WCIC Women Entrepreneur Awards 2025 to be unveiled on 13 Jan.

The Women’s Chamber of Industry and Commerce (WCIC) will host its annual flagship event, WCIC Prathibhabhisheka – Women Entrepreneur Awards 2025, on 13 January 2025 at the Colombo Hilton.

One of the most highly anticipated events on the women-entrepreneurship calendar, the awards celebrate and recognise outstanding women entrepreneurs from Sri Lanka and the SAARC region for their significant contributions to economic growth and development.

WCIC Chairperson Gayani De Alwis said: ‘We are now in the final days leading up to the event that women entrepreneurs eagerly look forward to each year. Once again, we have seen impressive participation. The evaluation process assesses vision, direction, performance, achievements, and overall contribution during the 2024/25 period. In keeping with WCIC’s regional outlook, we also recognise exceptional women entrepreneurs from the SAARC region. The 2025 awards mark the fourth edition in the new format, which encourages strategic thinking, sound financial practices, strong governance, and the promotion of women-owned and women-led businesses.’

Organising Committee, Co-Chairs Nilani Seneviratne and Tusitha Kumarakulasingam said: ‘We are putting the final touches to what promises to be another exceptional event-both in terms of the calibre of winners being showcased and the overall delivery. We are proud to lead this national initiative that honours women entrepreneurs across Sri Lanka and the SAARC region. This year’s program has attracted a diverse range of businesses-from start-ups and micro enterprises to small, medium, and large organisations-representing all nine provinces. Gold, Silver, and Bronze awards will be presented in each category for performance during 2024/25, along with a ‘Best of the Province’ award recognising the most outstanding entrepreneur from each province.’

The event will also feature a series of special awards, including: Young Woman Entrepreneur, Most Outstanding Start-Up, Woman of Courage, Most Outstanding Export-Oriented Entrepreneur – Product and Services, Best of the SAARC Region

Digital Entrepreneur, Most Innovative Entrepreneur, and Social Entrepreneur.

The highlight of the evening will be the announcement of ‘The Woman Entrepreneur of the Year – 2025.’

WCIC Prathibhabhisheka – Women Entrepreneur Awards 2025 is supported by an esteemed group of partners: Platinum Partner: AIA Insurance, Diamond and Banking Partner: DFCC ALOKA, Gold Partners: McLarens Group, Unilever Arunallla, Silver Partners: Hayleys PLC, Maliban, Bronze Partners: Impra Teas, Macbertan, Print and Digital Media Partner: Wijeya Newspapers Ltd., Creative Partner: Triad, Knowledge Partner: Ernst and Young and Hospitality Partner: Colombo Hilton.

Our rotten pillars, politicians and bureaucrats

In a good part of the island, violent winds and gushing waters left a scene of utter destruction. Bridges were blown away, roads damaged, buildings brought down, rail lines swept aside, houses destroyed and much of the farmland left in ruins. Many a family have lost a dear one while many more are left destitute. A poor nation sees its hopes and aspirations receding further into the horizon.

We are inclined to see the earth as bountiful, custom-made for human needs. Occasionally we are given a sobering reminder that an evolved primate, undeniably versatile as he is, is yet a tiny creature in the larger scheme of things. A creature who has entered the stage only recently relative to other species of much longer histories on earth, but whose activities have impacted the planet like no other. Nature is indifferent to the tragicomedy enacted on her stage. Natural calamities hit virtually every country in the world

His capabilities have enabled man to assault our life sustaining earth with a savagery no other creature can match. As their numbers multiply, humans continually claim more land, jungles are cleared, other animals inhabiting the earth are pushed into small reservations to live only as a tourist attraction, resources are tapped relentlessly, water is polluted and the globe is dangerously heated.

Man will reap the whirlwind for what he sows

After the 2004 tsunami we on this island were told that living near the shoreline was not wise. Now we learn that living above a certain elevation can be injurious to your well-being as well. Thus restricted, the twenty something million humans in Sri Lanka must make their homes in the balance part of the land. What a relief that we have toy homes in the form of condominiums now!

Travelling on our congested roads, in an uncomfortable bus, you might begin to think that Sri Lanka is a large country. It takes so many hours to get from one point to another! But unlike light years, we should not measure distances on our island based on time. Sri Lanka is small; in fact, the size of a few large Australian farms added together; then that is a truly large country.

Not only the size of their land, in many other ways too there are noticeable differences between various peoples. Obvious differences in their physical features apart, people’s attitudes, habits, customs, beliefs and values vary considerably. So goes their social, economic and even intellectual performance. Clearly, certain nations will get the trophy for attaining ‘developed country’ status for their capacities for establishing large and complex economic processes and most importantly, the high living standards they have provided for their citizens.

Having deep pockets, resources and capabilities, the developed countries cope with the occasional natural disaster much better than other countries. What is only a temporary inconvenience to a rich and powerful nation becomes a crippling blow to a poor nation.

The baffling question is why some nations remain poor and weak, while others march ahead. If it is the size, limited resources or the hot climate, there are several countries which have overcome these disadvantages, Singapore being a striking example.

In the case of Sri Lanka, we had an early start, having gained Independence more than seventy years ago. Many of Asia’s shining stars became self-governing only decades later. Relative to the Asian dynamos, lack of distinction is what stands out in our performance this lengthy period. We are a slow-growing economy. In terms of Gross Domestic Product or Per Capita Income we are among the underachievers. There are no great expectations among the young today, especially the more cosmopolitan; before the Western embassies they line up in their thousands looking for a better life.

Why a nation performs in a particular way is a complex matter. The answer would necessarily be an amalgam; history, culture, outlook, attitudes, values, skill and energy levels of that people; even their language could play a role. Egypt of ancient was formidable, Egypt now is a different story. Performing to the requirements of the modern world is another celestial sphere altogether, the methods and mind-set of the high priests of a Pharo will not deliver in the 21st Century.

A nation like ours could find the findings of an objective performance appraisal, unflattering

We like to consider ourselves an agricultural country, claiming a history going back centuries. Both Israel and Netherlands are substantially smaller than Sri Lanka in size. Yet, they are agricultural powerhouses, huge exporters of fruits and vegetables. In our cultivations, tea, rubber, even rice, the per acre yield is below global standards. In industrial products it is only the most basic things we manufacture, value adding is minimal. Where human hands must intervene, our weaknesses show.

Trapped in an endless karmic web, the average Sri Lankan can do little about his human condition. It is to the political leaders, the high bureaucrats and the business community that a nation looks for leadership.

Here, we look in vain!

Politicians

If an alternate history were to be imagined, we cannot resist the hypothesis that had men of a different timbre held our leadership roles since Independence, it would have made all the difference to the country.

Sri Lankans have been electing their representatives even from before Independence. The vote could be the only common factor between advanced democracies and us. Despite this evident freedom to choose the leaders through the ballot, a few families, perhaps four, have dominated the country’s power structure in the preceding seventy years: the Senanayake, Bandaranayake, Jayawardena and Rajapakse’s. In addition to these families, many electorates also have a history of family dominance, perhaps families of a lesser order. Reducing the base even further, nearly all of them are from one or two Colombo schools, declared by the locals to be elite.

It is not as if Sri Lanka is a success story or a great achiever. In truth it is the opposite, a mediocrity and a slowcoach. Either the nation is woefully deficit in leadership skills, or, by some miraculous process all leadership DNA has been gifted to these handful of families and the old boys of these schools. Karma works in mysterious ways!

The world sees the joke but is too polite to call it!

Of course, the blatancy of family dominance is obscured by the crisis of the moment and if there is none, one could be created. A time of crisis is not the moment to conduct analysis of the prevailing power structure. These families realise the game is fixed in their favour, so resort to guises and ruses to obscure the truth. The basic method of dominance is by having a stranglehold on the party leadership, in Sri Lanka, in all but name, a limited liability company of the leading family. In a two-party system, sooner or later, the pendulum will swing their way. When it does, the leader of the winning party is declared a mastermind in the political game.

Invariably, the common narrative is made use of to elevate the founding family member to near celestial heights, liberator, visionary, patriot or even genius. The pathetic state of the country is not explained. A people of doubtful maturity are further confused and confounded.

Periodically, various family members alight on the stage with a new slogan, righteousness, vision, corruption fighter, moderniser and liberator. All surveys point to a country abysmally deficient in these virtues, a laggard among the Asian success stories, yet the next family member will come up with another catchy slogan.

After the recent cyclone and the ensuing flooding an idea was mooted by interested parties that old politicians with ‘experience’, although completely rejected by the voter, must be brought in to handle the crisis. Repeatedly rejected by the voter, they continue to cast around for an opportunity to jump on the national stage. No example was given of their virtuoso handling of a disaster in the past. As we understand Sri Lanka has been hit by every conceivable calamity, natural as well as man-made. There was no masterful avoidance of any disaster or a sterling rehabilitation after the event. The country performed as it always has, ineptly. Every disaster left us waiting abjectly for aid and sympathy from the world. Obtaining a foreign loan became an achievement, a matter of pride.

The family based political power structure is an anachronism. In the early years our voters had no idea of the inherent corruption in the system. Imagining their leaders to be well meaning and capable, they participated in the electoral process with gusto. However, their lives today are not as insular as before. Many Sri Lankans now have travelled overseas, there is the television bringing the world to their sitting rooms, there is the internet, they can compare as well as contrast. Their eyes have opened, their expectations widened.

In recent years reality has bitten hard. People’s illusions have turned to disillusionment. The one desperate demand at the watershed ‘aragalaya’ was ‘system change’.

Bureaucracy

Seventy years is sufficient time for us to appraise the performance capabilities of the bureaucracy the nation has brought forth, their inherent attitudes and skills when placed as administrators. The administrative structure is now manned entirely by products of our post-independence education system (many of the higher bureaucrats proudly boast of further education and training overseas on account of the taxpayers of those countries). In the feudal era, high office devolved based on birth and caste. There was no proper yardstick to measure their competence. Their officiousness, corruption or tardiness mattered not; only the king’s goodwill mattered. As a result, they oppressed the people and toadied the king.

In modern times we live in a very competitive world. How well we educate our children, how our health services perform, how good our infrastructure is, how productive our industries are, how honest our systems are; these measurable factors are compared with other countries and development happens based on our relative performance. We can lull ourselves with a faulty assessment of our capabilities, ignore the evident limitations of the personnel, and even deny glaring realities.

Nevertheless, the truth is in our face, a mediocre country lurching from crisis to crisis.

Almost everything about us, the policies, structures, institutions and even the laws can ultimately be traced back to the political establishment and the high bureaucracy. It is they who conceived of and adopted them. Any institution is defined by its workforce, the individual personalities manning it. Without exception every public institution in Sri Lanka has been abused as well as diminished, standing presently only as a masquerade of what they were meant to be.

There are similar institutions in Singapore. They work very differently. The personnel matter, they could make an institution great or diminish it.

When there is a natural disaster we run around like headless chickens, crying and mourning, pleading for help.

We do not realise the inevitability of the tragedies that hit us, for seventy years we have sowed the winds..

CBSL shuts Public Debt Dept. as debt management shifts to Finance Ministry

The Central Bank of Sri Lanka (CBSL) yesterday announced the closure of its Public Debt Department (PDD) and the transfer of the LankaSecure Division of the PDD to the Payments and Settlements Department (PSD), with effect from today.

The move follows the establishment of the Public Debt Management Office (PDMO) within the Finance, Planning and Economic Development Ministry, under the Public Debt Management Act, No. 33 of 2024.

The CBSL said the PDMO, which was set up in December 2024, became fully operational in December 2025 and has assumed full responsibility for debt management functions previously carried out by the PDD.

Pan Asia Bank puts digital power in every palm

Pan Asia Bank Chief Digital Officer Pradeepan Sivalingam in this interview shares key insights to the Bank’s initiative titled ‘Digital Power in Every Palm’ and on-going digital transformation thrust.

Q: What does ‘Digital Power in Every Palm’ mean in practical terms for customers across Sri Lanka?

A: ‘For us, ‘Digital Power in Every Palm’ is not a slogan; it is a commitment. It means placing meaningful financial capability into the hands of customers, regardless of where they live or how tech-savvy they are. Practically, it translates into simple, secure, and reliable access to core financial services: payments, savings, credit, and support directly through a mobile device, without friction or dependency on physical presence. Our focus is on simplicity, relevance, and trust: making digital intuitive enough that customers feel confident, not overwhelmed. Ultimately, true digital power is when customers feel in control of their financial lives, anytime and anywhere, and trust that their bank is working silently in the background to make that possible.’

Q: How would you define digital transformation in the context of banking today? Has that definition evolved?

A: ‘Digital transformation in banking today goes far beyond moving services online or automating processes. It is about rethinking how a bank creates value by embedding digital technologies, data, and customer-centric design into every layer of the organisation. A few years ago, transformation largely meant digitisation: mobile apps, internet banking, and back-office automation. That definition has evolved. Today, it is about using data, AI, and intelligent platforms to personalise experiences, improve decision-making, and build agility across the enterprise. Importantly, digital transformation now also encompasses cybersecurity, resilience, and responsible innovation. It is no longer about speed alone, but about building secure, sustainable, and customer-driven growth.’

Q: What have been the most impactful digital initiatives implemented so far? Have they met your initial objectives?

A: ‘Three initiatives stand out as having delivered meaningful impact, each aligned to improving customer experience, increasing transaction volumes, and enhancing operational efficiency. First, we implemented an end-to-end digital onboarding journey, in partnership with Linear Six, reducing account opening and channel registration turnaround time to under ten minutes. This significantly improved accessibility and first-time customer experience. Second, we deployed Cash Recycling Machines (CRMs) across our branch network, extending 24/7 banking access while reducing branch-level cash handling. This initiative has increased transaction volumes, improved customer convenience, and delivered measurable cost efficiencies. Third, we developed an in-house, award-winning Customer 360 platform, Falcon Eye, which provides a unified view of customer relationships across the bank. This has strengthened insight-led decision-making and improved responsiveness across business lines. Each of these initiatives has met or exceeded its intended objectives, reinforcing digital adoption while delivering tangible value to both customers and the bank.’

Q: How do you balance innovation with compliance in a heavily regulated environment like banking?

A: ‘Innovation, for us, always begins with solving a real customer pain point. Compliance, however, is non-negotiable. When innovation and regulation appear to be in tension, we take a collaborative approach engaging openly with regulators, clarifying interpretations, and working together to identify compliant pathways forward. The objective is never to bypass regulation, but to innovate responsibly within it. We strongly believe that well-governed innovation ultimately strengthens trust and trust is the foundation of digital banking.’

Q: What strategic priorities will guide the next phase of Pan Asia Bank’s digital transformation?

A: ‘Our next phase of digital transformation is guided by three priorities: personalisation, partnerships, and protection. First, we will deepen personalisation using data and AI, not to overwhelm customers, but to make every interaction more relevant. For example, customers will receive credit or product offers aligned to their behaviour, needs, and financial personality, rather than broad-based messaging. Second, we will strengthen partnerships and ecosystems, collaborating with fintech’s, technology providers, and regulators to co-create solutions that scale faster and reach customers more efficiently. In today’s environment, collaboration is essential to innovation. Third, as digital adoption accelerates, cybersecurity and data privacy remain paramount. Every initiative will be designed with security embedded by design, safeguarding customer trust at every touchpoint. Taken together, this phase is about delivering intelligent, personalised banking experiences while maintaining uncompromising standards of security and trust; ensuring digital growth that is both innovative and responsible.’

Sri Lanka’s RIA turning point: Can smarter regulation drive stronger growth?

The following are excerpts of an interview with United Nations Industrial Development Organisation’s (UNIDO) International Regulatory Reform Expert Delia Rodrigo and and National Quality Expert Sumathy Rajasingham who are shaping the adoption of Regulatory Impact Assessment (RIA) in Sri Lanka under the aegis of the Ministry of Science and Technology and the support of the European Union. In this interview they share insights from their expertise to answer questions on RIA’s core, its benefits, global lessons, challenges, and the path ahead.

Most people rarely think about the rules that frame their daily lives, yet every product we buy, every service we rely on, and every investment that enters the country is shaped by regulation. When rules are thoughtfully designed, they protect the public, give firms clarity, and keep competition fair. When rules are pushed through without evidence or engagement, the results can be costly, unpredictable, and difficult to enforce. Good economies do not leave this to chance but invest in the craft of making rules well.

Sri Lanka is now steering in this direction and is taking steps to improve how regulations are made. At the centre of this shift is RIA or Regulatory Impact Assessment. RIA is not a slogan or a box to be ticked, but a disciplined way to choose between the best options. The United Nations Industrial Development Organisation’s (UNIDO) International Regulatory Reform Expert Delia Rodrigo explains, ‘RIA is a process to improve decision making.’ It helps regulators assess the likely impacts of interventions by identifying the best way to address a problem through a qualitative or quantitative comparison of costs and benefits among options. That requires searching for relevant data, testing assumptions, and engaging with the people who will live with the outcome. The effect is practical and powerful: decision makers think before they act, they set out the reasons for their choice, and they invite scrutiny that ultimately strengthens the rule.

Sri Lanka’s renewed push did not start from zero. The first introduction came in 2018, when the Consumer Affairs Authority hosted an awareness workshop. When leadership shifted, momentum faded. The idea remained dormant until 2025, when the Ministry of Science and Technology (MoST) allocated national quality infrastructure funds to revive the adoption of RIA. That decision flagged off a national workshop, bringing together 23 ministries and regulatory agencies. The response was immediate with 31 applications to pilot RIA. Eight have been selected and are now moving forward with technical support from UNIDO. It is the most active RIA program Sri Lanka has attempted, and for a country repositioning for recovery, the stakes are real.

Q: What does RIA change in the regulatory mindset?

Delia Rodrigo: RIA makes decision making structured. We begin with the problem and consider different options, not just what tradition suggests. We compare costs and benefits and engage relevant stakeholders before choosing. This increases transparency and strengthens evidence-based decisions. It also brings predictability because the reasons are documented and open to review.

Sumathy Rajasingham: Our traditional mindset is control and compliance. We issue rules and demand adherence. What is often missing is a systematic look at effectiveness. Even well-intended regulations can place a heavy burden on businesses, citizens and Government efficiency. RIA begins to shift that culture towards regulation for impact rather than regulation for control.

Q: Why is this shift important now?

Sumathy Rajasingham: Sri Lanka is working to stabilise the economy, restore confidence and improve competitiveness. A system where proposals advance without adequate analysis or consultation creates uncertainty. That can raise costs and slow investment. RIA encourages social participation, informs society about Government intentions and explains the rationale behind actions. That builds trust and gives firms clearer signals to plan.

Q: What has been achieved so far under the current push?

Sumathy Rajasingham: The MoST organised a two-day workshop that drew interest from 23 ministries and regulatory agencies. We received 31 applications for RIA pilot projects, of which proposals from IRCSL, CAA, CEA, NAQDA, NDDCB, SLTB, CDA and MUSSD were selected. These agencies are now preparing full RIA reports with technical support from UNIDO. The interest is promising. The next step is to translate that interest into a mindset where RIA is routine, not novel.

Q: Globally, what does good RIA practice look like?

Delia Rodrigo: RIA is widely used around the world. Systems vary according to legal, administrative, economic and political conditions, but good practice is consistent. There must be strong political leadership, a mandatory requirement for regulators to conduct RIA, compulsory public consultation, and proper oversight to ensure the quality of the RIAs. Without these elements, RIA risks staying at the surface.

Q: What challenges do countries typically face when getting started?

Delia Rodrigo: There are several. Limited available data and technical capacity to quantify costs and benefits. Weak stakeholder engagement mechanisms and mistrust between regulators and the private sector. Administrative resistance and regulatory capture. Lack of coordination at the centre of Government. These are not unique to Sri Lanka, but they underline the need for deliberate capacity building.

Q: How does RIA connect to trade and investor confidence?

Delia Rodrigo: RIA aligns regulation with international expectations. When measures are proportionate, evidence-based and transparent, exporters face fewer technical barriers in markets such as the EU. Compliance becomes easier to plan, which reduces risk. For investors, especially during recovery, clarity about why regulations exist and how they will be applied is essential. It lowers uncertainty and encourages investment in sectors where Sri Lanka seeks to grow.

Q: What is the road ahead for Sri Lanka if this momentum continues?

Sumathy Rajasingham: The reports from the eight pilot agencies will be important early proof. They will show stakeholders how RIA improves the design of regulation. The next step is to mainstream RIA within the wider national quality infrastructure and through a proposed National Quality Council that can monitor whether RIA is conducted when new regulations are drafted. That is how we ensure sustainability. Once RIA is integrated into policymaking, it becomes part of how Government works rather than a separate, temporary exercise.

Q: What would you say to leaders who are unsure about the value?

Delia Rodrigo: RIA keeps governments from acting on instinct when evidence is available. It helps avoid costly mistakes, builds public trust and supports competitiveness. It offers a disciplined way to make decisions that affect the economy and society. For Sri Lanka, this is about growth that is more resilient and governance that is more credible.

Delia Rodrigo is an international regulatory reform specialist with over 20 years of experience across the World Bank and UNIDO. She brings a global lens. Sumathy Rajasingham is a National Quality Infrastructure Specialist at UNIDO who focuses on Sri Lanka’s quality infrastructure, drawing from her work on standards and conformity assessment.

India’s $450 m reconstruction package after Cyclone Ditwah

Continuity, credibility and a strategic path to Sri Lanka’s recovery

Sri Lanka’s journey toward economic stabilisation has been repeatedly interrupted by external shocks such as natural disasters, global health emergencies, and macroeconomic crises. The devastation caused by Cyclone Ditwah is the latest reminder of the country’s vulnerability to climate-related risks at a time when fiscal space remains constrained. Against this backdrop, India’s announcement of a $ 450 million reconstruction assistance package represents not merely emergency support, but the continuation of a long-standing and structured partnership that has consistently underpinned Sri Lanka’s recovery during national crises.

From immediate relief to structured reconstruction

India’s response to Cyclone Ditwah followed a familiar and well-tested pattern. Immediate humanitarian assistance was deployed under Operation Sagar Bandhu, launched on the day the cyclone made landfall. Indian naval vessels delivered relief supplies, Indian Air Force helicopters conducted aerial rescue and logistics operations for over two weeks, and disaster response teams and medical units provided life-saving support across affected regions.

However, the more consequential intervention, particularly from an economic and fiscal standpoint, is the $450 million reconstruction package, formally conveyed by India’s External Affairs Minister Dr S. Jaishankar during high-level engagements in Colombo with President Anura Kumar Dissanayake and Foreign Minister Vijitha Herath.

The package comprises:

$ 350 million in concessional Lines of Credit and

$100 million in direct grants

It is being finalised in close consultation with the Sri Lankan Government to ensure alignment with national reconstruction priorities.

A familiar role: India as Sri Lanka’s first responder in times of crisis

India’s role following Cyclone Ditwah is not an isolated act of goodwill. It reflects a consistent pattern of first-responder engagement that Sri Lanka has experienced during its most challenging moments over the past two decades.

Following the 2004 Indian Ocean Tsunami, India was among the earliest responders, deploying naval and medical assets and later undertaking one of the largest grant-based housing reconstruction programmes in Sri Lanka, delivering tens of thousands of tsunami-resilient homes along the coast.

In the post-conflict period after 2009 India supported rehabilitation in the Northern and Eastern Provinces, focusing on housing for internally displaced persons, restoration of railway connectivity and revival of livelihood infrastructure, critical for reintegrating regional economies into the national framework.

During the COVID-19 pandemic, India’s assistance again proved decisive. Vaccine supplies, emergency medical equipment, oxygen facilities, and pharmaceutical support enabled Sri Lanka to stabilise public health outcomes while limiting prolonged economic disruption.

Perhaps most significantly, during Sri Lanka’s 2022 economic and balance-of-payments crisis, India extended over $ 4 billion in assistance, including credit lines for fuel, food, fertiliser, and medicines, alongside currency swaps. India was also among the first creditors to formally support Sri Lanka’s debt restructuring process, an action that helped unlock IMF support and restore international confidence.

Cyclone Ditwah, therefore, fits into a broader narrative: India’s transition from crisis relief provider to long-term economic stabiliser for Sri Lanka.

Focus areas: Rebuilding the economic spine

The reconstruction assistance announced after Cyclone Ditwah targets sectors with the highest economic multiplier effects:

Transport infrastructure: Roads, railways, and bridges damaged by the cyclone will be rehabilitated to restore supply chains, market access, and labour mobility. India’s rapid construction of Bailey bridges in Kilinochchi and ongoing work in Chilaw exemplifies this focus on connectivity as an economic priority.

Housing reconstruction: Restoring housing stock directly supports social stability while stimulating the construction sector, local employment, and demand for materials.

Health and education facilities: Rebuilding hospitals and schools protects human capital, arguably Sri Lanka’s most valuable long-term economic asset.

Agriculture and livelihood support: Targeted assistance for agriculture helps stabilise rural incomes, safeguard food security, and mitigate inflationary pressures.

Disaster preparedness and resilience: Strengthening early warning systems, emergency medical response, and disaster infrastructure reflects a shift toward preventive economic governance, reducing future fiscal shocks.

Business and investment implications

From a business perspective, the reconstruction phase presents tangible opportunities:

Increased activity in construction, engineering, logistics, and professional services

Greater participation of local contractors, SMEs, and suppliers, consistent with India’s emphasis on using local resources

Improved investor sentiment driven by visible international backing and infrastructure renewal

For professionals, particularly chartered accountants, engineers, and project advisors, this phase demands strong governance, financial discipline, and transparent reporting to ensure that concessional financing translates into sustainable economic value.

Strategic and regional dimensions

India’s assistance is anchored in its Neighbourhood First and MAHASAGAR policies, reinforcing Sri Lanka’s role as a stable partner in the Indian Ocean region. Importantly, India has reiterated its commitment to transparent implementation and effective coordination mechanisms, reducing execution risks often associated with post-disaster reconstruction.

Beyond reconstruction, India’s stated intention to support Sri Lanka through enhanced tourism flows and increased foreign direct investment adds a growth-oriented dimension to post-cyclone recovery.

Recovery built on trust and continuity

India’s $ 450 million reconstruction package following Cyclone Ditwah is best understood not as a standalone intervention, but as part of a long continuum of economic, humanitarian, and strategic support extended to Sri Lanka during periods of national adversity.

At a time when climate risks are intensifying and fiscal buffers remain limited, such predictable and timely assistance provides Sri Lanka with both breathing space and rebuilding momentum. The challenge ahead lies in execution and ensuring that reconstruction spending is efficient, transparent and resilience focussed.

Handled well, the aftermath of Cyclone Ditwah can become another chapter where crisis gives way to reform, recovery, and renewed economic confidence supported by a partnership that has repeatedly proven its reliability.

India’s response to Cyclone Ditwah reinforces a partnership defined by continuity, credibility, and economic pragmatism. From the 2004 tsunami and post-conflict reconstruction to the COVID-19 pandemic, the 2022 economic crisis, and now structured post-cyclone rebuilding, India has consistently supported Sri Lanka at moments of national stress. The $ 450 million reconstruction package which combines grants and concessional financing, offers critical fiscal space while enabling infrastructure restoration, livelihood recovery, and resilience building. Its real value, however, will be measured by execution: transparent governance, professional oversight and timely delivery. If implemented effectively, this assistance can help convert crisis into opportunity supporting economic stabilisation, restoring confidence, and laying the foundation for a more resilient and inclusive growth path for Sri Lanka.

(The author is a chartered accountant and could be reached via email at [email protected])

Work resumes on Jaffna International Cricket Stadium after Cyclone Ditwah

Sri Lanka Cricket (SLC) has announced that work towards building the Jaffna International Cricket Stadium (JICS) in Mandaitivu, Jaffna, is currently ongoing and progressing as planned.

Construction activities at the ground were temporarily halted due to Cyclone Ditwah, which disrupted the scheduled work program, including the first trial game that was scheduled to be played on 14 January 2026, a media release stated.

Work has now resumed, and the trial game will be played following the completion of the ICC Men’s T20I Cricket World Cup 2026, which is co-hosted by Sri Lanka and India.

SLC remains confident of completing the construction of the ground within the planned timelines. The international cricket ground will be developed on 48 acres, featuring 10 centre wickets, with boundary distances extending up to 80 metres. The construction of the stadium is part of SLC’s broader vision to develop a sports city in Jaffna, covering a total area of 138 acres. This landmark initiative constitutes an important achievement in promoting cricket development in Sri Lanka’s Northern Province and complements SLC’s National Pathway Program.

Employers’ Federation of Ceylon donates Rs. 1 m to ‘Rebuilding Sri Lanka’ Fund

The Employers’ Federation of Ceylon (EFC) has donated Rs. 1 million to the ‘Rebuilding Sri Lanka’ Fund, established to support communities and individuals affected by the Cyclone Ditwah, which caused widespread damage across several parts of the country.

The donation was formally presented to the Labour Minister Dr. Anil Jayantha Fernando, in the presence of the Labour Deputy Minister Mahinda Jayasinghe, and the Secretary to the Ministry of Labour, S.M. Piyathissa.

Representing the Employers’ Federation of Ceylon at the occasion were Director General Vajira Ellepola and Deputy Director General Adhil Kasim.

The donation forms part of broader efforts to mobilise institutional support for national recovery initiatives.

Cumulative listed company earnings end seven-quarter growth run

Corporate earnings declined year-on-year (YoY) in the September 2025 quarter, ending a seven-quarter growth streak, as sharp contractions in food, beverage and tobacco and capital goods outweighed continued strength in banks and diversified financials.

According to earnings compiled by First Capital Research, aggregate profits of 273 listed companies fell 12% YoY to Rs. 176.5 billion in the Sep-25 quarter from Rs. 200.2 billion a year earlier. On a sequential basis, however, earnings rose 14% quarter-on-quarter, indicating that underlying momentum remained intact despite near-term sectoral pressures.

First Capital said banking (Rs. 52 billion, up 39% YoY) and diversified financials (Rs. 39 billion, up 112% YoY) continued to underpin overall earnings resilience, while weakness in food, beverage and tobacco (Rs. 32 billion, down 60% YoY) and capital goods (Rs. 11 billion, down 72% YoY) weighed heavily on aggregate performance.

Three sectors reported losses: Consumer services (Rs. 1.3 billion, down 43% YoY), commercial and professional services (Rs. 97 million, down 56% YoY) and software and services (Rs. 26 million, down 80% YoY).

The food, beverage and tobacco sector recorded a steep 60% year-on-year decline in earnings, alongside an 8.7% quarter-on-quarter contraction. First Capital attributed the downturn to disruptive weather conditions and rising costs, particularly labour.

Within the sector, BIL posted the sharpest decline, with earnings falling 117.1% year-on-year due to an adverse base effect. In the September 2024 quarter, BIL had recorded Rs. 50.8 billion in gains from investment acquisitions, compared to Rs. 47.2 million in the current quarter.

Despite the earnings slump, BIL’s revenue rose nearly 90% year-on-year, while gross profit increased by around 17%, partly offset by a more than doubling of cost of sales. CTC was hit by volume declines linked to weather disruptions, while SUN’s bottom line was mainly affected by a 75.1% year-on-year increase in income tax expenses.

Earnings in the capital goods sector fell 71.8% year-on-year, largely reflecting a high base from one-off gains recorded in the September 2024 quarter.

BRWN alone accounted for much of the drag, after reporting Rs. 32.8 billion in gains on bargain purchases a year earlier, compared to Rs. 30.5 million in Sep-25, resulting in a 118.3% year-on-year drop in earnings.

Excluding this impact, First Capital noted that underlying sector performance remained broadly resilient, with most companies posting earnings growth and the sector recording a sharp 234.4% quarter-on-quarter rebound.

BRWN still delivered a 73.1% year-on-year increase in revenue, though an 85.9% rise in cost of sales limited gross profit growth to 40%. MEL, RICH and LWL also saw earnings declines, driven by weaker other income, higher income tax charges and rising administrative and finance expenses.

In contrast, diversified financials emerged as the strongest performing sector in the Sep-25 quarter, with earnings surging 112.6% year-on-year and rising 18.2% quarter-on-quarter.

First Capital said the performance was supported by a softer interest rate environment, improving macroeconomic conditions and sustained demand for imported vehicles. LOLC and LOFC led sectoral growth, posting year-on-year earnings increases of 166.9% and 106.1% respectively.

LOLC recorded a 17.2% year-on-year rise in net interest income and a 32.0% expansion in gross profit, driven mainly by its manufacturing and trading segment. LOFC benefited from loan book expansion, margin improvement and an impairment reversal of Rs. 176.9 million.

GUAR reported an exceptional 2,764.5% year-on-year increase in earnings, driven primarily by a Rs. 1.1 billion fair value gain on financial assets amid rising equity markets.

The banking sector also maintained a solid growth trajectory, with earnings up 38.9% year-on-year and 6.8% quarter-on-quarter.

First Capital said lower interest rates supported loan growth, while improved net fee and commission income, aided by higher remittances and trade flows, contributed positively. The recovery in capital-intensive sectors such as construction also improved asset quality and lending appetite.

COMB, HNB and NDB emerged as the top performers, with HNB’s results further boosted by a Rs. 2.1 billion impairment reversal during the quarter.

Despite the year-on-year decline, First Capital said the quarter-on-quarter rebound in earnings highlights that the broader earnings recovery remains in place, even as sector-specific headwinds continue to shape near-term performance.