Economic crisis in Sri Lanka

Sri Lanka is facing the worst condition ever. The increase in economic crisis in Sri Lanka leads to an destruction of the country economy. The foreign reserve of Sri Lanka has remain for only 30 days. Due to political misleading in the country the country is facing its worst situation till date. 

How Sri Lanka is suffering today?

Sri Lanka's foreign currency reserves falls to $2.3billion due to COVID-19 and touch the lowest point $779 million from December 2021.it faces debt payment of $4 billion in the rest of this year. Its reserves are enough to only pay for about a month's worth  of imports, including a fall in essential commodities such as fuel, food and medicines.

The price of cooking gas was raised by a major gas company by nearly 1,400 Sri Lankan rupees, with gas cylinders mow costing a whopping 4,200 Sri Lankan rupees, which is around 1,200 Indian rupees. The fuel shortage has also resulted  in long power cuts lasting more than six to seven hours in a day. it cost 300 Sri Lankan rupees for a liter of petrol.

In March 2020, Colombo had imposed a broad import ban to save foreign currency needed to service its $51 billion in foreign debts. But this has led to widespread shortages of essential goods and sharp price rises. Even a cup of tea now costs Rs100, up from Rs 25 of October last year, according to a report by the country's local media website. The price of 1 kg rice is 200 Sri Lankan rupees due to inflation rate of 18.85%.

Due to Economic crisis, school tests for nearly three million out of Sri Lanka's 4.5 million pupils were postponed idefinitely last week after the authorities failed to source enough paper and ink. Due to the shortage of paper newspaper company are not making the newspaper.