USS Canberra (LCS-30) ends port call

Approval was granted at the cabinet meeting held on 16-03-3026 to obtain a policy-based loan of US$ 620 million under five sub-programs to advance Sri Lanka’s reform agenda in line with the International Monetary Fund’s Extended Fund Facility and to conduct negotiations with the International Monetary Fund
in that respect.

Approval has also been granted at the cabinet meeting held on 07-09-2026 for the implementation of the Macro-Recovery Sector Development Program to promote resilience and all-
inclusive economic opportunities utilizing US$ 100 million from this loan amount.

The External Resource Department has already completed the formal negotiations with the Asian Development Bank related to obtaining the aforementioned credit facility.

Accordingly, the Cabinet of Ministers has approved the resolution furnished by the President in his capacity as the Minister of Finance, Planning, and Economic Development to enter into an agreement with the Asian Development Bank to obtain the aforementioned credit facility, comprising a policy-based loan component of USD 50 million and an investment loan component of USD 50 million provided from the ADB’s regular ordinary capital resources.

The Prime Minister participated in the inaugural meeting of Sri Lanka’s Third Mutual Evaluation on Anti-Money Laundering, Countering the Financing of Terrorism and Countering Proliferation Financing (AML/CFT/CPF), conducted by the Asia/Pacific Group on Money Laundering (APG).

Addressing the occasion, the Prime Minister emphasised that the strength of a country’s financial system depends not only on the laws and institutions established but also on their effectiveness, accountability and integrity in practice. She noted that Sri Lanka’s Third Mutual Evaluation provides an important opportunity to demonstrate the country’s progress in combating financial crime, identify areas requiring further improvement and strengthen alignment with international standards.

The Prime Minister further stressed that corruption and the erosion of public trust in state institutions, particularly financial institutions, pose significant challenges to economic and political stability. Addressing these challenges through transparency, accountability, strong institutional coordination and effective enforcement is essential to safeguarding financial integrity, restoring public confidence and strengthening the country’s economic resilience. She further noted that the Mutual Evaluation provides an important opportunity for Sri Lanka to demonstrate the progress achieved in combating financial crime, identify areas for improvement and strengthen its alignment with international standards.

The Prime Minister reaffirmed the Government’s commitment to working constructively with the assessment team and all relevant stakeholders to strengthen Sri Lanka’s AML/CFT/CPF framework, address emerging risks and uphold the confidence of international partners and investors.

The occasion was attended by the Deputy Minister of Digital Economy Eranga Weeraratne, the Governer of the CBSL, Dr. Nandalal Weerasinghe, Secretary to the Minister of Justice and National Integration, members of Financial Intelligence Unit and the members of the assessment team.

Prime Minister’s Media Division

… ships declare ‘state of emergency’

by Shamindra Ferdinando

Forty Iranian sailors from Iranian oil tankers stranded outside Sri Lanka’s territorial waters have been repatriated.

Foreign Minister Vijitha Herath confirmed the evacuation of the Iranian sailors by the Navy and their repatriation to Iran on Sunday. Responding to The Island query, Minister Herath said that the government had acted following a request from Iran.

Sri Lanka intervened amidst accusations that refusal to provide assistance to vessels was contrary to international laws. About 21 Iranian vessels are believed to be stranded off Sri Lanka’s southern coast for several months due to the ongoing US blockade on Iranian ports. The crew members included Indians and Bangladeshis.

The Island learns that humanitarian intervention had been made with the understanding of the US. In March this year, Sri Lanka rescued several dozens of Iranian sailors from a frigate that had been torpedoed by the US Navy, off Galle, within Sri Lanka’s exclusive economic zone.

A spokesperson for the Embassy of the Islamic Republic of Iran, in Colombo, told The Island: “These individuals were brought ashore and taken to hospital for medical treatment due to health issues, following the declaration of a state of emergency by the vessels, in accordance with the obligations arising under the relevant international conventions concerning the rescue of persons aboard ships.”