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	<title>Sri Lanka &#8211; The Milli Chronicle</title>
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	<title>Sri Lanka &#8211; The Milli Chronicle</title>
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	<item>
		<title>Sri Lanka Mobilizes Military as Dengue Surge Strains Hospitals and Raises Alarm</title>
		<link>https://www.millichronicle.com/2026/06/69469.html</link>
		
		<dc:creator><![CDATA[NewsDesk MC]]></dc:creator>
		<pubDate>Tue, 23 Jun 2026 15:40:07 +0000</pubDate>
				<category><![CDATA[Asia]]></category>
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		<category><![CDATA[Aedes Mosquito]]></category>
		<category><![CDATA[Anura Kumara Dissanayake]]></category>
		<category><![CDATA[climate change]]></category>
		<category><![CDATA[colombo]]></category>
		<category><![CDATA[Dengue Fever]]></category>
		<category><![CDATA[Dengue Prevention]]></category>
		<category><![CDATA[disease outbreak]]></category>
		<category><![CDATA[epidemic response]]></category>
		<category><![CDATA[health emergency]]></category>
		<category><![CDATA[healthcare system]]></category>
		<category><![CDATA[Hospital Admissions]]></category>
		<category><![CDATA[infectious diseases]]></category>
		<category><![CDATA[Kapila Kannangara]]></category>
		<category><![CDATA[military deployment]]></category>
		<category><![CDATA[monsoon rains]]></category>
		<category><![CDATA[Mosquito-Borne Disease]]></category>
		<category><![CDATA[public health]]></category>
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		<guid isPermaLink="false">https://millichronicle.com/?p=69469</guid>

					<description><![CDATA[Colombo&#8211; Sri Lanka is deploying military personnel to support a nationwide campaign against dengue fever after a sharp rise in]]></description>
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<p><strong>Colombo</strong>&#8211; Sri Lanka is deploying military personnel to support a nationwide campaign against dengue fever after a sharp rise in infections pushed hospital admissions above 1,000 cases a day and heightened concerns over the capacity of the healthcare system.</p>



<p>President Anura Kumara Dissanayake&#8217;s office said on Tuesday that members of the army, navy and air force would join a specialized task force responsible for identifying and eliminating mosquito breeding grounds across the country.</p>



<p>The move comes as health authorities reported nearly 50,000 dengue infections and 29 related deaths so far this year. While the figures remain below the country&#8217;s record 2017 outbreak, officials warned that the recent acceleration in case numbers poses a significant public health challenge.</p>



<p>Dengue is transmitted by the Aedes mosquito, a species recognized by its black-and-white striped legs and known to breed in stagnant water. The disease can cause high fever, severe headaches, nausea, vomiting and muscle pain, while severe cases may lead to internal bleeding and death.</p>



<p>In a statement, the president&#8217;s office said authorities would intensify enforcement measures against individuals and institutions found to be allowing mosquito breeding sites on their properties.</p>



<p>&#8220;Laws will also be strictly enforced against those allowing mosquito breeding on their premises, in addition to setting up the special military unit,&#8221; the statement said.</p>



<p>A nationwide cleanup campaign targeting stagnant water and other mosquito breeding areas is scheduled to begin on Wednesday.</p>



<p>Sri Lanka has recorded a sharp increase in infections since early June, including more than 1,000 cases reported in a single day this week, according to official health data.</p>



<p>Kapila Kannangara, head of the government&#8217;s dengue control unit, said both public and private hospitals were already facing mounting pressure from the surge in patients.</p>



<p>&#8220;Hospitals are already under pressure,&#8221; Kannangara told reporters in Colombo. &#8220;We don&#8217;t want to have a situation like the one we faced in 2017.&#8221;</p>



<p>The country&#8217;s worst dengue epidemic occurred in 2017, when authorities recorded approximately 186,000 infections and 440 deaths, overwhelming healthcare facilities and prompting emergency response measures.</p>



<p>Health officials attributed the latest increase in cases to a combination of monsoon rains, stagnant water left behind by recent flooding and poor waste management practices that have created favorable breeding conditions for mosquitoes.</p>



<p>The World Health Organization has previously warned that climate change is contributing to the faster spread and broader geographic reach of dengue and other mosquito-borne diseases, particularly in tropical and subtropical regions.</p>
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		<item>
		<title>Sri Lanka Grapples With Escalating Dengue Crisis as Infections Surge Nationwide</title>
		<link>https://www.millichronicle.com/2026/06/69223.html</link>
		
		<dc:creator><![CDATA[NewsDesk MC]]></dc:creator>
		<pubDate>Fri, 19 Jun 2026 16:43:58 +0000</pubDate>
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		<category><![CDATA[colombo]]></category>
		<category><![CDATA[Cyclone Ditwah]]></category>
		<category><![CDATA[dengue cases]]></category>
		<category><![CDATA[Dengue Deaths]]></category>
		<category><![CDATA[Dengue Fever]]></category>
		<category><![CDATA[disease outbreak]]></category>
		<category><![CDATA[disease prevention]]></category>
		<category><![CDATA[epidemiology]]></category>
		<category><![CDATA[healthcare system]]></category>
		<category><![CDATA[hospital strain]]></category>
		<category><![CDATA[Monsoon Season]]></category>
		<category><![CDATA[Mosquito-Borne Disease]]></category>
		<category><![CDATA[Nalinda Jayatissa]]></category>
		<category><![CDATA[National Dengue Control Unit]]></category>
		<category><![CDATA[NDCU]]></category>
		<category><![CDATA[Prashila Samaraweera]]></category>
		<category><![CDATA[public health]]></category>
		<category><![CDATA[Public Hospitals]]></category>
		<category><![CDATA[South Asia]]></category>
		<category><![CDATA[Sri Lanka]]></category>
		<category><![CDATA[Vector Control]]></category>
		<guid isPermaLink="false">https://millichronicle.com/?p=69223</guid>

					<description><![CDATA[Colombo- Sri Lanka is facing its most severe dengue fever outbreak in years, with more than 44,000 infections and 28]]></description>
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<p><strong>Colombo-</strong> Sri Lanka is facing its most severe dengue fever outbreak in years, with more than 44,000 infections and 28 deaths reported since the start of 2026, health authorities said on Friday, raising concerns about mounting pressure on the country&#8217;s public healthcare system.</p>



<p>The mosquito-borne disease, which typically spreads during the island nation&#8217;s monsoon season, has intensified following Cyclone Ditwah, which struck Sri Lanka in late November and left behind widespread debris that created favorable breeding conditions for mosquitoes.</p>



<p>Data released by the National Dengue Control Unit (NDCU) showed infections nearly doubled from 5,651 cases in April to 10,638 cases recorded during the first two weeks of June alone.</p>



<p>&#8220;We noticed this increase after the cyclone,&#8221; said Dr. Prashila Samaraweera, consultant community physician and spokesperson for the NDCU. &#8220;A lot of debris was in our environment, so we noticed a lot of mosquito breeding places, and our entomological indices were high from that time.&#8221;</p>



<p>Sri Lanka recorded approximately 51,000 dengue cases throughout 2025, but the pace of infections this year has accelerated significantly. Health officials expect case numbers to continue rising for at least another two weeks before showing signs of easing.</p>



<p>Health Minister Nalinda Jayatissa warned on Thursday that a further increase in patient admissions could place severe strain on public hospitals already managing growing caseloads.</p>



<p>More than half of all reported infections have been concentrated in the country&#8217;s western region. Colombo, Sri Lanka&#8217;s commercial capital, has reported 9,429 cases since January, while eight other districts have each registered more than 2,000 infections.</p>



<p>The fatalities recorded this year include five children, underscoring concerns among health authorities about vulnerable populations.</p>



<p>Officials have warned that the outbreak could approach levels seen during Sri Lanka&#8217;s last major dengue epidemic in 2019, when the country reported more than 105,000 cases.</p>



<p>In response, authorities have launched a nationwide cleanup campaign involving schools, residential neighborhoods, construction sites and public institutions. The program, coordinated by health agencies and local government bodies, is scheduled to continue through next week as officials seek to eliminate mosquito breeding grounds and slow transmission.</p>
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		<item>
		<title>Rajapaksa Scion Arrested in Sri Lanka Corruption Probe, Released on Bail</title>
		<link>https://www.millichronicle.com/2026/06/69095.html</link>
		
		<dc:creator><![CDATA[NewsDesk MC]]></dc:creator>
		<pubDate>Wed, 17 Jun 2026 14:16:25 +0000</pubDate>
				<category><![CDATA[Asia]]></category>
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		<category><![CDATA[accountability]]></category>
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		<category><![CDATA[Bribery Commission]]></category>
		<category><![CDATA[Chief Magistrate Court]]></category>
		<category><![CDATA[CIABOC]]></category>
		<category><![CDATA[colombo]]></category>
		<category><![CDATA[corruption probe]]></category>
		<category><![CDATA[court proceedings]]></category>
		<category><![CDATA[governance]]></category>
		<category><![CDATA[law enforcement]]></category>
		<category><![CDATA[legal investigation]]></category>
		<category><![CDATA[Mahinda Rajapaksa]]></category>
		<category><![CDATA[political developments]]></category>
		<category><![CDATA[Public Sector Integrity]]></category>
		<category><![CDATA[Rajapaksa Family]]></category>
		<category><![CDATA[South Asia]]></category>
		<category><![CDATA[Sri Lanka]]></category>
		<category><![CDATA[Sri Lanka Politics]]></category>
		<category><![CDATA[Sri Lankan Navy]]></category>
		<category><![CDATA[Yoshitha Rajapaksa]]></category>
		<guid isPermaLink="false">https://millichronicle.com/?p=69095</guid>

					<description><![CDATA[Colombo-Sri Lanka’s anti-corruption authorities on Wednesday arrested Yoshitha Rajapaksa, the son of former President Mahinda Rajapaksa, as part of an]]></description>
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<p><strong>Colombo-</strong>Sri Lanka’s anti-corruption authorities on Wednesday arrested Yoshitha Rajapaksa, the son of former President Mahinda Rajapaksa, as part of an investigation into alleged irregularities surrounding his entry into the Sri Lankan Navy, before a court granted him bail later in the day.</p>



<p>Rajapaksa was taken into custody by the Commission to Investigate Allegations of Bribery and Corruption (CIABOC), according to police and commission officials.</p>



<p>After being produced before the Colombo Chief Magistrate’s Court, he was released on bail, police spokesman F.U. Wootler told Reuters.</p>



<p>The arrest marks the latest legal development involving members of the influential Rajapaksa family, which dominated Sri Lankan politics for nearly two decades through a series of senior government positions, including the presidency and key cabinet portfolios.</p>



<p>Yoshitha Rajapaksa, the second son of former President Mahinda Rajapaksa, is under investigation over allegations that his recruitment into the Sri Lankan Navy in 2006 did not follow established procedures, according to a statement issued earlier this month by the bribery commission.</p>



<p>Authorities have not publicly disclosed further details regarding the alleged violations or whether additional charges could follow as the investigation progresses.</p>



<p>Neither Yoshitha Rajapaksa nor representatives of the Rajapaksa family immediately commented publicly on the allegations following the court proceedings.</p>



<p>The Commission to Investigate Allegations of Bribery and Corruption has intensified scrutiny of high-profile public figures in recent years as Sri Lanka seeks to strengthen governance standards and address longstanding concerns about accountability in public institutions.</p>



<p>The case is likely to attract significant public attention given the Rajapaksa family&#8217;s enduring influence in Sri Lankan politics and previous investigations involving senior members of the family.</p>



<p>Court proceedings and the commission’s investigation are expected to continue.</p>
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		<item>
		<title>Asian Gaza Flotilla Activists Allege Abuse in Israeli Detention</title>
		<link>https://www.millichronicle.com/2026/06/68204.html</link>
		
		<dc:creator><![CDATA[NewsDesk MC]]></dc:creator>
		<pubDate>Wed, 03 Jun 2026 14:53:44 +0000</pubDate>
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		<category><![CDATA[activists]]></category>
		<category><![CDATA[arab news]]></category>
		<category><![CDATA[detention]]></category>
		<category><![CDATA[gaza]]></category>
		<category><![CDATA[Gaza conflict]]></category>
		<category><![CDATA[Global Sumud Flotilla]]></category>
		<category><![CDATA[human rights]]></category>
		<category><![CDATA[humanitarian aid]]></category>
		<category><![CDATA[indonesia]]></category>
		<category><![CDATA[International Criminal Court]]></category>
		<category><![CDATA[israel]]></category>
		<category><![CDATA[Israeli military]]></category>
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		<category><![CDATA[malaysia]]></category>
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		<category><![CDATA[Rahendro Herubowo]]></category>
		<category><![CDATA[Sameera Mahboobdeen]]></category>
		<category><![CDATA[Sri Lanka]]></category>
		<category><![CDATA[Sumud Nusantara]]></category>
		<guid isPermaLink="false">https://millichronicle.com/?p=68204</guid>

					<description><![CDATA[Jakarta— Activists from the Global Sumud Flotilla have accused Israeli forces of physical abuse, mistreatment and denial of medical care]]></description>
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<p><strong>Jakarta</strong>— Activists from the Global Sumud Flotilla have accused Israeli forces of physical abuse, mistreatment and denial of medical care after their Gaza-bound aid mission was intercepted in international waters last month.</p>



<p>Indonesian journalist Rahendro Herubowo said activists were beaten, shocked with tasers and held in overcrowded detention containers after Israeli forces seized the flotilla near Cyprus on May 18-19. He alleged detainees were denied adequate water and medical assistance during their confinement.</p>



<p>Sri Lankan activist and medic Sameera Mahboobdeen said dozens of activists suffered injuries, including suspected fractures and head wounds, while requests for medical treatment were ignored. She also alleged that several women reported sexual assault during detention.</p>



<p>The Global Sumud Flotilla, consisting of around 50 boats and 400 activists, was attempting to deliver food and medical aid to Gaza by challenging Israel&#8217;s maritime blockade.</p>



<p>Malaysia-based group Sumud Nusantara said it has documented allegations of excessive force, sleep deprivation, restricted access to food and water, and prolonged interrogations. The group is coordinating with Malaysia&#8217;s Foreign Ministry to pursue legal action and seek an investigation through the International Criminal Court.</p>



<p>Israeli authorities had not publicly responded to the specific allegations contained in the activists&#8217; accounts.</p>
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		<item>
		<title>From Welfare Model to Food Insecurity: Sri Lanka’s Economic Crisis Sparks Call for a Human Rights Economy</title>
		<link>https://www.millichronicle.com/2026/04/65861.html</link>
		
		<dc:creator><![CDATA[NewsDesk MC]]></dc:creator>
		<pubDate>Sun, 26 Apr 2026 01:29:23 +0000</pubDate>
				<category><![CDATA[Featured]]></category>
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		<category><![CDATA[2030 Agenda]]></category>
		<category><![CDATA[Ahilan Kadirgamar]]></category>
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		<category><![CDATA[Cooperatives]]></category>
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		<category><![CDATA[Economic crisis]]></category>
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		<category><![CDATA[human rights economy]]></category>
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		<guid isPermaLink="false">https://millichronicle.com/?p=65861</guid>

					<description><![CDATA[“Economic policy cannot remain the realm of experts alone—it must be shaped by the people whose lives it defines.” Once]]></description>
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<p><em>“Economic policy cannot remain the realm of experts alone—it must be shaped by the people whose lives it defines.”</em></p>



<p>Once regarded as a model for universal welfare in South Asia, Sri Lanka is now confronting rising food insecurity, strained public services and widening social vulnerability, prompting renewed calls from economists and rights advocates for a development model centered on universal entitlements rather than austerity-led growth.</p>



<p>For decades, Sri Lanka was recognized for its relatively strong public investments in education, healthcare and food subsidies, which helped establish high social indicators compared with many countries at similar income levels. Universal schooling, accessible healthcare and broad-based welfare programs were often cited as pillars of the country’s post-independence development strategy.</p>



<p>But recent years have seen that framework come under increasing pressure.</p>



<p>According to the Food and Agriculture Organization’s 2025 Hunger Map and the World Food Programme’s 2024 Household Food Security Overview, around one million people in Sri Lanka are now chronically undernourished, while nearly nine million more struggle to access sufficient nutritious food. Nearly four in ten households report inadequate diets, reflecting a sharp deterioration in food security in a country that was once largely self-sufficient in food production and a major seafood exporter.</p>



<p>The figures come against the backdrop of Sri Lanka’s prolonged economic crisis, which intensified after the country’s sovereign debt default in 2022 and triggered inflation, currency depreciation, shortages of essential goods and sweeping fiscal restructuring.</p>



<p>Dr. Ahilan Kadirgamar, a leading Sri Lankan economist and senior lecturer at the University of Jaffna, said the country’s current challenges reflect not only immediate economic distress but a deeper structural shift away from universal welfare protections.</p>



<p>He argues that austerity measures, combined with financialization and infrastructure-heavy development priorities, redirected state resources away from people-centered public services and toward projects that did not adequately protect livelihoods.</p>



<p>“Until recently, Sri Lanka was a country that could sustain itself and export seafood worldwide,” Kadirgamar said. “But now we are facing a situation where millions are unable to access enough nutritious food, and public institutions are under severe strain.</p>



<p>”According to Kadirgamar, hospitals continue to face shortages of essential medicines, universities are functioning under reduced real funding, and welfare programs have become increasingly narrow and targeted rather than universal, leaving large sections of the population exposed during periods of crisis.</p>



<p>He said the transition from universal subsidies toward selective welfare mechanisms has weakened the resilience of ordinary households, particularly during inflationary shocks and employment disruptions.</p>



<p>Kadirgamar has called for what he describes as a “Human Rights Economy,” a framework that places universal access, democratic participation and social protection at the center of economic decision-making.</p>



<p>Rather than treating economic planning as a technical domain reserved for specialists, he argues that citizens must have a direct role in shaping the priorities that affect their livelihoods.</p>



<p>“Economic policies cannot be the realm of experts,” he said. “It must be democratized. It is people’s demands that should determine economic policies.”</p>



<p>The concept of a Human Rights Economy has gained wider attention through advocacy by the Office of the United Nations High Commissioner for Human Rights, which frames economic governance through the lens of rights protection, equality and public accountability. The approach emphasizes that economic growth alone is insufficient if it does not translate into dignity, food security, healthcare access and social participation.</p>



<p>Kadirgamar said such a shift requires not only policy reform but also organized civic action.“Change will not come without action,” he said. “There needs to be coalitions organizing at every level.”He pointed to cooperatives as one practical mechanism for rebuilding resilience.</p>



<p> Small, democratic and community-based institutions, he said, can help reconnect producers and consumers while reducing dependence on fragile centralized supply chains and volatile global markets.In Sri Lanka, cooperative structures historically played an important role in rural development and agricultural distribution, though many weakened over time amid market liberalization and institutional decline.</p>



<p>Reviving such models, Kadirgamar said, could support local production while strengthening accountability and participation.“To rebuild the economy, citizens and policymakers must rethink how economic policies are made and form coalitions demanding equality, participation and universal rights,” he said.</p>



<p>He views the Human Rights Economy not simply as a new policy language but as a fundamental departure from the trajectory of recent decades.“That’s the context in which I understand the idea of a human rights economy,” he said. “A new framework, but one that has to completely shift from the path we have been on.”</p>



<p>Sri Lanka’s experience is increasingly cited in international discussions about debt, austerity and social rights, particularly as many developing economies face pressure to implement fiscal consolidation measures while managing inflation, debt servicing and weakened welfare systems.</p>



<p>Critics of austerity argue that reducing spending on health, education and food protection during economic recovery often deepens long-term inequality and undermines social stability, even when such measures are framed as necessary for macroeconomic reform.</p>



<p>Supporters of fiscal restructuring, however, argue that restoring financial credibility is essential for long-term recovery and investor confidence, especially after sovereign default.The tension between these approaches has become central to Sri Lanka’s policy debate.</p>



<p>The issue is also being examined through the United Nations-backed podcast series “Economies That Work for All,” produced by UN Human Rights and the UN System Staff College’s Knowledge Centre for Sustainable Development.</p>



<p> The series explores how human rights principles can be integrated into economic systems to support progress toward the 2030 Agenda for Sustainable Development.UN Human Rights Chief Volker Türk has also spoken publicly about the need for rights-based economic models, particularly in countries facing sovereign debt burdens and widening inequality.</p>



<p>For Sri Lanka, the debate is no longer theoretical. With millions facing nutritional insecurity and public institutions under visible pressure, the question of whether recovery should be measured by fiscal balance sheets or by human well-being is becoming increasingly urgent.</p>



<p>What emerges from that choice may shape not only the country’s economic future, but the social contract that defines it.</p>
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		<title>Iranian sailors treated in Sri Lanka after U.S. submarine strike kills 87</title>
		<link>https://www.millichronicle.com/2026/03/iranian-sailors-treated-in-sri-lanka-after-u-s-submarine-strike-kills-87.html</link>
		
		<dc:creator><![CDATA[NewsDesk MC]]></dc:creator>
		<pubDate>Thu, 05 Mar 2026 06:38:13 +0000</pubDate>
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					<description><![CDATA[GALLE, Sri Lanka, March 5 — Iranian sailors who survived a U.S. submarine strike in the Indian Ocean were being]]></description>
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<p>GALLE, Sri Lanka, March 5  — Iranian sailors who survived a U.S. submarine strike in the Indian Ocean were being treated at a hospital in the Sri Lankan port city of Galle, authorities said on Thursday, a day after at least 87 people were killed in the attack on the Iranian naval vessel IRIS Dena.Officials at the National Hospital in Galle and Sri Lankan navy sources said the bodies of 87 victims were brought to the facility by military rescuers who responded to an early-morning distress call from the vessel on Wednesday.Survivors receiving treatmentHospital authorities said a number of injured sailors were admitted for treatment following the rescue operation. Medical staff were providing care for survivors suffering from injuries sustained during the attack and subsequent rescue efforts.Sri Lankan officials did not immediately disclose the number of survivors being treated but confirmed that several wounded personnel had been transferred from naval rescue vessels to medical facilities in Galle.The Sri Lankan navy said it responded to a distress signal from the Iranian ship in waters of the Indian Ocean and dispatched units to assist in recovery operations. Rescuers transported casualties and survivors to the southern port city following the incident.Recovery operation underwayNavy sources said rescue teams continued recovery efforts after receiving the emergency call from the vessel early on Wednesday. Military personnel were involved in retrieving victims and assisting survivors found in the surrounding waters.Authorities said the bodies were brought to the National Hospital in Galle for identification and other procedures. Officials added that coordination was underway with relevant diplomatic authorities regarding the handling of the victims.The circumstances surrounding the strike were not immediately detailed by Sri Lankan authorities, who said their role focused on search-and-rescue operations following the distress call.Regional security tensionsThe incident occurred in the Indian Ocean, a major maritime route linking the Middle East with South and Southeast Asia and one that carries a significant share of global trade and energy shipments.Military analysts have noted that naval movements in the region have drawn heightened attention amid broader geopolitical tensions. However, officials in Sri Lanka did not comment on the wider security implications of the attack.Sri Lanka maintains diplomatic relations with both Iran and the United States and frequently provides logistical or humanitarian assistance to vessels in distress near its territorial waters.Authorities said further information would be released once recovery and identification procedures were completed.</p>
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		<title>India, UAE to develop Sri Lanka energy hub as Delhi competes with China for influence</title>
		<link>https://www.millichronicle.com/2025/04/india-uae-to-develop-sri-lanka-energy-hub-as-delhi-competes-with-china-for-influence.html</link>
		
		<dc:creator><![CDATA[Millichronicle]]></dc:creator>
		<pubDate>Sat, 05 Apr 2025 15:16:30 +0000</pubDate>
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		<guid isPermaLink="false">https://millichronicle.com/?p=54511</guid>

					<description><![CDATA[New Delhi (Reuters) – India and the United Arab Emirates agreed to develop an energy hub in Sri Lanka, India&#8217;s]]></description>
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<p><strong>New Delhi (Reuters) – </strong>India and the United Arab Emirates agreed to develop an energy hub in Sri Lanka, India&#8217;s foreign ministry said on Saturday, as New Delhi&#8217;s competition with China grows in the Indian Ocean island nation.</p>



<p>The three nations signed the pact for the hub during Indian Prime Minister Narendra Modi&#8217;s visit to Sri Lanka, the first by a global leader since Sri Lankan President Anura Kumara Dissanayake took office in September.</p>



<p>New Delhi and Colombo have worked to deepen ties as India&#8217;s southern neighbour recovers from a&nbsp;<a href="https://www.reuters.com/markets/asia/sri-lankas-economy-grew-5-2024-rebounding-crisis-2025-03-18/">severe financial crisis</a>&nbsp;triggered in 2022, during which India provided $4 billion in financial assistance.</p>



<p>Saturday&#8217;s agreement boosts New Delhi&#8217;s competition with China, whose state energy firm Sinopec (600028.SS) has&nbsp;<a href="https://www.reuters.com/markets/commodities/chinas-sinopec-charts-global-expansion-with-refinery-rival-indias-backyard-2024-04-25/">signed a deal</a>&nbsp;to build a $3.2-billion oil refinery in Sri Lanka&#8217;s southern port city of Hambantota.</p>



<p>The energy hub in the strategically important city of Trincomalee, a natural harbour in the Sri Lanka&#8217;s east, will involve construction of a multi-product pipeline and may include using a World War Two tank farm partly held by the Sri Lankan subsidiary of Indian Oil Corp&nbsp;<a href="https://www.reuters.com/markets/companies/IOC.NS">(IOC.NS)</a>, Indian Foreign Secretary Vikram Misri told reporters in Colombo.</p>



<p>&#8220;The UAE is a strategic partner for India in the energy space and therefore was an ideal partner for this exercise that is being done for the first time in the region,&#8221; Misri said. &#8220;The exact contours of UAE&#8217;s role will be elaborated once the business to business discussions kick off.&#8221;</p>



<p>The three nations will next choose business entities that will consider the financing and feasibility of projects for the hub, he said.</p>



<p>Modi also inaugurated a $100 million solar power project, a joint venture between Ceylon Electricity Board and India&#8217;s National Thermal Power Corp&nbsp;<a href="https://www.reuters.com/markets/companies/NTPC.NS">(NTPC.NS)</a>.</p>



<p>India and Sri Lanka also concluded their debt restructuring process, Foreign Secretary Misri said. Sri Lanka owes about $1.36 billion in loans to EXIM Bank of India and State Bank of India, according to Sri Lanka Finance Ministry data.</p>



<p>Colombo kicked off debt restructuring talks after it defaulted on its debt in May 2022, signing a preliminary deal with bilateral creditors Japan, India and China last June.</p>



<p>India and Sri Lanka also signed pacts on power grid connectivity, digitalisation, security and healthcare.</p>
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		<title>Sri Lanka bondholders raise concerns over debt deal transparency</title>
		<link>https://www.millichronicle.com/2023/12/sri-lanka-bondholders-raise-concerns-over-debt-deal-transparency.html</link>
		
		<dc:creator><![CDATA[NewsDesk MC]]></dc:creator>
		<pubDate>Fri, 01 Dec 2023 17:03:13 +0000</pubDate>
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		<guid isPermaLink="false">https://millichronicle.com/?p=52357</guid>

					<description><![CDATA[London (Reuters) &#8211; A group of creditors holding Sri Lanka&#8217;s international bonds said on Friday it welcomed the country&#8217;s debt]]></description>
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<p><strong>London (Reuters) &#8211;</strong> A group of creditors holding Sri Lanka&#8217;s international bonds said on Friday it welcomed the country&#8217;s debt restructuring agreement with official creditors, though it said a lack of transparency on deals struck so far was regrettable.</p>



<p>The complaint underscores rising worries that a lack of visibility for private creditors around debt deals between indebted countries and their official creditors could derail or delay those nations&#8217; efforts to finalise restructuring.</p>



<p>Sri Lanka and a group of its creditor nations, including Japan, France and India, on Wednesday reached an agreement in principle on a debt rework of $5.9 billion of outstanding public debt. That followed a deal between the country and the Export-Import Bank of China in October on about $4.2 billion of loans.</p>



<p>But the bondholder group, which represents creditors holding some of the country&#8217;s $12 billion of outstanding bonds, said a lack of transparency between public and private creditors was making it more difficult for them to strike a deal with Sri Lanka that was compliant with IMF rules and that provided &#8220;fair and equitable&#8221; debt treatment.</p>



<p>&#8220;The group finds it regrettable that there remains such a significant lack of transparency on the part of official sector creditors despite the group&#8217;s efforts so far to act as a constructive counterparty,&#8221; the Ad Hoc Group of Bondholders said in an emailed statement.</p>



<p>Last week, objections from official creditors derailed an agreement in principle between Zambia and its bondholders to restructure the African nation&#8217;s international debt. The group of Zambia&#8217;s bilateral creditors, including France, China and India, said the terms of that proposed deal were not comparable to the relief official creditors offered.</p>



<p>Zambia, as a low-income nation, is reworking its debt under the G-20-designed Common Framework, which makes its process slightly more rigid than Sri Lanka&#8217;s. But investors and experts said the issues around lack of information sharing was making it tough for all private lenders to craft debt reworks that public creditors deem comparable to their own offerings.</p>



<p>&#8220;It&#8217;s possibly more problematic than it was designed to be in terms of actually being able to achieve these debt renegotiations,&#8221; Robert Simpson of Pictet Asset Management said.</p>



<p>&#8220;We saw it with Zambia, that, you know, once the details are out, one creditor group actually can put a spanner in the works in terms of the entire process.&#8221;</p>



<p>The Sri Lanka Ad Hoc Group of bondholders said it remained committed to reaching an agreement with the Sri Lankan authorities as quickly as possible to find a sustainable solution to the country&#8217;s international bond debt challenges.</p>



<p>The Ad Hoc Group is advised by Rothschild &amp; Co on the financial side and by White &amp; Case LLP on legal matters.</p>
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		<title>Debt deal with creditors could help Sri Lanka clear IMF bailout review</title>
		<link>https://www.millichronicle.com/2023/11/debt-deal-with-creditors-could-help-sri-lanka-clear-imf-bailout-review.html</link>
		
		<dc:creator><![CDATA[NewsDesk MC]]></dc:creator>
		<pubDate>Thu, 30 Nov 2023 06:10:18 +0000</pubDate>
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		<guid isPermaLink="false">https://millichronicle.com/?p=52212</guid>

					<description><![CDATA[Colombo (Reuters) &#8211; Sri Lanka&#8217;s pact with creditor nations to restructure its debt prepares the way for the International Monetary]]></description>
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<p><strong>Colombo (Reuters) &#8211;</strong> Sri Lanka&#8217;s pact with creditor nations to restructure its debt prepares the way for the International Monetary Fund (IMF) to consider clearing the first review of a bailout next month, the global lender said on Thursday.</p>



<p>Battling its worst financial crisis in decades, the Indian Ocean nation had been trying since last year to strike restructuring deals with creditors after record low foreign exchange reserves led to a default on foreign debt in May 2022.</p>



<p>Wednesday&#8217;s in-principle deal comes about a month after Sri Lanka&#8217;s pact with the Export-Import Bank of China covering about $4.2 billion of outstanding debt, while clearing the IMF review could trigger a second tranche of about $334 million in funds.</p>



<p>Sri Lanka and the IMF clinched the staff-level agreement on the first review of the four-year extended fund facility arrangement in October, after a month&#8217;s delay.</p>



<p>The second tranche will be disbursed once the IMF&#8217;s executive board clears the review.</p>



<p>&#8220;These understandings pave the way for the IMF executive board to consider completion of the first review,&#8221; Peter Breuer, the IMF&#8217;s mission chief for Sri Lanka, said in a statement.</p>



<p>&#8220;We look forward to the executive board taking up this review by mid-December and the continuation of our productive collaboration with Sri Lanka.&#8221;</p>



<p>Sri Lankan authorities did not immediately respond to a request for comment on the IMF statement.</p>



<p>The finance ministry said the deal with the creditor panel covered about $5.9 billion of outstanding public debt, consisting of a mix of long-term maturity extension and reduction in interest rates.</p>



<p>Japan, together with France and India, co-chairs the committee of 15 nations. But Sri Lanka&#8217;s largest bilateral creditor, China, has not joined as a formal member.</p>



<p>Since locking down the IMF bailout of $2.9 billion in March, Sri Lanka has managed to partly stabilise its economy, bring down runaway inflation and rebuild currency reserves.</p>



<p>Finance ministry data shows external debt of $36.6 billion at the end of June. Once the debt restructuring is completed, Sri Lanka hopes to cut its overall debt by $16.9 billion.</p>



<p>After receiving the IMF money, Sri Lanka could get further funding from the Asian Development Bank and the World Bank, taking the total to about $900 million, the central bank governor, P. Nandalal Weerasinghe, said last week.</p>



<p>Sri Lanka&#8217;s dollar bond maturing in July 2026 was up 0.28 cents at 51.53 cents by 0500 GMT, Tradeweb data showed. Wednesday&#8217;s rise of 1.19 cents was its largest single-day gain in more than a month.</p>



<p>Stock market reaction to the IMF statement was muted, however, with the benchmark index climbing 0.67% when trading opened.</p>



<p>The finance ministry said it would next focus on striking similar deals with other bilateral creditors for debt amounting to $274 million and seek pacts with bondholders who have the bulk of its $12.5 billion of international sovereign bonds.</p>



<p>A debt restructuring proposal by private creditors in October did not get a favourable response from the finance ministry, which said it had &#8220;serious reservations&#8221; about the proposed macro-linked bonds.</p>
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		<title>Sri Lanka reaches debt restructuring deal with creditor nations &#8211; government source</title>
		<link>https://www.millichronicle.com/2023/11/sri-lanka-reaches-debt-restructuring-deal-with-creditor-nations-government-source.html</link>
		
		<dc:creator><![CDATA[NewsDesk MC]]></dc:creator>
		<pubDate>Wed, 29 Nov 2023 11:08:53 +0000</pubDate>
				<category><![CDATA[Asia]]></category>
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		<guid isPermaLink="false">https://millichronicle.com/?p=52171</guid>

					<description><![CDATA[Colombo (Reuters) &#8211; Sri Lanka has been informed that a debt-restructuring agreement with creditor nations has been reached but is]]></description>
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<p><strong>Colombo (Reuters) &#8211;</strong> Sri Lanka has been informed that a debt-restructuring agreement with creditor nations has been reached but is yet to receive a letter of confirmation from the official creditor committee, a government source told Reuters on Wednesday.</p>



<p>Sri Lanka, mired in its worst financial crisis in decades, has been trying to reach restructuring deals with creditors since last year, having being forced to default on its foreign debt in May 2022 after its foreign exchange reserves dwindled to record lows.</p>



<p>&#8220;Sri Lanka has been informed of an agreement,&#8221; the source, who did not want to be identified, said. &#8220;It is confirmed that an agreement has been reached with bilateral lenders but we are still waiting on an official letter. We expect it soon.&#8221;</p>



<p>The Sri Lanka president&#8217;s office and the finance ministry did not immediately respond to requests for comment.</p>



<p>Japan co-chairs the official creditor committee, together with France and India. China is Sri Lanka&#8217;s largest bilateral creditor and is an observer in the group, steering clear of joining the group as a formal member.</p>



<p>Advertisement · Scroll to continue</p>



<p>There was no immediate reaction from the bilateral creditors.</p>



<p>The agreement comes about a month after the heavily indebted island nation reached a deal with the Export-Import Bank of China (EXIM) covering about&nbsp;<a href="https://www.reuters.com/markets/asia/sri-lanka-says-it-has-deal-with-china-exim-bank-cover-42-bln-debt-2023-10-12/">$4.2 billion</a>&nbsp;of outstanding debt.</p>



<p>The EXIM deal will help Sri Lanka clear the first review of an International Monetary Fund (MF) bailout, and secure a second IMF funding tranche of about $334 million, the finance ministry has said.</p>



<p>Advertisement · Scroll to continue</p>



<p>After receiving IMF approval, Sri Lanka could get further funds from the Asian Development Bank and the World Bank, bringing the total funding to around $900 million, central bank Governor P. Nandalal Weerasinghe said last week.</p>



<p>ADB could provide $200 million as early as next month, the lender&#8217;s country director, Takafumi Kadono, told a forum in Colombo on Wednesday. The ADB&#8217;s funds are part of a $350 million special policy-based loan that was approved in May to support Sri Lanka.</p>



<p>Sri Lanka&#8217;s total external debt is estimated at $36.6 billion, which includes $10.94 billion of bilateral debt, according to latest data released by its finance ministry.</p>



<p>The country also needs to reach an agreement with bondholders who hold the bulk of the island&#8217;s $12.5 billion worth of international sovereign bonds.</p>



<p>Sri Lanka&#8217;s dollar bond maturing in July 2026 was last up 0.44 cents at 50.50 cents, according to Tradeweb data.</p>
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