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India suspends new loan projects in Sri Lanka

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It is reported that India has suspended fresh loan or Line of Credit (LoC) projects in Sri Lanka due to the current economic situation. 

Instead, Daily Mirror has reported that India will shift attention further on projects based on grant projects and investments similar to connectivity projects.

Main among such loan projects currently in progress is the design, installation, testing and commissioning of a signalling system for Sri Lankan Railways, spanning from Maho to Anuradhapura. The line of credit is US $ 14.90 million.

Such ongoing projects will not be affected by the new decision. Sri Lanka recently concluded its bilateral debt restructuring with India and other countries. India is one of the three main bilateral creditors to Sri Lanka.

India has also converted the development of the Kankesanthurai port to a grant project. India previously announced over US $ 60 million loan for it. Now it has been converted to a grant instead.

Earlier, Japan also announced that it will resume 11 projects stalled due to the economic crisis but will not approve any fresh yen loan until the situation improves in the country satisfactorily.

The Japanese projects to be resumed are Kandy City Wastewater Management Project, Bandaranaike International Airport Development Project (Phase 2), Habarana-Veyangoda Transmission Line Construction Project, Anuradhapura North Water Supply Project (Phase 1), New Bridge Construction Project over the Kelani River (Construction completed, only the payment to be done), Digitalization of Terrestrial Television Broadcasting Project, National Transmission and Distribution Network Development and Efficiency Improvement Project, Anuradhapura North Water Supply Project (Phase 2), Rural Infrastructure Development Project, Kalu Ganga Water Supply Expansion Project (I) and Health and Medical Service Improvement Project.

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

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Kandy-Peradeniya train service restored

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The section of railway between Kandy and Peradeniya affected by ground subsidence has been repaired and services restored, the Railway Department announced.

The Podi Menike train from Colombo Fort to Badulla was operated at 5.55 a.m. today (June 12) to assess safety, successfully passing the repaired section around 9 a.m. and reaching Kandy without issue.

However, the authorities stated that trains will continue to run at reduced speeds in the affected area.

This subsidence was attributed to recent heavy rainfall in Kandy.

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Heavy rains expected in several areas today

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The Department of Meteorology says that showers or thundershowers will occur at times in Western, Sabaragamuwa, Central, Southern and North-western provinces.

Heavy rains above 100 mm are likely at some places in the Western and Sabaragamuwa provinces and in Nuwara-Eliya, Kandy, Galle and Matara districts.

Several spells of showers may occur in the Northern Province and in Anuradhapura district.

Strong winds of about 50-60 kmph can be expected at times over Western slopes of the central hills and in Northern, North-central, Western, Sabaragamuwa, North-western and Southern provinces and in Trincomalee district.

The general public is kindly requested to take adequate precautions to minimize damages caused by temporary localized strong winds and lightning during thundershowers.

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President meets German FM

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As part of the official visit to the Federal Republic of Germany, President Anura Kumara Disanayake met with German Foreign Minister Dr. Johann Wadephul yesterday evening (June 11) at the Waldorf Astoria Hotel in Berlin.

The discussion focused on identifying new avenues for expanding bilateral cooperation, particularly in the areas of trade, the digital economy, investment and vocational training, in line with the priorities of the Sri Lankan government.

The meeting was attended by Minister of Foreign Affairs, Foreign Employment and Tourism, Vijitha Herath, Sri Lanka’s Ambassador to Germany, Ms. Varuni Muthukumarana, Chairman of the Board of Investment of Sri Lanka Arjuna Herath, Director General for Europe and North America at the Ministry of Foreign Affairs, Foreign Employment and Trade Sugeeshwara Gunaratna and other officials. 

(President’s Media Division)

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