Sri Lankan domestics never say anything, they just stop coming. My maid just stopped coming and when I finally pressed her she said I needed to get a washing machine. I was hoping to ride this one out, but I’ve run out of underwear and I have no choice. I finally caved and bought a washing machine, from Singer, ONLINE. I put the online in all caps because it’s pretty awesome. I ordered the thing in like 15 minutes on Saturday and they just delivered it today. It’s pretty awesome, this brave new world.

I went to get some milk today for my cereal. It was Rs. 155 for a liter of Ambewela (which I bought) and Rs. 165 for 250g of Rathi powdered milk. I mention this only because milk is the latest flash point in Sri Lanka’s ongoing consumer trauma. Just a few days ago, local farmers were so pissed at low profitability that they were pouring milk down the Hatton streets, even bathing in it. In response, the government has raised taxes on (imported) milk powder by 15%. The end result, however, is one more higher priced consumer good.

Gossip Lanka has published a list of actual vehicle prices after the recent price hike. It’s both enlightening and terrifying, as embedded above. What really grates, however, is that the government is continuing to offer ‘privileged imports’ to certain people, like CEOs, local government members, and professional. Since it’s an application process, this inevitably goes to the connected. There’s a saying that the hand with the spoon serves itself first. While average people are struggling to buy a Maruti, it’s really not cool.

This year, Sri Lanka has recorded its highest growth since Independence. As dicey as the economy looks, it’s important to remember how far the country has come. The nation has a stable, island-wide government for the first time, like, ever, there are no active insurrections, and we’re seeing a period of sustained investment and improvement in peoples lives – including but not limited to the right to have one.

Taxes have spiked on car imports, like, a lot. Sri Lanka traditionally has high taxes on cars – up to 300%. After the war the taxes were dropped (briefly to near zero on hybrid cars) and people went on an orgy of vehicle buying. Now, however, it looks like the party is over. The price of a motorbike has gone up by Rs. 50,000, a Maruti costs Rs. 450,000 more and the price of a hybrid has gone up by almost 1 million.

Mahinda Maama sent everyone an SMS today: “Please join hands with me to observe Earth Hour 2012 by switching off non essential lights on 31st March 2012 from 8.30-9.30pm. – President Mahinda Rajapaksa. ttyl”. I added the last part. I guess it’s OK. I’m addicted to electricity but awareness is never a bad thing.

I’m hosting Good Morning Sri Lanka (MTV Sports) this morning and feel that I should prepare. So might as well prepare here. The first guest is Wolfgang Schneider of the Theatre Festival. The next guest is Praveeni Perera, a Sri Lankan in Canada who just conducted a seminar on business etiquette in Colombo.

There are three major things the GoSL (mostly the Central Bank) does to hurt Sri Lankan business. These are all just bad policies, which could be changed overnight, so they should just do it. The problems are : 1) No PayPal remittances are allowed 2) dual citizenship is suspended and 3) there are new restrictions on sending money out. Why do these matter? Let’s go one by one.

A year ago there was no startup scene in Sri Lanka to think of. Now it seems that everybody wants a piece. Personally, I think Sri Lanka is the, ideal testing ground for the Indian market, and Indian investors. A good product can make decent money here, and things are easier to setup and run here. Plus less public urination. Then, if the business model is solid, you can port it to India, and make millions. Of dollars.

I never actually thought of the CMBHack as a contest, but I guess it was in a ways. As far as voting by the judges went, my idea (YAMU – A Location Based Cab App) won, but as for the market, who knows. There were a number of viable ideas presented and a number that could be viable if worked out. But I think my idea was pretty good, and with the help of a team and mentors, we actually polished it out into a feasible business.