Sri Lanka Economy News

Sri Lanka is considering a restructure of local and sovereign debt, President Ranil Wickremesinghe said on Friday, as the island nation battles its worst financial crisis in its independent history.

Former RBI Governor Raghuram Rajan today said that that even though India has higher growth than many economies in the world, it is not enough.

Former NITI Aayog Vice-Chairman Arvind Panagariya on Sunday said it would be 'silly' to compare the economic situation of Sri Lanka with India.

The World Bank has no plan to offer new financing to Sri Lanka until an adequate macroeconomic policy framework is in place in the island country, which is facing its worst crisis.

According to surveys, Asia faces 20-25 per cent of witnessing a recession while Sri Lanka is almost on the brink of getting into a crisis with an 85 per cent probability of slipping into recession.

A rampant dollar at a two-decade high crushing most currencies' buying power in international markets, fears of an economic downturn and burned foreign exchange reserves point to a record number of developing nations now in dire straits.

The economic crisis in Sri Lanka has become political, with protesters taking to the streets against the political class. However, the genesis of the present crisis lies in rampant economic mismanagement since the 2000s.

Sri Lanka is hit by a crisis, with its economy crumbling under the weight of massive foreign debt and steep inflation. President Gotabaya Rajpaksa has fled and Prime Minister Ranil Wickremesinghe has imposed an emergency.

Sri Lanka has reduced the limit of foreign currency possession by an individual from $15,000 to $10,000, in a desperate move to shore up its fast-depleting forex reserve required to fund the import of essentials, including food and fuel.

Pakistan's already fragile economy suffered another setback when recently China demanded repayment, by November 2023, of USD 55.6 million for the Lahore Orange Line Project, reported Italian publication Osservatorio Globalizzazione.

Sri Lanka wants farmers to plant more rice as part of plans to avert a severe food shortage, a top official said on Tuesday, as experts warned of a 50% drop in production that would worsen the impact of its already-severe financial crisis.

Amid Sri Lanka's economic meltdown, Prime Minister Ranil Wickremesinghe has elucidated the need to make policy decisions based on an export-oriented economy.

The World Bank has ruled out bridge financing or new loan commitments to crisis-hit Sri Lanka until the island nation's economy sets up an adequate macroeconomic policy framework, the global lender has said.

Sri Lanka's central bank held its key interest rates steady on Thursday and reiterated the need for more fiscal measures and political stability.

Sri Lanka asked citizens not to queue for gasoline as the nation on the verge of default has no dollars to pay for a fuel shipment.

Sri Lanka is considering a restructure of local and sovereign debt, President Ranil Wickremesinghe said on Friday, as the island nation battles its worst financial crisis in its independent history.

Former RBI Governor Raghuram Rajan today said that that even though India has higher growth than many economies in the world, it is not enough.

Former NITI Aayog Vice-Chairman Arvind Panagariya on Sunday said it would be 'silly' to compare the economic situation of Sri Lanka with India.

The World Bank has no plan to offer new financing to Sri Lanka until an adequate macroeconomic policy framework is in place in the island country, which is facing its worst crisis.

According to surveys, Asia faces 20-25 per cent of witnessing a recession while Sri Lanka is almost on the brink of getting into a crisis with an 85 per cent probability of slipping into recession.

A rampant dollar at a two-decade high crushing most currencies' buying power in international markets, fears of an economic downturn and burned foreign exchange reserves point to a record number of developing nations now in dire straits.

The economic crisis in Sri Lanka has become political, with protesters taking to the streets against the political class. However, the genesis of the present crisis lies in rampant economic mismanagement since the 2000s.

Sri Lanka is hit by a crisis, with its economy crumbling under the weight of massive foreign debt and steep inflation. President Gotabaya Rajpaksa has fled and Prime Minister Ranil Wickremesinghe has imposed an emergency.

Sri Lanka has reduced the limit of foreign currency possession by an individual from $15,000 to $10,000, in a desperate move to shore up its fast-depleting forex reserve required to fund the import of essentials, including food and fuel.

Pakistan's already fragile economy suffered another setback when recently China demanded repayment, by November 2023, of USD 55.6 million for the Lahore Orange Line Project, reported Italian publication Osservatorio Globalizzazione.

Sri Lanka wants farmers to plant more rice as part of plans to avert a severe food shortage, a top official said on Tuesday, as experts warned of a 50% drop in production that would worsen the impact of its already-severe financial crisis.

Amid Sri Lanka's economic meltdown, Prime Minister Ranil Wickremesinghe has elucidated the need to make policy decisions based on an export-oriented economy.

The World Bank has ruled out bridge financing or new loan commitments to crisis-hit Sri Lanka until the island nation's economy sets up an adequate macroeconomic policy framework, the global lender has said.

Sri Lanka's central bank held its key interest rates steady on Thursday and reiterated the need for more fiscal measures and political stability.

Sri Lanka asked citizens not to queue for gasoline as the nation on the verge of default has no dollars to pay for a fuel shipment.