In this issue

Not all soft loans are comfortable

The idea of spurring development by borrowing may seem paradoxical, because loan repayments can be a drag on spending in the future. Yet in developing countries, where tax revenues are dearer and aid access is limited, concessional loans and debt securities are a growing part of the mix.
Recently, the government insisted it will rescind an agreement for a $280 million loan to build a light rail connecting downtown Colombo to its Eastern suburbs. To walk away from a binding
agreement, on an excuse that it costs too much,
will have its own consequences.
An LRT would have improved the lives of tens
of thousands of people although a short term
financial return would be difficult to generate.
Costs and financial returns haven’t guided past
decision-making. Consider the financial returns
of the following projects which cost much more
than the LRT that has been axed. Lotus Tower
$104 million, Hambantota airport $210 million,
the $26 million Suriyawewa cricket stadium, and the $15 million convention centre in Hambantota.
There is a hierarchy in credit, and even in concessionary loans such a hierarchy exists. Our cover story discusses the concessional lending landscape. Rejecting a Japanese soft loan, with the most generous terms, to fund infrastructure with semi-soft or commercial credit sounds absurd. However, Sri Lanka seems determined to do just that.

Echelon Magazine Description:

Intelligent Storytelling

The one thing that will define the Echelon magazine will be the quality of the storytelling. Echelon,published monthly, will cover in depth Sri Lanka’s most successful businesses, examine their winning strategiesand profile their leaders in immersive stories. Great stories are also never limited to words, and our approach includes rich photography, bold graphics and leading edge design which together will make for a compelling read.

But business doesn’t start and end in a boardroom;it extends to the golf club greens, to international travel and to pursuits that blurthe lines between commercial venture and sheer passion. The Echelon team will present the best in business and lifestyle coverage that will appeal to an exclusive and affluent readership: an otherwise hard to reach demographic.

Content will be developed by one of the most experienced and proven teams of editors, financial journalists, photographers and designers in the country.This team has already raised the bar for powerful and expertly crafted business news. Shamindra Kulamannage, will lead the editorial team.

The reputation of Echelon is being built on the separation between editorial and advertising. However we are also looking for the most creative and impactful new formats that can be applied in our magazines, iPad app as well as website to help our clients reach our audience. We are flexible and creative and we will have a solution for every single advertiser who wants to reach our audience.

We are passionate about creative results and about working with our advertisers to help them create bespoke multi platform creative solutions with our in house creative team and of course our sales team.

Echelon will be a great place to show off the products and capabilities of our clients because they will be surrounded by an editorial product that is expertly crafted, full of integrity and intelligence.