Pillayan wants tourism land
Tourism Development Authority Chairman Bernard
Goonetileke (extreme left) explaining a point to
Eastern Province Chief Minister S. Chandrakanthan
alias Pillayan at cocktails at Club Oceanic,
Trincomalee last Saturday on account of the Sri
Lanka Association of Inbound Tour Operators’ (S.L.A.I.T.O.’)
A.G.M. that was held the following day.
S.L.A.I.T.O. President Chandra Wickramasinghe
(extreme right) and Club Oceanic Manager V. Prem
Kumar (second from right) are also in the picture.
provincial council wants to take-over tourism ministry
land allocated to prospective investors as those
allottees are yet to develop such lands.
Eastern Province Chief Minister S. Chandrakanthan alias
Pillayan, a former L.T.T.E. terrorist told this reporter
that he would be meeting President Mahinda Rajapaksa in
this regard today.
an example, he said that a Maldivian investor who had
been allocated 20 acres at Pasikudah for hotel
development, had done nothing in this regard so far.
Speaking at a function at Club Oceanic last Saturday,
Chandrakanthan however said that the bulk of the state
land in the Eastern Province belonged to the Eastern
few hundred acres belonged to the Tourism Ministry.
Lanka Tourism Development Authority (S.L.T.D.A.)
Chairman Bernard Goonetileke referring to the aforesaid
Maldivian investment project that was yet to take-off
said that the delay was because the investor had to
first get over 20 approvals before she could start on
Typically such approvals take over a year, he said.
Those matters were beyond the control of S.L.T.D.A.,
said Goonetileke. There needs that will to get things
done expeditiously, he said.
Chandrakanthan said that he welcomed private sector
investment in the leisure sector in the East as such
investments would create employment opportunities to his
occasion was the Sri Lanka Association of Inbound Tour
Operators (S.L.A.I.T.O.) hosting their A.G.M. for the
first time outside Colombo, with a number of those local
inbound operators making their first visit to
Trincomalee after the July 1983 riots.
coastal town was full of local tourists over the last
week-end when we there, with the two well known hotels
in the area, namely the 40 room Nilaveli and the 56 room
Club Oceanic witnessing full bookings, with the former
being fully booked till this week-end and the latter
having plans to add 20 more rooms to its portfolio.
Thilak Weerasinghe, Managing Director Lanka Sportreizen
said that he has plans to invest in three hotel
properties in the East at a total cost of Rs. 450
were being done up, including the road leading to
Trincomalee from Habarana, and partying last Saturday,
organized by S.L.A.I.T.O. at Club Oceanic went past 12
midnight, when we reporters decided to break-up, and
were then driven to the hotel where we were lodged in
the vicinity of Trincomalee town, in a night drive that
took five minutes.
10% bank credit to agriculture becomes law
“2006 budget proposal” that 10% of bank lending should
be directed to the agriculture sector has become law
from this year.
Industry sources said that most local banks have had
complied with this regulation with some of those even
exceeding the minimum 10% cut off point.
However foreign banks are lagging behind, mainly because
they have no branches in the outstation to direct such
lending, they said.
Central Bank of Sri Lanka (C.B.S.L.) which is
implementing this scheme on behalf of the Government is
using the art of persuasion in their monthly meetings
with bank c.e.o.s to meet this limit, the sources said.
However no penalties have been prescribed for those who
will not be able to meet this deadline, they added.
India has such a penalty system in operation, the
India, it’s mandated that banks expose between 20-25% of
their credit portfolio to the agriculture sector, with
penalties imposed on those banks that have not met the
target,” they further said.
C.B.S.L. has directed those foreign banks not meeting
this requirement to make available such lending through
local banks which have branches in the outstation, the
bank credit outstanding in the domestic banking sector
is over a trillion rupees.
Sri Lanka being an agriculture economy, most banks
welcomed this direction when it was brought to their
notice by C.B.S.L. in 2006,” the sources said.
directed lending to the agriculture sector is a good
thing, because, otherwise it were only the state banks
that used to actively participate in giving such credit,
sources however said that this law does not give banks
direction in regard to the lending rates that should be
charged on such credit. Nor does C.B.S.L. provide any
subsidies or relief to banks conforming to this
requirement, they said.
market is allowed to determine such rates,” the sources
said. But in general, agriculture lending rates are
lower than normal market lending rates, the sources
said. And the economy is operating in a scenario where
rates are coming down, they said.
Sources further said that this lending is not confined
only to cultivation loans, but covers a whole gamut
related to agriculture lending, including loans for
processed and other forms of commercial agriculture and
procurement of land, building, plant and machinery
related to agriculture, they said.
Misuse & Abuse
number of state owned C.T.B. buses bearing name boards
such as “Tissa” and Kataragama, parked near Bishop’s
College, Colombo, were witnessed by this reporter around
1.45 p.m. on Tuesday, coinciding with the schools’ closure time,
creating a traffic jam.
buses were parked on the pavement bordering Sir James
Peiris Mawatha that now takes traffic to Slave-Island
and beyond, as Duplication Road, the other major road
bordering Temple Trees, other than Galle Road, is now
closed to traffic.
number of men and women, some inside those buses and
others on the pavement, probably numbering in the
hundreds, standing on the road bordering Lake Road and
Bishop’s College which leads to Temple Trees, were also
witnessed by this reporter.
the Southern Provincial Council elections round the
corner, were those voters from the Hambantota District
brought down to Colombo at tax payers’ expense on state
buses to pay homage to a V.I.P., and thus gain their
vote? a wag asked.
Request to soften advisory
French Embassy in
is awaiting Paris’ response in regard to their
recommendation to soften their travel advisory on the
was in response to a request made by a local party, it’s
after the U.K. and Germany, brought in the highest
number of tourists to the country at one time.
mission in Colombo wants the advisory restricted only
for travel north of Vavuniya because government approval
was needed for travel to that area.
advisory at present even covers Yala.
advisory warns its citizens of travel to a particular
country or parts of that country, with a probable threat
to life and limb is such travel is undertaken.
Advisories also make travel insurance premiums to go up.
alleged that the Embassy’s efforts to soften the
advisory in January met with no response from
In general, the West’s advisories for the South Asian
region currently, also warn its citizens of the
possibilities of contracting swine flue or dengue when
visiting this region, industry sources said.
Colombo, Columbia & G.S.P. +
industrialists believe that the European Commission (E.C.)
is using the “carrot and stick” approach on Sri Lanka in
dealing with the G.S.P. + issue, and in reality that
this facility will not be withdrawn despite all the
threatening noises made to the contrary.
Wijesinha, chairman Dankotuwa Porcelain Plc told
reporters on Tuesday (September 15), considering the job
losses that the withdrawal of this facility would cause,
and the attendant social problems which therewith would
follow, he was of the opinion that this concession would
not be withdrawn despite signals given to the contrary.
Dankotuwa Porcelain exports over 50% of its products to
the European Union (E.U.).
Western European diplomat, whose country is a member of
the E.U., speaking to this reporter on the G.S.P. +
issue, said that another country that enjoys this
concession in its exports to the E.U. is Columbia, on
account of its war against drugs.
the primary guerilla movements Columbia is fighting in
this regard is the Marxist F.A.R.C. guerilla movement,
in a war that has been going on for over 30 years, he
this war, a number of civilians also meet with their
deaths, when Bogota conducts military operations against
F.A.R.C., but Columbia still continues to enjoy the
G.S.P. + duty free concession in its exports to the E.U.,”
the diplomat said.
in a recent report, has allegedly castigated Colombo for
its human rights record, and has recommended withdrawal
of the G.S.P. + concession in lieu, a final decision of
which the E.C. is expected to take next month.
the local industries that are enjoying this concession
are garments, Sri Lanka’s biggest source of foreign
exchange, as well as ceramics and fish exports to the
Good, Bad & Ugly
Central Bank of Sri Lanka (C.B.S.L.) has again begun
disseminating banking statistics to the industry
following the article that appeared on these pages under
the heading “C.B.S.L. censors banking data” (The Sunday
Leader issue of August 30, 2009).
the flip side, the industry as a whole has decided not
to disseminate such info rmation to the media after the
publication of that article.
Tourism vs. Bureaucracy
dawn of peace in the island has also brought in a new
political player to the Eastern Province (E.P.) in the
form of S. Chandrakanthan, its Chief Minister, and his
party, Thamila Makkal Vidu Thalai Puligal which controls
the Eastern Provincial Council (E.P.C.).
reception hosted by the Sri Lanka Association of Inbound
Tour Operators (S.L.A.I.T.O.) at Trincomalee last
Saturday, in a seemingly muscle flexing move,
Chandrakanthan speaking at this occasion said that he
wants Tourism Ministry land allocated to prospective
investors, but yet remaining undeveloped, to be given
over to the E.P.C., seemingly to expedite such
Trincomalee with its beaches and tranquil seas is a
natural tourist attraction.
vast bulk of state land in the E.P. comes under the
E.P.C., with that which comes under the Tourism
Ministry, numbering only a few hundred acres.
Chandrakanthan, a former terrorist, better known by his
L.T.T.E. nom de guerre Pillayan, told this newspaper
that he would be meeting the President in this regard
peace once more restored in the country after the
elimination of terrorism in a bloody conflict that
lasted 26 years, tourism, which has vast potential in
the island is again looking up.
Lanka Tourism Development Authority (S.L.T.D.A.)
Chairman Bernard Goonetileke explaining the reasons for
the delay in kicking of these tourism related
development projects in the East told this newspaper
that this was because of tedious approval processes
where the investor has to get more than 20 approvals
before he could start on his project.
Therefore the time taken to obtain all of those
approvals takes about a year, he said.
more than 30 years of practising an open economy, this
time delaying approval process that investors have to go
through, is indeed a sad indictment on the country.
be judicious for the Government to identify tourism as a
thrust industry in the present context and have a “one
stop” shop either in the B.o.I. or in the S.L.T.D.A. to
cut across this red-tape and at least reduce the current
approval process from the present one year, down to at
least three months.
with B.o.I identified as the “one stop shop” for
investors, it may sound ironic the creation of another
“one stop shop,” but this may be the reality. If
necessary legislation is needed to mimimise bureaucracy,
then let those be brought before parliament as an
emergency measure and passed.
Trincomalee town and Nilaveli, where we reporters were
taken by S.L.A.I.T.O. in this whistle stop tour last
week-end to cover their A.G.M. held at Club Oceanic last
Sunday, were full of local tourists, who had made this
journey by the busloads from the South to visit this
Eastern Coastal Capital.
tourism taking a beating due to the near three decade
long terrorist war that concluded just four months ago,
the only two major hotels in Trincomalee, Nilaveli which
overlooks the beach and Club Oceanic, the other beach
resort, with a combined room strength of less than a 100
were fully booked for the week-end.
Trincomalee with its placid seas and white beaches
appears to have the ideal setting to promote “sun and
sand” tourism in the country.
like Club Oceanic are on an expansion drive, taking
advantage of this situation, though, foreign tourists in
their numbers were not quite visible, maybe because this
time of the year is the off-season period for tourism.
global recession may also act as a stumbling block to
deprive the industry and the country the tourism numbers
that they would like to have, though now the world
appears to be coming out of the recession.
was also the first time that S.L.A.I.T.O. which
coordinates with overseas tour operators to get down
tourists to the country had their A.G.M. outside
S.L.A.I.T.O. representatives told this reporter that
this was also the first time that they were visiting
Trincomalee after the July ’83 riots.
banker told this reporter while local investors have had
already begun, or are making arrangements to begin their
investments in tourism, prospective foreign investors in
the same sector have also started making inquiries, such
as land acquisitions for such investments.
let not bureaucratic red tape and nonchalance kill this
this 21st century,
is not the only tourism destination available for
tourists and investors alike.
home there are the Maldives, India and even Nepal, not
forgetting other developing markets such as Indo-China
(Vietnam, Cambodia and Laos), and established markets in
the region such as Malaysia and Thailand.
the variety that this island has to offer the tourist,
tourism can easily become Sri Lanka’s single biggest
source of foreign exchange, climbing to the top from its
current 4th place.
However there needs that political will to do things
expeditiously, to make this change a reality.
example of this is the Kandalama hotel in Dambulla,
where Ranasinghe Premadasa, the President of that day,
left no stone unturned to help the investor to put up
this hotel, despite political and religious protests.
capable public servants to help him in that task, in the
likes of the then Treasury Secretary K.Paskaralingam,
Secretary to the President K.H.J. Wijedasa and
Wijedasa’s predecessor Bradman Weerakoon.
hoped that President Mahinda Rajapaksa will emulate that
example by pushing the bureaucracy to expedite such
investor applications and have capable people at the top
to take this industry forward.
Pillayan told this reporter that he wants such
the existing bureaucratic environment in which the
industry has to operate, whether the periphery taking
over such investment decisions would make that change is
first needs to be a structural change, otherwise it may
be a case of changing the pillow to cure the headache.
is one of the poorest provinces in the country. This
agro and fisheries based economy requires that thrust
provided by the tourism industry to take it forward.
This opportunity may not come again. The island cannot
afford another insurrection.
Government must create that enabling environment, the
market will do the rest. It has the full backing of
Pillayan, but whether the market has the same backing
from the Government is the question.
M.I.G.A. has cover for hedging
Bank’s (W.B.’s) M.I.G.A. guarantee fund may have
provisions to cover sovereign defaults on price hedgings,
a promoter said.
Lanka is a signatory to the M.I.G.A. convention.
M. Perera, Chief Counsel/Adviser, Multilateral
Investment Guarantee Agency (M.I.G.A.), a W.B.
subsidiary, addressing a conference at the B.o.I. on
Monday (September 14) said that M.I.G.A. political
insurance covers encapsulates foreign direct investment,
foreign management contracts and foreign debt for
said that under the “foreign debt for investments”
portfolio, i.e. bank credit, such as in relation to the
government owned Ceylon Petroleum Corporation’s (C.P.C.’s)
hedging imbroglio, where C.P.C. is refusing to honour
claims estimated at some U.S.$ 800 million, mainly dues
to foreign banks, those financial institutions, if they
had got M.I.G.A. cover, that would have had saved them
the trouble of having to go to international arbitration
to recover their dues as the case now is.
said that because M.I.G.A. is a W.B. adjunct, it has the
clout to negotiate against such “defaults” unlike
private insurers and make recoveries, after paying their
liabilities to the aggrieved investor.
which hedged against the upside risk against rising oil
prices, before the oil price bubble burst in July of
last year, took a hit because of its sudden downturn,
but refused to pay its liabilities on the grounds that
those contracts were flawed, a view upheld by the local
M.I.G.A. covers hedging against interest rate risks in
relation to bank debt.
said that Lanka Indian Oil Company Ltd. (L.I.O.C.) at
one time was interested in getting M.I.G.A. insurance
cover, but then backed out. Perera said that if L.I.O.
C. had been covered by M.I.G.A., it could have had
avoided the losses it made when the Government of Sri
Lanka (G.o.S.L.) refused to accede to its request for a
price increase at the pump, when oil prices were going
value of M.I.G.A. insurance, which mainly covers
infrastructure projects, may vary from U.S.$ 100,000 and
upwards, where, in the case of equity, upto 90% of it
may be covered, whilst in the case of debt, it goes upto
M.I.G.A., which like the W.B. is based in Washington
D.C., has, under the broad gamut of political risks,
political insurance covers against “war and civil
disturbances,” “nationalization and expropriation,”
“transfer and conversion risk,” which includes issues
dealing with the repatriation of foreign exchange and
“breaches of contract” where the defaulter is a
insuree may buy only one M.I.G.A. policy if it so
“M.I.G.A., since its inception in 1988 has had only two
foreign investors in Sri Lanka seeking its cover, namely
Societe Generale, a French financial institution which
has since exited from the country and a Japanese
independent power producer,” said Perera.
said that M.I.G.A.’s worldwide portfolio at present was
valued at U.S.$ 21 billion, constituting only 2% of such
covers, with the rest of the business grabbed by private
April of this year, the annual premium payable varied
from 0.34% to 1.5%, but since then this range has been
removed, with premia decided on a case by case basis.
Perera said that with Sri Lanka emerging into a post
conflict scenario, it was a potential market for M.I.G.A.
also said that as is the usual case, the cost of the
M.I.G.A. insurance premium would ultimately have to be
borne by the end user, the consumer. There is no cover
against “corruption,” added Perera. M.I.G.A. since its
21 years in existence, has made only five payouts,
including in relation to projects in Nepal, Kenya and
Garments, investment goods decline in July
Textiles and garments export earnings declined by 18.4%
in July, contributing 34.6% for the total decline in
export earnings to U.S.$ 652 million, a 23.1% year on
year (y.o.y.) decline.
However, food, beverages and tobacco category registered
a 1.6% y.o.y. growth in July mainly due to substantial
growth in fishery products exports. Fish and garments
exports to the European Union enjoy duty free access
under the G.S.P. + concession.
Further, investment goods expenditure declined by 24.3%
to U.S.$ 205 million in July 2009 reflecting declines in
all sub categories
Meanwhile, the U.S.$ 652 million export earnings is
the highest figure during the first seven months of the
year, while July 2008 recorded the highest ever export
earning for a month.
largest contribution to the July 2009 decline was from
industrial exports (71.7%), followed by agricultural
Exports of all sub categories of agriculture sector
declined in July 2009, resulting in a 26.4% decline in
total agricultural exports. Contraction in tea exports
volumes by 21.2% led tea export earning to drop by
Export earnings from rubber, coconut and other
agricultural exports also declined due to lower prices.
Industrial exports declined by 22.4% in July 2009 mainly
due to the decline in export earnings of textile and
garments, rubber products, machinery and equipment and
other industrial exports owing to lower demand, while
rubber products declined by 41%. Cumulative exports
during the first seven months of 2009 declined by 18.9%
to U.S. $ 3,841 million y.o.y.
However, there is a sign of recovery in many export
sectors such as rubber based product, animal fodder and
mineral export since April 2009.
Consumer goods declined by 24.6% to U.S.$ 172 million
led by substantially lower import expenditure on of
wheat grain, motor cars and cycles.
Electrical items import expenditure also reduced in July
2009. However sugar import expenditure significantly
increased due to higher import volumes and higher
prices. Intermediate goods imports declined by 29.6% to
U.S.$ 526 million mainly due to the lower expenditure
incurred on petroleum and fertilizer imports.
average price of crude oil imports declined by 49.2% to
U.S.$ 68.29 per barrel y.o.y. in July 2009. As a result
of lower import volumes, fertilizer expenditure declined
significantly. Investment goods expenditure declined by
24.3% to U.S.$ 205 million in July 2009 reflecting
declines in all sub categories. Cumulative import
expenditure during the first seven months of 2009
declined by 35.3% to U.S.$ 5,353 million y.o.y.
official reserves with and without Asian Clearing Union
(ACU) funds recorded U.S.$ 2,278.1 million and U.S.$
2,189.3 million respectively, by end July 2009.
on the previous 12 month average imports (U.S.$ 924
million per month), these reserve values were equivalent
to 2.5 and 2.4 months of imports respectively.
Foreign exchange (Forex) inflows have also “responded
favourably” to the positive outlook brought about by the
end to the three decades of conflict and approval of a
Stand-by Arrangement (S.B.A.) facility by the
International Monetary Fund (I.M.F.). Total net foreign
inflows to the government T-bills and T-bonds since mid
May 2009 to September 11, 2009 amounted to U.S.$ 1,214
the meantime Central Bank of Sri Lanka (C.B.S.L.) is in
the process of building up its official reserves to a
more comfortable level by absorbing excess forex from
the market. Since end March 2009, upto September 9, it
has absorbed U.S.$ 1,955.9 million from the market. In
addition, with the approval of the new general and
special allocations of Special Drawing Rights (S.D.R.)
by I.M.F. on August 28 and September 9, 2009
respectively, Sri Lanka has received S.D.R. 324.6
million (U.S.$ 508 million) and thereby C.B.S.L.’s
foreign reserves have improved significantly.
Accordingly, gross official reserves (without ACU) has
been estimated to exceed U.S.$ four billion by September
Meanwhile the trade deficit contracted for the seventh
consecutive month in July 2009 by 37.3% to U.S.$ 260
million y.o.y. led by lower trade volumes.
Cumulative trade deficit decreased by 57.2% to U.S.$
1,512 million during the first seven months of 2009.
Private remittances increased by 6.5% to U.S.$ 1,884
million during this period. As a result, private
remittances during the first seven months of 2009 were
U.S. $ 372 million (about 25%) in excess of the trade
Health policy with wealth
Assurance notched up another first in the insurance
industry with the launch of Union Health Deposit, the
first and only health insurance policy in the market
that pays interest on premiums paid, while providing
coverage for surgical and hospitalization expenses.
Health Deposit is the ideal product for individuals who
want insurance to meet unexpected surgical and
hospitalization expenses,” said CEO Mrs. Marina
Tharmaratnam. The policy covers an individual for a 10
year period, and is available in three options to suit
the lifestyle needs and financial capacity of all
segments of the market.
Health Deposit covers more than 200 surgeries.
Policyholders will also receive a fixed sum on a daily
basis in case of hospitalization. In addition, a
component of the premium paid is accumulated in a
Medical Assistance Account which earns dividends
of the funds in the Medical Assistance Account could be
withdrawn to meet additional medical expenses soon after
completing the first year. If the funds are not utilized
or only partially used, monies lying in the account can
be withdrawn at the end of the policy period.
policyholder will have his or her own account maintained
of the key features of the product is that the money
lying to the credit of an individual Medical Assistance
Account will earn dividends on a compounding basis,”
said General Manager Actuarial Pushpakumar Gunasekera.
“In addition to health related benefits, the product
provides a financial safety net in case of total and
permanent disability or death, including an inbuilt
facility for premiums to be waived in case of
disability, without limiting medical assistance benefits
for the rest of the policy period.”
Health Deposit which combines the benefits of health
insurance with the features of fund accumulation, makes
it an attractive proposition for individuals who have no
medical insurance coverage or for persons who require an
additional coverage to meet the escalating health and
hospitalization costs in Sri Lanka.
time most companies are reluctant to offer health
insurance benefits to individuals, Union Health Deposit
is a unique product which meets an urgent need in the
market. And premium rates will remain unchanged for the
entire term of the policy irrespective of policyholder’s
claims experience,” said Marketing & Distribution
General Manager Rukman Weeraratne.
invest healthily in Union Health Deposit. Health makes
Exporting to India if G.S.P. + is lost
tableware exporter is planning to make inroads into the
Indian market, now that the G.S.P. + duty free
concession in exports to the European Union (E.U.) is
under threat due to Colombo’s alleged human rights abuse
in its successful prosecution of the recently concluded
war against L.T.T.E. terrorism.
earlier had India as a back-up arrangement, but now we
want to exploit that market,” Sunil Wijesinha, Chairman
Dankotuwa Porcelain, told reporters on Tuesday.
Dankotuwa which provides employment to 1,000; makes over
50% of its exports in value terms, by exporting to the
E.U. on a duty free basis under the G.S.P. + scheme,
which concession however is now under threat.
Tableware exports to the Indian market are duty free
under the Indo-Lanka Free Trade Agreement.
Wijesinha said that though Sri Lanka also has a free
trade agreement with Pakistan, porcelain exports to that
market is however subjected to normal duties on account
of protectionism afforded to one major Pakistani
are working on this matter,” said Wijesinha.
industry said that the withdrawal of the G.S.P. +
facility would make Sri Lanka’s ceramic exports to the
bulk of the country’s ceramic exports, valued at U.S.$
42 million, goes to the E.U.
industry employs some 5,500.
said that their main competitors were Bangladesh which
also enjoys duty free exports to the E.U. by being
classified as a least developed country; as well as
China, Indonesia, Vietnam and Thailand, though not
enjoying duty concessions, yet having a plus over Sri
Lanka because of low energy prices compared to prices
prevailing in the island, he said.
Lanka’s main ceramicware exports to the E.U. region are
tableware/kitchenware and “ornamental and other article”
for which under the normal G.S.P. scheme would be
subjected to duties of 8.5% and 2.5% respectively.
is a duty concessionary scheme introduced by the
European Commission (E.C.) to enable developing and
least developing countries to export their products to
the E.U. Whilst G.S.P. + enables such exports to be made
duty free. under the normal G.S.P. concession, the buyer
will have to pay a duty, which, however would be less
than the normal duty he would otherwise have had to pay.
Wijesinha said that his industry would not be able to
survive if his buyers are subjected to an 8.5% duty on
such imports under the normal G.S.P. scheme. Sales of
such products to the local market however are nominal
compared to their export values.
company’s exports to the E.U. region in the first eight
months of this year raked in Rs. 300 million.
strong rupee is another problem facing exporters, he
exports to the U.S.A. are however falling due to the
is threatening to withdraw the G.S.P. + duty free
concession to the island on the grounds of alleged human
rights abuse in its prosecution of the recently
concluded war against the L.T.T.E. terrorists. E.C. is
expected to take a decision in this regard next month.
Rs. 4.3 mn. in two months
Central Finance’s (CF’s) “Viru Diri Leasing” begins a
successful journey in rebuilding the livelihoods of war
heroes with a donation of Rs.4,272,500 made to the ‘Api
Wenuwen Api’ fund for July/August alone to Defence
Secretary Gotabaya Rajapaksa recently.
risked their lives for us for over 30 years and were
successful in regaining peace throughout the nation. We
at CF believe that it is now time for us to do our part
as citizens of Sri Lanka to help rebuild the livelihood
of our war heroes.
introduced the “CF Viru Diri Leasing” scheme, which
currently offers the lowest down payment in the
island-Rs.61 000 and the lowest monthly rental for a
brand new or registered three wheeler. There are no
additional costs or hidden charges in this scheme. All
you need to do is pay the initial down payment and the
insurance premium to lease a three wheeler from CF. CF
will then donate Rs.2,500, to the “Api Wenuwen Api’ fund
for every three wheeler leased on this scheme. What’s
more, your three wheeler will be delivered free of
charge to any part of the island.
happy with the positive response to this scheme so far
and are also proud to mention that it donated
Rs.4,272,500 for the months of July and August alone.
is just the beginning and we expect to raise and donate
more money through the ‘Viru Diri Leasing’ scheme in the
near future and continue to support the ‘Api Wenuwen Api’
fund that ensures a bright future for our war heroes,
the Company announced.
Yields fall by 100 b.p.s
Secondary market yields of the more popular Treasury (T)
Bonds of 2013 maturities and beyond fell by 100 basis
points (b.p.s) week on week (w.o.w.) to 11.50% on
Friday, coinciding with Central Bank of Sri Lanka’s (C.B.S.L.’s)
50 b.p.s rate cut of its overnight prime lending rates
to banks to 10.50% last Friday.
rates have come along way from the 19-20% levels they
were commanding at the beginning of the year to these
low levels currently because of the war end, sources
said. This is now being buttressed by the fact that the
world is coming out of the recession, they said.
Foreign inflows after the war end four months ago has
boosted market confidence that Government of Sri Lanka (G.o.S.L.)
will not have to go to the domestic market to meet its
borrowing needs, hence the reason for the easing of
pressure on rates, sources said.
Another plus factor is foreign reserves rising to a
record U.S.$ four billion.
“Whilst oil bill payments are deferred, even if G.o.S.L.
has to pay a U.S.$ 600 million oil bill, honouring such
a commitment on a U.S.$ four billion reserve position
is different from having to meet this liability from a
U.S.$ 1.2 billion reserve situation,” they said.
Sources alleged that a pre-condition for the I.M.F.’s
U.S.$ 2.6 billion standby arrangement was that G.o.S.L.
has to maintain reserves equivalent to three months of
imports which works out to U.S.$ three billion.
C.B.S.L. with U.S.$ four billion in reserves is well
within those parameters, they said.
Sources further said that the foreign exchange market
last week was dull, with C.B.S.L. continuing to defend
the U.S. dollar at Rs. 114/80 per unit.
Rs. 17 bn. from spices
exports in the financial year 2008/09 raked in Rs. 16.8
billion, with volumes growing from 29,122 metric tons (m.t.s.)
to 33,026 m.t.s year on year.
Daily av. turnover tops a bn.
bourse driven by high networth individuals and corporate
interest in stocks such as J.K.H., P.A.B.C. Bank and
Browns saw turnover top the Rs. one billion mark for the
third consecutive day at Friday’s trading, though the
benchmark A.S.P.I slipped by 4.61 points over that of
Thursday’s close, however the more sensitive M.P.I.
gained by 3.46 points during this 24 hour period.
week under review saw a net foreign inflow of Rs. 387
million, as opposed to a net foreign outflow of Rs.108.7
million the previous week.
A.S.P.I. gained by 3.49% week on week (w.o.w.) to close
at 2,939.44 points while the M.P.I. gained by 9.88% to
close the week at 3,293.48 points. Daily average
turnover at Rs. 1.2 billion was a w.o.w. increase of
9.1%. Market capitalization in the period under review
increased by 3.5% to Rs.941.2 billion.
Tourism, agriculture, to spur credit
Tourism and Agriculture investments are two sectors that
investors are now looking at for credit, market sources
told The Sunday Leader.
expected such investments to take-off next year.
Feasibility studies are currently being undertaken, they
investments are mainly driven by locals, with foreigners
also making inquiries on land purchases and such like,”
the sources said.
Foreign funds moving into the country is another show of
confidence, they said. In the agriculture sector it’s
mainly plantations, cinnamon and cash crops that
investors are looking at, spurred by Central Bank of Sri
Lanka’s (C.B.S.L’s.) requirement that 10% of bank
lending should be exposed to the agriculture sector, the
Meanwhile weighted average yields (w.a.y.s) of
Government debt at Wednesday’s Primary Treasury (T)
Bill auction fell sharply, in line with C.B.S.L.’s last
Friday’s 50 basis points (b.p.s) cut in its policy
W.a.y.s of 91 day bills fell by 40 b.p.s week on week (w.o.w.)
to 10.04%, 182 day bills by 43 b.p.s to 10.96% and that
of 364 day bills by 47 b.p.s to 11.50 at Wednesday’s
primary T Bill auction.
Sources expected market lending rates to also go down
accordingly, whilst cautioning that there was a lag
effect before the decreasing cost of Government debt
could be passed on to market lending rates.
lag effect may last 6-12 months, the sources said.
said that the reason for this lag effect was because of
the higher interest rate paid on bank deposits not so
long ago when inflation was 30%, with bank deposit rates
Private sector credit in the first six months of the
year shrank by 3%, mainly compounded by high lending
rates and falling prices due to the recession.
lending rates also resulted in bank non performing loans
rising to a near 9%. Interest rates on credit cards,
which come under the consumer banking sector however has
not come down, with those interest rates on an
annualized basis working out to some 40-50% still.
Meanwhile inflation as measured by the point to point
change in the Colombo Consumers’ Price Index (C.C.P.I.)
was 0.9% last month, while the annual average change was
Sources however expected that the point to point change
in the C.C.P.I. to have had bottomed-out, while the
moving annual average change was expected to dip some
more by the month end.
“Deflation may be good for a developed economy, but not
to a developing economy like that of Sri Lanka, “ they
said. Even the U.S. economy is suffering because of
deflationary pressure brought about by consumer
reluctance to spend, the sources added.
Concept that is Rocell
Ceramic Lanka Plc (Rocell) unveiled the Rocell Bathware
Concept Centre, Sri Lanka’s “best and only bathware
Showcasing the finest in designer bath and sanitary ware
in unique living spaces, Concept Centre invites
consumers to “immerse” themselves in an exclusive
Conveying every facet of the Rocell brand world, the
8,000 square foot luxury concept centre is the creation
of award-winning Italian interior designer Simone
Cagnazzo. Combining design and interior decoration with
design solutions for modern architecture, Cognazzo
created the elegant and stylish living spaces with the
object of stimulating and inspiring visitors to the
concept centre. By locating each piece in context, the
designer has fashioned authentic bathroom settings-from
the water flow to tiled surfaces.
concept centre presents complete bathroom designs and
environments that are cosmopolitan, contemporary, and
complete with running water. Displaying Rocell’s
extensive range of designer tiles, bathware and
accessories, the living spaces ensure customers are able
to make individual choices after experiencing the
finished setting. The addition of a spacious lounging
room ensures that customers receive a superlative
experience in shopping and service.
Bathware CEO/Director Tharana Thoradeniya said, “We are
proud to unveil this unique and innovative
accomplishment in the Sri Lankan bathware industry. The
Rocell Bathware Concept Centre is a live experience in
contemporary bathroom design, bringing a new
‘sensuousness’ to the bathroom as a living space. The
concept centre reflects our values of design,
innovation, quality, and strong commitment to ensuring
the highest standards in terms of functionality, while
also creating a place for interaction with our valued
internationally accepted, aesthetically pleasing,
premium quality Rocell bathware and tiles featured at
the concept centre are manufactured at the company’s
state of the art production plants while faucets and
accessories are imported from Europe.
Complying with British Standard Specification BS EN
3402-1969, all Rocell Bathware products are manufactured
to the highest international standards and carry the
internationally accepted Watermark Certification for
efficiencies in flushing and water saving capabilities.
Cognizant of the need for high quality across every
aspect of its product, the Rocell Bathware portfolio
utilises duraplex-an antibacterial cellulose derived
material for its seat covers, guaranteeing total
sterility throughout usage. Soft closing or controlled
seat fall mechanisms have been introduced to select
Rocell Bathware models to allow for seat and covers to
close with no intervention by the user. Unique to the
bathware market in Sri Lanka, is Rocell’s offer of a 25
year written warranty for its entire bathware portfolio.
Unilever Sri Lanka continued its successful trend in
advancing its rank position in the fifth annual
compilation of LMD’s Most Respected entities in Sri
company moved up two notches to secure the 5th position
in the rankings thereby maintaining Unilever’s position
as the highest ranked multinational on the list.
annul survey, conceptualized and commissioned by LMD,
Sri Lanka’s leading business magazine, covered a sample
of 800 senior business executives and is designed to
rank the ‘Most Respected’ entities in Sri Lanka and
determine the reasons why they are perceived as such by
Colombo’s business community.
previous years, the ranking is based on an evaluation of
companies’ performance on 10 criteria-financial
performance, quality consciousness, management profile,
honesty, innovation, dynamism, work environment, CSR,
vision and national mindedness. The all-star analysis of
various key performance indicators used in the survey
showed that Unilever continued to score high on business
performance, quality consciousness, work environment,
vision, innovation, honesty and dynamism.
Unilever Sri Lanka Chairman Amal Cabraal, commenting on
Unilever’s continuous progress on the LMD’s Most
Respected list, said it was a reflection of the
company’s commitment to its core values. “I am delighted
that Unilever Sri Lanka has not only improved its
ranking on the list, but also maintained its position as
the highest ranked multinational once again”.
Choosing foreign degree
Private tertiary education in Sri Lanka has been
transformed into being vultures by certain institutions
which are onlyl out to make money.
Particular organizations are harping on the fact that
they enable parents/students to save 70% of their
expenditure to earn a quality British degree. How is
this possible when you spend Rs. 600,000 in Sri Lanka
just to earn a diploma offered by a local body with
almost no quality assurance and then spend Rs. 1.5
million annually in UK, just for tuition fees?
will be spending Rs. 7.5 million to obtain British
degree, taking in to account the cost of living
Private tertiary education is not just representing a
foreign University in Sri Lanka. Does the institution
take responsibility for your child’s education,
qualification and quality of life promised in the
advertisements? There are some institutions which have
long standing associations with recognized & prestigious
foreign universities. These institutions will not be
able to function for so long unless they have been
responsible in their actions. But there are some who
have ventured into the industry in the recent past, who
are in it for the short run to make a quick buck. These
are the organizations offering ‘carrots’ to parents &
students in the form of 70% savings.
of the private tertiary education institutions in Sri
Lanka are reluctant to adopt a policy of allowing
students to pay the total fees upfront. Nor are they
willing to take a policy of not revising fees once
students register for a particular programme. Is it not
fair that parents should know exactly how much they
would be spending on their child’s education from
beginning to end?
Institutions are boasting of having ‘foreign’ lecturers
in their panels. But are these foreigners actually
Lecturers in an undergraduate & post-graduate programme
should be representing the standards, quality &
benchmarks set by the foreign universities. Whether they
are local or foreign, they should be adequately
qualified & should have extensive industry experience to
be able to maintain quality classroom time. They need to
be appointed by the university the institution
represents & constantly assessed by the same university.
popular institutions even resort to using their own
students soon after they graduate from their own
programmes as lecturers. These lecturers has at most
instances, not even seen the light of a real corporate
environment. So what will they pass on to your child? It
is a huge cost saving to the institution, as these
‘lecturers’ come much cheaper.
Credit to govt.
deposit growth witnessed in the first six months of the
year is being rechannelled for investments in government
securities and to private credit.
the industry as a whole witnessed a negative 3% credit
growth to the private sector in the period under review,
HSBC’s lending to this sector however was a positive 3%.
The bank which is the leader in the credit card business
in the island commands 27% of those numbers and 40% of
non performing loan portfolio is lower than the industry
average which is closer to 9%. (Excerpts from HSBC Sri
Lanka and Maldives Chief Executive Officer Nick A.
Nicolaou’s speech to reporters on Monday as well as from
another HSBC source)
Exercise books manufacturer
Education Minister Susil Premajayanth was the chief
guest at the NSP Exercise Books sales convention which
was held in Colombo recently.
was founded by late Ariyadasa Ranasinghe in 1942.
Ranasinghe was president of the Union of all Island
Exercise Books Manufacturers until his death. The
company uses German machines in its book manufacture.
Managing Director Parakrama Ranasinghe addressed the
Rs.1.2 mn. donation
Lankan Army Commander Lt. General Jagath Jayasuriya
accepting the donation from Chevron Lubricants Lanka PLC
Managing Director Kishu Gomes. Also in the photo is
Finance Director Anura Perera. Chevron Lubricants Lanka
PLC recently donated relief items to the value of over
Rs. 1.2 million to the IDPs in the North. The donation
included baby shirts, vests, nappies, towels and feeding
bottles; and clothing, bed sheets and footwear for men,
women and children of all ages.
Grooming top managers
is precious and for many people time is a constant
you at a point in your life where your qualifications
need a boost? Does your career need a kick start? So
many of us are striving for better things; better
employment opportunities, better salaries and all round
better prospects either at home or abroad.
enhance your present qualifications and boost your
career, Northwood University, Michigan, U.S.A. have
introduced a Bachelor of Business Administration (B.B.A.)
degree specializing in Management.
unique programme can be completed entirely in Sri Lanka
in as little as one year. The B.B.A. Management degree
comes under the Executive Education suite of programmes
offered at the Northwood University International
Programme Centre, Sri Lanka. The Executive Education
programme is aimed at students who have professional
qualifications coupled with at least 2 to 3 years work
Northwood University has been providing specialist
business education and the resulting career growth
opportunities to current and aspiring managers and
executives in the U.S.A. for 50 years. Northwood
University’s management and entrepreneurship focus
prepares students to become future leaders of a global
and free enterprise society.
University has three residential campuses in America,
over 29 extension centres across the USA and
international programme centres in Europe, Middle East,
South East Asia, China and Sri Lanka. Northwood
University is truly global.
are the benefits you can expect from a Northwood
University specialized management degree? Direct entry
to the final year of a specialized management degree for
those who hold qualifications in CIMA Managerial Level,
ABE Diploma and BTEC Edexcel HND. Professionally
qualified students are able to consolidate their past
education and receive credit for relevant studies
students receive an internal B.B.A. Management degree
direct from Northwood University, USA..
international degree can be completed in as little as
one year. Simple course structure: Twelve taught course
units are required to complete the degree with one
course being studied per month. All classes are held on
will be learning from the best. Unlike distance learning
programmes, students receive individual learning support
from industry specialized faculty who hold masters and
Exemptions for work experience: Northwood University
recognizes the wealth of experience as a result of your
career so far. For this reason it awards exemptions for
some courses based on work life learning experience.
will have the opportunity to take part in local and
overseas field trips along with having the chance to
listen and interact with highly regarded guest speakers
will be able to enhance your learning through having
access to Northwood University’s online library
facilities. Nought per cent interest instalment payment
plan: Affordable tuition fees are combined with a 12
instalment interest free payment plan.
see yourself in management, as an industry leader, as
the creator of your own company, as a prime example of
success, Northwood University is the place for you.
Always No. 1
is the 1st in per second billing, 1st in life time bonus
with every reload, 1st in total incoming free and the
1st in Call Collector. The innovator in mobile
communication has once again launched another 1st, Call
Collector 2 with one month of phone calls free to one
selected Tigo number.
Tigo we believe that customer is king and satisfying
them is our main focus in all our innovations. We strive
to provide our customers with the best products and
services to suit their life style,” said CEO Dumindra
“There are different kinds of products offered by all
networks in the market today. But at Tigo we make sure
that our products offer maximum value to our customers.
Therefore every product innovation is designed to
benefit our customers,” he said.
collector 2 is an extension of Call Collector and
specifically targets customers that call one specific
number all the time,” added Ratnayake.
Call Collect 2, all chargeable outgoing seconds
collected during one calendar month can be used on one
selected Tigo number through the following month free.
All what the customer needs to do is to dial from
his/her Tigo phone and activate the Call Collector 2
the one number feature is activated, from that point
onwards till the month end, the customer can use all
collected seconds to take free calls to the selected
Tigo number. If the customer’s previous month’s usage
exceeds Rs. 200 or more from the point he finishes the
free seconds, all outgoing calls made to this specific
Tigo number will be at two cents per second. SMS to this
selected number will be charged at 75 cents.
Collector 2 gives our customer more freedom to call one
specific number all the time. They can now freely
express themselves as the feature can be used 24 hours a
day 365 days of the year,” said Ratnayake.
are confident that our customers would enjoy our new
Call Collect 2 service and assure them that Tigo will
continue to give them the best in affordability,
accessibility and availability,” he further said.
From pinnacle to pinnacle..
By Kshanika Argent
Elephant House Ice Cream’s dominance has spread beyond
the local market, having gone on to capture 50% of the
Maldivian ice cream market.
new development has placed the brand in the same league
as international ice cream giants Walls, Nestle and
Haagen Dasz, said Ceylon Cold Stores’ Frozen
Confectionary Head Neil Samarasinghe.
Speaking to The Sunday Leader, Samarasinghe said that
Elephant House Ice Cream owes its popularity to constant
innovation, trusted quality and a heritage that dates
back half a century coupled with a serious approach to
research which has followed local consumer tastes
closely for decades.
the good news for Elephant House Ice Cream doesn’t end
there. The company is now basking in the glory of a
successful launch of a new ice cream variant, Hakuru
Mix, launched on September 2 and is available at all
supermarkets and 20,000 retail outlets.
According to Samarasinghe, Hakuru Mix is a vanilla based
ice cream blended with the finest local kithul jaggery
sauce and was introduced to the local market after
months of research which went into perfecting the
said, “Our research found that Kiri Pani, another one of
our products launched sometime ago was a hit, but had
its niche. One thing we’ve noticed over the years
however is that Sri Lankans have a long tradition of
mixing treacle into their deserts, curd, yoghurt and
even vanilla ice cream-which is a habitual and
historical consumption pattern. It’s with this insight
that we created Hakuru Mix, reinventing a purely local
habit and giving it a new dimension.”
keeping with the ‘local’ flavour, Samarasinghe added
that Elephant House Ice Cream combined a CSR project in
the making of Hakuru Mix.
the finest local vanilla from the Kandy Vanilla Farming
Association was used in the production of Hakuru Mix,
boosting the local industry and saving millions of
rupees that would have had otherwise gone out of the
Samarasinghe added, “Over the past eight years the local
vanilla farming industry has grown and developed in ways
that can only be described as remarkable. A lot of
companies throw big money around on projects that they
don’t see through. But we’re proud to say that this is
one project that has worked well for us and we’re glad
to be apart of something so important to the country and
the people. We’ve seen an entire society, over 25,000
vanilla farmers, improve their way of life through hard
work, commitment and teamwork. Their income levels have
leaped and now we’re self sufficient in vanilla to the
extent that we’re looking for an international market
for our vanilla. We’re happy to play a part in further
boosting them and hope that others will follow our
topic of further product expansion and the company’s
reach in the island, Samarasinghe said that many more
variants are in the pipeline, “but will take a slow and
steady path in being released.”
“We’ve never believed in ‘testing’ out products on our
consumers. We have researchers and a highly qualified,
dedicated team and we never release a product into the
market if we’re not 100% confident of it. I think this
formula has worked well for us and we’ll stick to it.”
also added that distribution would be expanded to many
parts of the country that were once out of reach,
including the North and East. He said, “We’ve always had
a presence in Jaffna but with the A9 opening again,
we’re rapidly expanding. What’s more, we can finally
sell at MRP, which is great news for consumers. Jaffna
is definitely our next target market and we’re looking
to invest heavily in this area.”
topic of market share, Samarasinghe said that he’s
delighted with the company’s place as market leader at
home and how the trend is spreading overseas as well.
“The 50% market share in Male is a great achievement.
It’s good to see a Sri Lankan product in the same league
as giants like Nestle, Walls and Haagen Dasz.”
Elephant House currently commands more than 60 % of Sri
Lanka’s ice cream market and looks set to continue
delighting its rapidly expanding clientele both at home
and abroad with new ideas, flavours and variants. He
said, “Almost every family in Sri Lanka has experienced
the uncompromising quality delivery and value throughout
generations. We’re an established household name and are
now fairly confident that we can take this to greater
heights, and foreign markets.” It’s a slow and steady
climb to the top, but a brand as indomitable as Elephant
House Ice Cream, the journey promises to be a prosperous
Building a nation’s future in times of recession and
global dis-equilibriums will be the focus of the keynote
address to be delivered by Prof. J.D.Agarwal, founder
Chairman & Director of the Indian Institute of Finance (I.I.F.)
& Editor-in-Chief of Finance India at the inauguration
of the CIMA Business Leaders’ summit that kicks off on
October 5 at the Cinnamon Grand Colombo on the theme
“the Challenge-Now and Ahead”.
Agarwal is a leading economist, financial expert,
lecturer and media personality.
his most important contributions is to found the
prestigious I.I.F. in 1987.
Business leaders’ Summit is CIMA’s flagship event
designed to address matters of corporate, national and
social interest across the Asia Pacific region. During
the two day summit, paper presenters are expected to
bring forth the challenges and possible recovery
strategies, particularly in relation to South Asian
region for discussion.
New ICASL syllabus
most decisive Advanced Level exam has now concluded. It
is a time to relax and be happy of the hard labour you
invested and the sweat and tears you shed to make a new
opening for your future career.
bear in mind that passing you’re A’ Levels may not be an
adequate qualification. Today we find many high sounding
qualifications which, however has little recognition. It
is also common to find cheap qualifications with no
recognition at all.
is important to youngsters is to choose a qualification
which has both affordability and recognition. Institute
of Chartered Accountants of Sri Lanka (ICASL), Sri
Lanka’s national accounting body provides just that.
has now opened a clear path, especially for school
leavers offering them a wide range of opportunities
through its revised new curriculum for 2010.
new syllabus change is in par with international trends.
Under the New curriculum, the study course has been
structured into three levels as Certificate in
Accounting & Business (CAB) which consist of four
modules based on Semester end Examination & Top CA Case
study, IT Skills development module & Practical training
module and a Communication module based on a workshop
and finally a presentation on skills module.
Diploma in Accounting & Business (DAB) which covers five
modules based on semester end exams, Communication
module based on CAT and a IT skills development module
along with a practical training module. And finally
comes the Associate Chartered Accountant (ACA)
qualification which contains seven modules based on
Semester end Exams, two communication modules based on
semester end examinations, an IT skill development
module and a practical training module. All these levels
are well recognized both locally and overseas and gives
the student a thorough understanding on key subjects
related to accounting such as Accounting and Finance,
Assurance and Related Services, Performance Measurement
and Reporting, Strategic Business Management and
Taxation and Legal Se
Stay connected in Sri Lanka
SriLankan Holidays has teamed up with the country’s
flagship mobile services provider Dialog Telekom to
offer a free local mobile connection to all passengers
flying into Colombo on its inbound holiday packages.
arrival at the Bandaranaike International Airport, the
passenger will be provided a local number on his foreign
SIM or a Dialog pre-paid connection together with some
start-up talk-time. Thereafter, the account can be
topped up depending on the passenger’s requirement.
SriLankan Holidays General Manager Amith Sumanapala
said: “We are excited about this service that we are
offering to the thousands of passengers arriving in Sri
Lanka from the world over through SriLankan Holidays.
This initiative will assure our clientele a memorable
stay in paradise isle.”
is also a boon to MICE groups and for passengers on
tour-holidays who need to be in regular contact with
their tour guides and ground operators. The Dialog
pre-paid connection is an economical and convenient
option for tourists to keep in touch with friends and
family back home whenever they are on the go.
Mobile Chief Executive Officer Supun Weerasinghe said:
“As Sri Lanka’s leading mobile telecom services provider
with the best in value, coverage, clarity and service,
we are pleased to join hands with SriLankan Holidays to
deliver cutting-edge telecoms services to international
travellers visiting Sri Lanka. Dialog’s superior network
infrastructure together with an ever-expanding
partnerships portfolio with global telecoms service
providers enable us to provide seamless and customised
communications solutions to both local and international
subscribers. We will leverage on this advantage to
provide travellers a local number to connect with
friends and family in the most convenient and affordable
Next gen. plant
India’s leading car manufacturer Maruti Suzuki India Ltd
inaugurated its next- generation KB-series engine plant.
The new series engine is another significant initiative
undertaken by the Company towards offering customers’
the latest technology.Maruti Suzuki Managing Director
Shinzo Nakanishi said, “We are happy to introduce a
brand new family of petrol engines to our customers.
Maruti Suzuki is the first company to introduce
fuel-efficient vehicles in India way back in 1983 and
have continuously improved the technologies over the
years. Like all Maruti Suzuki technology, this new
engine is highly fuel efficient, while offering the best
in refinement and performance. It will take engine
technology to the next level in India’’.
series engine will be mounted on the forthcoming model,
A Star from Maruti Suzuki. The 998-cc engine has been
designed to be environment friendly and fuel efficient
with its light weight construction and “innovative”
technologies to improve combustion and minimize
Smart Distributor Less Ignition system with dedicated
plug top coils, high pressure semi-return fuel system
and advanced injectors for superior atomization provide
uniform and optimized combustion for better performance.
The KB-series engine is ready to meet the future
emission norms, especially the Euro V norms for the A
Star export model.The KB engine plant has an installed
annual capacity of 240,000 engines. The new engine will
be manufactured in the state-of the-art, fully
integrated manufacturing facility inside the Gurgaon
Plant. Spread over an area of 20,300 m2. The new engine
plant is part of the Indian Rs. 9,000 Crore (1 Crore =
10 million Indian rupees) plan drawn by Maruti Suzuki
and Suzuki Motor Corporation announced earlier. The
company has committed to set up an R&D centre and
testing ground at par with Suzuki Motor Corporation,
Japan as per schedule. Besides building capability in
designing cars, Maruti Suzuki is also focusing on
enhancing R & D in engine technology. Maruti Engineers
worked as part of the Suzuki Engine Design team for the
design, calibration & testing of the engine at India &
Japan. This is a step forward in building the engine
development capability.The new KB series engine is a
result of R&D efforts and hours of design, validation
and testing. The engine realizes the spirit of the
global design trend of optimizing engine performance
through “innovative” design techniques.
associated at this event were M.M.Singh, S.Oishi and
Int’l broadband conference
2nd South Asia Broadband Communications Conference and
Expo will be in Sri Lanka in the first week of next
month (October 2009).
Conference is scheduled to be held at a Colombo hotel
from October 6-7 and will once again bring together
under one roof the world’s leading vendors, regional
operators, service providers, regulatory agencies,
channel partners and the corporate customer sector in
South Asia’s telecoms industry transition in the
conference will cover broadband deployment in
Bangladesh, Bhutan, India, Maldives, Nepal, Pakistan and
Broadband is becoming critical infrastructure component.
For Sri Lanka, improving telecoms infrastructure in the
North and East with WiMAX and LTE (both broadband
wireless technologies), one can be faster and cheaper
than using wired technologies which require digging
the island, thes Broadband conference will be an
opportunity for all the players in this sector to
discuss various alternatives and find solutions for
their needs. Also on the exhibition side of this
conference there will be a display of products for users
to take their pick.
Following its success with the first event, this year
too, the broadband conference will continue its coverage
of the latest technology and regulatory developments
while focusing on business case studies and development
plans of the main operators and internet service
providers in the region.
Head and Princeton, USA Computer Networking Consultant
Dr. Zoran who will conduct the conference said,
“Telecoms operators in the region are challenged by
fierce competition among themselves and cost sensitivity
of their residential and business customer bases. For
them it is important to make informed decisions about
the technology choices for infrastructure and to
differentiate themselves with the types and quality of
services and business models that will benefit their
main objective of the conference is to provide them the
forum to help out in that process by exchanging the best
practices across the borders of the region, and bringing
the potential of their services to business customers
through these informative conference sessions. “
Enhanced Pranama scholarships
Ceylinco Life has increased the value of its Pranama
scholarships for students who excelled at the Year 5
scholarship examination by 50%, students who excelled at
the G.C.E. Ordinary Level by 100%, G.C.E. Advanced Level
by 75% and scholarships for Merit award winners by 40%.
Consequently, selected Year 5 scholarship winners will
each receive Rs. 90,000, G.C.E. (O/L) winners Rs.72,000;
and students placed 1st in their districts at the G.C.E.
Advanced Level Rs.126,000. The scholarships for national
merit award recipients have been increased to Rs.35,000.
scholarships will be on offer to the company’s
policyholders’ children who obtained their policies on
or before December 31, 2008 from all districts of Sri
Lanka. The total value of the new scholarships that will
be on offer is Rs. 3.58 million.
Additionally, special cash awards of Rs 25,000 will be
presented to each of the students who achieved the
highest marks islandwide in mathematics, biology,
commerce and arts at the GCE (A/L) exams in 2008,
irrespective of whether or not they are the children of
policyholders. If, however, a policyholder’s child has
achieved this distinction, he or she will qualify to
receive both awards, the district-wise scholarship and
the special cash award.
company will award 160 such scholarships in January
Ceylinco Life’s flagship policyholder rewards initiative
in the field of education, The Pranama programme has
benefited more than 1000 ‘future leaders’ since the
first awards ceremony in January 2002. The total value
of scholarships awarded to date exceeds Rs. 33 million.
Besides the Pranama scholarships scheme, Ceylinco Life
has also established the Ceylinco Aloka Fund for
education which pays up to Rs 54,000 in 36 equal monthly
instalments on the death of an active policyholder in
the low income segment whose children are undergoing
primary, secondary or tertiary education.
P.a.t. up 30%
SriLankan Catering (Pvt) Ltd. reported a Rs. 1.26
billion after tax net profit in the 2008/09 financial
year, a 30% year on year increase. However the SriLankan
Airlines Group per se made a Rs. 9.9 billion loss in the
year under review.
SriLankan Catering and SriLankan Airlines Chairman
Nishanta Wickremasinghe said: “ SriLankan Catering
continues to be a tower of strength to our nation and
the SriLankan Airlines Group with yet another stellar
performance. The company has crossed the Rs. one billion
profit mark for the third time in the last four years.”
SriLankan Catering, a fully owned SriLankan Airlines
subsidiary, providing inflight meals for airlines that
operate in and out of Bandaranaike International
Airport. These include Emirates Airlines, Qatar Airways,
Malaysian Airlines, Royal Jordanian Airlines, Kuwait
Airways, China Airlines, Singapore Airlines, Saudi
Arabian Airlines, Mihin Lanka and SriLankan.
Jupiter Group has been appointed the sole agent for
Waterman Pens in Sri Lanka.
brands include Parker and Waterman.
Waterman, headquartered in Paris, manufactures gift
fountain pens, ball pens, markers and highlighters and
range of brands includes nibs made out of either gold or