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Cyprus condemns today the barbaric Turkish invasion and honors the fallen

Today marks 52 years since that Saturday morning of July 20, 1974, when Turkish forces, in defiance of international law, divided the island of Cyprus by force of arms and violence.

The people of Cyprus, who still experience the consequences of that tragic day, condemn today the crime and honor the fallen. Sirens sounded in all cities at 5:30 in the morning, when Turkey invaded Cyprus in 1974 in violation of the United Nations Charter.

Turkish invaders bombed, destroyed, looted, raped, vandalized churches and monasteries and forced 200,000 Greek Cypriots to abandon their ancestral homes. To date, 37% of the territory of the Republic of Cyprus is still under Turkish occupation.

In all towns in the government – controlled areas of Cyprus, remembrance and honor events are taking place for the fallen and church masses are being held for the determination of the fate of the missing persons of the Cyprus tragedy.

Political parties and citizens’ organizations have issued statements condemning the Turkish invasion and are organizing events of remembrance and honor for the fallen of the Cyprus tragedy.

On this day, 52 years ago, Turkish soldiers land on the coast of northern Cyprus in what they called a “peacekeeping operation” codenamed “Attila”.

Turkish transport planes transport military parachutists between 5.15 and 5.20 in the morning in the area of the Turkish enclave of Nicosia-Saint Hilarion. A large number of paratroopers land while Turkish infantry forces arrive on the beaches of Kyrenia. At 5.20 in the morning, the landing of Turkish forces begins at Pente Mili and soldiers advance towards Kyrenia.

With the slogan ‘Ayse can go on vacation’, Turkey spreads destruction on the island, while the “government” of the coup d’etat of Nikos Samson resigns due to the developments on July 23, 1974.

In the afternoon of July 20, in New York, the UN Security Council meets and approves Resolution 353, which calls for a ceasefire and the withdrawal of foreign troops from Cyprus, an end to all foreign military intervention, and the start of talks between the three Guarantor Powers of Cyprus to restore peace and a constitutional government on the island.

Meanwhile, the Council of Permanent Representatives of NATO member countries meets in Brussels, but does not take any substantive position.

In Geneva, feverish consultations began to reach a peaceful solution under the auspices of British Foreign Secretary John Callaghan. The Greek Cypriot side, represented by Glafkos Clerides, demanded for the first time since 1963 the implementation of the Zurich-London Treaties and the Cyprus Constitution.

Turkey refused and put forward its permanent demand for the geographical separation of the island. Turkish Foreign Minister Turan Gnes counter-proposed a plan according to which the Republic of Cyprus would be a bi-communal federal state of several cantons, in which Turkish Cypriots would control approximately 34% of the island.

Clerides requested a postponement of 36 or 48 hours, in order to consult the Council of Ministers. The Turks rejected his request and then, in a pre-planned move, after first withdrawing their delegation at 3:30 am on 14 August 1974, less than 1 1/2 hours later (4:35 am on the same day) they proceeded with the second invasion under the code name “Attila 2” with the occupation of Morphou, Famagusta and Karpasia.

The most tragic consequence of the Turkish invasion is the missing persons. Thousands of Greek Cypriots were arrested and detained in concentration camps in Cyprus while over 2,000 prisoners of war were illegally transferred and held in prisons in Turkey. The fate of a significant number of missing persons has not yet been ascertained to this day.

Zeepay assures customers of responsible wind-down after licence revocation

Zeepay Ghana Limited has assured customers, agents and business partners that it is working with the Bank of Ghana (BoG) and other stakeholders to ensure an orderly and transparent wind-down of its mobile money operations following the revocation of its Dedicated Electronic Money Issuer (DEMI) licence.

The assurance comes a day after the Bank of Ghana withdrew the fintech company’s licence with immediate effect, citing repeated regulatory breaches, including failures to maintain adequate cash backing for electronic money issued, comply with directives to protect customer funds, and implement an earlier order to wind down its e-money business.

In a public statement, Zeepay acknowledged the regulator’s decision, saying it was committed to handling the process responsibly.

‘Zeepay Ghana Limited is working closely with the Regulator and all relevant stakeholders to ensure an orderly, transparent and responsible approach following the revocation of the Company’s Dedicated Electronic Money Issuer Licence,’ the company said.

The fintech firm also appealed for calm among its customers and partners, saying it understood the concerns the development may have created.

‘We recognise the concerns that this development may cause and sincerely appreciate the patience, understanding and continued cooperation of our customers, employees, agents, merchants, partners and the wider public during this period,’ the statement added.

Zeepay said it remains committed to acting responsibly throughout the transition while maintaining open communication with regulators and stakeholders.

The company also urged the public to rely only on verified information, noting that further updates would be released through its official communication channels as they become available.

The Bank of Ghana announced the licence revocation on July 14, saying the action was necessary to protect customers and preserve confidence in Ghana’s digital payments ecosystem.

According to the central bank, examinations revealed that Zeepay repeatedly breached key regulatory requirements by issuing electronic money without maintaining sufficient liquid assets to fully back customer balances. The regulator also said the company failed to comply with several directives aimed at restoring adequate funding and safeguarding customer, merchant and agent funds.

The BoG said the continued violations posed significant risks to consumers and the stability of the country’s payment system, prompting the decision to revoke the licence with immediate effect.

The development marks one of the strongest regulatory actions taken against a fintech company in Ghana’s rapidly growing digital financial services sector.

Zeepay has been one of Ghana’s prominent fintech operators, providing mobile money wallets, international remittance services and digital payment solutions to individuals and businesses. Its services have played a significant role in facilitating cross-border money transfers and expanding financial inclusion.

While the company has pledged a responsible wind-down, it has yet to provide detailed guidance on how customers will access or transfer funds held in affected mobile wallets.

The case underscores the increasing focus by African financial regulators on protecting customer funds and enforcing stricter compliance standards as digital financial services continue to expand across the continent.

The Bank of Ghana has advised affected customers to contact Zeepay through its official support channels for assistance while the transition process continues.

Rs. 10 b Sampath Green Bond issue oversubscribed

Sampath Bank PLC said its Basel III-compliant Tier 2 Green Bond issue was oversubscribed after receiving applications exceeding Rs. 10 billion, prompting the offer to close early in line with the prospectus.

On Friday, the bank said it had received applications for more than Rs. 10 billion under the listed, rated, unsecured, subordinated, redeemable Green Bond issue with a non-viability conversion feature.

The offer comprised an initial issue of up to 70 million Basel III-compliant Tier 2 Green Bonds at a par value of Rs. 100 each to raise up to Rs. 7 billion. The bank also retained the option to issue a further 30 million Bonds to raise an additional Rs. 3 billion in the event of an oversubscription, taking the maximum issue size to Rs. 10 billion.

Following the oversubscription, Sampath Bank said the issue closed at 4:30 p.m. on 17 July. The bank added that the basis of allotment will be announced to the Colombo Stock Exchange in due course.

Cyprus Department of Meteorology – Forecast for the Sea Area of Cyprus (A)

FOR THE PERIOD FROM 0600 20/07/2026 UNTIL 0600 21/07/2026

Atmospheric pressure at the time of issue: 1008hPa (hectopascal)

Seasonal low pressure is affecting the area. The weather will be mainly fine with increased low cloud coverage overnight and during the morning, with risk of local mist and/or fog patches mainly over the southern and the eastern coasts.

Visibility: Good, but moderate to poor in mist and very poor in fog

Sea surface temperature: 28°C

Warnings: NIL

AREA

PERIOD

WIND

STATE OF SEA

West Coast

Morning

Southwest to Northwest 3 to 4, later locally 4

Smooth to Slight

Afternoon

Southwest to Northwest 4, locally 5

Smooth to Slight, locally Slight

Night

Southwest to Northwest 3 to 4, locally near the coast Northwest to North 3

Smooth to Slight

South Coast

Morning

Variable 3, gradually Southeast to Southwest 3 to 4

Smooth to Slight

Afternoon

South to Southwest 4 to 5, gradually Southwest to West 5 to 6

Smooth to Slight, gradually Slight

Night

Southwest to Northwest 4, gradually Variable 3

Smooth to Slight

East Coast

Morning

Southwest to West 3, gradually Southeast to Southwest 3 to 4

Smooth to Slight

Afternoon

South to Southwest 4 to 5

Smooth to Slight

Night

Southwest to Northwest 3 to 4, at times locally Variable 3

Smooth to Slight

North Coast

Morning

Southeast to Southwest 3, soon Southwest to Northwest 3 to 4

Smooth to Slight

Afternoon

Southwest to Northwest 4, gradually locally Southwest to West 4 to 5

Smooth to Slight, gradually locally Slight

Night

Southeast to Southwest 3, locally Southwest to West 3 to 4

Smooth to Slight

Why Britain is getting a new prime minister without a general election

Veteran Labour Party politician and popular former Greater Manchester mayor Andy Burnham is set to become Britain’s next prime minister on Monday, formally taking over from Keir Starmer, who announced his resignation last month.

Burnham was the only candidate to secure enough support from his fellow Labour lawmakers to replace Starmer as leader of the governing party. Because Labour holds a majority in government, its leader also becomes the U.K. prime minister.

Burnham received support from 349 out of 401 Labour Party lawmakers, and was announced Labour leader at a special party conference on Friday. He didn’t officially become prime minister right away, though-that happens on Monday, when he meets King Charles III at Buckingham Palace for a formal go-ahead. Until then, Starmer remains caretaker prime minister.

A look at how and why Britain is getting a new prime minister just two years after Starmer led his party to a landslide election victory:

Why is there a change of leader without a general election?

Britain’s parliamentary democracy allows governing parties to change leaders midterm, with the winner becoming prime minister without the need for a general election. Prime ministers can be replaced if one has resigned as leader of their party, or been forced out by a leadership challenge.

The next national election does not have to be held until 2029, five years from the last election in 2024.

Starmer announced he was quitting as Labour leader on June 22 after barely two years in power, ending a tenure marred by a series of political missteps-most notably his decision to appoint a man with close ties to the late sex offender Jeffrey Epstein as Britain’s ambassador to the United States.

Heavy losses suffered by Labour in a midterm set of local elections in May prompted many lawmakers to demand Starmer’s resignation. And when Burnham-favored by many within Labour to lead the party and the country-won a special election for a seat in Parliament, Starmer gave in to the mounting pressure to quit.

His resignation automatically triggered a Labour leadership contest. Under Labour rules, a lawmaker can challenge the leader if they have the backing of a fifth of the party’s House of Commons lawmakers. There was no other contestant other than Burnham, who comfortably surpassed that threshold.

Burnham will be the 7th prime minister in a decade

It’s not unusual for prime ministers to come to power without a broad election under Britain’s parliamentary system. In fact, four of the six British prime ministers in the past decade took the top job by winning internal party leadership contests to replace their predecessors, not by public vote.

In the 2010s, both Theresa May and Boris Johnson became prime minister after winning Conservative leadership races when their predecessors resigned midterm.

When Johnson announced he was quitting in 2022, the Conservatives held a leadership contest and the party’s members chose Liz Truss to replace him. And when Truss stepped down, just 49 days later, she was in turn replaced by Rishi Sunak via a similar process.

Burnham will thus become the seventh prime minister in a turbulent decade of U.K. politics, marked by a rapid succession of leaders who all, to some extent, failed to successfully manage the messy aftermath of Britain’s decision to divorce from the European Union.

Power changes hands in a well-rehearsed ritual

After years of leadership churn, the sequence of traditional events involved in the transfer of power has become familiar for many in Britain.

On Monday, Starmer will say his farewell speech to the public before going to Buckingham Palace to hold a short meeting with the king and formally resign.

After Starmer leaves, it’s Burnham’s turn to arrive at the palace, where Charles will formally ask him to form a government. The private ceremony is known as the ‘Kissing of Hands,” in accordance with historic tradition, though no hands are actually kissed and the men are more likely to shake hands.

When Burnham leaves the palace he will have become the 59th person to hold the office of British prime minister. He then rides in a car to his official home at No. 10 Downing Street, where he is expected to make his first statement in office.

The whole sequence is typically broadcast live on television-and will be over within hours.

LASCOPA seeks collaboration with consumers to eliminate ‘No return’, ‘No cancellation’ policies

The Lagos State Government, through the Lagos State Consumer Protection Agency (LASCOPA), has reaffirmed its commitment to protecting consumers by discouraging the unlawful use of ‘No return, No refund, No replacement’ and ‘No cancellation after payment’ policies by businesses operating across the State.

The General Manager/Chief Executive Officer of LASCOPA, Afolabi Solebo, stated that while businesses have the right to establish reasonable terms and conditions, such policies cannot override the rights guaranteed to consumers under applicable consumer protection laws, particularly where goods are defective, unsafe, misrepresented, or unfit for the purpose made known to the seller before purchase.

According to him, consumers deserve fair treatment and should not be compelled to accept defective goods or services simply because a business displays a disclaimer.

He stressed that any policy designed to deprive consumers of their lawful rights is unfair, misleading, and unenforceable.

‘The Lagos State government is partnering with consumers to eliminate unfair trade practices, including the indiscriminate use of ‘No return, No refund, No replacement’ and ‘No cancellation after part or full payment’ policies.

‘Consumer rights are protected by law, and businesses must operate responsibly and fairly. ‘We encourage consumers to know their rights and report any violations to LASCOPA for prompt intervention,’ Solebo stated.

The General Manager further explained that consumers are entitled to appropriate remedies where goods or services are defective, unsafe, falsely described, or fail to meet the purpose for which they were purchased, provided they comply with the applicable terms of purchase and relevant legal provisions.

He also called on event centres, hotel operators, reservation service providers, and other businesses to adopt transparent, fair, and consumer-friendly return, refund, replacement, and cancellation policies that promote trust, accountability, and confidence in the marketplace.

The Agency urged Lagos residents to inspect goods before purchase where possible, retain receipts and other proof of payment, and promptly report cases involving unfair trade practices, deceptive business conduct, defective products, or the denial of legitimate consumer rights.

LASCOPA reiterated its commitment to promoting a fair, safe, and competitive marketplace where both consumers and businesses can thrive, in line with the vision of the Lagos State Government to foster sustainable economic growth and strengthen consumer confidence.

Solebo reaffirmed the Agency’s dedication to enforcing all relevant laws and regulations that protect and promote consumer welfare across Lagos State.

He also urged consumers to join hands with the government in promoting safety, responsible business practices, and regulatory compliance for a safer and more consumer-friendly Lagos.

He urged residents to forward their complaints and enquiries to the Office of the General Manager, LASCOPA.

As Red Sea risks grow, Middle Corridor becomes Eurasia’s most strategic trade route

The shifting sands of global geopolitics have once again thrust the maritime choke points of the Middle East into the center of international anxiety. For decades, global energy markets and military strategists viewed the Strait of Hormuz as the ultimate geopolitical trigger-a narrow body of water where any direct confrontation between Iran and the United States could instantly paralyze the global economy. Yet, as tensions between Washington and Tehran flare up with renewed intensity, the theater of naval vulnerability has expanded dramatically. The strategic calculus of international trade is no longer confined to the threat of Iran sealing off the Persian Gulf; instead, a far more complex and asymmetric threat has fully matured further south, at the Bab al-Mandab Strait.

This expansion of the conflict zone is not merely a geographic shift, but a technological transformation driven by the changing nature of modern warfare. The ongoing war in Ukraine and the persistent skirmishes across the Middle East have served as a real-world testing ground for a new era of combat defined by the proliferation of cheap, mass-produced drones and loitering munitions. The chilling lesson from these conflicts is that traditional, multi-million-dollar air defense systems are fundamentally ill-equipped to handle swarms of low-cost unmanned aerial vehicles. Navies built around massive, heavily armored vessels now find themselves struggling against asymmetric threats that cost a fraction of a single interceptor missile.

It is this technological asymmetry that gives the Houthi rebels in Yemen the leverage to credibly threaten a total blockade of the Bab al-Mandab. Operating with sophisticated drone technology and intelligence sharing from regional allies, the Houthis have demonstrated that controlling a vital global shipping lane no longer requires a blue-water navy or advanced fighter jets. By exposing the vulnerabilities of standard maritime defense grids, they have effectively proven that the Bab al-Mandab can be shut down at a whim. The psychological impact of this reality has already rippled through the global logistics industry. Fearing catastrophic losses, a vast majority of international shipping conglomerates have abandoned the Red Sea route altogether, opting instead for the lengthy, costly circumnavigation around the Cape of Good Hope at the southern tip of Africa.

As the traditional maritime arteries of East-West trade choke under the pressure of war and instability, the global economy is being forced to adapt. It is precisely within this vacuum of security that the Trans-Caspian International Transport Route, widely known as the Middle Corridor, is transitioning from a visionary regional project into an indispensable pillar of global supply chain resilience. Stretching from China through Kazakhstan, across the Caspian Sea to Azerbaijan and Georgia, and onward to Turkey and Europe, this land-and-sea network offers exactly what the maritime routes currently lack: stability, safety, and predictability.

The significance of the Middle Corridor increases exponentially with every drone strike in the Red Sea and every spike in naval war insurance premiums. With the Northern Corridor through Russia largely unviable for Western corporations due to enduring sanctions and political isolation, and the Southern maritime route plagued by the volatile dynamics of the Bab al-Mandab and Hormuz, the Middle Corridor stands out as the most secure bridge between the world’s manufacturing hubs in Asia and its primary consumer markets in Europe.

Furthermore, the logistical math is tilting in the Middle Corridor’s favor. While bypassing the Bab al-Mandab by sailing around Africa adds thousands of miles and roughly two weeks to a vessel’s journey-inflating fuel costs and disrupting just-in-time manufacturing schedules-the Middle Corridor offers a highly competitive transit time. Ongoing investments in digitalizing customs procedures, expanding port capacities in Baku and Aktau, and upgrading the Baku-Tbilisi-Kars railway have systematically eliminated historical bottlenecks.

Ultimately, the escalating friction between Iran and the West is rewriting the geography of trade. The vulnerability of maritime choke points to cheap drone warfare means that the era of relying entirely on vulnerable ocean passages is drawing to a close. In this new world order, where security is the ultimate currency, the Middle Corridor is no longer just an alternative; it is becoming the definitive anchor of Eurasian commerce.

1 agency, 2 heads: Tinubu’s directive doesn’t stand, says Wike’s ally

By Afeez Hanafi, Dalhatu Liman (Abuja) and Mumini Abdulkareem (Ilorin)

The embattled Executive Secretary of the Border Communities Development Agency (BCDA), Dr Dakorinama Alabo George, has said that President Bola Ahmed Tinubu’s directive to appointees, who aspired for elective positions, to resign ahead of primaries, ‘does not stand.’

Tinubu had directed all his appointees, who intended to contest elective offices in 2027, to resign on or before March 31, 2026.

George, who was Commissioner for Works in Rivers State during the administrations of former Governor Nyesom Wike and Governor Siminalayi Fubara, had reportedly resigned from the BCDA to contest the All Progressives Congress (APC) governorship primary in the state. He, however, withdrew from the contest held on May 21, 2026 at the last minute.

The Presidency had announced his replacement with a former spokesperson of the House of Representatives, Abdulrazak Sa’ad Namdas, in a statement dated June 26, by a presidential spokesman, Bayo Onanuga.

But nearly one month after the announcement, George has remained in office as the head of the agency, insisting that Namdas’ appointment was an error and that he never resigned.

‘The Presidency through the office of the SGF will be in a better place to answer you pls,’ he had said in a now-deleted WhatsApp response.

Onanuga had faulted George’s claim in a terse response to Daily Trust, saying, ‘Not true. Namdas stays.’

He has not responded to an inquiry on why George remains in office, despite the new appointment.

Amid the impasse, George continues to hold official engagements as the BCDA head, among which was a recent meeting with the Minister of Finance and the Coordinating Minister of the Economy, Mr Taiwo Oyedele, in Abuja, where he appealed for timely budget releases to the agency.

Sources had told our correspondent that George was being backed by some persons within the Presidency and powerful individuals, including the Federal Capital Territory Minister, Wike.

Efforts to get the minister’s comment on the claim were unsuccessful as his spokesperson, Lere Olayinka, did not respond to an inquiry sent to him.

Last Tuesday, a day after Daily Trust’s publication on the matter, George reached out to one of our correspondents via WhatsApp, commenting on the report.

‘I have my appointment letter to the office and no one else does so there’s no dual leadership,’ he wrote, adding a subtle threat. ‘Just be careful about your misleading stories so it doesn’t end in litigation.’

‘This will be my last discussion with you on this subject matter,’ he noted.

When asked if he resigned before he picked nomination forms for the governorship primaries, he said, ‘Don’t you know where to find out? Don’t chat me up again.’

Directive doesn’t stand, law does – George

A few minutes later, George sent another WhatsApp text to Daily Trust, citing Section 88(1) of the Electoral Act, ostensibly to justify his stay in the office despite the President’s directive.

‘On a final note, just to educate you, let me help you with this: Section 88(1). Key Points on Resignation Timing: This provision effectively requires political appointees to resign before participating in primaries (as aspirants or delegates) to avoid violating the law. However, it does not mandate a specific timeline like ‘at least 30 days’ or ‘one day before,” he wrote.

He further argued that legal interpretations – including from lawmakers – and expert commentary indicated that resignation can occur anytime before the primaries, ‘including potentially the day before or ensuring they are no longer in office on the day of the event.’

George said the law is particular about not holding the appointment during participation on the day of the primaries.

‘So if you withdraw from contesting a day before the primaries, you don’t need to resign. But if you’re really contesting you must resign at least a day before the primaries. The law didn’t say resign before picking forms. The law is the law and anything outside the law (even a directive) does not stand.

‘So technically there was no vacancy. Someone erroneously misinformed the Presidency that there was a directive and an announcement was made but when they found out that there was no resignation it was quickly corrected,’ he stated.

Louis Vuitton court victory against Chinese tea chain stirs up a debate over copyrights

A debate over ownership of traditional Chinese symbols has cropped up after a court ordered a local tea chain to pay French luxury brand Louis Vuitton $1.5 million over trademark infringement claims.

Chinese state-media and online commentators are questioning if the four-petal flower design in the fashion house’s 130-year-old signature monogram is derived from patterns dating back to ancient China. Some are accusing the company of ‘monopolizing’ traditional Chinese patterns.

A court in the eastern city of Suzhou recently ruled that the logo of the Molly Tea, whose signature drinks are based on jasmine and other floral-based teas, infringed on Louis Vuitton’s trademark monogram. It ordered the tea company to pay 10.3 million yuan ($1.5 million) to the French company, according to local media reports that carried copies or details of what they said was the ruling.

Intellectual property fights between Western and Chinese brands are not uncommon. International brands like American sneaker maker New Balance have taken Chinese firms to local courts and sometimes prevailed in intellectual property and trademark cases.

The judgement has been trending online in China.

The state-owned newspaper Beijing Daily said Tuesday in a post on the popular online platform Weibo that the ruling exposed a gap in protections of ancient Chinese heritage and symbols.

‘Why did a Chinese enterprise end up paying more than 10 million yuan in damages to a French company for using a design that resonated with the spirit of China’s centuries-old patterns?’ it said.

‘Chinese netizens accuse LV of attempting to monopolize ancient motifs after lawsuit against tea brand,’ said a headline in the Global Times, a state-owned English language newspaper. It asserted there was ‘widespread frustration’ over a foreign brand controlling a design believed to be part of China’s cultural heritage.

A photo and caption accompanying the article showed patterns on a Tang Dynasty rosewood ‘pipa,’ a kind of Chinese traditional lute, side-by-side with the Louis Vuitton monogram pattern.

Louis Vuitton is celebrating the 130th anniversary of its monogram designed in 1896, which it has called a ‘universal symbol of creativity.’ The monogram was ‘inspired by neo-gothic ornamentation and the influence of Japonism,’ its parent LVMH’s website says.

LVMH and Molly Tea did not immediately respond to a request for comment. Molly Tea, founded in 2021, was still displaying its four-petal flower logo on its official website as of Tuesday. The company told local media it was planning to appeal.

Sri Lanka-India treaty to curb activity driven purely by tax benefits

Sri Lanka and India have amended their Double Taxation Avoidance Agreement (DTAA) to introduce the internationally recognised Principal Purpose Test (PPT), empowering tax authorities in both countries to deny treaty-based tax benefits where one of the principal purposes of an investment or transaction is to obtain a tax advantage rather than support genuine commercial activity.

The amended protocol entered into force on 19 June after both countries completed their domestic legal procedures and has since been notified by Sri Lanka’s Finance Ministry. The revised provisions will apply in India to income derived from 1 April 2027.

The PPT is a key anti-tax avoidance measure developed under the Organisation for Economic Co-operation and Development’s (OECD) Base Erosion and Profit Shifting (BEPS) framework. It allows tax authorities to refuse benefits available under the bilateral tax treaty if it is reasonable to conclude that securing a treaty-related tax advantage was one of the principal purposes of an arrangement or transaction, unless granting the benefit is consistent with the treaty’s object and purpose (https://www.ft.lk/top-story/Govt-in-the-dark-as-FDI-tax-incentives-become-obsolete/26-794423).

The amendment also revises the treaty’s preamble to clarify that the agreement is intended to eliminate double taxation without creating opportunities for non-taxation or reduced taxation through tax evasion or tax avoidance.

For businesses operating between Sri Lanka and India, the changes mean treaty benefits will increasingly depend on whether investments and corporate structures are supported by genuine commercial substance rather than being established primarily to obtain favourable tax treatment.

The revised treaty shifts the focus from merely satisfying technical requirements, such as tax residency and documentation, to demonstrating a legitimate commercial rationale for cross-border arrangements.

The protocol aligns the India-Sri Lanka tax treaty with international tax standards under the OECD’s BEPS initiative and reflects the growing global emphasis on protecting tax revenues while facilitating genuine cross-border trade and investment.