Sri Lanka’s debt default: What accelerated it and what lies ahead?

On April 12, 2022, Sri Lanka declared that it would suspend all external debt payments with immediate effect. Incidentally, Sri Lanka joined the dubious club of global defaulters.

Catalysing decarbonisation in Sri Lanka

We often ask the question as to why Sri Lanka should decarbonise when our carbon emissions are relatively low. This is true as the country’s share of global carbon emissions is only 0.06 percent and has been plateauing at the same rate for the last five years since 2015.

Many job losses in construction sector imminent with worsening economic crisis

The Chamber of Industry of Sri Lanka (CCI), which is the apex representative body of all who are engaged in construction sector, predicts that with the present economic crisis and due to several factors causing a debilitating impact, over 100,000 jobs will be lost within next 3 months, unless immediate remedial action is taken.

SL’s reluctance to tap IMF helped push it into an economic abyss

Sri Lanka’s worst economic crisis has triggered an unprecedented wave of spontaneous protests as the island nation of 22 million people struggles with prolonged power cuts and a shortage of essentials, including fuel and medicines.

Sri Lanka’s economy is entering a dangerous tailspin

Sri Lanka has just entered the deepest economic crisis in its history. Shortages and rising prices that people face today are only the first inkling of what lies ahead. Unless decisive action is taken, it can go into a destructive tailspin.

Sri Lanka faces unsustainable debt and BoP challenges

Sri Lanka’s economic outlook is highly uncertain due to the fiscal and external imbalances. Urgent policy measures are needed to address the high levels of debt and debt service, reduce the fiscal deficit, restore external stability, and mitigate the adverse impacts on the poor and vulnerable, says the World Bank in its twice-a-year regional update.

Tackling current economic crisis: What Sri Lanka should do

Today we need urgently the Government Economic Plan prepared by knowledgeable and experienced professionals to restructure the economy and obtain assistance from the International Monetary Fund and other International Funding Agencies to overcome the Financial and Debt Crises. The costly delays and economic mismanagement has resulted in the present state of affairs with Sri Lanka deciding to default on its external debt.

Sri Lanka’s political turmoil risks derailing the economy further

Sri Lanka is facing unprecedented political turmoil, and with the economy in a tailspin it is in its weakest state in decades. The country is staring down the barrel of a sovereign debt default and is exposed to external shocks.

Is future of emerging markets private equity?

Fast deteriorating risk profiles of Emerging Markets and Developing Economies (EMDE) are expected to slow down investment into these countries. Rising economic distress coupled with de-globalization momentum are triggering major business and economic reset in EMDE.

Is Sri Lankan economy nearing a tipping point?

The term tipping point has either a positive or a negative connotation depending on the context. It signifies the threshold, the boiling point, or the point of no return.

Independent economists present an emergency plan to address economic crisis

Sri Lanka’s usable reserves have dropped to levels of about US $ 150 million. Acute shortages of essentials ranging from fuel to medicine have become prevalent.

Traffic Light Labels: Do they promote healthier food choices in Sri Lanka?

In line with globally recommended practices to reduce the dietary risk of non-communicable diseases (NCDs), the Sri Lankan government implemented a traffic-light labelling (TLL) system for sugar-sweetened beverages (SSB) in August 2016.

Ceylon Chamber provides recommendations to address energy crisis

The Ceylon Chamber of Commerce through its Energy Sector Committee has been studying the on-going energy crisis in the country.

Solar power in proper perspective for laymen

The current power crisis is the ‘talk of the town’. And quite legitimately so, as it affects all walks of our economic, financial and social life across all segments of society, threatening the very basic of our needs.

Getting into driver’s seat: Apparel (and other) SMEs can show the way to a brighter future

In planning for the future, the past is just prologue. For modern Sri Lankan small and medium enterprises (SMEs), the prologue is dominated by massive twin global headwinds of a post-pandemic future and a war brewing in Europe.

Currency board: A solution to Sri Lanka’s economic crisis?

On March 8, Sri Lanka devalued the rupee against the US dollar, entering into a floating exchange rate regime. The Central Bank of Sri Lanka had to abandon the pegged exchange rate, as defending the rupee with dwindling reserves was impossible.

Past errors that need corrections

These days we are enjoying the benefits of bilateral credit extended to us by our neighbouring countries such as Bangladesh, India and China.

Food security in BIMSTEC region: Lessons from Sri Lanka’s smart farming

Sri Lanka is hosting the fifth Bay of Bengal Initiative for Multi-Sectoral Technical and Economic Cooperation (BIMSTEC) summit today.

Impact of COVID-19 on illicit tobacco market

As part of ongoing research into the economic impact of illicit markets, the Research Intelligence Unit (RIU) shared some of the key findings from its latest report that covers the economic impact of untaxed tobacco consumption in Sri Lanka.

Sri Lanka Tourism, once again on its knees?

We in the tourism industry are no strangers to falling on our knees. We are quite used to it. SARS, Bird Flu, airport bombings,

From crisis to inclusive economic growth in Sri Lanka

Sri Lanka has managed the health and safety aspects of the COVID-19 pandemic in a commendable way.

SEC Act – Practical implications for the market

This article attempts to draw out the practical implications of the law on the capital markets industry rather than delve into an analysis of the legal provisions.

Ball is in private sector’s court: We could make it or break it

Two major events happened during the past few days in regard to possible changes in the country’s macroeconomic fundamentals in the near future.

SL tourism on reverse gear with proposed new act

There’s mounting opposition from the entire tourist industry against the government’s plan to change the existing Tourism Act, as seen in the media. Having been a member of the team that helped draft the current act around 15 years ago, I felt that I should also lend my voice to the ‘chorus of objections’.

Debt restructuring and bridge financing for humanitarian purposes

We view that Sri Lanka is at a critical juncture whether it can remain as a potentially growing country with the trust of international community, or otherwise.

Current exchange rate policy – Who is the winner?

No gas, no diesel, no electricity, no milk-powder, no vehicles, no spare parts, no raw materials and the list goes on and on. Everywhere you see people on the road screaming and cursing the government to resolve these issues. The reason being no dollars.

Increasing women’s political participation in Sri Lanka

Democracy, by its very definition, calls for the representation of all citizens. Hence, women in politics are essential for representative governance.

GIs for Sri Lankan products: The need to expand local registration

Sri Lanka obtained its first-ever Geographical Indication (GI) certification on 02 February 2022 for ‘Ceylon Cinnamon’ from the European Union due to untiring efforts during the last nine years.

Sri Lanka’s future is decidedly female: banking on empowered women for economic rejuvenation

One of the most famous women in history once said: “Within crisis, are the seeds of opportunity”. The source of such a powerful truism? Marilyn Monroe, a woman who clearly possessed great wisdom, but is unfortunately remembered for her physical beauty than her intellectual and emotional strength.

Non-fungible tokens: Fool’s gold or a glimpse of the future?

Early January of 2022 is marked by anticipation of things to come. Global economies are gearing up to put the pandemic behind them and face the uncertainties of a world whose normalcy has been altered beyond recognition.