On Tuesday, Sri Lanka declared a state emergency as private banks were left with no second option and had to run to foreign exchange for finance imports.
Sri Lanka President Gotabaya Rajapaksa ordered emergency regulations to counter the hoarding of sugar, rice and other essential foods due to hard hitten crises which the country has come across where Commissioner General of Essential Services is coordinating with the supply of paddy, rice, sugar and other consumer goods as his name was recommended by the President as the top army officer.
With this, there has been a long queue for the mild powder, kerosene oil, cooking gas due to the shortage of the respective items.
Therefore the government has announced penalties from people who will become part of food hoarding as the crisis in the country is at its peak and an amid rising of covid-19 cases which are taking away 200 lives a day.
The terrible pandemic brought deadly virus and along with it, it sharks the world’s economy. Likewise in 2020, Sri Lanka’s economy got shrunk 3.6 per cent where the government had to ban the import of vehicles and other items that includes edible oils, turmeric and many more.
The Central Bank of Sri Lanka has increased the interest rates to support the local currency. Sri Lanka’s foreign reserves fell from $7.5 billion in November 2019 to $2.8 billion at the end of July.
Udaya Gammanpila, the energy minister has appealed to private vehicles to users to use the fuel meagerly so that the country can access its foreign exchange to buy essential medicines and vaccines.