Sri Lanka’s economy has collapsed, petroleum, TOU

Sri Lanka’s faltering economy has collapsed over the past several months, now confirmed by Sri Lankan Prime Minister Ranil Wickremesinghe. According to Wickremesinghe, the country’s economy has completely collapsed and now the only option is to reach an agreement with the International Monetary Fund. He said that the country is facing serious economic situation.

According to Prime Minister Wickremesinghe, the country is struggling with problems like petroleum, gas, electricity and food grains. The Prime Minister said that due to shortage of foreign exchange, the country no longer has the capacity to buy petroleum products. He said that only new financial measures and agreements can save Sri Lanka now. Sri Lanka currently needs 6 billion to buy basic things, pay import bills and keep its currency stable. Sri Lanka has started talks with the IMF.

“We hope to have an official agreement with the IMF by the end of July,” Wickremesinghe said. Apart from this, Sri Lanka is also planning a credit aid conference with allied countries. This may include India, Japan, China and other countries. At present, Sri Lanka is facing the biggest crisis so far. Political instability continues due to economic crisis on one hand and protests against the government on the other.

Hamilton Reserve Bank Limited, which has more than ंका 250 million in reserves in Sri Lanka, had filed a petition in New York Federal Court on July 25 seeking full refund of its principal and interest.

(Courtesy Syndicate Feed)