Sri Lanka’s multiple ministries, agencies and regulations make implementing policy difficult and the country’s red tape hinders trade and investment, the resident representative of the International Monetary Fund said.

According to EconomyNext, resident representative Eteri Kvintradze said, "Sri Lanka compared to other emerging markets has more restrictive FDI and trade regulatory environment.”

"Sri Lanka's export structure is frozen it's because it is highly protected and regulated and there is no space for innovation. To be competitive and innovative Sri Lanka needs a less restrictive regulatory environment.”

Sri Lanka has stopped crude oil imports from Iran in anticipation of US sanctions against the Iranian government.

"We stopped as soon as the sanctions were announced. We didn’t buy [directly] from Iran. We buy from Singapore, Dubai, Fujairah,” Sri Lankan petroleum resources development minister Arjuna Ranatunga said, according to The National.

All Indian fishing trawlers confiscated by the Sri Lankan navy since 2015 are to be released, The Hindu reports.

The Tamil Nadu fisheries department received the Sri Lankan government order last week and will be sending a team of fishermen, mechanics and officials to assess the condition of the 173 trawlers which are held in Karai Nagar, Kankesanthurai, Trincomalee, Kalpatti and Mannar.

However the order states that trawling equipment in the boats would not be released.

The Sri Lankan military carried out a series of mock raids in the East this week, alongside troops from Sudan and Indonesia, despite concerns over human rights abuses committed by Sri Lanka troops.

Though Tamils in Kopay have been hit by a drought, the Sri Lankan military has maintained a steady access to water supplies from wells in bases across the region.

The Sri Lankan military announced that it had constructed new buildings for a Buddhist vihara in Batticaloa last week, as the armed forces continue their close involvement with Buddhism across the North-East.

India’s state run airport development authority intends to develop plans for Jaffna’s Palaly airport to have international connectivity with places in South India, Malaysia and Thailand, the Times of India reports. 

The Airports Authority of India (AAI) has entered into an agreement with India’s ministry of external affairs to produce a comprehensive report on the development of the airport, which remains under Sri Lankan military control. 

The World Bank has committed $200 million to improve Sri Lanka's public health services.

The development project will be aimed at improving Sri Lanka's performance on controlling non-communicable diseases, maternal and child health, malnutrition and enhancing health systems. 

The International Development Association will be financing the projecting, Sri Lanka's minister for health, nutrition and indigenous medicine, Rajitha Senaratne told participants of the Second Health Sector Development Project in Colombo on Sunday. 
 

Sri Lanka's president, Maithripala Sirisena, who recalled the country's ambassador to Austria for not answering his call said this week that he did so in order to "send a message to other embassies as well". 

Ambassador Priyanee Wijesekera and five other embassy staff were recalled from their service for leaving Sirisena's phonecalls "unanswered for several hours". 

Commenting on the incident, Sirisena said that he had tried to contact the embassy for four and half hours. 

Police arrested a Tamil youth in Mullaitivu, accusing him of being involved in sword attacks in the Puthukkudiyiruppu area. 

Officers claimed they had received 'secret' information connecting the 25-year-old man to the crimes.

A sword was allegedly found in his possession.