Srikankan Crisis What we know and What we don’t?

All this news about economic meltdown and people standing in long queues for daily basic necessities in Srilanka is sending shockwaves all over the world. Is it even possible in modern era to have people end up like this with no major calamities to blame? It is very much a lesson for the ruling kind to make policy decisions cautiously lest suffer the same fate as the Island Nation.

So what actually went wrong? First, it is a country which depends majorly on imports even for fish, prawns, milk powder and such. It’s economy rests majorly on tourism, which got hit due the Covid Pandemic.

It was a disaster waiting to happen only accelerated by the Pandemic. After spending more than 200 billion dollars on the civil war, it was the responsibility of the government to take measures to make economic policy amends to restructure and improve GDP to balance out the expenditure made a decade ago. But, the current Srilankan Government led by the Gotabaya clan has single-handedly managed to bring down the economy.

The policy decision to ban imports to save the depleting foreign exchange reserves has done bad than good. Businesses closed down due to inadequate products. Tea and garments are the major exports of the island nation. Due to ban of fertilisers, tea production was hit and tourism also took a toll. All major GDP grossers were on a downward spiral.

After the 2009 civil war, Srilanka had to face the European Union’s ire on human rights violations which resulted in withdrawal of special duty free export agreement for its exports to EU. Though the ban was lifted in 2017, it had already scarred the economy. Again last year, the EU has again withdrawn its special export agreement with Srilanka owing to its poor human rights situation. It is to be noted that the ban was lifted during the Maithripala Sirisena-Ranil Wikremesinghe administration.

Srilanka is a beautiful country with nature’s plentiful resources. A country with so much in hand is down on its knees due to policy blunders by the ruling kind. It is the duty of the people to elect their leaders wisely who can make or break their lives.

Published by bhuvaneswarir

I love news and entertainment and I like to share my views with people. This is for the English speaking Tamil natives, who can neither read nor write Tamil. Don’t think they grew up outside India, the sad truth is, people who live in Tamilnadu itself don’t know Tamil, which is not the case in other states. This is the reason I decided to write in English. so instead of ranting off about the status of Tamil, let me get into the news that was last week.

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out /  Change )

Twitter picture

You are commenting using your Twitter account. Log Out /  Change )

Facebook photo

You are commenting using your Facebook account. Log Out /  Change )

Connecting to %s

%d bloggers like this: