💰 The Economy
📰 Sri Lanka’s economy expands 4.8 percent in 1Q of 2025 on robust industrial activities
Sri Lanka’s economy expanded by 4.8 percent in the first quarter ended in March 2025,
extending the recovery, which set off in the third quarter of 2023, the data released from the
Census and Statistics Department indicated.
Link: https://tinyurl.com/mknj6j5z

📰 Sri Lanka and France sign bilateral agreement on debt restructuring
On June 16, Sri Lanka and France formalized a bilateral agreement as part of Sri Lanka’s efforts
to restructure its external debt. This agreement marks a significant milestone in achieving debt
sustainability, according to a statement from the Ministry of Finance. The agreement was signed
by Mahinda Siriwardana, Secretary to the Finance Ministry, on behalf of Sri Lanka, and by
William Roos, Assistant Secretary for Multilateral Affairs, Trade, and Development Policies,
representing France’s Directorate-General of the Treasury.
Link: https://tinyurl.com/57t43h9x

Sri Lanka Purchasing Managers’ Index for Manufacturing (PMI – Manufacturing) recorded an index
value of 55.5 in May 2025, indicating an expansion in manufacturing activities. All sub-indices
rebounded above the neutral threshold during the month, indicating a recovery from the
seasonal slowdown recorded in April 2025.
Link: https://tinyurl.com/5bwb6528

⚖ Politics & Policy
📰 President states Sri Lanka will lay groundwork for a self-reliant economy by 2028

Sri Lanka’s ultimate goal is to restore national sovereignty through economic stability and self-
reliance, President Anura Kumara Dissanayake stated during a keynote address at the

international conference titled ‘Sri Lanka’s Road to Recovery: Debt and Governance’, held in
Colombo recently. He further stated that Sri Lanka would lay the groundwork for a self-reliant
economy by 2028.
Link: https://tinyurl.com/yc6mkjys

📰 President meets IMF Deputy Managing Director Dr. Gita Gopinath
President Anura Kumara Dissanayake met with the Deputy Managing Director of the
International Monetary Fund (IMF), Dr. Gita Gopinath, and the delegation on 16 June at the
Presidential Secretariat. During the meeting, Dr. Gopinath stated that they held a discussion
focused on Sri Lanka’s strong performance on economic reforms, and the importance of
maintaining the momentum. Taking to ‘X’, Dr. Gopinath further noted that continued
commitment to these reforms is vital for lasting stability and prosperity for all Sri Lankans.
Link: https://tinyurl.com/3rhb7y4z

📰 Ten new projects planned under ‘Clean Sri Lanka’ initiative
A range of new projects for the 2025 financial year has been launched under the ‘Clean Sri
Lanka’ programme, which is a Government initiative aimed at promoting the vision of “A Thriving
Nation, A Beautiful Life.” A progress review meeting for these projects was conducted on 17

June at the Presidential Secretariat, with the session led by Dr. Nandika Sanath Kumanayake,
Secretary to the President.
Link: https://tinyurl.com/4ebnfw4r

📰 Ceylon Chamber of Commerce hosts business dialogue with visiting DCCI delegation from Bangladesh
The Ceylon Chamber of Commerce, together with the Chamber’s Sri Lanka-Bangladesh Business
Council (SLBBC), at the invitation of the Sri Lanka High Commission in Bangladesh, hosted a
high-level Business Dialogue with a visiting delegation from the Dhaka Chamber of Commerce
and Industry (DCCI), Bangladesh, on 17 June at the Hilton Colombo Residences. A significant
aspect of the day was the signing of a Memorandum of Understanding (MoU) between the Dhaka
Chamber and the Ceylon Chamber of Commerce, aimed at fostering bilateral trade and
investment, and enhancing private sector cooperation.
Link: https://tinyurl.com/3e2njz53

!? What you need to know
📰 Cargills in collaboration with MAS Foundation for Change expands efforts to combat plastic pollution
In celebration of World Environment Day, Cargills Food and Beverage Limited, together with its
brands KIST and KNUCKLES, has taken another step towards environmental protection with the
installation of its second Ocean Strainer TM in Wanathamulla. This initiative, implemented in
collaboration with the MAS Foundation for Change, aligns with this year’s global theme ‘End
Plastic Pollution’.
Link: https://tinyurl.com/mwt3z7bj

📰 Sri Lanka apparel gains momentum through social compliance
Sri Lanka’s apparel sector is gaining new momentum through a renewed focus on social
compliance, highlighted by a recently concluded GTEX Workshop held in Colombo. The
workshop was held under the Global Textiles and Clothing Programme (GTEX II), which is funded
by Switzerland’s State Secretariat for Economic Affairs (SECO) and the Swedish International
Development Cooperation Agency (SIDA), in partnership with the Export Development Board
(EDB) and International Trade Centre (ITC). Key industry representatives, including ITC’s Head
of Textiles Matthias Knappe, Swiss Embassy Deputy Head Olivier Praz, EDB Chairman Mangala
Wijesinghe, and Joint Apparel Association Forum (JAAF) Secretary General Yohan Lawrence,
emphasized the vital role of compliance in maintaining global market competitiveness.
Link: https://tinyurl.com/mr45vwx7

📰 Singapore’s Q Collection expands to Sri Lanka with Hela partnership
Q Collection Ltd., a Singapore-based company, has entered Sri Lanka’s apparel manufacturing
sector with strategic backing from Hela Apparel Holdings PLC. As part of this move, Q Collection
has taken over operational control of Jinadasa Bennett Ltd., a subsidiary of the Hela Group,
with the acquisition of funds and assets traced back to the Hela Group.
Link: https://tinyurl.com/2tmxcrwa

Disclaimer – This Advisory is intended for circulation among JAAF stakeholders only. Please do
not circulate or share on social media. The Advisory includes economic, political, social and
governance perspectives. Advisory was prepared by the Strategic Communications Unit of
Adfactors PR Lanka. For inquiries, contact sarah.muiz@adfactorspr.com