The Hon. Arun Hemachandra - Deputy Minister of Foreign Affairs and Foreign Employment

¶ 01 Thank you, Hon. Presiding Member.

¶ 02 This regulation under the Foreign Exchange Act is significant because it reflects that we have achieved a measure of stabilization in about a year and a half, particularly in the external sector. In the recent past, foreign exchange shortages led to queues for fuel, gas, etc. Now, when small artificial crises are attempted, they fail because the public has confidence in this government.

¶ 03 As an example, in Trincomalee, opposition-led cooperative groups tried to create shortages without placing orders; when we checked order lists, we found no orders placed at certain stations. Even so, queues seen in places have now largely subsided.

¶ 04 Regarding claims that the President called the country a “failed state”: he did not. He referred to past administrations that failed to extend railways, renovate fuel tanks, or build large storage complexes after Independence. In the last 76 years, such things were not done; in the last 18 months we have addressed many gaps. We are rapidly rebuilding the country.

¶ 05 Our ministries of Foreign Affairs, Foreign Employment, and Tourism have operated round-the-clock in recent days, including a hotline. All our missions are mobilized; our priority is the safety of Sri Lankans. Two were injured — one in Israel and one in Gaza — both treated and returned home. We issued media releases on 28 February 2026: “Sri Lanka Calls for Utmost Restraint and Immediate De-escalation in the Middle East,” and a “Situation in the Middle East” consular notice. An operations center has been set up; relevant notices have been issued. We are in discussions with IOM and others should the situation escalate, while hoping for de-escalation. The key is disciplined management, not panic.

¶ 06 We now have governance with strong financial discipline, without corruption and waste.