Online discussion on the impact of COVID-19 on SL Banking and Finance Sector

Advocata hosted a live discussion with Yvette Fernando (Assistant Governor, Central Bank of Sri Lanka), Manil Jayesinghe (President, Institute of Chartered Accountants of Sri Lanka), Roshan Abeygoonewardena (Chairman, Finance Houses Association of Sri Lanka), Jonathan Alles (CEO, Hatton National Bank); moderated by Murtaza Jafferjee (Chair, Advocata Institute) on the impact of COVID-19 on Sri Lanka's Banking and Financial Sector.

Click here to access the opening presentation by Murtaza Jafferjee

Watch this video on Youtube 

Online Forum on COVID-19 with Banking and Financial Sector Leaders by Advocata Institute

Published in The Morning, Daily FT, Biz English Adaderana, Ceylon Today, Business News.lk, and The Island

Advocata Institute is hosting a panel discussion with leaders in the banking and financial sector, the fourth in a series of events that center around the economy and Covid-19. The panellists at this event will be Yvette Fernando (Assistant Governor, Central Bank of Sri Lanka), Manil Jayesinghe (Senior Partner, Ernst & Young), Roshan Abeygoonewardena (Chairman, The Finance Houses Association- Sri Lanka) and Jonathan Alles (Managing Director/ CEO, Hatton National Bank). The panel discussion will be moderated by Murtaza Jafferjee (CEO, JB Securities and Chairperson, Advocata). The discussion will explore the current challenges faced by the sector and the road to recovery, in the context of the COVID-19 pandemic.

The online panel discussion will be hosted on Zoom and live-streamed via Advocata Institute's Facebook Page and other partner channels on the 1st of May from 11.00 AM onwards.

Register now: www.advocata.org/events (Limited slots available to join the zoom call)
Send us your questions via slido.com. Event Code: #COVIDLK

Advocata Institute commends the increase in testing, and calls on the government to review barriers to purchasing of tests.

PRESS RELEASE

Originally appeared in the Daily News, Daily Mirror and Lanka Business Online

The Advocata Institute has previously highlighted the importance of expanding testing capacity with the engagement of the private sector. The government’s decision to increase the country’s testing capacity to 1000 tests a day, by utilising the capacity that exists in private hospitals is commendable.

On the 22nd of April, the government opened up the majority of the country, by removing the curfew between the hours of 5.00 am and 8.00 pm. The districts of Colombo, Gampaha, Kalutara and Puttalam, as high-risk regions remain under curfew till the 27th of April. This lifting of curfew has been accompanied by a series of regulations in order to ensure that physical distancing and other safety measures are adhered to. As Sri Lanka moves away from curfew to a more relaxed lockdown, increased testing is vital. This is in line with recommendations from the World Health Organisation (WHO), which has consistently called for increases in testing.

While the increase to 1000 tests per day is a welcome increase, Sri Lanka needs to expand testing beyond this. With the rise of asymptomatic cases, testing is essential to effectively tackle Covid-19. The government should work to utilize the full capacity of the country’s health sector; both state and private. The government should review NMRA and other government guidelines to ensure that there are no barriers to easy and low-cost procurement. The removal of the price control on testing is a key part of this - as the price control does not account for the costs of medical personnel, personal protective equipment and other overheads such as safe disposal of waste. The state sector will be able to continue conducting free tests, and the expansion of capacity in the private sector will relieve some of the burden on the state.

Removing these barriers will increase the availability of test kits and the government will be able to open up for voluntary testing. In this scenario, where employers and employees can even enter cost-sharing agreements for testing, and individuals can independently get tested, you widen the net of testing and ease the burden on the state sector. Voluntary testing would also help allow for a safer gradual opening of the economy.

Key points

• The Advocata Institute welcomes the government’s decision to partner with the private sector and increase testing capacity to 1000 tests per day.

• Barriers to efficient procurement of tests should be removed immediately, including the existing price control. The goal should be to effectively utilise the country’s entire health sector; both state and private.

• Allow for voluntary testing through the private sector, in order to increase testing numbers and reduce stress on the state system.

Media coverage on the online discussion on the impact of COVID-19 on SL tourism industry

The Advocata Institute hosted an online discussion on Zoom with Kimarli Fernando (Chairperson, Sri Lanka Tourism), Vipula Gunatilleka (CEO, SriLankan Airlines), Sanath Ukwatte (Chairman, Sri Lanka Hotel Association), Mahen Kariyawasam (President, Sri Lanka Inbound Travel Operators); moderated by Murtaza Jafferjee (Chair, Advocata Institute) on the impact of COVID-19 on Sri Lanka's Tourism Industry. The discussion explored the current challenges faced by the Sri Lankan tourism industry and the road to recovery.

The Morning: Top tourism trio outline predicament, preparation, prospects

The Covid-19 pandemic is now estimated to put 50 million jobs in the global travel and tourism industry at a risk, with travel set to go down by 25% this year and Asia being the most affected continent, according to the World Travel and Tourism Council, which represents the international tourism industry. Statistics from the council site show that the global tourism industry currently accounts for 10% of global GDP, having contributed $ 8.8 trillion to the global economy in 2018, and is responsible for over 319 million jobs worldwide. Similar to this, Sri Lanka’s tourism industry is a major contributor to the country’s GDP, with its direct contribution being 4.9% in 2018 according to the Sri Lanka Tourism Development Authority (SLTDA) annual report. Last year, the country saw the arrival of 1.9 million tourists, a drop from 2018’s 2.3 million, due to the Easter Sunday attack.

Read the full article

Ceylon Today: Recovering from the Tourism Meltdown

As an island nation, tourism has been Sri Lanka's bread and butter for quite some time and has provided livelihoods for many. However, the spread of the new coronavirus (COVID-19) and the subsequent responses from nations worldwide led to a global tourism meltdown.

In an online discussion organised by the Advocata Institute, leading tourism industry heads and regulators elaborated on the impact of COVID-19 on the industry, amidst the global pandemic.

Read the full article

Economy Next: Sri Lanka tourism sector braces for 12-month slump on COVID-19 hit

Sri Lanka’s tourism industry is bracing for a year long downturn with the Coronavirus crisis coming on top of a hit from Easter Sunday attacks in April 2019, but there were tentative bookings for next year already, officials said.
Sri Lanka Hotel Association, Chairman, Sanath Ukwatte said two crises coming on top of each other had hit the industry but it had gone through bad times earlier and somehow recovered. The government and banks had also given debt moratorium. “Recovery seems 6, 8 month or maybe a year,” Ukwatte told an online forum organized by Advocata Institute, a Colombo-based think tank.

Read the full article

Economy Next: Sri Lanka cabinet clears global tourism promotion campaign

Sri Lanka’ cabinet of ministers had cleared a global promotion plan proposed by the tourism promotion office with no modifications but it may be changed to suit post-COVID needs of the country, a top official said.
“The cabinet gave the approval for the global promotion campaign”, Chairperson of Sri Lanka Tourism Kimarli Fernando told an online forum organized by Advocata Institute, a Colombo-based think tank.

Read the full article

Daily News: Tourism will reopen with strong safeguards

Chairman Sri Lanka Tourism Development Authority Kimali Fernando said that the government was working closely with the army to create safeguards to when possible open up the country for tourism. Fernando was speaking on a panel discussion organized by Advocata on 21 April.

Fernando said that they envisioned having health screening and tracking data collected at the point of passport control at the airport. The tourists would then be provided information detailing institutions that have been certified by the government as passing health safeguards. The system is looking to adopt best practices followed internationally.

Read the full article

Economy Next: SriLankan Airlines in rescue flights for China, UK, and Australia in COVID battle

SriLankan Airlines which halted scheduled flights to Colombo in April has flown rescue flights for China, UK and Australia, and is also carrying cargo amid a Coronavirus crisis earning some revenues while cutting costs, Chief Executive Vipula Gunatilleka said. “We do a lot of special flights not just for Sri Lankans, helping other nationals,” Gunatilleka told an online forum held by Advocata Institute, a Colombo-based think tank.

Read the full article

Economy Next: Sri Lanka eyes post-Coronavirus tourism with tighter visa, health rules

Sri Lanka is making plans to draw tourists after the Coronavirus crisis, with a raft of new operating rules for hotels, transport and visa to cut chances of the virus being transmitted and protect workers and their families, a tourism official said. “The visa process will be changed. When you turn up you will not be able to have a visa,’ Kimarli Fernando, Chairperson, of Sri Lanka Tourism told an online forum organized by Advocata Institute, a Colombo-based think tank.

Read the full article

LBO: Impact of COVID-19 on Sri Lanka’s tourism industry

Kimarli Fernando, Vipula Gunatilleka, Sanath Ukwatte, Mahen Kariyawasam and Murtaza Jafferjee will discuss the impact of COVID-19 on Sri Lanka’s Tourism Industry. The discussion covered the current challenges faced by the tourism industry and route to recovery.

Read the full article

Businessnews.lk - Online forum on COVID-19 with Tourism industry leaders by Advocata

Advocata Institute is hosting a panel discussion with tourism industry leaders, Kimarli Fernando (Chairperson, Sri Lanka Tourism), Vipula Gunatilleka (CEO, SriLankan Airlines), Sanath Ukwatte (Chairman, Sri Lanka Hotel Association), Mahen Kariyawasam (President, Sri Lanka Inbound Travel Operators); moderated by Murtaza Jafferjee (Chair, Advocata Institute) on the impact of COVID-19 on Sri Lanka’s Tourism Industry.

Read the full article

Online discussion on the impact of COVID-19 on SL tourism industry

The Advocata Institute hosted an online discussion on Zoom with Kimarli Fernando (Chairperson, Sri Lanka Tourism), Vipula Gunatilleka (CEO, SriLankan Airlines), Sanath Ukwatte (Chairman, Sri Lanka Hotel Association), Mahen Kariyawasam (President, Sri Lanka Inbound Travel Operators); moderated by Murtaza Jafferjee (Chair, Advocata Institute) on the impact of COVID-19 on Sri Lanka's Tourism Industry.

Click here to access the opening presentation by Murtaza Jafferjee

Watch this video on Youtube

Online forum on COVID-19 with Tourism Industry Leaders by Advocata Institute

Published in the Daily News, Lanka Business Online, Business News, Economy Next, the Morning and Travel Voice

Advocata Institute is hosting a panel discussion with tourism industry leaders, Kimarli Fernando (Chairperson, Sri Lanka Tourism), Vipula Gunatilleka (CEO, SriLankan Airlines), Sanath Ukwatte (Chairman, Sri Lanka Hotel Association), Mahen Kariyawasam (President, Sri Lanka Inbound Travel Operators); moderated by Murtaza Jafferjee (Chair, Advocata Institute) on the impact of COVID-19 on Sri Lanka's Tourism Industry. The tourism sector has been hit hard by COVID-19, with international travel into the country slowing down in January and February, even before our airports closed for international arrivals. The World Bank estimates that Sri Lanka’s tourism sector contributes a little over 12% of GDP, and is a major source of local employment. As the tourism sector is also the country’s third-largest source of foreign exchange, the impact of this downturn will be felt throughout the economy. The discussion will cover the current challenges faced by the tourism industry and route to recovery.

The online panel discussion will be hosted on Zoom and live-streamed via Advocata Institute's Facebook Page and other partner channels this Tuesday, 21st of April from 10.30 AM.

Register now: www.advocata.org/events (Limited slots available to join the zoom call)

Send us your questions via slido.com. Event Code: #COVIDLK

Media coverage on the online discussion on the impact of COVID-19 on the export industry

Advocata Institute hosted a panel discussion with eminent business leaders, Ashroff Omar (CEO, Brandix), Dilhan Fernando (CEO, Dilmah Tea), Romesh David (CEO, South Asia Gateway Terminals) and  Prabhash Subasinghe (Chairman, Sri Lanka Export Development Board (EDB); moderated by Murtaza Jafferjee (CEO, JB Securities). The discussion explored the current challenges faced by Sri Lankan businesses and the road to recovery, with a special focus on merchandise exports.

Daily FT: Mixed bag for export industry from COVID-19 crisis

“Tasked with mitigating the recession facing the country in the months ahead, the panel discussion organised by think-tank Advocata, consisting of leaders from across a variety of industries, highlighted that a fundamental rethink of Sri Lanka’s export strategy as crucial for any revival”.

Read the full article

Economy Next: Sri Lanka to allow export inputs despite import controls: EDB Chief

“Sri Lanka will allow inputs for export industries despite an import ban, a top official said, after import controls were slapped as the rupee came under pressure from liquidity injections amid a Coronavirus crisis and politicians asked the public to grow ‘kollu’ (horse gram) and vegetables.

The import ban will hit exporters who need imports to produce goods for exports.

“The Export Development Board has been given authority to authorize any imports that is required for any export for Sri Lanka,” Chairman Prabash Subasinghe, told an online forum organized by Advocata Institute, a Colombo-based think tank.”

Read the full article

Daily Mirror: “Let’s be realistic on way forward,” says EDB chief

The Export Development Board (EDB) yesterday stressed that the local business community needs to be realistic about the post coronavirus (COVID-19) recovery path and attune their thinking to function in what is now the new normal.

Acknowledging that the country’s entire economic landscape has undergone drastic changes in the last six weeks, changes that were not expected at the beginning of the year, EDB Chairman Prabhash Subasinghe asserted the need to focus on long-term measures when charting the way forward.

Read the full article

Economy Next: Sri Lanka seafood exports swimming against Coronavirus tide to keep economy afloat

Sri Lanka seafood exports are seeing strong demand and higher prices during a global Coronavirus crisis though air freight rates have skyrocketed, as airlines are grounded worldwide, an official said.

“So, the good news is amongst COVID-19, the seafood industry has been able to operate, and the demand still seems to be decent,” Prabash Subasinghe, Chairman of Sri Lanka’s Export Development Board told an online forum organized by Advocata Institute, a Colombo-based think tank.

Read the full article

Daily News: Govt requests EDB to initiate opening up factories

The government has requested the Export Development Board (EDB) Chairman Prabhash Subasinghe to try to begin opening up factories back again. The EDB has been assigned a communication point and has been requested to work closely with Police and law enforcement authorities.

Speaking to the public through an Advocata sponsored webinar on April 16 he said, “we need to think about running a marathon and not a race. We are looking at a minimum of 18 months before we can come to some level of normalcy. The reality is that we are not going to have the business we had yesterday. You need to understand that and get with the program.”

Read the full article

Economy Next: Sri Lanka’s Colombo port hit by India, Bangladesh lockdowns

Container transshipment business at Sri Lanka’s Colombo port has been hit by lockdowns in India and Bangladesh over Coronavirus and vessel calls are expected to decline as lines try to balance demand, a logistics official said.

“About 55 to 60 percent of our total volumes come from India and Bangladesh,” Romesh David, Chief Executive of South Asia Gateway Terminals told an online forum organized by Advocata Institute, a Colombo based think tank.

Read the full article

China.org.cn: Sri Lankan seafood exports show strong demand amidst COVID-19 pandemic

Sri Lanka's seafood export sector has shown a strong demand and higher prices in the global market even during the COVID-19 pandemic, local media quoted Prabhash Subasinghe, Chairman of Sri Lanka's Export Development Board as saying here on Friday.

Speaking at an online forum organized by Advocata Institute, a Colombo-based think tank, Subasinghe said that the demand for local seafood exports in the global market amidst the virus outbreak was beneficial for the country but air freight rates had skyrocketed, as airlines were grounded worldwide.

Read the full article

Economy Next: Sri Lanka tea plantations to pay salaries of workers in April

Sri Lanka’s tea farms will be able to pay salaries to workers in April since tea is being plucked and prices have also risen in at auctions, but the sector is operating at 60 percent capacity, an industry official said.

“Due to the unexpected panic buying in last month there is an unexpected double-digit growth in the revenue in the tea industry,” Dilhan Fernando, chief executive of Dilmah Tea told an online forum organized by Advocata Institute, a Colombo-based think tank.

Read the full article

Economy Next: Sri Lanka’s Colombo port hit by India, Bangladesh lockdowns

Container transshipment business at Sri Lanka’s Colombo port has been hit by lockdowns in India and Bangladesh over Coronavirus and vessel calls are expected to decline as lines try to balance demand, a logistics official said.

“About 55 to 60 percent of our total volumes come from India and Bangladesh,” Romesh David, Chief Executive of South Asia Gateway Terminals told an online forum organized by Advocata Institute, a Colombo based think tank.

Read the full article here

Economy Next: Sri Lanka apparel sector faces mass-unemployment, firms run out of cash

Many of Sri Lanka’s apparel firms have run out of working capital and credit lines to pay salaries in April and mass unemployment looms as prospects of a quick recovery is also dim with clothes being a discretionary purchase in Coronavirus hit countries, industry officials said.

Sri Lanka’s small apparel firms will not be able to pay salaries in April, though some of the bigger firms would be able to manage for one or two months, Ashroff Omar, Chief Executive of Brandix said at an online forum organized by Advocata Institute, a Colombo based think tank.

Read the full article here

Adaderana Biz English: May will be a “tough month” – Brandix CEO

Sri Lanka's apparel industry is bracing for a massive blow amid increased cancellations of orders as COVID-19 pandemic is crippling the economies of its key buyers. In the short term, there will be massive job losses in the apparel sector, Brandix CEO Ashroff Omar said and reiterated that May will be a very tough month for the industry.

“With the apparel industry you have factories with 500-5000 workers, and the trickle effect means the whole chain will get impacted. I believe May will be a very rough month for us. June will be tough. We do not see a good situation up until September at least,” Omar said during an online forum organized by Advocata Institute, a Colombo-based think tank.

Read the full article here

Economy Next: Sri Lanka exports to fall 36-pct to US$7.5bn in 2020 on Coronavirus economic hit

Sri Lanka’s merchandise exports are projected to fall 36 percent to 7.5 billion US dollars in 2020, with services exports to fall 24 percent as Coronavirus devastates customer markets abroad and production at home, officials said. Sri Lanka’s Export Development Board is projecting exports of goods and services to fall to 10.75 billion dollars in 2020, Chairman Prabash Subasinghe told an online forum organized by Advocata Institute, a Colombo-based think tank.

Read the full article here

Ceylon Today: SL exports to fall 36% to US$7.5B in 2020

Sri Lanka's merchandise exports are projected to fall 36 per cent to 7.5 billion US dollars in 2020, with services exports to falling 24 per cent as Coronavirus devastates customer markets abroad and production at home, officials said.

Sri Lanka's Export Development Board is projecting exports of goods and services to fall to 10.75 billion dollars in 2020, Chairman Prabash Subasinghe told an online forum organised by Advocata Institute, a Colombo-based think tank.

Read the full article here

Economy Next: Coronavirus drives Sri Lanka towards e-clearance of cargo

Electronic clearance of cargo which can speed up exports and can bring Sri Lanka in line with advanced ports in the world is starting in a modest way after three decades of failure, an industry official said.

Sri Lanka’s shippers have been trying to push Customs and the port towards e-docs but the process had hit many roadblocks. “We had some developments, we switched to e-commerce, which also very fledgling,” Romesh David Chief Executive of South Asian Gateway Terminals told an online forum organized by Advocata Institute, a Colombo-based think tank.

Read the full article here

Economy Next: Sri Lanka rubber exports retain bounce on Coronavirus crisis

Sri Lanka’s rubber sector has got a bounce from Coronavirus with glove output sold out, the demand for solid tyres in construction and logistics sectors abroad would drive the rest of the demand, an official said.

With production starting from mid-April factories were operating between 10 to 40 per cent of capacity, Sri Lanka saw a surge in demand once the factories opened. “At this time, we are seeing a pent-up demand because factories have just opened up and are moving goods out,” Sri Lanka’s Export Development Board Chairman Prabash Subasinghe told an online forum by Advocata Institute, a Colombo-based think tank.

Read the full article here

Online panel discussion on the impact of COVID-19 on SL exports

Covered in Lanka Business Online

The Advocata Institute hosted an online discussion on Zoom featuring Ashroff Omar (CEO, Brandix), Dilhan Fernando (CEO, Dilmah Tea), Romesh David (CEO, South Asia Gateway Terminals) and Prabhash Subasinghe (Chairman, Sri Lanka Export Development Board (EDB), moderated by Murtaza Jafferjee (CEO, JB Securities) . The discussion covered the current challenges faced by Sri Lankan businesses and route to recovery, with a special focus on merchandise exports.

Click here to watch this video on Youtube.

Click here to access the opening presentation by Murtaza Jafferjee

New Appointments at Advocata Institute with Murtaza Jafferjee, Dr. Sarath Rajapatirana taking up key roles

Originally appeared in Daily FT, Daily Mirror and Daily News

Dr. Sujata Gamage and Prof. Sirimal Abeyratne also joins advisory board

Murtaza Jafferjee, CEO of JB Securities, has taken up the role of Chairperson of the Advocata Institute. In his new role, Mr. Jafferjee would play a leading role in fundraising, governance and act as an advocate of the institute’s mission and it’s policy programme.   

Murtaza Jafferjee is an investment professional with over 25 years of industry experience. He is currently an elected director of the Colombo Stock Exchange and is the lead independent director of Serendib Hotels PLC. He was a past president of CFA Society of Sri Lanka, the local member society of the CFA Institute and also held the advocacy chair whose responsibilities include promoting good ethical practices.  He has a Bachelor's Degree in Mechanical Engineering and Computer Science from the University of NSW, Australia and a Masters in Financial Economics from the University of Colombo. He is also a Chartered Financial Analyst (CFA).

Dr. Sarath Rajapatirana, an eminent economist has also taken up the role of Chair of the Academic programme of the Institute. Dr. Rajapatirana is a widely published scholar who has worked across the world with leading international organizations such as the World Bank,  World Trade Organisation, ITC in Geneva, and the International Cooperative Alliance in Latin America. He is a former economic advisor to H.E. the President of Sri Lanka and has advised governments and policymakers around the world.

A graduate from the University of Ceylon, Peradeniya,  Dr. Rajapatirana has two Master’s degrees in economics, from the University of Massachusetts and the University of Minnesota. He did his doctoral studies at the University of Minnesota (ABD) and has a Ph.D. from the University of Colombo. Dr Rajapatirana is the author and co-author of six books and 55 academic papers in referenced publications. He has given seminars at Stanford, Harvard and the  University of California at Los Angeles and other top universities in the world.

In his new role at Advocata, Dr. Rajapatirana will oversee the academic programme of the institute, contributing to research and helping to establish a network of fellows and associates to increase the academic output of the Institute.   

Advocata also strengthened its board of advisors with two new appointments.  Dr. Sujata Gamage, the former Director-General of Tertiary and Vocational Education Commission of Sri Lanka joins as a member of the board of advisors. She is currently a senior research fellow at LIRNEasia, with wide experience in North America in policy research and academic roles. Prof. Sirimal Abeyratne also joins the Advocata Institute as an advisor. Prof. Abeyratne is a professor of economics at the University of Colombo and a senior fellow of the International University of Japan.  He is a widely published economist with expertise in Macroeconomics, trade and international development.

“We are thrilled and very fortunate to get on board these distinguished personalities”,  said Advocata COO Dhananath Fernando. “Their kind contributions will help us strengthen our operations, impact and continue to be a strong voice for economic freedom and policies that promote prosperity to the citizens of  Sri Lanka”.

Advocata’s board of directors, chairs and advisors serve the institution in a volunteer capacity.  For full profiles on Advocata’s scholars visit www.advocata.org/about

Murtaza Jaffarjee to Chair Advocata Institute

Originally appeared in the Morning

Advocata Institute is pleased to announce that Murtaza Jafferjee, CEO of JB Securities, has taken up the role of Chairperson of the Advocata Institute. In his new role, Mr. Jafferjee would play a leading role in fundraising, governance and act as an advocate of the institute’s mission and it’s policy programme.

Murtaza Jafferjee is an investment professional with over 25 years of industry experience. He is currently an elected director of the Colombo Stock Exchange and is the lead independent director of Serendib Hotels PLC. He was a past president of CFA Society of Sri Lanka, the local member society of the CFA Institute and also held the advocacy chair whose responsibilities include promoting good ethical practices. He has a Bachelor's Degree in Mechanical Engineering and Computer Science from the University of NSW, Australia and a Masters in Financial Economics from the University of Colombo. He is also a Chartered Financial Analyst (CFA).

Over his career, Murtaza has served on many committees and groups and has advocated for progressive economic policies with the aim of fostering competitive markets that are effectively regulated which then leads to an increase in total factor productivity of producers and greater choice and surplus for consumers.

“Hostage to failed ideologies are far more lethal than the most deadly viruses.” Said Mr Jafferjee, commenting on the need to support institutions like Advocata. “The Institute fills a long-felt vacuum in the marketplace for ideas in Sri Lanka. We lacked a coherent and powerful voice for economic freedom, and that is what Advocata provides. I am glad to have joined the institute to strengthen that mission”.

Murtaza was a founding member of Advocata, when the Institute was formed in 2016, and serves as a senior fellow of the Institute.

“Murtaza has been one of our biggest supporters, that helped us get off the ground,” said Dhananath Fernando, the COO of the Institute, “We are honored to have him on board and I look forward to working closely with him to improve and scale-up Advocata to be a strong voice in Sri Lanka’s public policy discourse”.

For more on Advocata’s scholars, members and associates see www.advocata.org/about

Online forum on COVID-19 with Export Industry Leaders by Advocata Institute

Published in the Daily FT and Economy Next

Advocata Institute is hosting a panel discussion with eminent business leaders, Ashroff Omar (CEO, Brandix), Dilhan Fernando (CEO, Dilmah Tea), Romesh David (CEO, South Asia Gateway Terminals) and   Prabhash Subasinghe (Chairman, Sri Lanka Export Development Board (EDB); moderated by Murtaza Jafferjee (CEO, JB Securities). The discussion will explore the current challenges faced by Sri Lankan businesses and the road to recovery, with a special focus on merchandise exports.

The online panel discussion will be hosted on Zoom and live-streamed via Advocata Institute's Facebook Page and other partner channels on the 16th of April from 10.40 AM.

Register now: www.advocata.org/events (Limited slots available to join the zoom call)

Send us your questions via slido.com. Event Code: #COVIDLK

Dr. Sarath Rajapatirana joins Advocata Institute as the Chair of its Academic Program

Advocata Institute is pleased to announce that Dr. Sarath Rajapatirana has been named as the Chair of its academic program. In his new role, Dr. Rajapatirana will oversee the Institute’s research and help build up a network of fellows and associates to increase the academic output of Advocata.

An eminent economist,  Dr. Rajapatirana has worked across the world with leading international organizations such as the World Bank, World Trade Organisation, ITC in Geneva, and the International Cooperative Alliance in Latin America. He is a former economic advisor to H.E. the President of Sri Lanka and has advised governments and policymakers around the world.

“I am excited to join Advocata Institute, an up and coming think tank with a committed young staff to undertake independent research and policy analyses aimed at both the public at large and the Government of Sri Lanka.”

A widely published scholar,  Dr. Rajapatirana is the author and co-author of six books and fifty-five papers in refereed publications and given seminars at Stanford, Harvard and the  University of California at Los Angles and other top universities in the world.  He was also a scholar attached to the American Enterprise Institute,  an External Examiner for PhD students at the John Hopkins School of Advanced International Studies. Besides, he was a visiting Professor at the Ho Chih Minh Economics University and Angiang University in Vietnam.

During his long career at the World Bank, Dr. Rajapatirana was the Director and the main author of the 1987 World Development Report on Trade and Industrialisation, Director of the Macroeconomic Comparative Study of Developing Countries, Division Chief for Trade and Industry for Latin America and the Caribbean and Economic Adviser in the Latin America Technical Department and a Member of the Editorial Board of the World Bank Economic Review. Before joining the World Bank he was the head of the Money and Banking Division of the Research Department of the Central Bank of Sri Lanka. 

Currently Dr. Rajapatirana is a Vice President of the Sri Lanka Economists Association (SLEA) and has served on the boards of the Institute of Policy Studies,  Gamani Corea Foundation and University of Jayewardenepura Postgraduate Institute of Management Board of Studies.

A graduate from University of Ceylon, Peradeniya,  Dr. Rajapatirana has two Master’s degrees in economics, from University of Massachusetts and University of Minnesota. He did his doctoral studies at the University of Minnesota (ABD) and has a PhD from the University of Colombo.  His language skills are in Sinhala, English, Indonesian, Spanish and Malay. 

Sri Lanka heading towards an economic downturn in the wake of COVID-19

Advocata Cheif Operating Officer, Dhananath Fernando joined an interview with News1st to discuss the economic impact of COVID-19 on Sri Lanka.

“…it will be a very difficult time for Sri Lankans as well as for all global citizens. For Sri Lanka it will be a double whammy,” Fernando said in an interview with News1st.

Sri Lanka kicked off the year with a GDP rate of 2.6 percent and has to settle USD 4.8 billion as external foreign debt, the highest debt repayment amount for the country within a single year.

“Operating the markets [sic] finding a solution to do that is also critically important while on the medical front we are taking the necessary measures,” he noted.

Advocata mention in the Business Times: Back to the basics for Sri Lanka

Excerpt from an article on Sunday Times

Support from  lending agencies

By Dhananath Fernando, COO, Advocata Institute

The Sri Lankan Government must proactively negotiate on a specific timeline with lending agencies such as IMF, World Bank and ADB to reschedule our existing facilities and for a new finance package to mitigate the indicated economic downturn. It is essential to open a dialogue with China, US, India and EU for bilateral lending given the negative outlook to raise debt from the market. Near zero rate in US interest rates in the US provides a good opportunity to restructure our foreign debt.

During the curfew period, the government should abolish price controls immediately which has created shortages of food items in the market where the most economically marginalised segment in the community is the most impacted. Import controls have to be abolished to avoid sending the wrong signals to the market and the government should work closely with the private sector to rapidly expand the testing capacity in the battle against COVID-19.

Read full article here.

Fighting COVID-19: Economic implications for Sri Lanka

Excerpt from an article on Ceylon Today

In an online discussion organised by the Advocata Institute on the ‘Economic Impcy of COVID-1 in Sri Lanka, Chair of the Academic Programme of the Advocata Institute, Dr. Sarath Rajapatirana, Executie Drirector of Verite Research, Dr. Nishan de Mel and Associate Professor of the National Universoty of Singapore, Prof. Razeen Sally elaborated on these concerns.

“When COVID-19 stuck us, we were actually in a relatively weak economic situation. Our growth rate had fallen 2.6%, which is very low compared to our growth rates in the last three decades. earning from tourism has fallen particularly after the Easter Sunday attacks. The immediate future for tourism did not look good. when we look at the economic impact of COVID-19, there is a direct effect and indirect effect” - Dr. Sarath Rajapatirana.

Read full article here.

Getting private sector involved is essential to rapidly expand Sri Lanka’s testing capacity for Covid-19

PRESS RELEASE

Originally appeared in the Daily FT, Daily News, The Island and Ceylon Today

In dealing with the Covid-19 crisis,  the government has placed most of Sri Lanka under curfew.  This is to mandate a ‘physical distancing’ strategy to slow the transmission of the novel coronavirus and to reduce the proliferation of new cases. This gives space for the country’s health system to cope with the potential influx of Covid-19 patients.

Curfews cannot go on forever.  In this initial phase, it is essential that the government uses this period to ramp up the healthcare infrastructure in the country to safely treat both Covid-19 patients and others requiring care.  As has been emphasised by medical professionals and the Government Medical Officers’ Association (GMOA), it is particularly important that the government uses this time to increase the country’s testing capacity to effectively test those with symptoms and their close contacts.  

The “trace - test - treat” method has shown to be effective in countries such as South Korea and others which have faced up relatively well to this public health crisis.  The government’s decision on 31st March to expand testing to check for community transmission is a step in the right direction. Currently, guidelines for testing (interim case definitions) as directed by the Epidemiology Unit limit testing to individuals with acute respiratory illness who have either had contact with a confirmed Covid-19 patient, or have travelled abroad in the last 14 days. Patients with acute pneumonia (not explainable by any other aetiology) and are presenting symptoms, can also get tested, if a doctor sees fit. The definition was expanded to include individuals experiencing fever and respiratory distress, but this definition will need to be broadened, to ensure that individuals with milder symptoms also have access to testing. 

Sri Lanka has currently tested only 2277 cases,  or 87 per million people.  Countries such as South Korea have tested 410,564 cases or 7971.04 per million people.  The United States, initially lagging and summarily criticised for its Covid-19 response has dramatically increased testing over the last few weeks with over 1 million tests being conducted to date and over 100,000 being conducted every day.  “Trace - test - treat” is now emerging as a policy consensus to deal effectively with the crisis. 

When looking at current testing capacity, in addition to the government sector, and universities, the private sector currently has only three laboratories that are equipped to conduct PCR testing. While private sector testing for Covid-19 was initially not allowed, this restriction has now been lifted. The government should work to coordinate with the private sector, and with universities to improve testing capacity, as well as to tap into private sector access to supply chains and technical know-how on new testing options. Given that Sri Lanka has limited fiscal space to face up to the crisis,  the government should prioritize the test and trace in its engagement with donors for funding. 

It is useful to think of the necessary policy responses to the Covid-19 crisis in phases. In this first phase of containment, the focus should be on practicing physical distancing, and expanding the capacity to test. There is an economic trade off that takes place, while the country expands testing capacity. This economic burden is not one that will be sustainable for much longer, and the government has to act swiftly. With adequate testing it is possible for the country to move to the next policy phase, where limited economic activity can be allowed, with strict physical distancing practices and widespread testing continued. 

The Advocata Institute recommends that the government gives due priority to expanding testing capacity in the country. 

• As an immediate measure, utilise testing capacity that exists in universities and in the private sector.

• Engage with the private sector to identify barriers to the import of rapid testing kits, and facilitate where possible. 

• Update the interim case definition issued by the Epidemiology Unit, to ensure that effective community testing can take place.

Price controls are not a solution during a pandemic

Dhananath Fernando, Cheif Operating Officer of the Advocata Institute joined a discussion on the economic impacts of Covid-19 on Sri Lanka with Faraz Shauketaly on NEWSLINE.

“91% of our Tin Fish is imported and the rate of tax (tariff) is 35% on one hand, and then you ask them to sell it at Rs. 100 which is almost about half of the general retail price according to the Government Census. So, the poor man, who could have afforded a Rs. 200 Tin Fish can no longer find it available in the market and now his protein requirement he has to move to an alternative which is more expensive than Rs. 220 (the original price of tin fish)”

“The general rule is that when you have price controls, it is unavoidable that people hide stocks and it hits the poor the most - when there is no food available at the shelf and you have to shift to the alternative that is more expensive.”

Online panel discussion on the Sri Lankan economy after COVID-19

The Advocata Institute hosted an online discussion on Zoom featuring Dr. Sarath Rajapatirana (Chair - Academic Program, Advocata), Dr. Nishan de Mel (Executive Director, Verite Research), Prof. Razeen Sally (Associate Professor, National University of Singapore) to discuss the “Sri Lankan economy after COVID-19”, in a panel moderated by Aneetha Warusavitarana (Research Manager, Advocata Institute). The discussion explored Sri Lanka's response to COVID-19, the route to recovery, potential pitfalls and a global perspective!

Click here to watch this video on Youtube.

Advocata mentioned in article on Price Controls during COVID-19

Excerpt from an article on Roar

Price Controls: Who Will Pay For The Canned Fish And Dhal?

“But as Gunasiri attends to his next customer, a thought weighs heavy on his mind— he has just made a loss of Rs. 60 on that sale. And by the time he exhausts his stock of dhal alone, he would have made a loss of a few thousand rupees. A princely sum, considering the circumstances."

“It is commendable that the government has taken steps towards easing the burden on the poor, especially during a time like this. But, controlled prices can also lead to shortages, as producers lose incentive and ability to stock these products. In addition, when imposed with no prior warning, price controls force smaller businesses to take losses, which can sometimes be inequitable. Despite the good intentions behind this decision, it has the potential to make the situation worse,” Aneetha Warusawitarana, Research Manager, Advocata Institute told Roar Media. 

Read full article here.

The economic impact of COVID-19 on Sri Lanka; a discussion on Face the Nation

Advocata Institute COO, Dhananath Fernando joined a discussion on Covid-19 with Face the Nation along with Prof. Indika Karunathilake (President of the SLMA), Dr. Samantha Ananda (Spokesperson of the GMOA and Dr. Sajeewana Amarasinghe (Secretary of the Sri Lanka College of Psychiatrists).

“In terms of recommendations for the government on the economic front, there are 3 things that you should not do at this particular moment: One is imposing price controls, two is printing money because that will create inflation and again hit the poorest of the poor - price controls do the same, the third thing is having import controls because that will have a negative long term impact” - Dhananath Fernando