Sampath Bank pioneers sustainable banking with launch of Green Deposit

Sampath Bank PLC marked a transformative milestone in its sustainability journey with the official launch of the Sampath Bank Green Deposit, a fixed deposit product dedicated to financing environmentally sustainable projects. The launch event, held recently, brought together the bank’s Managing Director and Chief Executive Officer Sanjaya Gunawardana, Chief Financial Officer Ajantha de Vas Gunasekara, members of the ESG Committee, department heads, and three valued customers who placed the first Green Deposits, symbolising a joint commitment towards a cleaner and more sustainable Sri Lanka.

The Sampath Bank Green Deposit represents a significant step forward in aligning the bank’s financial expertise with its Environmental, Social and Governance (ESG) goals, while empowering customers to participate in building a low-carbon economy. Offered as a 12-month fixed deposit in Sri Lankan Rupees with interest payable at maturity at prevailing rates, this initiative reinforces the bank’s dedication to integrating sustainability into its core operations and supporting the national transition to renewable energy by 2030.

Sanjaya Gunawardana said, ‘The Sampath Bank Green Deposit is a reflection of our continued belief that responsible banking can shape a better world. Through this initiative, we are transforming deposits into tangible environmental action by financing projects that support clean energy and preservation. The Green Deposit Framework ensures that proceeds are channelled transparently towards eligible green projects, managed responsibly, and reported to our stakeholders. It is our way of assuring customers that their funds are making a measurable difference while upholding the integrity of sustainable finance.’

The Green Deposit Framework, developed in accordance with the International Capital Market Association’s (ICMA) Green Bond Principles and the Sri Lanka Green Finance Taxonomy, governs the process through four pillars: use of proceeds, project evaluation and selection, management of proceeds, and reporting. The bank has also obtained an Independent Practitioner’s Limited Assurance Report on Pre-Issuance of the Green Deposit, strengthening its credibility and mitigating any risk of greenwashing.

Funds raised through the Sampath Bank Green Deposit will initially finance solar installations across Sri Lanka, with future proceeds directed towards other qualifying green projects that contribute to environmental sustainability. Open to individuals aged 18 years and above as well as corporate entities committed to responsible investment, the Green Deposit allows customers to align their financial goals while contributing towards a positive environmental impact. Each depositor will also receive an e-receipt via their registered email, reflecting the bank’s commitment to both paperless operations and digital convenience.

Listless Sri Lanka succumb to Zimbabwe by 67 runs

Zimbabwe produced a dominant all-round performance to rout Sri Lanka for 95 and win their second match of the T20I Tri-Series by 67 runs at the Rawalpindi Cricket Stadium yesterday.

Having lost their first match to Pakistan two days ago, Zimbabwe put up a clinical show to outwit Sri Lanka in all departments of the game and secure only their third win in 11 T20I matches against Sri Lanka.

The tone for Zimbabwe was set in the opening over when Richard Ngarava hit the pitch hard and got the prize wicket of Pathum Nissanka for a duck. Tinotenda Maposa followed it with Kusal Perera’s wicket in the next over and Sri Lanka never looked like they were in it from then. They went through their lowest powerplay this year – 25-2 (6) – in 14 T20Is.

Bhanuka Rajapaksa ran Kusal Mendis out and then slogged to get himself out. Dasun Shanaka, in his return as Captain, waged a lone hand, making a top score of 34 off 25 balls (2 fours, 2 sixes) after being given a chance early on when Tadiwanashe Marumani missed a run-out. There was no help from the rest of the batters and Sri Lanka at the end played for the Net Run Rate (NRR) as the last pair attempted to bat out the overs. It was poor cricket from Sri Lanka and they had only themselves to blame for the defeat.

Zimbabwe improved on their performance from the opening game, but once again fell short of a par total. Brian Bennett (49 off 42 balls, 5 fours, 1 six) was central to their innings, putting together a 61-run stand off 43 balls with Sikandar Raza (47 off 32 balls, 3 fours, 2 sixes) that briefly had them on track for something in the region of 180. However, once that partnership was broken, both set batsmen fell before reaching their fifties, and Zimbabwe never found the finishing kick. Bennett fell before the death overs, and Raza was caught brilliantly by his vis-à-vis Dasun Shanaka just as Zimbabwe were eyeing up a big finish.

Wanindu Hasaranga (3/32) was outstanding with the ball and debutant Eshan Malinga impressed as well with figures of 2/27.

Raza picked up the Player of the Match award with his contribution with the bat and the ball (47 and 1/23), which included his 100th T20I wicket when he dismissed Kamindu Mendis. But it was the Zimbabwe quicks who set it all up, getting enough help from the pitch to tie down the Lankan batsmen who eventually succumbed to the pressure exerted.

This big win helped Zimbabwe’s NRR as they went to the top of the table.

ITC Ratnadipa presents ‘An Italian Affair’ in partnership with Italian Embassy, Sri Lanka

ITC Ratnadipa, Colombo in collaboration with the Embassy of Italy in Sri Lanka will host ‘An Italian Affair,’ a week-long celebration of authentic Italian cuisine from 24-30 November 2025. The event marks the establishment’s participation in the 10th edition of the Worldwide Week of Italian Cuisine in Colombo, bringing to Sri Lanka the richness of Italy’s culinary heritage and the global values of health, culture and innovation.

In honour of this milestone edition, ITC Ratnadipa will present an exclusive culinary experience led by Chef Antonio Savino, renowned for his mastery of Roman cuisine and over two decades of international expertise. Chef Savino heads Le Voilà Banqueting in Rome, where he has created innovative dining experiences for high-profile clients ranging from Gucci to the G20, earning acclaim for his balance of tradition and contemporary flair. During ‘An Italian Affair’ guests will be treated to an international dinner buffet featuring a curated selection of Italian dishes prepared by the Chef, showcasing regional authenticity, artisanal techniques, and his distinctive culinary style. The curated menu will be served at the Indian Ocean Pavilion for dinner at Rs. 9,600 Nett. His menu promises flavours that honour the heart of true Italian cooking while capturing the emotion and simplicity that make Italian cuisine so beloved around the world.

Guests are warmly invited to take part in this special week to savour the culinary artistry of Chef Savino and experience a taste of Italy brought to life at ITC Ratnadipa. The celebration promises a vibrant, immersive dining journey for both lovers of Italian cuisine and those discovering it anew.

ITC Ratnadipa, Colombo Area Manager Sri Lanka and General Manager Keenan McKenzie said: ‘We are proud to collaborate with the Italian Embassy to bring ‘An Italian Affair’ to Colombo as part of the Worldwide Week of Italian Cuisine. At ITC Ratnadipa, we are committed to setting ourselves apart by curating distinctive culinary journeys and I believe that by bringing curated events of this calibre, we create unique opportunities for our guests to experience diverse flavours from across the world.’

SL-India grid link advancing: Minister

Sri Lanka and India will be connected through a high-voltage transmission line under a joint initiative now moving forward, Power and Energy Minister Kumara Jayakody told Parliament yesterday.

Wrapping up the debate on his Ministry’s expenditure head, he said both Governments are progressing with the project and reviewing the technical and commercial framework.

Jayakody said Sri Lanka’s focus is to ensure electricity exchanges occur at the most competitive rate once the grid link becomes operational.

The Minister also reported a sharp increase in domestic solar capacity additions this year. He said 800 MW of solar had been connected to the grid by October, mostly from rooftop systems, compared with 533 MW for the whole of 2024. The minister expects total additions to reach 900-1,000 MW by year-end.

Mercedes-Benz Fashion Week kicks off with Talent Runway

The Mercedes-Benz Fashion Week (MBFW) kicked off on Wednesday (19) with Talent Runway at Cinnamon Life, City of Dreams. Powered by DIMO and presented by AOD Academy of Design, the event featured 50 collections unified by the climate change theme of fire, molten rocks, hurricanes, and cyclones. AOD, recognised as a sustainable university, presented designs utilising regenerated and deadstock textiles to position fashion as a regenerative industry and revive island craft heritage for modern, international audiences.

NMSJ calls on Govt. to strengthen Information Commission than amending RTI Act

The National Movement for Social Justice (NMSJ) has urged the Government not to amend the Right to Information (RTI) Act but to resolve operational difficulties that the Information Commission is already facing.

In a press statement signed by its General Secretary Sunil Jayasekara, it highlighted lack of resources and fulfilling some of the vacant posts of the Commission as urgent requirements that needed to be looked into for the smooth functioning of the Commission.

It also stated that the Commission’s reputation has been underestimated by certain Government departments as they have failed to provide information on matters of public interest.

‘This is not a good trend. The Government should appreciate the support received through the RTI Commission for the anti-corruption process,’ Jayasekara stated.

The NMSJ stated that the Government should be concerned about those issues and it is hopeful that the Government will take prompt action to ensure that the Commission is adequately empowered.

Rallying between a new will to power and the apathy of the powers that be

Last week we took a long walk down memory lane. It was to a time when Sri Lanka then used to be a nation of diplomatists (a few of note of global calibre), demagogues able to move a nation’s mighty spirit and break a people’s backbone in the same breath, and avid pioneers in the spheres of civics and governance. And oh, ‘e pluribus unum’… if not quite yet one people, one nation.

A handful of readers were probably prone to think of Ceylonese heads of UN agencies and debonair foreign ministers who once did our little island nation proud by boxing above its weight.

This week you might be tempted to take a short stroll to the nearest neighbourhood suburb for that rally which has a slim potential to position Nugegoda as another Nuremberg in terms of mass movements away from popular democracy towards the interests of a particularly mercantilist class. And also from an emerging pluralism back to ethnic particularism and/or socio-cultural and pseudo-religious exceptionalism. Or the agendas of some agents provocateurs posing as part of an ostensible joint opposition event.

But saner counsel, such as that which passes for it these days, will probably prevail later in the day. And a so-called joint Opposition rally – ironically sans the leader of the Opposition and his party – will rally to protest against the incumbent regime.

The other ironies that abound run the gamut from discredited mainstream parties that were once in Government and only recently rejected by the people – not once, but no less than three times in successive polls – protesting against alleged corruption by their successors in executive and legislative office, to sly attempts to privilege a perspective of the past in which race and religion are key. Have they no shame, or sense of history? Or is this what desperation smells like?

Shall we content ourselves – instead of a jaunt to that junction – with perambulating through the pages of this journal you’re perusing at present? Let’s borrow a leaf from notebooks of yesteryear. In which yours truly penned a piece then titled ‘No! to Nugegoda as a Nuremberg’ then, which may still have a little usefulness left in it, now.

Look back in anger (and other emotions)

For what it is worth, and also because the monsoonal winds blowing south from temple-side Trincomalee these days has the rank odour of racism and religious bigotry in it, find below the summary of the chief arguments I made…

A. Nationalistic rallies more often than not escalate into anti-democratic, exclusionary politics

There was an uncanny parallel between the rally imagery at Nugegoda in 2017 and the infamous rallies at Nuremberg in the late 1920s and early 1930s.

The use of mass ‘storm-trooper style’ pageantry, demagogic speeches and tribal mobilisation set the tone for the putsch of 2018 and the presidential victory of 2019.

That it took the agitation of the Aragalaya and all the angst that it created before the people’s movement of 2022 brought popular sovereignty to the fore and evicted arrogant yet incompetent and arguably corrupt governors is a lesson not to be forgotten. There is more than the veracity of a prominent politico’s law degree riding on the revelations to be made yet.

B. Ethnic particularism and nostalgic triumphalism distort history and fuel divisiveness

Rallying forces that evoke a war-victory nostalgia, post 2009 in Sri Lanka, cast present Governments as weak, dithering, compromised, class interests oriented, second class or third rate.

Invocation of ethnic-nationalist triumphalism (and the attendant desire to return to a golden era) marginalises other groups, silences critical engagement or contrary views, and ignores the pluralistic multi-ethnic nature of the nation that defeated terrorism together.

After all, isn’t that what the SLPP rump in Parliament earnestly desires – a pivot on which to rotate the national narrative back to past triumphs and present tragedies in terms of great leaders long ignored?

Threatening to gloss over mistakes made, abuses or atrocities committed and rights violations still not righted to date, such ethnic particularism reduces a fragilely united national community to a single dominant entity; or perhaps worse, a singular political movement championing an exceptionalist view of Sri Lanka.

A dominant ethnicity or its champions privileges a false narrative and sidelines others.

C.Ethno-nationalistic chauvinism threatens the peace, undermines socio-cultural cohesion and thwarts political accountability

The avatar of aggressive nationalism at Nugegoda 2017 – and its 2025 reincarnation, if even some of its rising stars follow suit with similarly vitriolic slogans, scapegoating of perceived traitors to the putative national cause and isolation of minorities – risks stepping beyond symbolic protest into real violence, which our country can ill-afford at this precarious juncture in its national recovery journey.

It could at the very least destabilise civic order by disrupting both traffic in the town and thought patterns in the city and beyond the pale. There is more than the chagrin of motorists and the consternation of shopkeepers at stake.

That currently discredited narratives of the past – with patriotism at the fore – loom like a resurgent nationalism over national interests must be cause for concern not only for citizens and rally-goers. But also all of us who opt out of participating in a protest. Only to find rejected representatives of the people are being smuggled into coinage through a faux-treasury of old ideas.

When even the expression of such chauvinistic ideas becomes normalised, tasks such as critical oversight of Government, protecting minority rights, and bringing

corruption to account, book

or court – all these suffer very

badly indeed, as 2005-2015 and 2019-2022/4 may well remind us.

The state and law enforcement, other Opposition parties and right-thinking citizens with the twin auguries of hindsight and foresight would do well to ‘put their foot down with a firm hand’. And beyond the exercise of the right of any political party to march, say ‘enough is enough’ if #2025 imitates #2017 closely and dangerously.

By all means, let the partial Opposition protest this Government’s alleged chicanery, mismanagement or favouritism as a pretext to regain some currency among an electorate disgruntled by tax and cost-of-living burdens.

It is another matter altogether if anyone protesting seeks to chivvy a regime that is ostensibly on the right path as regards national reconciliation efforts that privilege pluralism and peace with justice for all.

The past is prologue

All of the above, just in case town and country are still tempted to flock to a junior demagogue’s call, as they were to that of the paterfamilias in the past. After all, what else can one say to drive home again – in case the brutal, bitter and bloody lessons of 2022/4 are forgotten or forcibly suppressed – the point that ethno-nationalistic rallies can undermine the cause and carriage of justice, weaken the rule of law, and undo a hard-won peace and socio-political stability.

It is interesting to note from the timing of the rally that its organisers evidently believe they still command a sizeable following in town and country despite electoral trouncings. Not simply the sentimentality of commemorative celebrations for the grand old man of southern politics to account for then.

There is the danger that the assumed vacuum of salutary developments on the political front can be supplanted by a resurgent third force, which the SLPP and its cohorts in places of power, professions and spirituality now are. Such an irony won’t be lost on the JVP-led NPP, which was once such a rank outsider, and now very much ensconced in the corridors and seats of power.

Decline and fall

Last week I also essayed a weary observation that ‘today, we are in danger of descending from being a democracy of the corrupt into a confederacy of dunces’. And added, rather fatuously, that ‘often it is hard to say which option one prefers’.

After seven days of recovering my sense of the prudent following my fall from grace into a state of lapsed republicanism, I am fairly certain which option – warts and all – I’d opt for now.

And also last week I rested content in the assumption that at least one is safe to critically engage with the powers that be in the perhaps forlorn hope that speaking truth to power will work now as it never did then to further the national interest.

One was also inclined to suggest that if the bygone era of egregious governance was characterised by abductions, assassinations and the aggressive policing of dissent, the ethos of civics going forward may well be encapsulated by amiability, amateurishness and the assertion of the intention to do their duty by the polity while happily lapsing into apathy.

It is the one last thing – one last fling flirting with former revolutionaries – we must focus on now. To persuade the powers that be in JVP ranks and NPP files that there is much more than merit (there is enlightened self-interest chasing a long-stymied national interest) in walking the talk they have talked from campaign-trail walks to talks at local and international fora alike.

First to remind AKD and Co. that they were not always on the side of the angels. And urge them to do the right thing by democratic-republicanism, and all that is decent and righteous in the country we say we love, in terms of shutting down the resurgent march of ultra-nationalism through delivering on promises made.

Then to request those of us who still remember the depredations wrought by decades of divisive ethnically loaded identity politics not to give into the temptation of bowing before the altars of particularism or exceptionalism again – even if, and perhaps especially if, we’re ‘fed up’ with the ostensible apathy of the present powers.

And last but by no means least, to renew – together with civil society at large, and the electorate with the national interest at heart – the July ’22 pledge never to be gulled by scurrilous ethno-nationalism again. Who knows, even the scullions of a scurrilous movement to re-enthrone the demigods of race, that laid waste to town and country with fire, and the minions of the deep state still hell-bent on restoring the ancient régime, may have turned a new leaf? Today the mask falls. Hope the rank and file of protestors can see through the subterfuge of a bankrupt political opposition.

Dialog and JICA renew strategic partnership

Dialog Axiata PLC, has renewed its strategic partnership with the Japan International Cooperation Agency (JICA) to further their shared mission of driving positive transformation and sustainable progress across Sri Lanka through impactful social development initiatives spanning multiple sectors.

The renewed partnership seeks to amplify the outcomes of a series of ongoing and future development projects across critical sectors including digital transformation, financial inclusion, gender equality, disaster risk reduction, education, and agriculture.

Through this collaboration, Dialog and JICA aim to deliver innovative, scalable, and inclusive solutions that address the needs of vulnerable communities, particularly those most affected by the prevailing economic challenges, thereby advancing national resilience and socio-economic development. Since 2023, JICA has also been a key partner in supporting Dialog’s Diversity, Equity and Inclusion (DEI) initiatives, collaborating on a range of impactful programs aimed at fostering equality and empowerment across communities.

Looking ahead, the partnership will place greater focus on renewable energy projects, implementing women’s empowerment programs that foster independence and self-reliance in rural communities, and driving joint efforts towards poverty alleviation. Both organisations also aim to work together on initiatives that combat gender-based violence through awareness and education campaigns, strengthening their shared vision of creating a safer, more equitable society.

JICA Sri Lanka Office Chief Representative Kenji Kuronuma said: ‘By bringing together JICA’s global development expertise and Dialog’s cutting-edge technological capabilities, we are confident that this partnership will deliver scalable, people-focused solutions to address Sri Lanka’s pressing socio-economic challenges. Our shared goal is to contribute meaningfully to resolving the country’s key development challenges and to supporting its long-term, sustainable progress.’

Dialog Axiata PLC Group Chief Executive Supun Weerasinghe said: ‘Our renewed partnership with JICA reflects a shared commitment to advancing Sri Lanka’s development priorities and uplifting communities across the country. By working together on initiatives that strengthen essential services, expand opportunities, and improve everyday lives, we aim to create lasting, inclusive progress for all Sri Lankans. We look forward to building on this collaboration to deliver meaningful impact at scale.’

Through this strengthened alliance, Dialog and JICA reaffirm their dedication to building a more resilient and equitable Sri Lanka, leveraging their combined expertise and resources to drive enduring progress and social impact across the nation.

Choosing our dance partners: An impact-investment playbook for Sri Lanka’s next tourism chapter

Tourism is one of Sri Lanka’s greatest assets, and one of its most delicate. It remains the fastest and most direct mechanism for transferring wealth from global markets into local hands, a rare sector where economic, social, and environmental benefits can converge if managed wisely. Yet it is also acutely vulnerable to shocks, overdevelopment, and poor governance. The challenge before us is not whether to grow but how to grow, and, crucially, who we invite to the party.

Tourism has often been described as the fastest transfer of wealth from rich to poor. Unlike exports, remittances, or foreign investment, it functions through countless small transactions between travellers and local providers of food, accommodation, transport, and experiences. But this apparent simplicity hides a complex truth: not all tourism is created equal. Every tourist dollar leaks, some to airlines, global booking platforms, foreign travel agencies, and international hotel chains. While some of this is inevitable, what matters (and must be measured) is the proportion that stays in the country, circulating among guides, small hotels and restaurants, and communities. That retention, known as ‘leakage,’ can vary from as little as 10% in mass-market, all-inclusive models to more than 70% in independently organised travel where visitors spend locally.

The real question for policymakers is therefore not how many people come, but which types of travellers they are, where they go, and how their spending behaviour ripples through the economy. The independently minded traveller, whether a budget or an affluent experiential guest, typically generates stronger local linkages, more authentic interactions, and lower environmental pressure than large-scale, volume-driven tourism. This is well known.

True impact investment

In other words, true impact investment in tourism begins with an understanding of the forces that make a destination authentic. It means targeting niches while protecting what is rare and different, but also refusing complacency about the foundations, the public goods that underpin every visitor experience. Environmental systems for waste and water management, access infrastructure that links small communities to visitor flows, congestion control in heritage sites and national parks, guided financing for small made-in-Sri Lanka enterprises, sustainability principles and practices, and the amenities that make travel safe and pleasurable are the true foundations of value. A single dollar spent on signage or sanitation can unlock thousands in community earnings. Neglect them, and the system collapses under its own success, as we have seen in overcrowded parks and unregulated coastal towns, as well as in other parts of the world.

The next step is to redesign the operating system. Sri Lanka’s tourism architecture is still fragmented, hierarchical, and divided into public and private silos that struggle to collaborate effectively. What the country needs now are stewardship organisations, professional, accountable, and empowered multidisciplinary bodies with clear mandates, expert teams, and predictable budgets. These should not become yet another committee but living instruments of stewardship, helping coordinate and plan for the maintenance of shared assets such as trails, key beaches, forts, archaeological sites, and parks; incubating small enterprises; organising events and festivals; conducting research; proposing public works; telling their story; contributing to the collective promotion of the national tourism mosaic; and channelling both public and donor funds into local initiatives.

Integrated stewardship frameworks

Rather than creating a new layer of fragmented entities, the idea is to evolve toward integrated stewardship frameworks, adaptive in scale and scope, capable of addressing both place-based and thematic priorities. A single stewardship body, for instance, might oversee a defined region such as the Tea Country while also nurturing cross-cutting themes like nature and wildlife, soft adventure, or agro-tourism. What matters is not the administrative boundary, but the shared capacity to coordinate effectively across disciplines and connect public, private, and community interests around a common vision.

In this model, the Government provides legitimacy, coordination, public works and predictable funding; the private sector contributes strategic direction, professionalism, agility, and global exposure as well as capital through memberships, partnerships and sponsorships schemes; and communities offer authenticity, conservation, and deep connection to place. Together, they form the backbone of a collaborative and regenerative tourism model, a living framework of partnership capable of finally bridging Sri Lanka’s long-standing divides between policy, practice, and place.

Being selective about capital is equally vital. Sri Lanka should welcome the small and mid-scale investors who bring purpose, creativity, and care, people who restore heritage properties, regenerate tea, cinnamon, or rubber estates, invest in arts and crafts, open specialist guiding companies that cater to particular niches or teach foreign languages to industry professionals, or entrepreneurs who create new experiences rooted in place. These are the investors who settle, employ locals, and become long-term ambassadors for the country.

Many within the industry agree that we must resist the lure of mega-projects that promise hundreds of rooms and jobs but deliver little beyond environmental and social stress and economic leakage. The goal is not simply to attract money but to attract the right kind of money, to be clear about the outcomes we want, which is sustainable growth.

Destination marketing

Marketing must also evolve. A niche-led product strategy requires precision communication, not mass broadcasting. Instead of showing the same beaches and temples to everyone, Sri Lanka’s message should be tailored to the motivations of distinct traveller communities, divers, hikers, wellness practitioners, architects, birders, and art lovers. Influencers should be selected for authenticity and thematic relevance, not follower counts, and campaigns should highlight stories of purpose and creativity rather than the old clichés. With digital tools, visa incentives (and deterrents), strategic collaborations with specialised distributors, and partnerships with niche journalists, events, and trade shows, we can design journeys that are longer, slower, deeper, and more meaningful, trips that enrich both travellers and hosts, rather than leaving either potentially feeling hollow.

This may raise a few eyebrows, but it is time we said it clearly: Sri Lanka does not need another slogan. What we need is strategic clarity about who we are speaking to, and just as importantly, who we are not. If a slogan is ever required, it should filter, not flatter; it should quietly discourage the types of travellers we cannot or should not cater to, rather than attract those whose expectations or behaviours are misaligned with the island’s capacity, identity, and long-term vision.

If we empower truly collaborative, multidisciplinary stewardship organisations, attract purposeful capital, invest in infrastructure, and market with discernment, Sri Lanka can comfortably host five million visitors without losing its soul. Each traveller becomes a patron of conservation and community development; each region gains a governance mechanism and an identity anchored in the reasons people come; and each niche becomes a new export channel measured not by headcount but by impact per visitor.

GSG Impact Sri Lanka Summit 2026

This conversation is precisely what gatherings such as the upcoming Lanka Impact Investment Summit 2026, hosted by the Lanka Impact Investment Network (LIIN) and the Global Steering Group for Impact Investing (GSG) Sri Lanka NP (National Partner), seek to advance. By connecting access to private equity with the policy sector and tourism industry under the shared banner of impact investment, the Lanka Impact Investment Summit underscores that regeneration and profitability are no longer opposing forces but part of the same equation.

So here we are today, eagerly awaiting the next peak season, possibly the best one we have ever had. Tourism’s comeback feels like a celebration, a long-awaited party after years of hardship. But as we step onto the dance floor, we must choose our partners wisely. The next decade will determine whether Sri Lanka becomes another cautionary tale of over-tourism or a benchmark for sustainable and regenerative growth. The silver lining of our difficult past, civil conflict, tsunamis, and crises, is that we have avoided the worst mistakes others made. Now we can leapfrog them by designing a future anchored in authenticity, fairness, and care and redefining what success in tourism means. Around the world, destinations that protect what makes them special consistently outperform those that commodify themselves.

The dance floor is open. Let’s be intentional about who we invite, and what kind of music we want to play.

LFCs urged to shift from consumption lending to industry-focused finance: LRA

Sri Lanka’s licenced finance companies (LFCs) need to pivot from traditional consumption-led lending towards financing industrial and export-linked activity if they are to remain relevant in a changing economy, the Lanka Rating Agency (LRA) said in its latest sector review.

The Agency argues that LFCs have the balance sheet strength and risk frameworks to play a more direct role in capital formation, as firms seek investment to raise productivity, add value, and compete internationally.

The LRA says the sector’s future influence will depend on expanding beyond vehicle loans and personal credit, and into areas such as project finance, industrial upgrading, supply-chain finance, and working capital for export production.

These shifts, the Agency notes, would diversify LFC balance sheets while supporting national efforts to rebuild productive capacity. Moving into outward-oriented financing would also help strengthen corporate balance sheets, as Sri Lankan firms attempt to scale into regional markets and generate foreign currency earnings.

According to the LRA, institutions that reposition themselves towards industry-focused lending will be better placed to support more balanced and sustainable economic expansion. The Agency also underscores that credit risk vigilance and an ability to adapt to the Central Bank of Sri Lanka’s (CBSL) consolidation framework remain essential to stability.

The LRA’s sector analysis shows the industry is entering 2026 with stronger fundamentals. Regulatory capital rose to about Rs. 433 billion in the first quarter of FY25/26, supporting a capital adequacy ratio of roughly 22%. Sector assets reached around Rs. 2.28 trillion, growing at a compound rate of nearly 8%, while the gross non-performing loans (NPL) ratio fell to about 8.3% from 13.6% a year earlier. Profit After Tax (PAT) was Rs. 69.4 billion in FY24/25 and Rs. 18 billion in the first quarter of FY25/26.

The sector’s liabilities increased 29.1% year-on-year (YoY), with borrowings up nearly 76% owing to stronger deposit inflows. The CBSL’s NBFI Master Plan requires institutions to achieve a minimum stability score of 60 by 2027 if they intend to operate independently, signalling continued consolidation pressure.

The 12 largest firms hold close to 80% of sector assets, with loans and advances at about Rs. 1.75 trillion, or 76.6% of total assets. Leasing accounts for roughly 44% of the loan book and other loans for about 33%.

Liquidity and rollover risk remain concerns, as a high share of deposits and borrowings mature within a year. The sector is also exposed to commodity price swings after the gold portfolio expanded by around 30% in FY24/25, reflecting a 34% rise in gold prices. The LRA notes that about half of long-tenor assets are funded by short-term deposits, leaving firms sensitive to interest-rate movements.

Despite these vulnerabilities, the LRA maintains that LFCs are structurally well placed to support the shift towards an investment-driven growth model, provided they execute a strategic repositioning towards industrial finance and manage risks prudently.