People wait in line to buy kerosene in the capital Colombo – Sri Lanka on April 7. Photo: Reuters
Funds of Sri Lanka currently not enough to pay the debt and will only give priority to importing essential items such as food, medicine, gasoline and gas.
Long lines of Sri Lankans waited in line to buy essentials. Economic Crisis The worst since 1948 is spreading to all aspects of people’s lives, from energy to food to health.
“There is no gas, no gasoline, no diesel, no baby formula and a shortage of medicine. People have to queue everywhere they go,” said Ms. Kokila, a Sri Lankan resident.
Inflation and a weakening local currency have caused commodity prices to skyrocket. Inflation in Sri Lanka increased to an all-time high of 17.5% in March. Rice prices have increased more than 6 times, from Rs 80 to Rs 500/kg. Vegetable prices also doubled.
Mr. Sujith Kumarasinghe – a shop owner said: “When prices go up, sales go down because people can’t afford to buy them. Food and fuel prices go up, but people’s wages don’t increase.”
The storm surged in commodity prices like a blow to the Sri Lankan economy. It also exacerbates financial problems that have existed for many years in the country. It’s a double deficit when spending on debt exceeds income while manufacturing and services go unsold, according to the Asian Development Bank.
In the current context, the Government is struggling to adjust policies, implement emergency measures, and seek support from countries and international organizations. According to Sri Lankan officials, a comprehensive debt restructuring program is “inevitable”.
at Blogtuan.info – Source: vtv.vn – Read the original article here