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Sri Lanka opposition to govt: Resolve economic crisis or face no-trust vote

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The heavily indebted country has little money left to pay for imports, which has led to crippling shortages of fuel, power, food, and increasingly, medicines.

Sri Lanka’s main opposition party has asked the government to take effective action to resolve an economic crisis or face a no-confidence motion.

The threat came as business leaders from garments, tea and other industries warned exports could fall 20-30 percent this year.

“The government needs to address the financial crisis and work to improve governance, or we will move a no-confidence motion against the government,” Sajith Premadasa, the leader of Samagi Jana Balawegaya, said in parliament on Friday.

Nearly two dozen associations, representing industries that collectively employ a fifth of the country’s 22 million people, together urged the government to quickly seek financial help from the International Monetary Fund (IMF), the World Bank and the Asian Development Bank (ADB).

“We need a solution within weeks or the country will fall off the precipice,” Rohan Masakorala, director-general of the Sri Lanka Association of Manufacturers And Exporters of Rubber Products, told a news conference.

“Our estimate is that both merchandise and service exports could drop 20-30 percent this year due to a dollar shortage, higher freight costs and power cuts.”

“It is imperative that Sri Lanka must avoid a disorderly debt default. The government must work to suspend debt and appoint financial advisers to start off the process of restructuring debt,” Premadasa said.

Street protests have gone on nearly non-stop for more than a month, despite a five-day state of emergency and a two-day curfew.

READ MORE: Under pressure, Sri Lanka president revokes emergency as protests grow

READ MORE: Sri Lanka protesters gather despite curfew and social media shutdown

High debt, low reserves

President Gotabaya Rajapaksa is running his administration with only a handful of ministers after his entire cabinet resigned this week, while opposition and even some coalition partners rejected calls for a unity government to deal with the country’s worst crisis in decades.

At least 41 lawmakers have walked out of the ruling coalition to become independents, though the government says it still has a majority in parliament.

Rajapaksa is struggling to find a new finance minister to hold talks this month with the IMF for emergency loans, after Ali Sabry submitted his resignation on Tuesday with just a day in office.

It was not clear if the president had accepted Sabry’s resignation.

“We are pushing the government and opposition to establish political stability as soon as possible and give us a way forward,” Rohan Masakorala said.

Sri Lanka’s foreign exchange reserves have plunged some 70 percent in the past two years, hitting $1.93 billion at the end of March.

It has a debt of $1 billion due for payment in July, and more later this year.

Inflation, meanwhile, has rocketed to its highest level in more than a decade, and on Friday evening, the Central Bank of Sri Lanka is expected to raise key interest rates by as much as 400 basis points (bps) following a 100 bps rise in early March.

The government has secured credit lines and currency swaps of billions of dollars from India and China but industry leaders say it needs to do more, urging the central bank governor to start negotiations urgently.

READ MORE: Why developing economies are drowning in debt

Source: TRTWorld

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Coral bleaching alert level raised from ‘watch’ to ‘warning’

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The coral bleaching alert level in the Maldives has been raised from ‘watch’ to ‘warning’, with the Maldives Marine Research Institute warning it may soon rise further to the highest alert level in the north and southern Maldives.

Coral bleaching is when corals turn white due to various stressors. However, the leading cause of coral bleaching is climate change.

The world is currently experiencing the fourth global coral bleaching event, and the second one within the span of the year.

The MMRI said in a statement that it is now receiving reports of widespread coral bleaching across the Maldives.

According to the National Oceanic and Atmospheric Administration (NOAA), which runs a Coral Reef Program, the latest satellite images show the bleaching alert level in the Maldives is now at ‘warning’ level – the third highest warning level – up from ‘watch’ just a month ago.

The MMRI warned that the alert level is expected to rise to ‘alert level 1’ within one week.

“It is also possible that areas in the north and south of Maldives will reach ‘alert level 2’,” warned the institute.

Maldives experienced its first widespread coral bleaching incident in 1998.

According to MMRI, such incidents have increased in frequency.

The institute also warned that human activities may impede coral recovery.

“While Maldives’ corals recover faster after bleaching incidents compared to other countries, the impact of human activities at such a time could slow down recovery and even obstruct it,” warned the institute.

Human activities that may impede coral recovery include dredging, land reclamation and beach nourishment.

“Such activities have a negative impact on coral reef ecosystems, even if it’s is just temporary,” said the MMRI.

“We urge all parties to suspend activities that may raise coral stress level, amid forecasts of coral bleaching incidents due to the warming ocean temperature.”

MMRI also urged all parties to report coral bleach incidents to the institute.

Source(s): sun.mv

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Land up for sale from two phases of Thilafushi

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Housing Development Corporation (HDC) has announced the sale of land from Phase I and Phase II of the industrial island of Thilafushi, exclusively for Maldivian citizens.

Total 108 plots are available for industrial purposes from Thilafushi Zone A, Area B.

  • Type 1: 2,500-4,999 square feet, 64 plots
  • Type 2: 5,000-9,999 square feet, 42 plots
  • Type 3: 10,000-14,999 square feet, 2 plots

The sale of land will be carried out in two phases; the submission of Expression of Interest (EOI) and, in cases where a plot receives more than one EOI, it will go to bidding.

The minimum bid price is MVR 1,700 per square feet.

Interested parties can submit their bids via HDC’s portal or via email to sales@hdc.mv.

Meanwhile, the opportunity has also been opened for parties who have leased land from Phase I of Thilafushi to purchase the plot. The opportunity is open for parties who have leased land the size of 5,000 square feet or more.

Thilafushi is being developed as the main industrial and business hub in the greater Male’ region.

Source(s): sun.mv

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UN report: Conflict could set Gaza development back four decades

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The development of Gaza could face a retrogression by over four decades if the current Palestinian-Israeli conflict was to last for nine months, according to a UN report.

The report, issued on Thursday, reveals a joint study by the UN Development Programme and the Economic and Social Commission for Western Asia (ESCWA), which warns of sharp decline in the Human Development Index (HDI), a summary measure of well-being, in the Gaza Strip and Palestine amid the ongoing Palestinian-Israeli conflict.

The study showed that after nine months of the conflict, the HDI for Gaza could fall to 0.551, setting back progress by 44 years. For Palestine, development could retrogress by more than 20 years – to earlier than 2004.

“This assessment projects that Gaza will be rendered fully dependent on external assistance on a scale not seen since 1948, as it will be left without a functional economy, or any means of production, self-sustainment, employment, or capacity for trade,” said ESCWA Executive Secretary Rola Dashti.

As the conflict approaches its seventh month, the poverty rate in Palestine has surged to 58.4 percent and its GDP has plunged by 26.9 percent, resulting in a loss of $7.1 billion from a 2023 no-war baseline, the UN report showed.

At least 34,596 Palestinians have been killed and 77,816 wounded in Israeli attacks on Gaza since October 7, according to latest update by Palestine’s health ministry.

Hamas said on Thursday it is studying Israeli ceasefire proposals in a “positive spirit” and a delegation is set to visit Egypt soon for further talks, as Israel reiterates it will attack Gaza’s southernmost city of Rafah regardless.

Meanwhile, Israel launched an aerial attack from the direction of the occupied Golan Heights on Thursday night against a military site near the Syrian capital of Damascus, injuring eight soldiers and causing material losses, the Syrian Defense Ministry said.

The targeted areas are known strongholds for elements of Hezbollah and Iranian-backed militias, according to the observatory in Syria.

This attack follows a reported decline in Israeli attacks over the past month, which the Syrian observatory’s director attributed to the strikes on the Iranian consulate in Damascus on April 1.

Iran on Thursday announced sanctions on several American and British individuals and entities for supporting Israel in its war against Hamas. The sanctions include prohibiting accounts and transactions in the Iranian financial and banking systems, and blocking assets within the jurisdiction of Iran as well as visa issuance and entry to the Iranian territory.

Türkiye also announced the halt of all trade activities with Israel as of Thursday until the latter allows the flow of humanitarian aid to the region, said the Turkish trade ministry.

A Shiite militia in Iraq on Thursday claimed responsibility for a missile attack on three sites in the cities of Tel Aviv and Be’er Sheva in Israel “in solidarity with the people of Gaza,” and pledged to persist in targeting the “enemy’s strongholds.” The group has launched multiple attacks on Israeli and U.S. bases in the region since the Gaza conflict broke out.

Source(s): CGTN

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