Semi-Annual Report: October 1, 2023 – March 31, 2024

Key proposals have been proposed to reform the economy, human rights, and transparent governance, while the implementation of Value Added Tax (VAT) hikes and new loans from the ongoing debt process with the International Monetary Fund (IMF) have been implemented. The Online Safety Act (OSA) was enacted on January 24, 2024, and has been met with strong objections from opposition figures and activists. The law aims to regulate online content, but critics argue that it contains ambiguously defined terms and provisions that allow for arbitrary and subjective interpretation. The OSA has the potential to criminalize almost all forms of legitimate online expression, exerting a chilling influence on free speech. In response to public interest and concern, the cabinet approved amendments to the OSA in early February 2024, which were seen as an appeasement that benefited technology companies. The legislation has been met with criticism from civic activists, who argue that it has the potential to restrict fundamental freedoms. In addition to the OSA, the Government of Sri Lanka has proceeded with the Anti-Terrorism Bill (ATB) to replace the Prevention of Terrorism Act. The revised ATB, tabled in Parliament on January 10, 2024, has faced legal challenges and concerns over its implications on freedom of assembly. The bill encompasses an excessively broad definition of terrorism, granting extensive authority to the military and the military to engage in activities such as stopping, questioning, searching, and detaining individuals. The proposed legislation for the registration and oversight of non-governmental organizations (NGOs) has also raised concerns among civil society organization representatives. The draft legislation contains provisions that grant authorities the power to suspend and dismantle individual NGOs if their actions are deemed to "adversely impact fundamental cultural values" or threaten the "safety and stability of public order." The draft NGO Bill has been met with criticism from civil society representatives, who argue that it poses a significant threat to civic and democratic space and individual freedoms. The Sri Lankan government has also granted approval to prepare a bill for the establishment of a Broadcasting Regulatory Commission targeting electronic media. The move has raised concerns among media professionals and human rights activists, who fear that such a regulatory body could have far-reaching implications on media freedom in the country. The IMF has launched its comprehensive report on the Sri Lankan economy, and the government has received a second tranche under the Extended Facility Fund, amounting to USD 337 million. The Asian Development Bank has also granted a USD 200 million concessional loan to Sri Lanka as part of the Financial Sector Stability and Reforms Program. The Sri Lankan government has implemented various measures to address the economic crisis, including the implementation of VAT hikes and new loans from the ongoing debt process with the IMF. The government has also received support from international organizations, including the IMF and the Asian Development Bank. However, the proposed legislation has raised concerns among civil society representatives and human rights activists, who argue that it has the potential to restrict fundamental freedoms and undermine democratic space. The Sri Lankan government has enacted legislation that significantly alters the country's civic space. Key proposals have been proposed to reform the economy, human rights, and transparent governance, while the implementation of VAT hikes and new loans from the ongoing debt process with the IMF has been implemented. The Online Safety Act (OSA) has been met with strong objections from opposition figures and activists, who argue that it contains ambiguously defined terms and provisions that allow for arbitrary and subjective interpretation.