Sri Lanka’s Economic Developments: Pyramid Schemes, Flight…

Sri Lanka’s Central Bank has identified Pro Care and several other firms for engaging in prohibited pyramid schemes. SriLankan Airlines has canceled flights to Heathrow due to a fire at a substation. The UNDP launched a campaign on underutilized crops for biodiversity, while ADB is enabling the sale of thematic debt securities for sustainable financing.

On March 21, 2025, Sri Lanka’s Central Bank confirmed that certain companies, including Pro Care (Pvt) Ltd. and Shade of Procare (Pvt) Ltd., are involved in pyramid schemes, which are prohibited by the Banking Act. The Central Bank released a comprehensive list of other companies and apps also deemed to be engaging in such activities, while withholding one company’s name due to a court order. This list includes several firms such as Tiens Lanka Health Care (Pvt) Ltd., Qnet, and Beecoin App, among others.

In another development on the same day, SriLankan Airlines announced the cancellation of flights to London’s Heathrow Airport following its temporary closure caused by a fire at a nearby electrical substation. Flights UL 503 from Colombo to London and UL 504 from London to Colombo were specifically affected. The airline expressed its apologies for the inconvenience and urged affected passengers to contact their customer service for assistance.

Furthermore, the United Nations Development Programme (UNDP) in Sri Lanka, alongside the World Food Programme and the Ministry of Environment, launched a six-week campaign funded by the Global Environment Facility to highlight the importance of underutilized crops. In recognition of International Day of Forests, UNDP noted that despite Sri Lanka’s significant forest preservation efforts, population growth poses challenges for biodiversity. The campaign promotes the role of lesser-known crops in supporting sustainable food systems.

Moreover, the Asian Development Bank (ADB) is assisting Sri Lanka in developing thematic debt securities, following the success of initial green bonds. Director General Takeo Konishi emphasized that these sustainability-linked bonds would attract global investors. ADB aims to bolster economic growth and job creation while facilitating the implementation of a regulatory framework for these bonds. Transparency in the issuance process is highlighted as essential for gaining investor confidence, along with support for regulations related to sustainability-linked financing.

In summary, the Sri Lankan Central Bank has identified multiple companies engaged in unlawful pyramid schemes, while SriLankan Airlines is managing disruptions due to Heathrow’s closure. Additionally, efforts are underway to promote underutilized crops as part of biodiversity preservation, alongside ADB’s initiatives to enhance sustainable finance through thematic bonds. These developments reflect ongoing challenges and strategic responses within Sri Lanka’s economic landscape.

Original Source: economynext.com