The governor of the Central Bank, Ajith Cabraal, said that the Sri Lankan economy would grow to $100bn by 2016 and predicted a bright future for the country.

“If Sri Lanka is successful over the next three years, the country would surely be the next “Break-out Nation” and the ‘Wonder of Asia,” Mr. Cabraal said.

Suresh Premachandran, Tamil National Alliance (TNA) MP, has said that international intervention is needed to reach a political solution in Sri Lanka, reports Uthayan.

In response to questions on whether the TNA would participate in the upcoming Parliamentary Select Committee (PSC), Premachandran stated that international influence would be essential to negotiating a political solution with a government that shows no intention of power-sharing.

There has been uproar and anger amongst Buddhist clergy and trade union leaders over the government's official calendar, which does not include Poya days (full moon days) as holidays for public servants and private sector employees.

The national organiser of the Bodu Bala Sena, the Ven. Vitarandeniya Nanda, said:

The decision of when to resume operations at the University of Jaffna will be taken after Thaipongal, reports Uthayan.

The university's Faculty of Arts concluded that too many 'complications' would arise, should teaching go on as normal while students were being held under anti-terrorism laws, and so a date to reopen will be decided after the festival of Thaipongal.

The Commander of the Sri Lankan Army, Lt Gen Jagath Jayasuriya, extended his New Year wishes to the armed forces.

Jayasuriya, in a speech at the army headquarters, expressed his pride in the dedication his forces had shown to development projects in the country.

The General also pledged that more training, both domestically and internationally, would be provided for the army.

The Sri Lankan president Mahinda Rajapakse has joined his brother in accusing foreign conspiracies for bringing the country into disrepute.

Speaking at the opening ceremony of a building, he also claimed that all Sri Lankans are now living in harmony.

“This is the country of our birth. So, the responsibility of protecting peace and harmony lies in our hands,

Sri Lanka’s Defence Secretary Gotabaya Rajapaksa has offered his services to India’s army, proposing to train their armed forces in ‘counter insurgency’.

Rajapaksa made the proposal to share Sri Lanka’s expertise in the field, (dubbed “the Sri Lanka option”), when the head of the Indian Army came to visit Sri Lanka earlier this month.

Speaking to the head of the third largest active armed forces in the world, Rajapaksa said,

The military has no intention of withdrawing army camps in Jaffna despite intense pressure exerted by the international community and Tamil political parties, reported The Sunday Leader.

The Jaffna Security Forces Commander Major General Mahinda Hathursinghe defended the excessive military presence, alleging that the LTTE is still active.

“The army is aware of this and remains vigilant,” Hathursinghe told The Sunday Leader.

The brother of Khuram Shaikh, the British man murdered in Sri Lanka on Christmas day last year has spoken out about the lack of action with the case.

Nasser Shaikh told BBC Breakfast that the stalled case was "disheartening" and "gives out the wrong message".

Matt Baker, parliamentary aide for Rochdale MP Simon Danczuk, who has taken up the case said: