Readout of President Joe Biden’s Meeting with President Xi Jinping

Readout of President Joe Biden’s Meeting with President Xi Jinping of the People’s Republic of China

President Joseph R. Biden, Jr. today held a Summit with President Xi Jinping of the People’s Republic of China (PRC), in Woodside, California.  The two leaders held a candid and constructive discussion on a range of bilateral and global issues including areas of potential cooperation and exchanged views on areas of difference. 

President Biden emphasized that the United States and China are in competition, noting that the United States would continue to invest in the sources of American strength at home and align with allies and partners around the world.  He stressed that the United States would always stand up for its interests, its values, and its allies and partners.  He reiterated that the world expects the United States and China to manage competition responsibly to prevent it from veering into conflict, confrontation, or a new Cold War.

Biden speaks after meeting with President Xi

The two leaders made progress on a number of key issues. They welcomed the resumption of bilateral cooperation to combat global illicit drug manufacturing and trafficking, including synthetic drugs like fentanyl, and establishment of a working group for ongoing communication and law enforcement coordination on counter narcotics issues. President Biden stressed that this new step will advance the U.S. whole-of-government effort to counter the evolving threat of illicit synthetic drugs and to reduce the diversion of precursor chemicals and pill presses to drug cartels.

The two leaders welcomed the resumption of high-level military-to-military communication, as well as the U.S.-China Defense Policy Coordination Talks and the U.S.-China Military Maritime Consultative Agreement meetings.  Both sides are also resuming telephone conversations between theater commanders.

The leaders affirmed the need to address the risks of advanced AI systems and improve AI safety through U.S.-China government talks.

The two leaders exchanged views on key regional and global challenges.  President Biden underscored the United States’ support for a free and open Indo-Pacific that is connected, prosperous, secure, and resilient.  The President reaffirmed the United States’ ironclad commitment to defending our Indo-Pacific allies.  The President emphasized the United States’ enduring commitment to freedom of navigation and overflight, adherence to international law, maintaining peace and stability in the South China Sea and East China Sea, and the complete denuclearization of the Korean Peninsula.

President Biden reaffirmed that the United States, alongside allies and partners, will continue to support Ukraine’s defense against Russian aggression, to ensure Ukraine emerges from this war as a democratic, independent, sovereign, and prosperous nation that can deter and defend itself against future aggression.  Regarding the Israel-Hamas conflict, the President reiterated U.S. support for Israel’s right to defend itself against terrorism and emphasized the importance of all countries using their influence to prevent escalation and expansion of the conflict.

President Biden underscored the universality of human rights and the responsibility of all nations to respect their international human rights commitments. He raised concerns regarding PRC human rights abuses, including in Xinjiang, Tibet, and Hong Kong.  On Taiwan, President Biden emphasized that our one China policy has not changed and has been consistent across decades and administrations.  He reiterated that the United States opposes any unilateral changes to the status quo from either side, that we expect cross-strait differences to be resolved by peaceful means, and that the world has an interest in peace and stability in the Taiwan Strait.  He called for restraint in the PRC’s use of military activity in and around the Taiwan Strait.  President Biden also raised continued concerns about the PRC’s unfair trade policies, non-market economic practices, and punitive actions against U.S. firms, which harm American workers and families.  The President emphasized that the United States will continue to take necessary actions to prevent advanced U.S. technologies from being used to undermine our own national security, without unduly limiting trade and investment. 

The President again emphasized that it remains a priority to resolve the cases of American citizens who are wrongfully detained or subject to exit bans in China.  

Creator: KEVIN LAMARQUE Credit: REUTERS Edit:ENB

The two leaders reiterated the importance of ties between the people of the United States and the People’s Republic of China, and committed to work towards a significant further increase in scheduled passenger flights early next year, in parallel with actions to restore full implementation of the U.S.-China air transportation agreement, to support exchanges between the two countries. The two leaders also encouraged the expansion of educational, student, youth, cultural, sports, and business exchanges.

Building on the November 2022 meeting in Bali where they discussed the development of principles related to U.S. – China relations, the two leaders acknowledged the efforts of their respective teams to explore best practices for the relationship.  They stressed the importance of responsibly managing competitive aspects of the relationship, preventing conflict, maintaining open lines of communication, cooperating on areas of shared interest, upholding the UN Charter, and all countries treating each other with respect and finding a way to live alongside each other peacefully. The leaders welcomed continued discussions in this regard.

The two leaders underscored the importance of working together to accelerate efforts to tackle the climate crisis in this critical decade.  They welcomed recent positive discussions between their respective special envoys for climate, including on national actions to reduce emissions in the 2020s, on common approaches toward a successful COP 28, and on operationalizing the Working Group on Enhancing Climate Action in the 2020s to accelerate concrete climate actions. President Biden stated that the United States stands ready to work together with the PRC to address transnational challenges, such as health security and debt and climate finance in developing countries and emerging markets.

The two leaders agreed that their teams will follow-up on their discussions in San Francisco with continued high-level diplomacy and interactions, including visits in both directions and ongoing working-level consultations in key areas, including on commercial, economic, financial, Asia-Pacific, arms control and nonproliferation, maritime, export control enforcement, policy-planning, agriculture, and disability issues.

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විමර්ශනය! යුක්තිය ඉටු වේවා!!

   Sri Lanka revenue targets ambitious: Fitch

Wednesday November 15, 2023  ECONOMYNEXT

Sri Lanka’s revenue target for 2024 is ambitious even if there is an economic recovery, Fitch Ratings said though there were ways of managing the deficit.

“Fitch believes there are significant risks to the government’s revenue goal for 2024,” the agency said. “Sri Lanka has a record of fiscal slippage, and revenue collection fell 29% short of target over 9M23.”

The full statement is reproduced below:

Sri Lanka’s ambitious budget agenda faces high implementation risks

The targets laid out in Sri Lanka’s budget for 2024 will be challenging to meet, even with the economic recovery that we expect to continue next year, says Fitch Ratings.

The fiscal deficit is set to be wider than our current forecast of 7.1% of GDP in 2024 in light of the new data, even after excluding bank recapitalisation costs, and the revenue/GDP ratio will be lower than we had assumed.

The government is targeting a budget deficit of 9.1% of GDP in 2024, wider than a revised estimate of 8.5% in 2023.

However, without bank recapitalisation costs, the deficit in 2024 would be a narrower 7.6% of GDP.

Excluding recapitalisation costs, the budget targets a primary surplus of 0.8% of GDP in 2024, against a deficit of 0.7% in 2023. However, including recapitalisation costs pushes the 2024 primary deficit target to 0.6% of GDP.

The primary surplus goal for 2024, excluding bank recapitalisation, is broadly in line with the 0.8% of GDP projected by the IMF in March when it approved Sri Lanka’s USD3 billion Extended Fund Facility (EFF).

We also see the revenue target as relatively aligned. However, the government’s expenditure target for 2024, at 22.2% of GDP, is somewhat higher than the 19.7% the IMF had envisioned and well above the revised budget estimate of 18.7% for 2023.

The release of the next tranche of EFF financing, worth around USD330 million, will depend partly on the IMF’s assessment of Sri Lanka’s progress in securing financing assurances from official creditors.

Fitch believes there has been some progress since March, but the timeline for a restructuring deal with official creditors remains unclear.

Fitch believes there are significant risks to the government’s revenue goal for 2024. Sri Lanka has a record of fiscal slippage, and revenue collection fell 29% short of target over 9M23.

The authorities aim to raise revenue by almost 45% in 2024. This will be aided by a planned 3pp increase in the value-added tax to 18%, but the boost to revenue from inflation is set to weaken in 2024.

We project consumer prices will rise by 8.7% on average in 2024, compared with 22.1% in 2023. The lift from economic growth, which Fitch projects at 3.3% in 2024, will also be modest.

Downside risks to revenue could be offset by lower-than-budgeted spending. We think the presidential election in late 2024 will incentivise the government to keep to its spending plans, which include a 14% increase in spending on salaries and wages.

Nevertheless, if revenue falls short, there may be some room to trim capital expenditure, which amounts to almost 20% of total planned spending and is budgeted to rise 55% in 2024, excluding bank recapitalisation.

The government’s efforts to implement governance reform after a recent diagnostic study by the IMF may also support revenue collection.

The budget proposes to establish a new revenue authority under the Ministry of Finance to improve tax collection, and a new investment law will look to establish a National Economic Commission to promote investment.

However, it will take time to assess these bodies’ effectiveness.

Fitch rates Sri Lanka’s Long-Term Foreign-Currency Issuer Default Rating (IDR) at ‘RD’ (Restricted Default).

We may move the IDR out of ‘RD’ upon the sovereign’s completion of a commercial debt restructuring that we judge to have normalised the relationship with the international financial community.

Sri Lanka’s post-default rating would depend upon our assessment of its credit profile. Fitch upgraded Sri Lanka’s Long-Term Local-Currency IDR to ‘CCC-‘ in September, reflecting the completion of the local-currency portion of Sri Lanka’s domestic debt optimisation plan. (Colombo/Nov15/2023)

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பொருளாதார வங்குரோத்து, பொறுப்பாளிகள் பக்சக்களே!

உயர் நீதி மன்றம் தீர்ப்பு! 

மும்மணிகள்: கோட்டாபய ராஜபக்ஷ,மஹிந்த ராஜபக்ஷ,பசில் ராஜபக்ஷ

இலங்கையின் பொருளாதார நெருக்கடிக்கு முன்னாள் ஜனாதிபதி கோட்டாபய ராஜபக்ஷ , முன்னாள் பிரதமர் மஹிந்த ராஜபக்ஷ , முன்னாள் நிதியமைச்சர் பசில் ராஜபக்ஷ , இலங்கை மத்திய வங்கியின் முன்னாள் ஆளுநர் அஜித் நிவாட் கப்ரால் மற்றும் பலர் பொறுப்பு என இலங்கை உச்ச நீதிமன்றம் தீர்ப்பளித்துள்ளது.

5 நீதிபதிகள் கொண்ட உச்ச நீதிமன்ற அமர்வின் பெரும்பான்மை இத் தீர்ப்பை வழங்கியுள்ளது.

இலங்கைப் பொருளாதார நெருக்கடி: உச்ச நீதிமன்றம் முக்கிய தீர்ப்பு

கோட்டாபய ராஜபக்ஸ, மஹிந்த ராஜபக்ஸ, பசில் ராஜபக்ஸ உள்ளிட்ட பிரதிவாதிகளின் தவறான பொருளாதார முகாமைத்துவ தீர்மானங்கள் காரணமாக மக்களின் அடிப்படை உரிமைகள் மீறப்பட்டுள்ளதாக உயர்நீதிமன்றம் தீர்மானித்துள்ளது.

2019 ஆம் ஆண்டிலிருந்து 2022 ஆம் ஆண்டு வரையான காலப்பகுதியில் எடுத்த தவறான பொருளாதார முகாமைத்துவ தீர்மானங்கள் காரமாணக இந்த நிலைமை ஏற்பட்டுள்ளதாக சுட்டிக்காட்டப்பட்டுள்ளது.

பிரதம நீதியரசர் ஜயந்த ஜயசூரிய, புவனேக அளுவிகாரே, விஜித் மலல்கொட மற்றும் முர்து பெர்ணான்டோ ஆகிய நீதியரசர்கள் குழாத்தினால் இந்த தீர்மானம்  அறிவிக்கப்பட்டுள்ளது.

எனினும், இந்த மனு மீதான விசாரணையில் பங்கேற்ற ஐவரடங்கிய நீதியரசர்கள் குழாத்தின் நீதியரசர் பிரியந்த ஜயவர்தன இந்த தீர்மானத்திற்கு எதிர்ப்பு தெரிவித்துள்ளார்.

ஜனாதிபதியின் முன்னாள் செயலாளர் பி.பி.ஜயசுந்தர,மத்திய வங்கியின் முன்னாள் ஆளுநர் அஜித் நிவாட் கப்ரால், நிதியமைச்சின் முன்னாள் செயலாளர் எஸ்.ஆர்.ஆட்டிகல, மத்திய வங்கியின் முன்னாள் ஆளுநர் பேராசிரியர் டபிள்யூ.டி.லக்ஸ்மன் ஆகியோர் இந்த மனுவின் ஏனைய பிரதிவாதிகளாக குறிப்பிடப்பட்டுள்ளனர்.

கோட்டாபய ராஜபக்ஸ ஆட்சிக்கு வந்த பின்னர் வர்த்தகர்களுக்கு வழங்கிய 681 பில்லியன் ரூபா வரி நிவாரணம், தற்போதைய பொருளாதார நெருக்கடிக்கு அதிக தாக்கம் செலுத்தியதாக மனுவில் குறிப்பிடப்பட்டிருந்தது.

டொலருக்கு எதிரான இலங்கை ரூபாவின் பெறுமதியை 203 ரூபாவாக பேணியமை, சர்வதேச நாணய நிதியத்தின் ஒத்துழைப்பை பெற்றுக்கொள்வதில் ஏற்பட்ட தாமதம் மற்றும் அந்நிய செலாவணியில் பற்றாக்குறை நிலவிய போது 500 மில்லியன் டொலர் இறையாண்மை பிணை முறிகளை மீள செலுத்துவதற்கு எடுத்த தவறான பொருளாதார தீர்மானங்கள் இவற்றில் சிலவாகும்.

இலங்கை திறந்த பல்கலைக்கழகத்தின் பேராசிரியர் மஹிம் மெண்டிஸ், வணிக சபையின் முன்னாள் தலைவர் சந்திரா ஜயரத்ன, முன்னாள் நீச்சல் வீரர் ஜூலியன் போலிங், ஷெஹான் கனகரத்ன, மற்றும் ட்ரான்ஸ்பெரன்சி இன்டர்நெஷனல் நிறுவனம் ஆகிய தரப்பினர் இந்த அடிப்படை உரிமை மனுவை தாக்கல் செய்திருந்தனர்.

இந்த மனு மீதான விசாரணையின் பின்னர் மனுதாரர்களுக்கு தலா 150,000 ரூபா செலுத்துமாறும் உயர்நீதிமன்றம் தீர்ப்பளித்துள்ளது.

SC rules that Rajapaksas, Monetary Board responsible for current economic crisis

The Island  2023/11/15 By A.J. Abeynayake

The Supreme Court yesterday (14) ruled that former President Gotabaya Rajapaksa, former Prime Minister Mahinda Rajapaksa and former Finance Minister Basil Rajapaksa and several others are responsible for the ongoing economic crisis.

The bench comprised Chief Justice Jayantha Jayasuriya, PC, Buwaneka Aluwihare, Priyantha Jayawardena, Vijith K. Malalgoda and Murdu Fernando.

The five-judge bench by a margin of five-to-one determined that the Rajapaksa brothers as well as former Central Bank governors Ajith Nivard Cabraal and Prof. W.D. Lakshman, former Finance Secretary S.R. Attygalle, former Presidential Secretary P. B. Jayasundara, Saman Kumara of the Employees’ Provident Fund and the Monetary Board members of the Central Bank had violated the fundamental rights of the people.

The ruling was delivered based on the majority view of the five-judge bench presided over by the Chief Justice in respect of two fundamental rights petitions filed by the former head of the Ceylon Chamber of Commerce Chandra Jayaratne and several others.

The petitioners had sought an investigation into the state officials responsible for the economic crisis. The SC ordered those found guilty to pay Rs. 150,000 each to all petitioners. The petitioners are Dr. Mahim Mendis, Julian Bolling, Jehan Kanagaratnam, and Chandra Jayaratne. 

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IMF அதானி வரவு செலவுத் திட்டத்தைத் தோற்கடிப்போம்!

 பிரசுரம் ENB 14-11-2023

ENB-Poster

IMF அதானி 'வரவு செலவுத் திட்டத்தை'த் தோற்கடிப்போம்!

இன்று 13-11-2023 அன்று இலங்கை ஜனாதிபதி ரணில் 2024 ஆம் ஆண்டிற்கான வரவுசெலவுத் திட்டத்தை நிதியமைச்சர் என்கிற தகுதியில் சமர்ப்பித்து நாட்டுமக்களுக்கு உரையாற்றியுள்ளார்.இது சம்பிரதாய பூர்வமாக ‘விவாதித்து வாக்கெடுப்புக்கு விடப்பட்டு’ ரணில் பக்ச பாசிஸ்டுக்களின் பெரும்பான்மையால் வெற்றி பெறும்.இதை நாடாளமன்ற ஜனநாயகத்தால் தோற்கடிக்க முடியாது.

வரவு செலவுத் திட்டம், நிதி நிலை அறிக்கை, பாதீடு என்றவாறு அழைக்கப்படும் Budget எனப்படுவது, தனிமனித குடும்ப வாழ்வில் நமது நிதி நிலைமைக்கு ’கணக்கு வழக்கு’ வைத்திருப்பது போன்ற ஒன்று என்ற பொருளில் ஒரு அரசாங்கத்தின் நாடு தழுவிய வருடாந்த   ’கணக்கு வழக்கு’, வரவு செலவுத் திட்டம், நிதி நிலை அறிக்கை என அழைக்கப்படுகின்றது. இது கூறுகிறவாறு வரவு வரும் வழிகளையும், செலவு செல்லும் வழிகளையும் இது அறிக்கையிடுகின்றது.

இலங்கையின் 2024  Budget விவகாரத்தில் இது வரவு செலவுத் திட்ட அறிக்கையாக இல்லை.

ஏனெனில் வரவின் வழிகளான பொருளாதரத் திட்டங்களும், வரி வசூலிப்புகளும், செலவின் வழிகளும் IMF இனால் அந்நிய நிதி மூலதன நலனினால் திட்டமிடப்பட்டுள்ளது.உலகமறு பங்கீட்டு அரசியல் சூழல் காரணமாக இலங்கையின் தேச வாழ்வை இந்திய விரிவாதிக்கம் ஆக்கிரமித்த வண்ணமுள்ளது.இதனால் பொருளாதார வாழ்விலும் இந்திய விரிவாதிக்கத்தின் தலையீடு பெருகி வருகின்றது.இது அமெரிக்க முகாமின் பிராந்திய ஆதிக்கமாக செயலாற்றுகின்றது. மேலும் சீனாவுடனான (Belt And Road) போட்டியில் ஈடுபடுவதற்கு சீனா அளவுக்கு இந்தியா அரச மூலதன பலம் கொண்டதல்ல. இதனால் இந்தியா தன் உதவிக்கு தனியார் மூலதனத்துடன் கூட்டமைக்கின்றது. இயல்பாகவே இது இந்தியத் தனியார் மூலதனத்தின் பேராதிக்க சக்திகளான அதானி,அம்பானி கும்பலுடனான கூட்டாக வெளிப்படுவதில் வியப்பில்லை.கூடவே இந்தக் கூட்டு, சீனாவோடு போட்டி போட அமெரிக்காவும் பங்களிக்கின்றது.

பக்ச பாசிஸ்டுக்கள் உருவாக்கிய வங்குரோத்து ( April 2022) நிலையைப் பயன்படுத்தி, கட்டியிருந்த கோவணத்தையும் களைந்தெடுக்க  IMF (கூடவே இந்தியாவும்) நிபந்தனைகளுடன்  மேலும் கடன் அளித்தன.முதலாம் கொடுப்பனவு about $333m மார்ச்2023 இல் வழங்கப்பட்டது.IMF கடனின் இரண்டாம் தவணைக் கொடுப்பனவு-about $330m- இன்னும் இலங்கைக்கு வழங்கப்படவில்லை, தவணைக்கால நிபந்தனை இலக்குகளை இலங்கை எட்டவில்லை என்ற காரணத்தால்! 2024 ‘வரவு செலவுத் திட்டம்’ இந்த இலக்குகளை எட்டுவதை உறுதி செய்ய வேண்டும்!

 $2.9bn அமெரிக்க டொலர்களை கடனாக வாங்குவதற்கு சம்மதித்து கையொப்பமிட்ட ஒப்பந்தம் வெறும் கடன் ஒப்பந்தம் அல்ல.

அது நாட்டின் நிதி வரவுக்கும், நிதிச் செலவுக்கும் ஆன ஒரு பொருளாதாரத் திட்டத்தை வகுத்தளித்தது. மேலும் வரலாற்றில் என்றுமில்லாதவாறு அரசாங்கம் எப்படி அமைய வேண்டும், ஆட்சி எவ்வாறு செலுத்தப்பட வேண்டும் என்றும் கட்டளையிட்டது. ஊழலைக் கட்டுப்படுத்த வேண்டும் என்று கூட ஆணையிட்டது!

ரணில் பக்ச பாசிச கும்பலின் அரசும்,அரசாங்கமும், அபிவிருத்தியும் இவ்வாறு தான்  IMF இனதும்,அதானி கும்பலினதும் கைகளில் ஒப்படைக்கப்பட்டுவிட்டது அல்லது அரக்களைய ஏற்படுத்திய வெற்றிடத்தை அவர்கள் கைப்பற்றிக் கொண்டனர்.

இலங்கையின் பாதுகாப்புச் செலவினம் யுத்தத்திற்கு பின்னரும் தொடர்ந்து அதிகரித்தே வந்தது.இப்போது அதுவும் குறையத் தொடங்குகின்றது.ஏனெனில் இலங்கையின் இறையாண்மை,பாதுகாப்பு இந்தியாவின் அங்கமாகிவிட்டது.தன்னைப் பாதுகாக்க ஒரு படை இலங்கைக்கு இனி தேவை இல்லை, அதை இந்தியா பார்த்துக் கொள்ளும்.

IMFஅதானி திட்டத்தை வெறும் சம்பள உயர்வு சலுகைகள் அளித்து நிறைவேற்றிவிட முடியாது.அவ்வளவு இலகுவாக அரக்களைய ஓயாது. எனவே புதிய கறுப்புச் சட்டங்களும் அதை அமூலாக்க நவீன கலகம் அடக்கும் படையும், கருவிகளும் இருந்தால் போதும்.

இவையில்லாமல்  IMFஅதானி திட்டத்தை நிறைவேற்ற முடியாது. புதிய பயங்கரவாத் தடைச் சட்டம், ஒன் லைன் பாதுகாப்புச் சட்டம், இதர விவசாய பொருளாதார, தொழிற்சங்க விரோத,ஊடக விரோத கறுப்புச் சட்டங்கள் அனைத்தும், அவற்றை ஏவி நடத்தும் அடக்குமுறைகளும்  IMF அதானி நலன் காக்கவே!

இதனை நாடாளமன்ற ஜனநாயகத்தைக் கொண்டு தோற்கடிக்க முடியாது என்பது கண்கூடு.

நாடு தழுவிய ஒன்றுபட்ட, திட்ட வழிப்பட்ட மக்கள் கிளர்ச்சியே இதனைச் சாதிக்கும். அதற்கு அணி திரளுவதே நாட்டு மக்கள் அனைவர் முன்னும் உள்ள ஒரே கடமையாகும்.

தேச பக்தியின் பேரால் நாம் இதை நிறைவேற்றியே தீர வேண்டும்.

புதிய ஈழப் புரட்சியாளர்கள்  14-11-2023

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Historic US boost for Sri Lanka’s shipping hub status in South Asia

•  US International Development Finance Corporation extends 20 year financing worth $ 553 m to India’s Adani, SL’s JKH and SLPA owned Colombo West International Terminal costing $ 750 m 

•  DFC CEO Scott Nathan says funding will expand SL’s shipping capacity, creating greater prosperity without adding to sovereign debt whilst strengthening the position of its allies across the region 

•  Ambassador Julie Chung says support symbolic of US’ long-standing commitment to SL as its regain economic footing to further shared vision for a free and prosperous Indo-Pacific 

•  Govt. big wigs Foreign Minister Ali Sabry, National Security Advisor Sagala Ratnayake and Indian envoy witness loan agreement signing ceremony

• Deal signifies US, Sri Lanka and India fostering enduring legacy of cooperation in the development of sustainable infrastructure, like smart and green ports

•  Colombo is the largest and busiest transhipment port in Indian Ocean and Sri Lanka one of the world’s key transit hubs with half of all container ships transiting through its waters 

•  Adani Ports CEO Karan Adani says DFC support is reaffirmation by the international community of Group’s vision, capabilities and governance Says deal will facilitate private sector-led growth and attract crucial foreign exchange to Sri Lanka to aid in its economic recovery 

• JKH Chairperson Krishan Balendra says DFC investment an endorsement of potential of the CWIT project and a boost for investor confidence on SL

•  Analysts term 20 year tenor of financing for entirety of debt component of project is attractive amidst SL’s default-Sovereign status and low credit rating

FT Thursday, 9 November 2023

The United States yesterday signified its biggest boost for Sri Lanka’s hub status for shipping in the Indian ocean with its International Development Finance Corporation (DFC) committing a 20 year financing worth $ 553 million to upcoming Colombo West International Terminal (CWIT) by a joint venture involving Indian giant Adani, Sri Lanka’s top blue chip John Keells Holdings and the Sri Lanka Ports Authority.

Given the historic significance and importance of the support from a regional and Sri Lanka’s perspective, US Ambassador Julie Chung, Indian High Commissioner Gopal Bagley, Sri Lanka’s Foreign Affairs Minister Ali Sabry and President’s Chief of Staff and National Security Advisor Sagala Ratnayake witnessed the agreement signing yesterday in Colombo between the parties.

Analysts told the Daily FT that given the 20 year tenor, the financing for the entirety of the debt component of CWIT is favourable. It also comes at a time when Sri Lanka remains a default-Sovereign and low grade credit rating. The CWIT costs $ 750 million and the balance is funded by equity.

DFC said its commitment of over half a billion US Dollars to support the development of a deep-water shipping container terminal in the Port of Colombo, will provide critical infrastructure for the South Asian region.

The new terminal reflects DFC’s commitment to financing high-quality infrastructure that supports its partner’s development needs, invests in local communities, and is respectful of local financial conditions. The investment further demonstrates the US enduring commitment to Sri Lanka’s economic growth and its regional economic integration, including with India.

When commissioned, CWIT will be the largest and deepest container terminal in Sri Lanka. With a quay length of 1,400 m and an alongside-depth of 20 m, CWIT will be equipped to handle ultra large container vessels with capacities of 24,000 TEUs. The new terminal’s annual cargo handling capacity is likely to exceed 3.2 million TEUs. Last year the Colombo Port handled nearly 8 million TEUs.

DFC, the US government’s development finance institution, partners with the private sector to finance solutions to the most critical challenges facing the developing world. It invests across sectors, including energy, healthcare, infrastructure, agriculture and small business and financial services. 

DFC CEO Scott Nathan said, “DFC works to drive private-sector investments that advance development and economic growth while strengthening the strategic positions of our partners. That’s what we’re delivering with this infrastructure investment in the Port of Colombo.”

“Sri Lanka is one of the world’s key transit hubs, with half of all container ships transiting through its waters. DFC’s commitment of $ 553 million in private-sector loans for the West Container Terminal will expand its shipping capacity, creating greater prosperity for Sri Lanka, without adding to sovereign debt, while at the same time strengthening the position of our allies across the region,” Nathan added.

US Ambassador to Sri Lanka Julie Chung said, “The $ 553 million investment by DFC for the long-term development of the Port of Colombo’s West Container Terminal will facilitate private-sector-led growth in Sri Lanka and attract crucial foreign exchange inflows during its economic recovery. This financing is symbolic of the US long-standing commitment to the development and well-being of the people of Sri Lanka. Sri Lanka regaining its economic footing will further our shared vision for a free and prosperous Indo-Pacific.”

The US sentiments were in apparent response to China whose state-owned entities manage and majority own the biggest and most modern terminal (CICT) in the Colombo Port and the Hambantota International Port in deep-south of Sri Lanka.

Adani Ports and SEZ Ltd, is India’s largest port operator whilst JKH already operates Sri Lanka’s first ever private sector owned and managed terminal South Asia Gateway Terminal Ltd.

This is the first time that the US Government, through one of its agencies, is funding an Adani project, which is a ringing endorsement of the group, Adani said adding, “It shows their confidence in the group’s ability to invest and to create a world class container facility in Colombo Port.”

DFC said its commitment of over half a billion US Dollars to support the development of a deep-water shipping container terminal in the Port of Colombo, will provide critical infrastructure for the South Asian region. 

Adani Ports and Special Economic Zone CEO Karan Adani said, “We welcome the association of the US International Development Finance Corporation (DFC), the US government’s development finance institution, in funding the Adani project, and we see this as a reaffirmation by the international community of our vision, our capabilities and our governance.”

 ”As one of the world’s largest port developers and operators, APSEZ brings to this project not only our proven world-class expertise but also our deep experience in infrastructure creation. When completed, Colombo West International Terminal project will transform the socio-economic landscape, not just in Colombo but across the Island, through thousands of direct and indirect new employment opportunities and by massively boosting Sri Lanka’s trade and commerce ecosystem.”

JKH Chairperson Krishan Balendra said, “DFC’s investment is an endorsement of the potential of the West Terminal project and a boost for investor confidence as Sri Lanka’s economy recovers”.

The Port of Colombo is the largest and busiest transhipment port in the Indian Ocean. It has been operating at more than 90% utilisation since 2021, signalling its need for additional capacity. The new terminal will cater to growing economies in the Bay of Bengal, taking advantage of Sri Lanka’s prime position on major shipping routes and its proximity to these expanding markets.

The Adani group said it is expanding its global footprint through strategic investments in emerging markets. Adani Ports has positioned itself as the market leader in the transport logistics and energy utility portfolio businesses, focusing on large scale infrastructure development in India with operations and management practices benchmarked to global standards. Through its continued commitment to creating stellar and sustainable assets, the group is playing a vital role in building a better future for India and the world.

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Ministry accelerates signing MOU with Adani Group for wind power plant in Mannar

 

Ministry accelerates signing MOU with Adani Group for wind power plant in Mannar: Charitha Herath

(Daily Mirror) By CHATURANGA PRADEEP SAMARAWICKRAMA 8 November 2023 

COLOMBO - According to reports, the Power and Energy Ministry is expediting the signing of documents for a Memorandum of Understandings (MOUs) with India's Adani Group to establish a new wind power plant in the Mannar basin with a capacity of 250 MW, Sri Lanka Podujana Peramuna (SLPP) MP Prof. Charitha Herath said.

Addressing the media, he said the Ministry is ready to complete the signing of all agreements before November 25.

According to the 2009 Electricity Act, a bit of a process should be followed for local generation of electricity by any private company. But this process was not followed for projects conducted between two governments (government to government - G to G).

MP Herath said the current government is trying to sign all agreements while putting India's Adani Group into the act to pretend that the project is run between Sri Lanka and India.

He said the groups, including the Ceylon Electricity Board (CEB) chairman and General Managers, are in a hurry to complete all agreements before passing the new Electricity Act. These people are trying to give this project an unsolicited proposal.

After completing the project, the responsible groups are trying to sell one unit of wind power-generated electricity for Rs. 46, and these people are trying to sign this agreement for 30 years.

Meanwhile, fixing three new transformers at the Nadukuda Grid Substation was attached to the said project.

MP Herath said the current government is trying to sign all agreements while putting India's Adani Group into the act to pretend that the project is run between Sri Lanka and India.

The agreement signing process has been boosted these days, other than those mentioned in the agreements.

It has been estimated to sell one unit of electricity, which is currently being generating from Pooneryn Wind-Solar Hybrid Energy Park, at Rs.46. A total of 234 MW of electricity is generated from the Pooneryn wind-solar power plant.

The agreements on all other electricity generation projects were signed for twenty years, but the projects under India's Adani Group were signed for thirty years.

The officials at the Power and Energy Ministry and the CEB were requested to make a note that they were forced to make this agreement with any of the higher officials, such as ministers, because there would be a definitive investigation over this issue by the next incoming government, Prof. Herath claimed.

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Fifth India-U.S. 2+2 Ministerial Dialogue

 

Raksha Mantri, Shri Rajnath Singh and Minister of External Affairs Dr. S. Jaishankar will welcome U.S. Secretary of State Antony J. Blinken and Secretary of Defence Lloyd J. Austin III for the Fifth India-U.S. 2+2 Ministerial Dialogue in New Delhi on 10 November 2023.

The 2+2 will enable a high-level review of progress being made in cross-cutting aspects of defence and security cooperation, technology value chain collaborations and people-to-people ties.

The Ministers will take the opportutnity to progress the futuristic roadmap for the India-US partnership as envisioned by Prime Minister Shri Narendra Modi and President Joseph Biden, in their discussions in June and September this year.

Both sides will also take stock of contemporary regional issues and exchange views about shared priorities for augmenting cooperation in multilateral platforms, and through frameworks such as Quad.

Raksha Mantri and EAM are also scheduled to have bilateral meetings with their respective U.S. counterparts, which will mark a continuity of Ministerial Dialogue and reaffirm the India-US Comprehensive Global Strategic partnership.

Watch Video

5th India-US 2+2 Ministerial Dialogue On November 10

India and the US will carry out a comprehensive review of their fast-expanding strategic ties at the next edition of the '2+2' foreign and defence ministerial dialogue on Friday.

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Israeli Minister Calls Nuclear Attack on Gaza “An Option”

Israeli Minister Calls Nuclear Attack on Gaza “An Option”

On Sunday, Netanyahu suspended Israel’s Jerusalem Affairs and Heritage Minister Amichai Eliyahu after he claimed there are no noncombatants in the Gaza Strip and said that dropping a nuclear weapon on the Gaza Strip is “an option.” This comes just days after an Israeli lawmaker from Netanyahu’s ruling Likud Party took to social media to incite genocide. Writing on the social media site X, formerly known as Twitter, Galit Distel Atbaryan wrote, “Erase Gaza from the face of the earth. Let the Gazan monsters rush to the southern border and flee into Egypt, or die.

Inside Story

Does Israel pose a nuclear threat to the world?

Israeli cabinet minister’s statement that an atomic bomb is an option for Gaza raises global alarm.

Israel’s nuclear programme is widely seen as one of the Middle East’s worst kept secrets.

It is believed to have originated in the 1950s. Today, Israel possesses about 90 nuclear bombs, according to the Stockholm International Peace Research Institute.

Israel has never officially acknowledged the existence of its nuclear weapons, but they’re believed to be aimed at rivals in the region such as Iran.

The country is not a signatory to the nuclear Non-Proliferation Treaty.

So the statement by a cabinet minister that Israel could opt to drop an atomic bomb on Gaza is raising alarm. More so since hardliners such as National Security Minister Itamar Ben-Gvir and Finance Minister Bezalel Smotrich are part of Prime Minister Benjamin Netanyahu’s cabinet.

So as Israel continues its bloodbath in Gaza, should the world be worried about its nuclear arms programme?

Presenter: James Bays
Guests:
Rabia Akhtar – director of the Centre for Security, Strategy and Policy Research at the University of Lahore
Ahmed Abofoul – international lawyer and legal researcher and advocacy officer for Al Haq, a human rights organisation
Patrick Bury – defence and security expert at the University of Bath

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US joins Adani Group to build terminal at Colombo Port

 

daijiworld.com Wed, Nov 08 2023

Colombo, Nov 8 (IANS): The US had joined the Adani Group with a half a billion dollar loan to build a new deep water shipping container terminal at the in strategic Colombo Port in the race against China’s acquisition of part of ports in the Sri Lankan capital and the southern town of Hambantota.

The US International Development Finance Corporation (DFC) on Wednesday announced it’s $553 million finance on the Colombo West International Terminal Private Limited (CWITP), Sri Lanka biggest Foreign direct investment of $750 million to develop the port.

The US has joined in the joint venture between Sri Lanka and India with Adani Ports & Special Economic Zones Limited (APSEZ) which owns 51 shares of the project.

"DFC works to drive private-sector investments that advance development and economic growth while strengthening the strategic positions of our partners. That's what we're delivering with this infrastructure investment in the Port of Colombo," DFC CEO Scott Nathan said while announcing the partnership in Colombo.

"Sri Lanka is one of the world's key transit hubs, with half of all container ships transiting through its waters. DFC's commitment of $553 million in private-sector loans for the West Container Terminal will expand its shipping capacity, creating greater prosperity for Sri Lanka -- without adding to sovereign debt -- while at the same time strengthening the position of our allies across the region," Nathan added.

In addition to APSEZ, CWITP is comprised of Sri Lanka’s John Keells Holdings which owns 34 per cent shares of the build, operate and transfer (BOT) basis project that is to run for a period of 35 years.

The state-run Sri Lanka Ports Authority (SLPA) will have 15 per cent of the total shares.

“We welcome the associate of the DFC in funding the Adani's project. We see this as reaffirmation by the international community of our vision of our capability and our governance. This is the largest single FDI into Sri Lanka through a single project," Karan Adani, APSEZ’s Whole Time Director and CEO, said at the event in Colombo.

“The relationship between Sri Lanka, the US and India is multifaceted and holds great promise. It symbolises the intersection of economic interests, regional stability and global security. Today is a historic day for all of us and today is a day that celebrates the deep historical and cultural and socio-economic bonds between two Asian neighbours Sri Lanka and India.

The US has joined in the joint venture between Sri Lanka and India with Adani Ports & Special Economic Zones Limited (APSEZ) which owns 51 shares of the project. 

"Today is also a day we see the US- India relationship grow in strength and breath. I see this project as a first step through which three countries can foster cooperation and the development of sustainable infrastructure like smart and green ports which will improve the efficiency of port operation and also align with global efforts to combat climate change,” he added.

On her part, the US Ambassador to Sri Lanka Julie Chung said: "The $553 million investment by DFC for the long-term development of the Port of Colombo's West Container Terminal will facilitate private- sector-led growth in Sri Lanka and attract crucial foreign exchange inflows during its economic recovery.

"This financing is symbolic of the US' long-standing commitment to the development and well-being of the people of Sri Lanka. Sri Lanka regaining its economic footing will further our shared vision for a free and prosperous Indo-Pacific."

The Port of Colombo is the largest and busiest trans-shipment port in the Indian Ocean and it has been operating at more than 90 per cent utilisation since 2021, signaling its need for additional capacity.

The new terminal will cater to growing economies in the Bay of Bengal, taking advantage of Sri Lanka's prime position on major shipping routes and its proximity to these expanding markets, the US Embassy said in a statement.

Once completed, the CWIT will be the biggest and deepest container terminal in Sri Lanka and will be equipped to handle ultra large container vessels with capacities of 24,000 TEUs.

The annual cargo handling capacity of this new terminal is likely to exceed 3.2 million

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Online Safety Bill can be passed with a Simple Majority; Supreme Court informs Parliament

Online Safety Bill can be passed with a Simple Majority; Supreme Court informs Parliament

by Staff Writer 7-11-2023 News First

COLOMBO (News 1st); Sri Lanka's Supreme Court has determined that the Online Safety Bill or its provisions are NOT inconsistent with the constitution of Sri Lanka, and can be passed by a simple majority following committee stage amendments on certain clauses.

The Supreme Court determination was announced by the Deputy Speaker in Parliament on Tuesday (7).

He said that the Supreme Court determined that a series of clauses in the bill must be passed by a special majority, however, if those clauses are amended in the committee stage, the bill can be passed by a simple majority.

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