Super Diesel remain unchanged, according to Ceypetco.

The new fuel prices are as follows:

• Petrol Octane 92 – Rs. 305 (increased by Rs. 12)
• Auto Diesel – Rs. 289 (increased by Rs. 15)
• Kerosene – Rs. 185 (increased by Rs. 7)
• Petrol Octane 95 – Rs. 341 (not revised)
• Super Diesel – Rs. 325 (not revised)

Meanwhile, Lanka IOC has also revised retail fuel prices to match Ceypetco prices.

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Ex-minister Gamini Lokuge passes away

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Former Minister and veteran politician Gamini Lokuge has passed away today (June 30) at the age of 82.

Commencing his political career in 1960 as a member of the United National Party, his first successful national-level campaign came in 1983, when he was elected by a clear majority to represent the Kesbewa District.

He served as Minister of Tourism during the UNP-led governments in 1989 and 2002. In 2006, following personal disagreements with then UNP leader Ranil Wickremesinghe, he crossed over to the government of former President Mahinda Rajapaksa.

In January 2007, Lokuge was appointed Minister of Sports and Public Recreation. He was re-elected to Parliament in both 2010 and 2015.

On 27 November 2019, he was appointed State Minister for Urban Development, and on 12 August 2020, he assumed duties as the Cabinet Minister of Transport.

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“Sri Lanka, only Asian country currently holding talks to revise Trumps’ tariffs”

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Sri Lanka is the only country in the Asia region currently holding discussions with officials in the United States to revise the tariffs introduced by US President Donald Trump earlier this year, according to Minister of Labour and Deputy Minister of Economic Development Prof. Anil Jayantha Fernando.

Joining the Parliamentary debate today (30), where MPs are debating the fiscal strategy statement of the government, the Deputy Minister of Economic Development stated that they are hopeful the government will be able get a better deal from the US regarding the 44% tariff imposed earlier this year.

A Sri Lankan delegation last month held discussions in Washington, D.C., focusing on tariff-related matters, following an invitation extended by the Office of the United States Trade Representative (USTR).

The reciprocal tariffs imposed by United States President Donald Trump has been paused for 90 days at present.

Deputy Minister of Economic Development Prof. Anil Jayantha Fernando in Parliament stated that the government will take all steps within their powers to reduce the tariffs imposed by the US which will have a major bearing on many local industries.

The Deputy Minister while the government is taking such important steps to safeguard local companies, the opposition is only focused on jeopardizing the work of the present administration

(adaderana.lk)

(Except for the headline, this story, originally published by adaderana.lk has not been edited by SLM staff)

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