The Prime Minister made this statement when he met the heads of banks on May 26….reports Asian Lite News
Amid Sri Lanka’s economic meltdown, Prime Minister Ranil Wickremesinghe has elucidated the need to make policy decisions based on an export-oriented economy.
Expressing his wish to pull the island nation out of the looming crisis, he said that these policies can assist the export industry to overcome the current economic crisis facing the country.
The Prime Minister made this statement when he met the heads of banks on May 26.
“About seventy countries are facing difficulties in the current global crisis and Sri Lanka is ranked first amongst those countries,” Wickremesinghe said, adding, that there are many challenges to be faced in the future, both locally and abroad.
However, the Prime Minister also explained that Sri Lanka has a small window in which if the correct policies are taken we can reduce the impact.
The discussion was joined by the Governor of the Central Bank and a number of local and foreign bankers alongside Prime Minister Ranil Wickremesinghe while they discussed definitive solutions to the nation’s problems until an agreement reaches the International Monetary Fund.
As the economy is in no good state, it is evident that there is a high risk of rising international interest rates. The danger of rising international food prices is also being observed at this moment.
Sri Lanka is facing its worst economic crisis since independence with food and fuel shortages, soaring prices, and power cuts affecting a large number of the citizens, resulting in massive protests which culminated in the resignation of former Prime Minister Mahinda Rajapaksa on May 9. (ANI)
This year Sri Lanka needs to repay over USD 1.5 billion to China alone for debt servicing…reports As;ian Lite News
The failure of Sri Lanka’s economy due to faulty economic planning bore fruit for China’s strategic ties as the island nation is caught in a vicious cycle of Chinese loans.
Upon shocks of the Covid-19 pandemic and the Russia-Ukraine war, Sri Lanka’s over-reliance on China as a development partner proved wrong as China’s predatory debt diplomacy increased the foreign debts of the nation and amplified the crisis.
As Sri Lanka slid into a foreign exchange crisis, China just came forward with a proposal for a paltry USD 500 million concessionary loans for 10 years to deal with the economic fallout of the pandemic and showed a willingness to renegotiate only a handful of Chinese debt, standing close to USD 6.5 billion and constituting more than 10% of Sri Lanka’s total foreign debt over USD 50 billion, Dailymirror reported.
Additionally, China did not entertain Sri Lanka’s request for debt deferment of around USD 2.5 billion saying there is no such provision in their financial system, instead it evinced interest to consider providing a loan to repay debt due to it.
This year Sri Lanka needs to repay over USD 1.5 billion to China alone for debt servicing, the report stated further.
Sri Lanka’s economic crisis is self-made as the nation’s infrastructure development was based on borrowing while its foreign exchange earnings remained highly dependent on tourism which crashed due to covid.
Colombo, in its efforts to speed up its economic growth, resorted to quick fixes whereas China strengthened its manufacturing base and promoted exports at the same time.
Moreover, a better strategy for Sri Lanka would have been to ask for assistance from multilateral agencies on soft terms instead of Chinese loans near commercial terms.
According to Dailymirror, the World Bank recently agreed to provide USD 600 million in assistance to help the country meet requirements for essential imports, however, if the country resorted to World Bank loans for infrastructure development at cheaper rates rather than Chinese loans earlier, it could have avoided such a crisis.
At this time when China is dithering, crisis-hit Sri Lanka has only one option to explore, i.e. to seek USD 3-4 billion International Monetary Fund (IMF) assistance.
Sri Lanka’s economy has been in a free fall since the COVID-19 pandemic due to the crash of the tourism sector as well as foreign exchange shortage which has led to food, fuel, power and gas shortages and has sought the assistance of friendly countries for economic assistance. (ANI)
Thirteen cabinet ministers had been appointed on two previous occasions following the appointment of Ranil Wickremesinghe as the Prime Minister on May 12….reports Asian Lite News
Eight more ministers were sworn in to Sri Lanka’s new Cabinet on Monday as a fresh government is being formed amid weeks of political instability and the ongoing economic crisis.
According to the President’s Media Division, the eight ministers took oath at the President’s House in Colombo and later assumed duties in their respective ministries, reports Xinhua news agency.
Douglas Devananda was sworn in as the minister of fisheries, Keheliya Rambukwella as the minister of water supply, Mahinda Amaraweera as the minister of agriculture, wildlife and forest conservation and Ramesh Pathirana as the industries minister.
Thirteen cabinet ministers had been appointed on two previous occasions following the appointment of Ranil Wickremesinghe as the Prime Minister on May 12.
Sri Lanka has seen weeks of public protests due to a shortage in essential supplies including food and medicines.
Presently, Sri Lanka is facing its worst economic and political crisis in four decades which has largely affected the essential services….reports Asian Lite News
Several parts of the Colombo city will undergo a 10-hour- long water cut on Saturday, Sri Lanka media reports said citing the National Water Supply and Drainage Board (NWSDB) of the country.
The report said that the water cut will be effective from today at 10.00 pm and extend till 8.00 am on Sunday morning. It has been imposed due to the maintenance work, reported the Daily Mirror.
The supply in four areas of the city will be completely interrupted while two areas will experience low pressure water supply, the board said while advising people to store required amount of water and use it cautiously.
Presently, Sri Lanka is facing its worst economic and political crisis in four decades which has largely affected the essential services.
With fuel shortages, soaring prices, and power cuts affecting a large number of the citizens, the impending food crisis amid this will put the country in a mess when it is already grappling with other challenges.
Prime Minister Ranil Wickremesinghe on Thursday said that Sri Lanka is one of the few nations which is expected to go without food in the global food shortage which is expected within this year, reported the Daily Mirror.
“FAO has named a few nations including Sri Lanka and Afghanistan which are expected to go without food,” the Prime Minister said.
He asked the people of the country to be prepared for the food shortage and said that in order to deal with this crisis, Sri Lanka will have to cultivate food crops in abandoned crops, even in the city of Colombo, reported the Daily Mirror.
“There are many lands belonging to the Railways Department which are neglected and can be used to grow food. I will talk to the World Bank to get some assistance,” the PM added.
We also have greenhouse, he said, adding that it is essential for Sri Lanka to make 2023 a year of agriculture.
The country’s economy has been in a free-fall since the onset of the COVID-19 pandemic, leading to the crash of the tourism sector. The country is also facing a foreign exchange shortage as it borrowed billions of dollars from China, burdening itself with hefty loans. (ANI)
Referring to the enforcement of the law over the attack on the peaceful protest site of ‘Gota Go Gama, Wickremesinghe said that he had made a clear statement in parliament today….reports Asian Lite News
Sri Lanka newly appointed Prime Minister Ranil Wickremesinghe on Wednesday in a letter to the opposition Samagi Jana Balawegaya (SJB) parliamentarians Manusha Nanayakkara and Harin Fernando sought their support in the formation of non-partisan government.
Wickremesinghe sent this letter in response to the two MPs’ letter where they said that would make a decision on supporting a future government according to the action taken on eight demands, including the action to be taken inside and outside Parliament, to make Gota Go Gama demand of all the people a reality, Colombo Page reported.
Responding to each demand, the Prime Minister said that regarding the resignation of President Gotabaya Rajapaksa, further action should be taken in consultation with the party leaders in this regard and he also agrees with the decision of the majority.
The PM said he expects to create an executive that will limit the powers of the executive presidency and will also make them accountable to parliament through the speedy adoption of the 21st Amendment to the Constitution, reported Colombo Page.
Referring to the enforcement of the law over the attack on the peaceful protest site of ‘Gota Go Gama, Wickremesinghe said that he had made a clear statement in parliament today.
“As I have stated, I strongly condemn this incident and fully support the police in enforcing the law as instructed by the Attorney General. Further, I requested the Inspector General of Police to inform the Hon. Speaker every two weeks regarding the progress of the investigations being carried out. Accordingly, the progress of the investigations can be reviewed in parliament.”
Sri Lanka’s Premier said that a special committee headed by Member of Parliament Wijayadasa Rajapaksha was appointed regarding the 21st Amendment to the Constitution and said he will take action to get that amendment passed as soon as possible.
Bringing those responsible for the Easter attack to justice, Wickremesinghe said an independent police investigation is underway into the allegations and if foreign expert assistance is required, steps will be taken to obtain that assistance as well.
Meanwhile, Prime Minister Ranil Wickremesinghe in the Parliament on Wednesday said that the island country has received USD 160 million from the World Bank.
However, the money would not be used for fuel purchases, said Wickremesinghe, reported Colombo Page.
According to the Sri Lankan PM, the government has been engaging in discussions regarding the matter with the officials of the World Bank. The Sri Lankan government has even requested the World Bank to allow funds to be used for urgent fuel purchases. PM Wickremesinghe also explained that owing to bad weather conditions in Sri Lanka, the gas shipments need to be unloaded via lorries which will be responsible for the delay.
Sri Lanka is facing its worst economic crisis since independence with food and fuel shortages, soaring prices, and power cuts affecting a large number of the citizens, resulting in massive protests resulting in the resignation of former Prime Minister Mahinda Rajapaksa and former President Gotabaya Rajapaksa. (ANI)
The oath will be taken before President Gotabaya Rajapaksa at 6 p.m. local time….reports Asian Lite News
To end the current political deadlock, former Prime Minister Ranil Wickremesinghe will take oath as the new Prime Minister of Sri Lanka on Thursday.
The oath will be taken before President Gotabaya Rajapaksa at 6 p.m. local time.
Vacated after the controversial resignation of former Prime Minister Mahinda Rajapaksa, the elder brother of President Gotabaya, Wickremesinghe is to take up the premiership for the record sixth time in the island nation.
Mahinda resigned from his post following violent clashes that erupted when his supporters attacked a month-long protest carried out by non-political people. The protesters have been demanding the resignation of the Rajapaksa government and the President amidst a severe financial crisis involving shortages of essentials, including food, fuel, medicine, cooking gas and hours of power outages.
On Wednesday night, while addressing the nation President Gotabaya announced that a new PM and a government would be replaced for the positions vacated by his brother Mahinda and his government.
Gotabaya also said that he would work on reintroducing the 19th Amendment stripping powers of the Executive President which he himself enjoys and giving much powers to Parliament.
He also agreed to abolish the Presidential system. Rajapaksa said the new government would be run by a Prime Minister who can command the majority in Parliament.
However, it is not yet clear as to how Wickremesinghe, the leader of United National Party (UNP) country’s oldest political party, now limited to just one seat out of 225 MPs could command the majority. The news on the appointment of Wickremesinghe comes a day after his discussion with President Gotabaya Rajapaksa.
Mahinda Rajapaksa, his son and others, who were present at the meeting, need to be present in Sri Lanka for the ongoing investigations on the attacks as they were suspected to have conspired and planned the attacks…reports Asian Lite News
A Sri Lankan court on Thursday banned former Prime Minister Mahinda Rajapaksa and 15 others, including his son, MPs and senior police officers from leaving the country, for instigating Monday’s violence that killed nine people and injured over 300.
Colombo’s Magistrate court issued the travel ban on Mahinda Rajapaksa, his son MP Namal, and 14 others who participated in Monday’s meeting with his supporters who later carried out violent attacks on peaceful protesters in front of his house and his President’s office.
The Attorney General Sanjaya Rajarantam, who has directed the Inspector General of Police (IGP) to investigate the violent attacks on peaceful protesters, had informed the courts to impose a ban on the former PM and others.
Mahinda Rajapaksa, his son and others, who were present at the meeting, need to be present in Sri Lanka for the ongoing investigations on the attacks as they were suspected to have conspired and planned the attacks.
The pro-Rajapaksa supporters, who protested against Rajapaska leaving his post were later armed with clubs, poles and iron bars, had attacked the protesters.
The protesters had been camping for more than a month demanding the Rajapaksas to leave amid a severe economic crisis.
Among others against whom the travel ban has been imposed were former ministers — Pavithra Wanniarachchi, Kanchana Jayaratne, Rohitha Abeygunawardena, Sanath Nishantha, other MPs and senior DIG Deshabandu Thennakoon.
Military were rushed to his protection and the police fired tear gas and water cannons to disperse the violent mob…reports Asian Lite News
In the wake of the widespread violence in Sri Lanka that left five people dead, former Prime Minister Mahinda Rajapaksa and his family on Tuesday took refuge at a naval base in Trincomalee after leaving Colombo under heavy security.
Rajapaksa, his wife Shiranthi, and their youngest son Rohitha and his family, left the Prime Minister’s official residence, Temple Trees, early Tuesday morning on board an Air Force helicopter and have now taken refuge at the heavily guarded naval base, an informed military source said.
Reports have also revealed that Rajapaksa’s second son, Yositha, who was also the former Prime Minister’s Secretary, and his family had left the country on Monday.
Following Rajapaksa’s resignation on Monday and the ensuing violence started by the pro-government protesters, the anti-government denonstrators surrounded Temple Trees and tried to forcibly enter the premises.
Military were rushed to his protection and the police fired tear gas and water cannons to disperse the violent mob.
In retaliation, the protesters torched vehicles parked outside the residence house and the military resorted to shooting in the air.
At least five people, including an MP, were killed and over 200 others injured as a result of the violence.
The island nation, hit by the most severe economic crisis since gaining independence in 1948, is currently without a government and Speaker Mahinda Yapa Abeywardena has urged President Gotabaya Rajapaksa to summon Parliament immediately.
With a severe financial crisis due to dollar crunch and inflation, protests that started on March 31 have been continuing throughout the country demanding the Rajapaksas to resign.
In the wake of the protests, the cabinet resigned but Mahinda Rajapakse formed a new cabinet under his leadership.
With lack of fuel and gas and hours-long power cuts, people took to the streets and demanded that the immediate resignation of the government.
Meanwhile, President Gotabaya Rajapaksa has urged the opposition to form an all-party government, but the latter has refused to do so until he steps down.
On Monday, trade unions launched an indefinite nationwide strike demanding the President to resign.
Gunaratne said that acts of violence are continuing throughout the country, ignoring the state of Emergency and curfew imposed by the President…reports Susitha Fernando
With escalating violence in Sri Lanka, including torching of houses belonging to ruling party politicians and family members of President Gotabaya Rajapksa, armed forces have been given orders to open fire at anyone causing personal harm, or damaging/looting the properties of others.
Eight people, including a politician from the ruling party, a police officer and civilians, have been killed since violence broke out on Monday, while as many as 219 injured persons are undergoing treatments at government hospitals.
Secretary in the Defence Ministry, Kamal Gunaratne, said that 60 vehicles, including buses and jeeps, have been torched and over 40 vehicles have been damaged since Monday.
“While peaceful protest is being conducted, there are sections of the society who have resorted to violence and looting. We are going to strictly impose the law against anyone violating it,” the Defence Secretary said.
Amid the spread of violence, President Rajapaksa has extended the curfew from Wednesday to Thursday.
Gunaratne said that acts of violence are continuing throughout the country, ignoring the state of Emergency and curfew imposed by the President.
Going through its worst economic crisis, Sri Lanka on Monday was engulfed with violence after supporters of resigned Prime Minister Mahinda Rajapaksa attacked the peaceful protesters, who are on the streets for more than a month now, raising their voice against the severe economic crisis the country is going through.
The protesters have demanded resignation of the President and his Cabinet.
Condemning the attacks on peaceful protesters, trade unions have declared immediate strike while the public started attacking ruling party politicians and damaging their properties.
The angry mob attacked the houses of ex-PM Mahinda Rajapaksa, former Finance Minister Basil Rajapaksa and elder brother Chamal Rajapaksa on Tuesday, while properties of many ministers, MPs and local politicians of the ruling party were torched.
The mob also destroyed a museum built in the memory of the President’s parents.
Sri Lanka, which is reeling under severe economic crisis, is now going through a political catastrophe as well.
Responding to the crisis, including the violent attacks, India said on Tuesday, “As a close neighbour of Sri Lanka with historical ties, India is fully supportive of its (Sri Lanka’s) democracy, stability and economic recovery.”
In response to media queries on developments in Sri Lanka, the official spokesperson of India’s Ministry of External Affairs said in New Delhi, “India will always be guided by the best interests of the people of Sri Lanka expressed through democratic processes.”
India also noted that it has assisted her southern neighbor with over $3.5 billion financial assistance for mitigating the shortages of essential items such as food, medicines etc.
At least five people, including an MP, were killed in Sri Lanka, with over 200 others injured in the wake of the violence in the island nation, which also led to a number of houses belonging to resigned PM Mahinda Rajapaksa and other politicians, being torched, reports Susitha Fernando and Arul Louis
A Sri Lankan parliamentarian of the ruling party of the Rajapakasas and two others were found dead on Monday in violent clashes between anti- and pro-government protesters in the country.
Amarakeerthi Athukorala, 57, a Sri Lanka Podujana Peramuna (SLPP) MP from the Polonnaruwa district, was surrounded by anti-government groups at the north western town of Nittambuwa, the police said.
The people said that gunfire came from his SUV, and when the angry mobs toppled the car, he fled and took refuge in a building and committed suicide by pulling his own revolver.
By the time he killed himself, thousands of people had surrounded the building.
Later, the lawmaker and his personal security officer were found dead, the police said.
Moreover, a 27-year-old man also died in the shooting, according to the News First website.
Meanwhile, the law-and-order situation went out of hand as properties owned by many other SLPP politicians were attacked following the violent attacks on peaceful protestors in Colombo’s GotaGoGama’ and MynaGoGama’ protests sites.
The offices of former minister Johnston Fernando in Kurunegala and Colombo were attacked by angry crowds. His taverns were also set on fire.
The residence of former minister Nimal Lanza was attacked while Mayor Saman Lal Fernando’s residence was set on fire.
Ruling party Trade Leader Mahinda Kahandagamage’s residence in Colombo was also attacked. He was seen leading the charge on the two protest sites earlier in the day, the report said.
The whole country erupted in violence after mobs supporting Mahinda Rajapaksa, who resigned as the Prime Minister, attacked peaceful protesters.
The public turned their wrath on the pro-Rajapaksa supporters as they were leaving the capital back home.
Their vehicles were stopped and attacked in most towns.
Mahinda Rajapaksa, 76, resigned hours after his supporters attacked anti-government protesters outside President Gotabaya Rajapaksa’s office, leaving at least 174 people injured and prompting authorities to impose a nationwide curfew and deploy army troops in the capital.
Sri Lanka is currently in the throes of unprecedented economic turmoil since its independence from Britain in 1948. The crisis is caused in part by a lack of foreign currency, which has meant that the country cannot afford to pay for imports of staple foods and fuel, leading to acute shortages and very high prices.
Thousands of demonstrators have hit the streets across Sri Lanka since April 9 seeking resignation of President Gotabaya and Prime Minister Mahinda, as the government ran out of money for vital imports; prices of essential commodities have skyrocketed and there are acute shortages in fuel, medicines and electricity supply.
Guterres calls for dialogue
UN Secretary General Antonio Guterres wants Sri Lankans to find a solution through dialogue to the crisis in their country, whose Prime Minister Mahinda Rajapaksa resigned amid violent clashes spurred by an economic crisis, his Deputy Spokesperson Farhan Haq said on Monday.
“We continue to encourage all Sri Lankan stakeholders to find a solution to the current challenges through dialogue and with the interests of the country and the people in mind,” Haq said.
“We’ve also been concerned about the recent violence against peaceful protesters, and we urge calm and restraint, as well as respect for democratic rights, including the right… the freedom of expression and the right to peaceful assembly,” Haq said.
A member of parliament from the ruling party, Amarakeerthi Athukorala, was found dead after he fired into a crowd of protesters blocking his way and fled the place.
Sri Lanka is in dire economic straits caused by foreign exchange shortages. It has sought financial arrangements with India and Bangladesh to import vital food supplies and oil to make up for shortages that have fuelled the protests.
