Category: Daily Financial Times

Sri Lanka’s banking sector is in the midst of its most decisive digital transformation to date. Branch networks are shrinking, physical statements are disappearing, and customers are being rapidly channeled toward mobile apps and internet banking as the primary means of managing their finances.

Yet, at this critical moment of progress, a contradiction has emerged. Even as banks save billions through digital efficiency, customers are increasingly being charged annual digital banking access fees; ranging from a few hundred to several thousand rupees per year, simply for using the very platforms they are being compelled to adopt.

Digital banking is no longer a premium convenience. It is now the default and in many cases the only practical channel for accessing one’s own money. When access becomes effectively mandatory, charging for it raises serious questions of fairness, inclusion, and public policy.

The economic reality: Who benefits from digitalisation?

The financial logic of digitalisation is straightforward. A single urban branch can cost a bank several million rupees annually in rent, staffing, utilities, cash handling, security, and paperwork. Once robust digital systems are implemented, the marginal cost of each transaction drops sharply. Paper statements, manual reconciliations, and large volumes of physical cash are progressively eliminated.

These efficiencies materially improve banks’ cost-to-income ratios and long-term profitability. Yet, instead of these gains being shared with customers, digital banking access fees effectively transfer additional cost onto them. Customers pay more, even as banks operate more efficiently.

A public-sector benchmark in customer centricity

Sri Lanka’s large state-owned banks serve the widest cross-section of the population, including pensioners, rural communities, small businesses, and low-income households.

Despite managing enormous customer volumes and national infrastructure responsibilities, these institutions have largely treated basic digital access as an essential public service, not a revenue extraction tool. Their approach reflects a broader understanding: digital banking is a national enabler, not merely a commercial product.

This stance offers a powerful lesson to the private sector. If public-sector banks, serving the most diverse and economically vulnerable communities, can prioritise access and inclusion, private banks; many of which generate substantial annual surpluses, are fully capable of doing the same.

The unequal burden on citizens

Senior citizens now face shrinking branch services while struggling with mobile technology. Charging them for digital access is not merely a financial issue; it is a human one.

For low-income earners, even a modest annual fee is significant. It represents several days’ earnings and risks discouraging continued participation in the formal banking system.

Rural customers must contend with unreliable connectivity and high data costs. When physical services are withdrawn and digital access is monetised, inequality deepens.

Global practice: Digital access as infrastructure

Internationally, digital banking access is treated as core financial infrastructure and offered free of charge. Banks monetise through lending, investment products, wealth management, and enterprise services; not by charging customers to view balances or transfer their own money.

Sri Lanka should align with this global standard.

Private banks and their moral responsibility

Private sector banks in Sri Lanka play a systemically critical role in financial stability, capital mobilisation, economic growth, and investor confidence. Many record strong profits and rising surpluses year after year.

With that strength comes responsibility. Banks operate within a public trust framework as custodians of household savings and the payments system of the nation.

When banks continue to remove physical services while monetising digital access, the issue moves beyond commercial strategy into the realm of ethical and moral obligation.

A balanced policy way forward

Basic digital banking access should be free. Premium digital services may justifiably be charged for. Full transparency should be mandated on digital infrastructure investment and cost savings. Consumers must be protected during service transitions. Digital banking should be formally recognised as national financial infrastructure.

Conclusion

Sri Lanka stands at a decisive juncture in its financial evolution. The question is not whether digital banking will dominate; it already does. The true question is how fairly and ethically that dominance will be structured.

Free basic digital banking is the foundation of a modern, inclusive financial system. Transparency, fairness, and shared benefit must guide the next phase of Sri Lanka’s digital financial transformation.

Monash University, Monash College and Universal College Lanka (UCL) recently marked a decade of partnership that has created life-changing opportunities for

Sri Lankan students to access a world-class Monash education.

Since the partnership began in 2015, over 800 Sri Lankan students have transitioned from Monash College pathway programs at UCL to continue their studies at Monash campuses in Australia and Malaysia.

Today, these graduates are driving change and positive impact in business, education, health, Government, and the wider community, reflecting Monash University’s global influence and commitment to shaping the next generation of leaders.

The milestone will be celebrated at a special alumni event in Colombo, attended by Monash and UCL leaders, alumni and distinguished guests including Australia’s High Commissioner to Sri Lanka Matthew Duckworth.

Monash University Vice-President (Marketing, Admissions and Communications) and Monash College Chief Executive Fabian Marrone said the anniversary underscored the strength of Monash’s partnerships in South Asia and their role in expanding access to world-class education.

‘This milestone is significant: it celebrates a successful and strong partnership and recognises the extraordinary contributions of our Sri Lankan alumni in the communities they live, operate and serve in,’ Marrone said.

‘Their leadership across industries demonstrates the value of a Monash education and its ability to equip graduates with the skills, mindset and global perspective needed to make an impact both locally and internationally.’

Universal College Lanka (UCL) CEO Dr. Chamila Ariyananda said the partnership continues to open new doors for Sri Lankan students seeking a globally recognised qualification while remaining connected to their local community.

‘We began our journey 10 years ago with Monash, a globally renowned leader in education. Guided by Monash’s vision for quality outcomes, their academic excellence has shaped UCL’s winning strategy in Sri Lanka’s dynamic higher education space. Our strong partnership continues to pave the way for an extraordinary journey ahead,’ Dr. Ariyananda said.

Spanning six countries across the Indo-Pacific and Europe, Monash maintains partnerships with more than 200 universities in over 40 nations.

Ranked in the world’s top 50 universities Monash fosters a community of more than 95,000 students and 20,000 staff, celebrating diversity and inclusion.

Its global alumni network exceeds 500,000 graduates in 150 countries, including many Sri Lankans who continue to make significant contributions both at home and abroad.

For over 30 years, Monash College has delivered transformative pathway programs to over 80,000 students. The decade-long partnership with UCL reflects Monash’s enduring commitment to Sri Lanka and its vision to create opportunities for the next generation of globally capable, job-ready graduates.

In a groundbreaking step toward enhancing guest convenience and digital hospitality, Sofia Colombo has officially launched Colombo’s first-ever multilingual ‘Hotel E-Shop,’ developed in partnership with Thineth Software Solutions. This innovative online platform operates without the need for app downloads or personal data collection guests simply scan a QR code available in their rooms to access the service instantly.

With this launch, Sofia Colombo invites both discerning travellers and local patrons to browse and purchase its luxury services, signature spa treatments, curated dining experiences, and exclusive souvenir collections directly from their mobile devices. Situated in the heart of Colombo, Sofia Colombo is renowned for its blend of contemporary design and warm Sri Lankan hospitality. The Hotel E-Shop now extends this distinguished experience beyond the hotel premises, offering guests the convenience of exploring and reserving premium offerings during their stay. Designed with user-friendliness in mind, the platform features personalised recommendations, special offers, and a seamless checkout experience. Further amplifying its commitment to innovation, Sofia Colombo has also introduced a real-time guest feedback system and team alert app that operate through the same digital ecosystem. These additions help ensure faster service responses and an elevated guest journey at every touchpoint. Sofia Colombo warmly invites all guests and the wider community to explore the new Hotel E-Shop and enjoy the hotel’s hallmark luxury and service now accessible anytime, anywhere, at their fingertips.

Sri Lanka Embassy in Belgium together with the Sri Lanka Tourism Promotion Bureau participated in the Holiday Expo Gent held from 28 November to 01 December 2025 at Flanders Expo in Belgium, for the second consecutive time. Sri Lanka was prominently featured as a premier travel destination in the event, which drew more than 30,000 visitors, served as a major B2C platform offering direct access to Belgian travellers planning their holidays.

The Holiday Expo took place during the tough time that Sri Lanka faced when the natural disaster occurred due to the devastating cyclone. However, the Embassy convinced Belgian travellers that Sri Lanka is open, Sri Lanka is safe and Sri Lanka needs its visitors now more than ever and we urged them to visit Sri Lanka without cancelling their trips during the ongoing peak season.

At the speech corner, Embassy Minister (Commercial) Thavishya Mullegamgoda delivered a presentation showcasing Sri Lanka’s rich and diverse tourism offerings from pristine beaches, ancient cultural sites, to wildlife, biodiversity, and eco-sustainable tourism. She also emphasised Sri Lanka’s growing niche segments, including wedding tourism, adventure travel, and MICE tourism. The Sri Lanka stand highlighted the island’s distinctive tourism identity through vibrant banners, promotional videos, brochures, detailed travel maps and served Ceylon tea.

The simultaneous hosting of the Holiday Expo and the Countryside Lifestyle Exhibition broadened the high-end visitors reach, attracting families, youth, adventure seekers, culture enthusiasts, and affluent travellers from across Belgium. Belgian travellers planning trips to Sri Lanka in 2026, as well as those who had the island on their travel wish list, visited the Sri Lanka stand to receive first-hand insights from Embassy representatives on the country’s diverse tourism opportunities.

Many visitors who had previously travelled to Sri Lanka shared their fond memories and expressed a strong desire to return, hoping to explore regions they had not visited before. New visitors also demonstrated keen interest in a variety of experiences, including long-haul vacations, family travel, culinary tourism, wildlife and nature exploration, cultural heritage tours, and adventure activities.

Sri Lanka’s participation not only strengthened the nation’s brand presence but also generated valuable networking opportunities within the Belgian travel industry. The ticketed fair additionally attracted visitors from neighbouring countries such as the Netherlands, Luxembourg, Germany, and France, further enhancing outreach across the region.

President Anura Kumara Dissanayake used his Newsweek interview to outline a reform agenda aimed at dismantling Sri Lanka’s most controversial security laws and rebuilding trust in the country’s human rights record.

He said laws such as the Prevention of Terrorism Act (PTA) and the Online Safety Act have no place in a democratic system.

‘These laws have been used as tools of repression. They are out of place in a democracy. We are committed to comprehensive reform. On the PTA, we are committed to repealing and replacing it with legislation that balances security concerns with civil liberties,’ the President said. ‘This means ending indefinite detention, establishing judicial oversight, and ensuring that anti-terrorism legislation meets international human rights standards.’

He said revisions to the Online Safety Act will protect free expression while addressing genuine harms, noting that governments create new risks when they rush through restrictive laws.

‘The focus is to prevent real harm and not silence criticism. We want to work with civil society, international human rights experts, and affected communities to draft replacement legislation. Trust in Government requires these reforms. We will act. And act soon.’

Responding to concerns from rights-conscious partners, Dissanayake said credibility will come from concrete steps rather than declarations.

‘Trust is earned through action. We are releasing political prisoners systematically, reviewing cases where people were detained without proper process, allowing space for peaceful protests, and strengthening independent institutions. The political culture of control does not change overnight. Our partners should see whether our reforms are substantive and whether we are advancing, not backsliding.’

Asked whether the country can put its troubled past behind it, he said the aim is not to erase history but to prevent repetition.

‘You cannot overcome the loss of thousands of lives in conflict or the trauma of disappearances and torture. What we can do is ensure these horrors never recur. We cannot forget the past, but we can build institutions that protect everyone equally and break the cycles that produced those painful experiences.’

Dissanayake said constitutional reform, equal citizenship, accountability, and protection of vulnerable communities are essential to a durable rights-based order. He said the long-term test will be whether future generations inherit stronger institutions rather than unresolved grievances.

MAS Holdings have been crowned winners of the 40th Annual Mercantile Athletics Championship as they ruled the Track and Field in Diyagama with a brilliant overall performance in all disciplines to prove their mettle as undisputed champions of the corporate athletics arena for yet another year.

MAS secured an impressive 560 overall points and a commanding 296-point lead against the runners-up.

One of the most anticipated sporting events in Sri Lanka’s corporate athletic calendar – the 2025 edition of the Mercantile Athletics Championships was organised by the Mercantile Athletics Federation. This milestone event marked 40 years of sporting excellence, camaraderie, and corporate unity.

This year’s championship took place on 14, 15, and 16 November at the Diyagama International Stadium, with 80+ companies and 3000+ athletes competing on 3 days of high-intensity track and field action.

Team MAS excelled with flying honours by clinching five category championships which paved the path for the all-important overall championship title.

MAS continued their success from last year, which saw them bagging the 39th edition of the tournament where they won both Men’s, Women’s, Women’s and Men’s masters and Novices titles to taste overall championship glory with 585 points and a lead of 281 points with the second-placed team.

The continued momentum unleashed by the MAS athletes is a testament for their unwavering commitment towards the sports irrespective of age barriers in all formats.

As a trusted partner, Australian Migration Consultants recently announced the launch of Dubai-based Mount Institute of Business Development (MIBD) in Sri Lanka.

The launch opens a more accessible path for Sri Lankan students pursuing UK-accredited diploma and degree-completion programs, said Australian Migration Consultants Managing Director Dr. Manjula Kulatunga.

MIBD’s Level 3 to Level 5 UK Diploma programs offer fast-track routes to the final-year of their undergraduate degree. With programs including tourism and hospitality, health and social care, IT, project management, and education, the Dubai-based MIBD has built its model around work-ready qualifications and international mobility.

Australian Migration Consultants General Manager Annya Gunasekara said that this initiative presents a valuable opportunity for young executives to gain internationally recognised qualifications along with overseas experience. She further noted that many of the available job opportunities will help participants finance their education while also opening pathways to the thriving Gulf job market.

MIBD Founder and Director David Ebenezer said that the partnership strengthened the institution’s commitment to providing accessible, globally recognised education. ‘We are known as MIBD Dubai where we do UK Diploma Programs which are for Level 3 to Level 5. Students who complete Levels 4 and 5 have the option of directly moving on to the final year of the graduation program. This helps them complete graduation at a very fast pace.’

He highlighted the institute’s diverse faculty, which includes experts from Europe and the Middle East, like the MIBD Dean Dr. Rafaela De Angelis Barros who works closely with the Dubai Government on projects from Italy. MIBD Head of Education and Training Management Dr. Sandra Carter also brings decades of expertise in education from across the world. ‘This gives our students a broader and deeper learning perspective,’ Ebenezer said.

Beyond classroom education, MIBD’s career-focused model also offers students internship opportunities built into the program, helping them gain practical experience, industry exposure, and network opportunities as well. Ebenezer emphasised that this early industry exposure was extremely powerful in high-growth economies like Dubai, where access to industry connections can fast-track a young professional’s career.

To promote the program in Sri Lanka, the MIBD recently signed a MoU with the Union Bank.

For Sri Lankan students, this partnership between Union Bank and MIBD is designed to remove the financial barriers that would typically block them out of overseas studying and the career opportunities that come with it. With financing in place, students would be able to enter Dubai’s talent ecosystem and start building the foundations for an international career.

Through Union Bank, students will be able to access long-tenor education loans with repayment periods of up to 15 years. The package covers course fees, air tickets, insurance, overseas health cover, and other mandatory costs, reducing the logistical burden of preparing to study abroad.

Union Bank Colombo Product Management Head Chalith Perera said that the bank viewed this partnership as part of its mission to widen access to quality education. ‘It’s a proud day for us. We believe in providing flexible and convenient education solutions. and MIBD offers a strong, exciting package for students who wish to migrate to Dubai with a unique proposition of finding employment solutions.’

He added that the partnership aimed to give Sri Lankan families a ‘hassle-free, easy, one-stop solution’ from university admission to relocation.

The partnership expands MIBD’s footprint in Sri Lanka, which is one of its key student markets. For Union Bank, it marks another strategic step in expanding its education-finance portfolio.

Axiata Group Berhad Group CEO/Managing Director Vivek Sood said the Malaysian telecoms giant remains committed to Sri Lanka as a long-term strategic investment destination, despite challenges and market exits elsewhere in the region, citing the country’s digital ambitions, talent base and regulatory openness as decisive factors.

Speaking at the Sri Lanka Economic Summit last week, Sood said Axiata’s investment decisions are never driven solely by shareholder returns, but by a broader ‘return to stakeholders’, shaped by a country’s vision, regulatory stability, market structure, macroeconomic signals and the strength of local talent.

‘Every business has to decide, where to put its capital. For us, the decision is always based on not just profit to shareholders. It’s the returns to the stakeholders. That starts with the vision of the Government, the regulatory environment, the macro situation, the opportunity and the level of talent,’ he explained.

Sood noted that Axiata is a long-term strategic investor, insisting that telecom infrastructure is a 10-15-year investment horizon. ‘We are not fly-by investors coming to monetise and leave. Some markets we exited because the market structure wasn’t conducive or the Government’s future vision wasn’t very clear. In Sri Lanka, it’s different,’ he said.

He identified several reasons the group continues to see Sri Lanka as a long-term play, beginning with the Government’s digital economy vision, including its stated commitment to attract $ 15 billion in investments by 2030. ‘Connectivity plays a very important role in enabling that digital economy. We believe we can add value not just to the Government’s vision, but to society in healthcare, financial services, education and more,’ Sood said.

He also cited Sri Lanka’s market scale and structure, the population’s appetite for innovation, and what he described as a constructive regulatory culture. ‘There are challenges in every market,’ he acknowledged. ‘But what we find attractive is the willingness to consult and have a dialogue. If you have that willingness to discuss and debate, you find solutions that are long-term and value-accretive.’

Axiata, which owns Dialog Axiata, has used Sri Lanka for decades as a test bed for new technologies, including early rollouts of 2G, 3G, 4G and now 5G trials. Sood said the country’s talent and mindset were central to those decisions. ‘The desire of Sri Lankans to innovate and try out new things is an attractive proposition,’ he added.

Jetstar will take off for the first time from Australia to Sri Lanka in August next year, with the launch of the only direct low-cost service from Melbourne to the South Asian nation’s capital, Colombo.

From 25 August 2026, Jetstar will become the first Australian airline to operate this route, flying three times a week between Melbourne and Colombo and offering more than 100,000 low-fare seats a year on the new route.

Jetstar CEO Stephanie Tully said the airline’s Melbourne to Colombo route will give Australians a new, direct and affordable way to take off more to Sri Lanka.

‘Colombo is an incredible destination, and from August next year, we’re excited to be making it easier for Aussies to experience everything the beautiful country of Sri Lanka has to offer. This new route out of our home base of Melbourne is part of a huge growth phase for Jetstar,” she said.

‘We’ve added new destinations, more aircraft and we’re continuing to expand our international network to give travellers even more choice and opportunities to take off for less,’ Tully added.

Melbourne Airport Chief Executive Officer Lorie Argus welcomed Jetstar’s new flights to Sri Lanka as the airport and airline celebrate 10 years since the opening of Terminal 4.

‘We’re thrilled to see Sri Lanka, one of the region’s fastest-growing destinations, become Jetstar’s 10th international destination from Melbourne.

More Jetstar flights mean more legendary low fares – making it easier than ever for Victorians to explore this part of the world for leisure or to visit family and relatives.

‘We’re marking a major milestone as we celebrate a decade since Jetstar moved into its home at Terminal 4 and it’s fantastic to see how our partnership has strengthened. A decade on, we’re proud to be Jetstar’s largest hub,’ she stated.

This year-round service will be operated by Jetstar’s fleet of 11 widebody Boeing 787 Dreamliners, which are progressively being upgraded from early next year to overhaul both the economy and business class cabins.

The interior refit includes more than doubling the number of business class seats and installing Wi-Fi so customers can stream entertainment to their own devices.

The addition of a new lie-flat crew rest area to allow flights of up to 16 hours will open the door to even more incredible long-haul destinations in the future. The first of the upgraded aircraft is due to touchdown in Melbourne in late March 2026.

The countdown is on to these new flights went on sale at midday (AEDT) on Monday (8).

At that time, Jetstar will launch a 24-hour Route Launch Sale with one-way fares available between Melbourne (Tullamarine) and Colombo from only $315^ at jetstar.com.

The launch of Melbourne to Colombo flights comes during one of the most exciting growth periods in Jetstar’s almost 22-year history.

Over the past two years, the airline has announced 26 new routes and welcomed 13 new aircraft, allowing travellers to take off more, for less.

2025 has been a standout year, with 14 new routes announced -nine of them international, with more exciting growth plans in coming years.

This year the Melbourne based carrier is also celebrating 10 years of operating domestically from Melbourne’s T4, having carried more than 50 million customers through the terminal.

The new route announcement comes as Jetstar prepares for its biggest Christmas ever.

Jetstar is forecast to carry a record of almost six million passengers across its Australian, New Zealand, Japan and international network throughout December and January.

This includes a record 1.7 million passengers flying through Melbourne alone across the summer peak.

As per the announced schedule, flights will depart from Melbourne at 12:00 and will arrive in Colombo at 17:50 on Tuesday, Thursday and Saturday, while it will depart from on the same days from Colombo at 19:50 and will arrive in Melbourne at 10:00+1 (Schedule valid for 25 August – 3 October 2026, other periods vary based on daylight savings).

The Pathfinder Foundation conducted a high-level event, focusing on the theme ‘Managing Public Finance: The South Asian Experience.’ The event, held in a hybrid format, brought together university scholars, representatives from leading think tanks, and experts in related fields.

Pathfinder Foundation Chairman Bernard Goonetilleke, in his opening remarks stressed the importance of sound fiscal governance in the wake of the socio-political crises experienced in Sri Lanka, Nepal and Bangladesh in recent years-which indicate that South Asia can no longer treat fiscal policy as secondary or routine. His remarks concluded on the note that the discussion was of vital importance in the wake of the catastrophic cyclone that ravaged Sri Lanka the previous week.

Former International Monetary Fund (IMF) Asia and Pacific Department Director Anoop Singh, delivered the keynote address, emphasising that the global economy is heading into a new era characterised by significant changes in the international trading environment, where the role of public finance and its management as catalysts for economic growth has been highlighted. This shift, however, could not be timelier, given the historic highs global debt has reached. ‘What you cannot see, you cannot manage,’ Singh said that one of the main drivers of increasing global debt is ‘data gaps’ caused by inconsistently defined, misclassified, and unreported debt and expenditure, among other issues. Additionally, Singh asserted that these data gaps are deliberate and that a framework for global financial reporting of this calibre must be established by developing systems that monitor and audit, supported by institutions that uphold these systems.

Pathfinder Foundation Distinguished Fellow and Former Central Bank of Sri Lanka Governor Dr. R.H.S. Samaratunga and Pathfinder Foundation Distinguished Fellow Dr. Indrajit Coomaraswamy also share their insights. The concluding remarks were given by Pathfinder Foundation Executive Director Dr. Dayaratna Silva who expressed his sincere gratitude to Anoop Sing for his excellent presentation. He also mentioned the support that Singh has consistently provided to Sri Lanka when landmark economic reforms were carried out in 1977. He appreciated the contributions of key resource persons, who clarified complex issues in public finance with remarkable clarity and insight.

The Pathfinder Foundation continues to facilitate dialogue between related field experts, aiming to direct Sri Lanka towards a sustainable and prosperous future.