3 June 2023 08:21 am Views - 635
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Ranjith Siyambalapitiya |
Sri Lanka will see a further improvement in the supply of goods from the global market as early as next week, with the government announcing plans to ease the currently prevailing import restrictions.
The Finance, Economic Stabilisation and National Policies Ministry yesterday announced that starting next week, the import restrictions placed on about 300 to 400 items would be lifted.
In a statement to the media, Finance State Minister Ranjith Siyambalapitiya shared that the decision to ease the restriction was taken with the aim of stimulating trade while providing improved flexibility for businesses and consumers in accessing essential goods and materials. The island nation has about 1,200 items under import restrictions.
In 2020, the government took an unpopular decision to slap a temporary import ban and imposed other restrictions to support local industries following the pandemic. The government went on to ban the importation of 485 items in 2021 and 750 items in 2022, in an effort to preserve the low reserves of foreign exchange within the country.
The move irked Sri Lanka’s trading partners such as the European Union (EU), which openly criticised the decision. In May, the island nation made a pledge to the EU that it would present a plan to lift the import restrictions by June. In March, the International Monetary Fund said it expects Sri Lanka to phase out the import and exchange restrictions currently in place. The current decision by the government is in line with the commitments made to steer away from the protectionist policies that are currently in place.