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Monday June 3rd, 2024

US sanction-hit Iran explores new partnerships with crisis-hit Sri Lanka

ECONOMYNEXT – Iran, which is still grappling with a 2012 economic sanction imposed by the United States is exploring new ventures and trade and investment in Sri Lanka, the island nation which is still recovering from an unprecedented economic crisis.

Iranian Foreign Minister Amir Abdullahian met top Sri Lankan government officials including President Ranil Wickremesinghe, Prime Minister Dinesh Gunawardena, and his counterpart Ali Sabri on Tuesday (20).

Sri Lanka is unable to pay for Iran investment and imports due to the US sanctions, but it has successfully started paying for the dues in crude imports before 2012 through a “tea for oil” deal.

Iranian Foreign Minister comes after an official visit from Sri Lanka Foreign Minister Ali Sabri when he went to Tehran in August last year.

His visit also comes ahead of Iran President Ebrahim Raisi’s official visit later this year, government officials said.

“The visit of his excellency (Iran Foreign Minister) into Sri Lanka is vital and will further enhance the close and cordial bilateral relationship,” Sabry said after his Iranian counterpart met all top Sri Lankan political dignitaries.

“There is a huge potential for further corporation in multi-faceted areas. During our discussion today, we addressed key areas of mutual of interests. Including political, economic, and cultural corporation, reflecting very solid bilateral relations.”

Government officials said Iran President is likely to visit when Sri Lanka sees the commissioning of Uma Oya 120 MW power generation project this year.

“Sri Lanka and Iran stand united in our pursuit of peace, security, and prosperity in our regions,” Sabry added.

Before the 2012 US sanctions, Sri Lanka heavily depended on Iranian light crude to its only refinery constructed by Iran in 1969. The island nation is now paying $250 million due for crude imports through tea exports.

The Iranian Foreign Minister during the meeting with Prime Minister Gunawardena noted that Iran is keen to cooperate with Sri Lanka in future projects utilizing their expertise in energy, water, agriculture, nanotechnology, medicine and biotechnology.

“Iran has also agreed to provide another 31 million euro grant for the rural electrification project,” Prime Minister’s office said in a statement.

“The Prime Minister and the Iranian Minister agreed that trade should be done in Asian currencies instead of US dollars. Minister Amir-Abdullahian said that banking arrangements have already been made to trade with Iran, India and China and similar arrangements can be made with Sri Lanka.”

“The Prime Minister expressed his appreciation for Iran’s continued support to Sri Lanka at the United Nations Human Rights Council and other international forums.” (Colombo/Feb 20/2024)

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Water levels rising in Sri Lanka Kalu, Nilwala river basins: Irrigation Department

Sri Lanka Navy assisting in rescue operations (Pic courtesy SL Navy)

ECONOMYNEXT – Sri Lanka’s Irrigation Department has issued warnings that water levels in the Kalu and Nilwala river basins are rising and major flooding is possible due to the continuous rain. People living in close proximity are advised to take precautions.

“There is a high possibility of slowly increasing prevailing flood lowline areas of Kiriella, Millaniya, Ingiriya, Horana, Dodangoda, Bulathsinhala, Palinda Nuwara and Madurawala D/S divisions of Ratnapura and Kalutara Districts, up to next 48 hours,” it said issuing a warning.

“In addition, flood situation prevailing at upstream lowline areas of Ratnapura district will further be prevailing with a slight decrease.

“The residents and vehicle drivers running through those area are requested to pay high attention in this regard.

“Disaster Management Authorities are requested to take adequate precautions in this regard.”

The island is in the midst of south western monsoon.

DMC reported that 11,864 people belonging to 3,727 families have been affected due to the weather in Rathnapura, Kegalle, Kilinochchi, Jaffna, Mullaitivu, Kalutara, Gampaha, Colombo, Galle, Matara, Hambantota, Puttalam, Kurunegala, Kandy, Nuwara Eliya, Anuradhapura, Polonnaruwa, Badulla, Moneragala, and Trincomalee districts.

Meanwhile, the Meteorology Department stated that showers are expected on most parts of the island today.(Colombo/June3/2024)

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UNP gen secy defends call for postponing Sri Lanka poll, claims opposition silent

The UNP party headquarters in Pitakotte/EconomyNext

ECONOMYNEXT — United National Party (UNP) General Secretary Palitha Range Bandara has defended his call for postponing Sri Lanka’s presidential election by two years, claiming that his proposal was not undemocratic nor unconstitutional.

Speaking to reporters at the UNP headquarters Monday June 03 morning, Bandara also claimed that neither opposition leader Sajith Premadasa nor National People’s Power (NPP) leader Anura Kumara Dissanayake have spoken against his proposal.

“I have made no statement that’s undemocratic. My statement was in line with provisions of the constitution,” the former UNP parliamentarian said.

He quoted Section 86 of Chapter XIII of the constitution which says: “The President may, subject to the provisions of Article 85, submit to the People by Referendum any matter which in the opinion of the President is of national importance.”

Sections 87.1, 87.2 also elaborates on the matter and describes the parliament’s role, said Bandara.

“I spoke of a referendum and parliament’s duty. Neither of this is antidemocratic or unconstitutional. As per the constitution, priority should be given to ensuring people’s right to life,” he said.

“Some parties may be against what I proposed. They may criticse me. But what I ask them is to come to one position as political parties and make a statement on whether they’re ready to continue the ongoing economic programme,” he added.

Bandara claimed that, though thee has been much criticism of his proposal for a postponement of the presidential election, President Wickremesinghe’s rivals Premadasa and Dissanayake have yet to remark on the matter.

“I suggested that [Premadasa] make this proposal in parliament and for [Dissanayake] to second it. But I don’t see that either Premadasa nor Dissanayake is opposed to it. To date, I have not seen nor heard either of them utter a word against this. I believe they have no objection to my proposal which was made for the betterment of the country,” he said. (Colombo/Jun03/2024)

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300 of 100,000 trees in Colombo considered high risk: state minister

ECONOMYNEXT – Trees in Sri Lanka’s capital Colombo are being monitored by the municipal council, Army and Civil Defense Force as the severe weather conditions continue, State Minister for Defense Premitha Bandara Tennakoon said.

“Within the Colombo Municipal Council city limits, there are 100,000 trees. Of these, around 300 are considered high risk,” Tennakoon told reporters at a media conference to raise awareness about the current disaster management situation.

Not all trees required to be cut down he said. “We can trim some of the branches and retain them.”

The problem was that buildings in the vicinity of the tree had cut branches on one side, causing it to become unbalanced, the minister said.

New laws would be brought in so provincial/municipal institutions could strengthen enforcement of building codes.

“We don’t have a single institution that can issue a warning about a tree. Not one to tell us what trees can or cannot be planted near a road.

“Trees should be suitable for the area. Some trees have roots that spread and damage roads, buildings. When the roots can’t go deep, they tend to topple over.

“Now Environment Day is coming up, and anyone can go plant a tree by the road. We have to take a decision about this. We have to enforce laws strongly in future.” (Colombo/June3/2024)

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