Sri Lanka Faces Economic Headwinds Amidst Heavy Rains and Cybercrime Crackdown; Global Tensions Impact Fuel Prices

President Dissanayake reviewed Cyclone Ditwah resettlement and compensation progress in Kandy, Nuwara Eliya, and Badulla, directing officials to complete twenty damaged roads this year

. US President Donald Trump concluded his 'very successful' visit to Beijing, holding crucial trade talks with Chinese President Xi Jinping and claiming important progress in stabilizing US-China relations

. Trump and Xi also agreed on an open Strait of Hormuz and a nuclear-free Iran, with Trump stating his patience with Iran is running out and considering lifting sanctions on Chinese oil companies buying Iranian oil

. Former NIE Director I. G. S. Prematilake was sentenced to six years imprisonment with hard labor and fined Rs. 3 million for contempt of court over the 2024 scholarship examination order

. The IUSF occupied a property in Malwana, allegedly belonging to a former minister, demanding housing solutions and setting up tents for an overnight stay

. Sri Lanka has sufficient fuel stocks until August, with the Prime Minister's committee discussing future relief measures like removing the odd/even system and increasing quotas

. Sri Lanka and Belarus inked pacts on air services, education, and health, with Foreign Minister Wijitha Herath signing an MoU on health services and discussing boosting gem trade and machinery imports

. Science and Technology Minister Chrishantha Abeyasena assured that Provincial Council elections will be held this year, despite no specific timeframe being provided

. The 17th National War Heroes' Commemoration Ceremony will be held on May 19th, presided over by President Dissanayake, with increased focus on families of war heroes

. Chilaw High Court sentenced Jagath Samantha, brother of ex-State Minister Sanath Nishantha, to 5.5 years imprisonment for assault and obstruction of duty, 19 years after the incident

. Opposition Leader Sajith Premadasa criticized the government for allegedly destroying state institutions and pledged the SJB's commitment to protecting Buddhism

. Prime Minister Dr. Harini Amarasuriya urged people-centric development and a sustainable energy management strategy that avoids burdening citizens

. The Kottawa Magistrate's Court issued an arrest warrant for former MP Hirunika Premachandra and two others for failing to appear in court regarding a 2022 protest

. Tamil Nadu Chief Minister C. Joseph Vijay appealed to India's External Affairs Minister for the early release and safe repatriation of six Indian fishermen arrested by the Sri Lankan Navy for crossing the IMBL

. Indian Naval Ship Sunayna (IOS Sagar) arrived in Colombo with a multinational crew from 16 countries, marking its seventh port call to enhance regional maritime cooperation

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The Sri Lankan Rupee continued its depreciation, with the US Dollar's buying rate climbing to LKR 323.53 and selling rate to LKR 331.15, the highest since December 2023

. PayPal services are expanding in Sri Lanka to enable international payment receipts, initially through Bank of Ceylon, Commercial Bank, and Sampath Bank

. Global crude oil prices remain volatile, with WTI crude rising to USD 102.60 and Brent crude to USD 107.00 per barrel, influenced by US-Iran tensions and Strait of Hormuz concerns

. The Consumer Affairs Authority (CAA) intensified its nationwide crackdown, imposing over Rs. 89 million in fines from 7,334 raids in the first four months of 2026 for consumer violations, including overpricing and hoarding

. Sri Lanka Customs surpassed the LKR 1 trillion revenue milestone ahead of schedule, with total collections reaching LKR 1.18 trillion and consistently exceeding monthly targets

. Tourist arrivals in April plummeted by 22.3% to 135,643, with overall revenue declining by 15% in Q1 2026, attributed partly to geopolitical tensions

. A special government program guarantees Nuwara Eliya potato farmers a price of Rs. 220 per kilogram for their produce, allowing them to sell up to 1000 kg daily

. A wasp attack injured five women tea estate workers in Bogawantalawa while harvesting tea leaves

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Twenty-one major and over 19 medium-scale reservoirs are overflowing across Sri Lanka, including Rajanganaya and Lunugamvehera, due to heavy rainfall

. Kuliyapitiya recorded the highest rainfall of 193 mm in the last 24 hours, with heavy rain warnings remaining for Western, Sabaragamuwa, and North-western provinces

. The NBRO extended Level 2 landslide warnings for 24 hours across 11 districts, including Palindanuwara, Yatinuwara, and Narammala, urging vigilance due to adverse weather

. A low-pressure system northeast of Sri Lanka persists, with heavy showers of about 100 mm possible in Western and Sabaragamuwa provinces, and minor flood situations possible in the Kuda Ganga and Magura Ganga basins

. The Meteorological Department issued a red notice for heavy rainfall exceeding 150mm in several provinces, impacting 6,375 individuals across 7 districts

. Minor flood warnings for the Attanagalu Oya basin have been extended by another 24 hours until May 16th

. Spill gates at several major reservoirs, including Rajanganaya, Deduru Oya, Lunugamvehera, and Angamuwa, have been opened due to rapidly rising water levels

. The Irrigation Department issued a minor flood warning for the Kuda Ganga sub-basin of the Kalu River for the next 48 hours, affecting low-lying areas in Bulathsinhala, Madurawala, and Palinda Nuwara

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Over 120 foreign nationals arrested in Rajagiriya for cybercrime and financial fraud have been further remanded until May 22nd, with investigations revealing they hacked bank accounts in California and Saudi Arabia

. Police operations on April 8th and 14th resulted in the inspection of over 54,000 individuals and the arrest of 1,001 suspects, including those linked to criminal activities, warrant holders, and numerous traffic offenders

. Sri Lanka Customs arrested an Indian geologist at BIA with 2,150 grams of cocaine valued at Rs. 108 million, concealed in his luggage

. 74 Vietnamese nationals were further remanded over online financial scams, with police revealing they were previously deported from Cambodia for similar offenses and violated their visa conditions in Sri Lanka

. The registrars of Sri Lanka's three main Buddhist chapters have requested the 23 monks remanded in connection with the Thailand drug smuggling case to voluntarily disrobe

. Alleged drug kingpin Manoj Suranga Liyanage alias 'Batuwatte Chamara', repatriated to Sri Lanka, has been named the 43rd suspect in the Ganeimulle Sanjeewa murder case and detained for 90 days

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The NBRO extended landslide pre-warning alerts for 13 districts until May 16th, urging public vigilance due to observed signs like cracks on hillsides

. Adverse weather conditions have resulted in two fatalities in Batticaloa and Jaffna districts, impacting 3,475 individuals and leading to 104 people moving to temporary shelters

. A father and daughter were killed in a wild elephant attack in the Moragahaulpotha area of Wilgamuwa while traveling on a motorcycle

. Multiple tragic drowning incidents were reported, including a 15-year-old boy in Ma Oya, two youths aged 16 and 17 in a Kosgama canal, and another 16-year-old student in Katuwila Wewa

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The low-pressure zone to Sri Lanka's northeast is expected to move away within the next few hours, but heavy rainfall of up to 150mm is still anticipated in parts of Western, Sabaragamuwa, and North Western provinces, with minor flood levels persisting in Attanagalu Oya and Kalu Ganga

. Adverse weather, characterized by heavy rains and gusty winds, has affected 3,475 individuals from 1,113 families across seven districts, with one death reported in Batticaloa and 1,310 people moved to safety

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Principals of schools in the Nuwara Eliya zone have been permitted to take appropriate action for their schools based on need and instructions from Zonal Education Directors, following heavy rainfall

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