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Capital Trust Properties Ltd., has once again been honoured at the Asia Pacific Awards, receiving recognition as Best Real Estate Transaction and Advisory Company in Sri Lanka 2026/2027.

This marks the company’s second consecutive recognition at the awards, following its previous win in 2024/2025, reaffirming Capital Trust Properties’ consistent performance, professional standards and growing leadership in Sri Lanka’s real estate sector.

Founded on strong values of ethics, credibility and professionalism, Capital Trust Properties has grown from humble beginnings to become one of Sri Lanka’s largest real estate transaction and advisory companies. Today, the company provides comprehensive real estate solutions across transaction advisory, developer coordination, stakeholder support and market-led advisory services.

Capital Trust Properties Chairperson, CEO and Founder Minoli Wickramasinghe said: ‘This recognition is a proud milestone for Capital Trust Properties and a reflection of the consistency, professionalism and commitment of our entire team. From our early beginnings, we have grown with a clear focus on ethics, transparency and long-term stakeholder value. Being recognised for a second consecutive year reinforces our belief that sustainable success in real estate must be built on credibility, trust and responsible advisory.’

Capital Trust Properties said it works closely with valued stakeholders across the real estate ecosystem and continues to provide strategic support to reputed corporates, developers, investors and clients. The company is selective in the developers and projects it promotes, working with organisations that align with its ethical standards and commitment to responsible business practices.

The company’s advisory approach is supported by extensive research and a strong understanding of both the current and future direction of Sri Lanka’s real estate industry. In line with its commitment to strengthening the sector, Capital Trust Properties has also submitted proposals to the Central Bank of Sri Lanka on regulating real estate broking, drawing from international best practices that can be adapted to suit the local market.

Capital Trust Properties also works with four global real estate agents and is part of Leading Real Estate Companies of the World, a global network spanning 120 countries. This international connectivity further strengthens the company’s ability to support clients with broader market insight and global standards of service.

Sri Lanka has strengthened national tax collection after the economic crisis. But Municipal Councils, Urban Councils and Pradeshiya Sabhas remain financially weak. Budget 2027 provides an opportunity to begin a long-delayed reform of local-government finance.

Sri Lanka is approaching the preparation of Budget 2027 at an important stage of its economic recovery. Much attention will understandably be given to government revenue, expenditure control, debt sustainability, investment and economic growth.

But there is another area of public finance that receives surprisingly little attention: the financial capacity of local government.

Municipal Councils, Urban Councils and Pradeshiya Sabhas are the level of government closest to citizens. They deal with many services people encounter in everyday life-roads and drains, waste disposal, markets, public health, street lighting, permits, community facilities and local infrastructure.

Yet the financial system supporting these institutions has changed remarkably little.

Recent evidence covering 2019-2024 reveals a serious mismatch between the responsibilities assigned to local authorities and the financial resources they can raise themselves. In other words, Sri Lanka has decentralised many administrative responsibilities without adequately decentralising the financial capacity needed to perform them.

The numbers tell a worrying story

At first sight, local-government revenue appears to have improved.

Locally generated recurrent revenue increased from approximately Rs. 28.1 billion in 2019 to Rs. 56.7 billion in 2024. That looks like a doubling within five years.

But inflation changes the picture completely.

When expressed in 2021 prices, the Rs. 56.7 billion collected in 2024 was worth only about Rs. 27.4 billion. Thus, despite the large nominal increase, local authorities had gained very little-and in this comparison actually had less-real purchasing capacity than the headline figures suggest.

This is particularly important because citizens judge local government not by nominal revenue figures but by whether roads are maintained, garbage is collected, drains are cleared and services are delivered efficiently.

Central revenue has recovered-but local revenue has not kept pace

The contrast with central-government taxation is even more striking.

Central-government tax revenue increased to about Rs. 3.70 trillion in 2024, and the provisional figure for 2025 was approximately Rs. 5.05 trillion. Local-government own recurrent revenue, however, amounted to only Rs. 56.7 billion in 2024.

Local own revenue represented around 3.1% of central tax revenue in 2020, when national revenue had fallen sharply, but by 2024 the ratio had declined to only 1.5%.

This does not mean that local government should collect some predetermined percentage of central taxes. It does show something more fundamental: Sri Lanka’s recovery in national tax mobilisation has not been accompanied by a comparable strengthening of the revenue capacity of the level of government closest to the citizen.

That imbalance deserves attention in Budget 2027.

Why are local authorities financially weak?

One reason is the narrow and outdated local tax base.

Rates and taxes accounted for only about 27.5% of locally generated recurrent revenue in 2024. Local authorities therefore depend on a mixture of rents, licence fees, service charges, fines and other receipts in addition to taxation.

Property taxation should be one of the strongest revenue instruments available to local government. Property is immovable, its value often rises with urban development and public infrastructure, and revenue collected from it can be visibly linked to improvements in the locality.

Yet the system suffers from outdated property valuations, incomplete coverage and administrative weaknesses. The underlying academic study, drawing on IMF analysis, points to precisely these constraints.

Consider how much Sri Lanka has changed physically during the past two decades. New houses, apartments, commercial buildings, hotels and business premises have appeared throughout urban and semi-urban areas. Land and property values have changed enormously.

But if valuation registers, property databases and collection systems do not keep pace with these changes, local government cannot capture even a reasonable share of the revenue potential created by development.

This is not simply a question of imposing higher taxes. It is fundamentally about modernising an outdated revenue administration system.

Not every local authority is equally capable

There is another important issue that Budget 2027 must recognise.

A Municipal Council in a commercially active urban area and a rural Pradeshiya Sabha do not have the same revenue base.

The 2024 figures illustrate the difference clearly. Municipal Councils generated enough own recurrent revenue to cover approximately 86% of their expenditure. For Urban Councils the figure was about 77%. For Pradeshiya Sabhas it was only around 56%.

Rates and taxes represented about 41% of Municipal Councils’ own recurrent revenue, but only about 12% for Pradeshiya Sabhas.

This means that simply telling every local authority to ‘raise more revenue’ is not a solution.

A commercially strong municipality has hotels, offices, shopping centres, high-value property and large businesses from which revenue can potentially be mobilised. A poorer rural Pradeshiya Sabha may have none of these.

Therefore, fiscal reform must combine two principles:

greater responsibility for raising local revenue, and greater fairness in distributing national resources.

Without the second, fiscal decentralisation could actually widen inequalities between richer and poorer parts of the country.

Transfers are necessary-but they should be predictable

Transfers from higher levels of government are therefore not necessarily a weakness. They are an essential component of a properly designed decentralised fiscal system.

During 2019-2023, government grants were equivalent to roughly 40-50% of total local-government expenditure. In 2024 the ratio rose to approximately 65%, largely because of unusually high capital grants.

The problem is not simply that transfers exist.

The real questions are: How are they determined? Are they predictable? Do poorer areas receive adequate support? Do transfers reward improved revenue collection and better service delivery?

These questions should become part of the Budget 2027 reform discussion.

Five reforms Budget 2027 could initiate

Budget 2027 does not have to redesign the entire local-government finance system overnight. But it can provide a credible starting point for reforms that have been delayed for too long.

First, modernise property taxation. Sri Lanka needs updated property registers and regular valuation cycles, supported by digital systems connecting valuation, billing, land information and payments. Better administration should come before simply increasing tax rates.

Second, strengthen local own-source revenue. Rates, licence fees and appropriate user charges should be reviewed and collection systems modernised. Digital billing and payment facilities can simultaneously increase revenue and reduce inconvenience, discretion and opportunities for leakage.

Third, introduce transparent formula-based transfers. Recurrent equalisation grants should be distinguished from development and performance grants. Local authorities should be able to anticipate their resource envelope rather than depending excessively on discretionary allocations.

Fourth, establish an explicit equalisation mechanism. Poorer Pradeshiya Sabhas cannot be expected to provide comparable basic services from much weaker tax bases. National transfers should therefore take account of population, fiscal capacity, service needs and other relevant indicators.

Fifth, build a national local-government fiscal information system. Sri Lanka should be able to see annually-and preferably digitally-how much each authority collects, receives and spends, together with indicators of tax effort and fiscal capacity. The academic analysis itself recommends a consolidated central-provincial-local fiscal database.

Revenue reform must also mean better services

There is an important warning.

Citizens will understandably resist paying higher rates and charges if they see no corresponding improvement in services.

Therefore, local fiscal reform should not become simply another revenue-raising exercise.

It should create a new relationship between local revenue, accountability and service delivery. When a council collects more efficiently, citizens should be able to see where the money goes and what improvements it finances.

Digital revenue systems should therefore be accompanied by transparent budgets, published performance indicators and stronger mechanisms for citizen participation.

The objective should be a virtuous circle:

better revenue ? better local services ? greater citizen confidence ? stronger willingness to pay ? greater local accountability.

Budget 2027 should begin the transition

Sri Lanka has undertaken painful national fiscal reforms following the economic crisis. Central-government tax mobilisation has strengthened considerably since 2022.

But strengthening Colombo’s revenue collection while leaving hundreds of local authorities financially weak cannot be the final destination of fiscal reform.

The evidence shows that locally generated revenue remains very small relative to national taxation; inflation has severely reduced its real purchasing power; the local tax base remains narrow; transfers finance a substantial part of expenditure; and Pradeshiya Sabhas are considerably weaker financially than Municipal and Urban Councils.

Budget 2027 therefore offers an opportunity to place local-government fiscal reform firmly on the national reform agenda.

The immediate objective need not be to transfer a large new tax burden to citizens or suddenly make every local authority financially self-sufficient. That would be neither realistic nor equitable.

The objective should instead be to build a modern system in which local authorities mobilise a reasonable share of their own resources, the Central Government provides transparent and predictable equalisation support, and citizens can see a clearer connection between what they pay and the services they receive.

Sri Lanka’s economic recovery will ultimately be experienced not only through national statistics but also in its cities, towns and villages. If decentralisation is to mean anything to an ordinary citizen, local institutions must have both the responsibility and the financial capacity to deliver.

Budget 2027 is an appropriate place to begin that long-delayed reform.

The World Bank is supporting to transform Colombo into a destination in its own right and attract higher-spending visitors who currently spend only a fraction of their trip in the capital.

World Bank Lead Private Sector Specialist – South Asia Region, Finance, Competitiveness and Innovation Global Practice Natasha Kapil said the Bank’s analysis had identified a significant untapped opportunity in Colombo, despite the city having the country’s largest concentration of five-star hotel rooms.

‘Somewhere between 5% and 10% of visitors to Sri Lanka actually stay in Colombo, while the average length of stay is only about half a day,’ she said.

Speaking at the launch of the National Tourism Strategic Plan for 2026-2031, alongside a five-year Global Destination Communication Campaign Road Map being developed with international and local consultants under the World Bank’s Grant Facility for Project Preparation (GFPP) on Monday, she said the branded THRIVE Colombo project would be the first of three planned operations, followed by interventions focused on nature-based and marine tourism.

The combined envelope for the three operations is approximately $ 200 million, with Tourism for Heritage, Resilience, Inclusion, and Value-driven Employment (THRIVE) Colombo accounting for around $ 77 million.

‘This is much more than a tourism project,’ Kapil said, describing THRIVE as a platform for the Government’s wider tourism agenda, encompassing investment as well as policy reforms.

The World Bank’s decision to start with Colombo is based on what Kapil described as a significant untapped opportunity, turning the capital from largely a transit or gateway city into a destination capable of attracting higher-spending international travellers for 48 to 72-hour stays, weekend breaks and short trips.

‘We believe there is a strong case for establishing Colombo as a destination in its own right,’ she said.

The proposition is particularly significant given the city’s substantial concentration of high-end accommodation. ‘Colombo has the largest inventory of five-star hotel rooms in Sri Lanka, yet the proportion of international tourists staying in the city remains remarkably low,’ she said, adding that the World Bank therefore sees the opportunity not necessarily in building more hotel capacity, but in making the city itself sufficiently attractive for high-end visitors to stay longer and spend more.

She said potential activities such as performing and digital arts, Kala Pola, Colombo Fashion Week, literature festivals and other events capable of attracting higher-value visitors.

THRIVE Colombo will combine institutional reform, destination infrastructure and private-sector investment.

‘Two major tourism ‘loops’ have been identified as the initial physical development opportunities; a Fort-centric loop and a nature-centric loop around Colombo’s wetlands,’ she said.

According to her, the Fort concept connects the waterfront, Galle Face Green, the heritage buildings in Fort area along the attractions extending towards Pettah, while the nature loop would build on assets such as Beddagana Wetland Park and Diyasaru Park.

Investment could cover site and building upgrades, pedestrianisation and missing connections between attractions, with the aim of turning currently fragmented assets into coherent visitor experiences.

‘We have identified several heritage buildings in the Colombo Fort area that could be considered for new tourism activities. But equally, we are very keen to ensure that the private sector participates in managing and operating selected tourism assets, rather than leaving the responsibility entirely with the Government,’ Kapil added.

The strategy also recognises the need for a Tourism Entrepreneurship Fund to finance the ‘software’ of the destination, the enterprises, events, creative activities and experiences that can give visitors reasons to stay longer.

She said this fits closely with the emerging direction of Sri Lanka’ National Tourism Strategic Plan for 2026-2031, which is seeking to move the industry from volume to value.

The World Bank is also backing institutional changes intended to support that transition. Under THRIVE Colombo, the Sri Lanka Tourism Development Authority (SLTDA), Sri Lanka Tourism Promotion Bureau (SLTPB) and Sri Lanka Institute of Tourism and Hotel Management (SLITHM) are expected to undergo modernisation, including improvements to digital systems, governance, human resources and data collection. The move will also support tourism skills development, including a review and modernisation of tourism education and training.

She said the initiative also places keen emphasis on the new Tourism Act, under the leadership of the Tourism Ministry as better tourism intelligence will be critical as Sri Lanka seeks to identify changing source markets and target higher-spending travellers.

She said a further component will be the preparation of a National Tourism Strategic Plan for 2026-2031, supported by demand and supply assessments, destination-level planning, investment and regulatory reviews and a tourism skills-gap assessment.

This evidence base is also expected to improve tourism promotion.

Kapil said Sri Lanka’s current promotional efforts could eventually become more targeted once better market intelligence is available, allowing the country to develop campaigns aimed specifically at higher-spending segments for Colombo, as well as distinct segments for nature-based tourism.

‘This could represent a departure from broad-based destination marketing towards product- and segment-led promotion,’ she added.

World champions South Africa delivered a powerful first-half performance as they edged past New Zealand and levelled ‘Rugby’s Greatest Rivalry’ series at 1-1 with two Tests to play.

The All Blacks travelled to Cape Town knowing a win would write them into the history books as the first New Zealand team to win back-to-back Tests in South Africa since the ‘Incomparables’ of 1996.

But South Africa dominated the basics and showed a more clinical edge this week, even though the lively All Blacks again outscored them on the try count by four to three.

New Zealand’s fightback ultimately came too late, captain Ardie Savea barging over on 77 minutes to get the game within a score, but on the All Blacks’ final attack Boks replacement Cameron Hanekom won a superb turnover that settled the nervy closing stages.

As he did last week, Springboks wing Cheslin Kolbe took on the kicking duties over fly-half Sacha Feinberg-Mngomezulu, notching up 18 points in a player-of-the-match performance.

The first series in 30 years between these two mighty rugby nations is shaping into an epic, with the third Test back at altitude in Soweto, Johannesburg on Saturday.

When Deputy Minister of Vocational Education Nalin Hewage recently proposed that the minimum age of those driving three-wheelers for hire should be restricted to those 40 years and above so as to discourage young people from taking it up as a vocation, there was the expected outrage and criticism.

Hewage’s argument is that many young men turn to three-wheeler driving soon after a basic school education, thus leading them to be stuck in a job that sees no career progress or stability.

Recently, Prime Minister Harini Amarasuriya, who is also the Minister of Education, Higher Education and Vocational Studies, told Parliament that the emerging pattern in the country is the steady decline in the number of boys continuing their school education beyond the age of 16.

She said that while compulsory education up to age 16 had been established by law, retaining children in the school system remains a growing challenge, adding that school dropouts who leave without completing 13 years of education and enter the workforce without adequate skills and qualifications are exposed to exploitation and other risks.

The problem faced by the youth in this country goes back a long way, and it has been these rudderless and neglected young men and women who were drawn into two youth uprisings in 1971 and 1988-1990.

After the second JVP-led insurrection, then President Ranasinghe Premadasa appointed a Presidential Commission to study the problems faced by the youth and make recommendations. That was in 1990, and more than three decades later, the youth of the country face many of the same problems, or maybe even more, in a social media-saturated society where the gap between the ‘haves’ and ‘have-nots’ is more glaring and leads to a higher level of frustration among those who feel like outsiders in a system that remains a bed of roses for the ‘haves’ and a thorny bush for those on the other side.

The desperation of young men and women to go overseas for any kind of employment shows that they are keen to make a living overseas rather than face the many obstacles that lie in their path if they are to progress in life in the land of their birth.

Premadasa’s Youth Commission identified education as an area where a national policy should be determined through a national consensus and not a policy to be affected by the ‘vagaries of transient political majorities.’

It recommended that a National Commission on Education Policy be established aimed at achieving a consensus with regard to educational policy. While such a Commission was established by an Act of Parliament in 1991, there is little consistency in the education policy of the country, with each change in government meaning another education system change.

The three-wheeler issue highlighted by Deputy Minister Hewage is the elephant in the room which no one wants to bring up, knowing it’s an unpopular move and there would be a backlash from a significant section of the population.

But the reality is that many young men eligible to get a driving licence turn to three-wheeler driving as an occupation, but this isn’t healthy for them or for the country. There is no job stability, nor is there a chance for them to enhance their skills and get ahead in life. It’s a day-to-day earning job, which means many will live hand to mouth as long as they can run the three-wheeler but are left with little to fall back on when they are in advanced years, suffer health issues, or accidents leave them unable to work.

There is no job security, no social acceptance, and many youths have been drawn into anti-social activities while engaged in three-wheeler jobs.

Hence, Hewage’s proposal, though unpopular, needs some attention. But it’s not something that can be done abruptly. There should be plans in place to draw the youth towards other forms of employment which recognise each one’s talents and put them to best use so that the youth and the country can both benefit.

With just three weeks remaining for the 2026 Asian Games in Nagoya, Japan, Sri Lanka’s men’s rugby sevens team faces one of its biggest tests in recent years as it looks to revive its fortunes after a disappointing showing in the opening leg of the Asia Rugby Sevens Series in China.

The rugby sevens competition at the Asian Games will be worked off from 1 to 3 October at the Paloma Mizuho Rugby Stadium in Nagoya, with 12 of Asia’s top teams battling for medals. Sri Lanka, once ranked among Asia’s top three sevens nations, has slipped to seventh in the regional rankings after a string of inconsistent performances in Suzhou, China, at the recently concluded first leg of the Asia Rugby Sevens Series.

The opening tournament in China exposed several weaknesses in the Sri Lankan outfit. The team began impressively with a commanding victory over Kazakhstan but failed to maintain momentum, suffering defeats to South Korea and hosts China in the pool stage. Those losses pushed Sri Lanka into the Cup quarter-finals as one of the best third-placed teams, where they were outclassed 17-0 by Japan. Sri Lanka eventually finished seventh after defeating Thailand in the placement play-off, a result well below expectations.

That campaign highlighted concerns over ball retention, discipline, decision-making, defensive structure and selfish play, areas New Zealand head coach Peter Woods will be desperate to address before Nagoya.

Sri Lanka has been drawn in Group C alongside the United Arab Emirates, Singapore and the Philippines. On paper, it is a group Sri Lanka is capable of topping, but recent performances suggest there is little room for complacency. The UAE has made significant progress in recent seasons, while the Philippines continue to improve with a physically strong squad.

The format offers some hope, with the top two teams from each group and the two best third-placed teams advancing to the quarter-finals. However, if Sri Lanka hopes to stand on the podium, merely reaching the knockout stage will not be enough.

A potential medal run is likely to require victories over stronger opponents such as China, South Korea and the UAE. Hong Kong China and Japan enter the Games as favourites after months of uninterrupted preparation and impressive performances on the Asian Sevens circuit.

Captain Soori and his teammates will need to rediscover the fearless brand of rugby that made Sri Lanka one of Asia’s most exciting sevens teams. The squad possesses pace and attacking flair, but consistency over three demanding days will determine whether they can challenge for a historic medal.

For Peter Woods, the countdown has begun. Turning around Sri Lanka’s fortunes in a fortnight will be a massive task, but a bronze medal at the Asian Games remains an achievable target if the Tuskers can produce their best rugby when it matters most. With the President of Sri Lanka Rugby putting in a lot of effort and even signing contracts with the players, a better performance is expected from the players. A few changes are also expected to be made to the final touring squad of 13, with Janidu Dilshan and a few more likely to come into the squad.

Group A comprises Hong Kong China, China, Malaysia and Uzbekistan, while Group B features Japan, Thailand, South Korea and Kazakhstan. Sri Lanka has been drawn in Group C alongside the United Arab Emirates, Singapore and the Philippines.

Sri Lanka will open its campaign on 1 October with matches against the Philippines and Singapore. The team will then face the United Arab Emirates on 2 October in its final group-stage fixture.

The knockout stage will take place on 3 October, featuring the quarter-finals and semi-finals, followed by the fifth/sixth and seventh/eighth place play-offs, the bronze medal match and the gold medal match.

Distilleries Company of Sri Lanka PLC has been recognised as ‘Sri Lanka’s Most Valuable Spirits Brand’ by Brand Finance, marking another significant milestone in the company’s more than a century-long journey of building trusted brands and continuously evolving with the needs of consumers.

The award reflects the strength and enduring value of DCSL’s portfolio, built over generations through a combination of heritage, quality, innovation and a deep understanding of the local market. Established in 1913, DCSL has evolved significantly over the past century, transforming from a traditional spirits manufacturer into a diversified organisation with a growing presence across manufacturing, plantations, packaging, logistics and investments.

The company’s journey has been defined by its ability to adapt while retaining the values that have shaped its reputation. DCSL embarked on a period of significant transformation, investing in modern manufacturing capabilities, technology, product development and operational excellence. These investments have enabled the company to strengthen its brands while responding to changing consumer preferences and market dynamics.

Director Sales and Marketing Kasun Jayawardena said: ‘This achievement is a reflection of the trust that consumers have placed in our brands over generations, as well as the dedication of our people who continue to uphold the standards on which DCSL was built. For us, heritage is not simply about looking back; it is about using what we have learned to continuously improve, innovate and create value for the future.’

DCSL’s commitment to innovation has extended across its product portfolio, manufacturing processes and consumer engagement, while its growing export footprint has enabled Sri Lankan brands to reach markets including Australia, South Korea, the Maldives and China.

This honour comes at a time when DCSL continues to invest in strengthening its manufacturing capabilities and exploring new opportunities for growth. With a focus on quality, innovation, sustainability and responsible business practices, the company remains committed to building brands that are relevant to successive generations.

For DCSL, being recognised as Sri Lanka’s Most Valuable Spirits Brand is therefore not only an acknowledgement of its current brand strength, but also a reflection of a legacy shaped by continuous reinvention. As the company looks towards its next chapter, it remains focused on preserving the trust built over more than 100 years while creating new opportunities for growth, innovation and value.

Manchester City have agreed to pay a joint-British transfer record fee of £ 125 million for Chelsea midfielder Enzo Fernandez.

Fernandez joined Chelsea from Benfica in 2023 for a then-British record fee of £107m, with his latest switch matching the £ 125 million that Liverpool paid for Alexander Isak on this day last summer.

The clubs have been negotiating over the past 24 hours and have now reached an agreement.

Fernandez will now undergo a medical ahead of signing a long-term deal at City. Personal terms will not be an issue.

Argentina international Fernandez worked with City manager Enzo Maresca during the Italian’s reign at Chelsea.

Maresca is keen to work with him again after losing a host of midfielders this summer.

Fernandez was not involved in Chelsea’s 4-3 Premier League win over Brighton on Sunday or their 2-0 Carabao Cup victory against Luton three days earlier, as reports in Argentina suggested he asked to be left out of the squad.

It is the second time this summer that City have broken their own transfer record, following the £ 116 million arrival of Elliot Anderson from Nottingham Forest.

Fernandez becomes the fourth player to move to a Premier League club for a fee of at least £ 100 million this summer – following Morgan Rogers (£ 117 million) to Chelsea, Bradley Barcola to Liverpool (£ 123 million) and City’s signing of Anderson.