Sri Lanka News Updates with Discussions

Treasury bills attract foreigners
http://www.dailynews.lk/2009/06/13/news05.asp

Foreigners have invested over US$ 152 million in Treasury Bills issued by the Sri Lankan Government after the defeat of LTTE terrorism Trade, Marketing Development, Cooperatives and Consumer Affairs Minister Bandula Gunawardana told Parliament yesterday.

Surge in foreign reserves after decimation of
LTTEleadership Bandula G
Over US$ 152 million invested, most from Tamil exapts

by Saman Indrajith

Trade and Consumer Affairs Minister Bandula Gunawardena revealed in Parliament yesterday (12) the decimation of the LTTE leadership had led to a surge in the country s foreign reserve with expatriate Sri Lankans making an investment of US dollars 152 million.

Investment by Sri Lankan Tamils accounted for most of the newly gained foreign reserves of the Treasury, he said participating in an adjournment debate on how to facilitate the Sri Lankan Tamil Diaspora s return home and resettlement programmes moved by Gampaha District UPFA MP Sarana Gunawardena.

The sudden investment by Lankan expatriates indicates that they had responded positively to the President s call to return and help rebuild the country that had been ravaged by a thirty-year long conflict, he said.

The recently recovered LTTE stock of arms revealed how much money the Sri Lankan Tamils had to pour in as monthly payments to the LTTE which would otherwise comedown on them, he said. 'Now, 30 years of war is over.

The East is booming with new industries and economic opportunities. The land in the North is very fertile and full of opportunities for the investors. We hope to assist our brethren living in exile to come back with whatever they had earned and commence rebuilding the nation,' he said.

MP Sarana Gunawardena said that the country s economy had been the first and foremost victim of the 30-year-long conflict. A large number of professionals and entrepreneurs had left the country and are now waiting to comeback. The Government must take action to facilitate their return through the means of concessions and tax relief. We propose that the Government launch a programme to assist these people to resettle in their native places and contribute to the development of the country,' he said.

June 13 (Bloomberg) -- Raj Rajaratnam, the Sri Lankan-born founder of the $7 billion hedge fund Galleon Group, bought a 20 percent stake in broking firm Lanka Orix Securities Pvt.

http://www.thurunu.com/Cricket/link02/iplt20-1.htm

Lanka IOC, the Sri Lankan unit of the Indian Oil Corp, plans to seek clarification on reports that the island's government is to amend its agreement with the fuel retailer, a senior official said.
LIOC Managing Director Suresh Kumar said he was unaware of any plans to change the deal with the government under which the Indian petroleum firm entered the Sri Lankan market.

Kumar also said Lanka IOC is keen on opening retail outlets in the north which has been cleared of LTTE activity.

LIOC has sought a meeting with Petroleum Minister A. H. M. Fowzie next week on reports the government is seeking to amend its agreement with the Indian firm, Kumar said.

Fowzie told parliament on Thursday that the government plans to amend the agreement after opposition parliamentarians said they were concerned about LIOC's plans to expand its retail network.

The CPC is said to be uneasy about its rival opening more retail outlets, fearing an erosion of market share by the more nimble and aggressive Indian firm.

Fowzie told parliament that LIOC had sought permission to open 300 retail outlets more than six months ago but that the government had not responded so far.

Why Srilankan Firms are not Efficient like Indian firms ?

Lanka IOC Q3 net loss 770 mln rupees
http://in.reuters.com/article/domesticNews/idINCOL13535120090210

LIOC lost Rs.1.6 billion for the 4Q08
http://www.nation.lk/2009/05/31/busi1.htm

Because they dont know how to lose 2.4 bilion in two quarters like LIOC did..

The accumulated losses of the Ceylon Petroleum Corporation (CPC) reached Rs. 7.3 billion by April 15 this year.

Petroleum Resources Minister A.H.M. Fowzie told ColomboPage that this loss will be recovered strategically within a short period of time with CPC starting to make profits.