Sri Lanka Approves Several Key Agreements and Projects
The Cabinet of Ministers in Sri Lanka has recently approved a series of significant agreements and projects aimed at enhancing international cooperation, improving infrastructure, and supporting economic development. These decisions reflect the government’s commitment to fostering growth and strengthening ties with various countries and international organizations.
Educational Cooperation Agreements
One of the key areas of focus is educational cooperation. The Cabinet has approved several Memorandums of Understanding (MoUs) between Sri Lankan universities and institutions abroad. These include:
- MoU between the University of Peradeniya and the Institute of Geology and Geophysics under the China Science Academy of the People’s Republic of China for a valid period of five years.
- MoU between the University of Kelaniya and the Bharathidasan University of India for a valid period of five years.
- MoU between the University of Moratuwa and the Institute of Multidisciplinary Sciences of the Yokohama National University in Japan, for a valid period of five years.
- MoU between the University of Moratuwa and the National Institute of Technology of the Tokuyama College in Japan, for a valid period of five (5) years.
These agreements are intended to promote academic exchange, research collaboration, and the enhancement of educational standards in Sri Lanka.
Maritime Security and Communication Systems
Another important agreement involves the signing of an End-User and Handover Agreement with the United Nations Office on Drugs and Crime (UNODC). This agreement facilitates the acquisition of a Satellite Communication Interception System (SCIS) for the Sri Lanka Navy (SLN). The project, “Strengthening Maritime Security and Rule of Law in the Indo-Pacific Region,” is supported by the Government of Japan and the Japan Coast Guard. The SCIS, known as ‘Congnyte S12,’ will significantly enhance the SLN’s capabilities in maritime security.
Bilateral Consultative Mechanism with Uzbekistan
The Cabinet also approved an MoU between Sri Lanka and Uzbekistan to establish a Bilateral Consultative Mechanism. This initiative aims to broaden cooperation in political, economic, scientific, technological, cultural, trade, and tourism sectors. The agreement was proposed by the Minister of Foreign Affairs, Foreign Employment, and Tourism.
Road Renovation and Upgrading
A Loan Agreement with the OPEC Fund for International Development has been signed to obtain US$ 50 million for upgrading national roads in the Colombo District. Specifically, the Maharagama-Piliyandala road, which is 6.7 km long, is part of this project. While 1 km of the road has already been renovated, the remaining 5.7 km will be upgraded in three packages. The Cabinet approved the use of government funds to complete the renovation of the remaining 1.7 km of the ‘B’ portion of the road.
Completion of Secretariat Buildings
Several District Secretariat and Divisional Secretariat buildings were started in previous years but faced delays due to funding issues. The Cabinet approved the proposal to complete these projects using annual estimates and to include suspended projects in the Government Investment Plan for future implementation.
Acquisition of Vehicles for Special Task Force
To improve the operational efficiency of the Special Task Force (STF), the Cabinet approved the purchase of 100 motorcycles and 50 tuk-tuks. The existing motorcycles, mostly over 10 years old, suffer from technical defects that hinder rapid deployment. The new vehicles will ensure better mobility and response times.
Import and Export Regulations
The Cabinet approved the submission of Import and Export (Control) Regulations No. 08 of 2025 to Parliament. This regulation allows the import of GR 11 / Ponni Samba rice without import control licenses, facilitating smoother trade and food security.
Sustainable Tourism Development
A Loan Agreement with the Asian Development Bank (ADB) has been finalized to implement the Sustainable Tourism Sector Development Programme (STSDP). The ADB will provide a total of US$ 100 million, with US$ 70 million from concessionary General Capital Resources. This funding will support sustainable tourism initiatives across the country.
Energy Project Financing
An agreement with the International Finance Corporation (IFC) of the World Bank cluster has been approved to finance the Secure, Bearable and Sustainable Energy Project for Sri Lanka. The IFC will provide a loan of US$ 30 million, which will be used to support energy projects either directly or through affiliated bodies.
National Customs Policy Amendment
The Cabinet also approved the amendment of the National Customs Policy (NCP) to align it with current tax laws and reduce uncertainties. The NCP Committee, established in May 2025, recognized the need for revisions to ensure compliance and efficiency in customs procedures.
Research and Development Commercialisation Approach
A special unit named ‘Research and Development Commercialisation Approach’ has been established under the Presidential Secretariat to commercialize research and accelerate the execution of the Production Economic Policy. A budget of Rs. 1 billion has been allocated for this purpose. The methodology includes grants, loans, and profit-sharing mechanisms to support selected projects.