Is Sri Lanka's economy turning around?

The economy of Sri Lanka is now gradually gaining strength. When in the last September the financial crisis of the country was in the highest stage then price hike's rate was 69.8. But the country's administration has been able to become less that of price hike more than 10 times within next 10 month. It is learnt from an international news media that full price hike's rate in July of this year stood at 6.3%.

Actually from March of 2022 Sri Lanka's economy fell flat its face. The 'Reserve' of foreign currency came completely to an end. The import-function of useful goods was stopped.

The country's people, charging the government included in agitation for this critical situation. The intensity of agitation was so much high that the then President Gotabaya Rajapaksay and the Prime minister ran away from the country. President Ronil Bikkroma Singh, coming in power after long times did not walk at the fundamental changing of financial frame. But the situation has begun to be natural.

The 'International Money Fund' gave a grant of vast sum for the country in March of the current fiscal year. Now the economy of Sri Lanka, in spite of strict condition of the organization is going to progress though the people are living in hardships. The statistics department has informed that the price hike has extensively come down in July than June. The department has also informed that the decreasing of food commodities has kept the main role to come down price hike. The food- value has come down about 1.4% in the last 12 month.

The 'Reserve Fund' of Sri Lanka reached in dregs owing to financial crisis. As a result, being obliged import was decreased and that made goods- crisis in the markets. But after getting 290 dollars as the debt-backing from IMF in the last March market picture is being changed.

According to report of a news media 'The Diplomat' 12% of GDP comes from travelling sector. Once upon a time Sri Lanka was beloved by the people of South Asia. But the civil war of long days and bomb-attacks on 3 churches and 3 hotels in 2019 displeased the foreign travelers. One hundred ninety nine people including many foreigners were died in this cruel attack. After this incident travelers- coming in Sri Lanka were extensively come down. Later Corona was begun which in many respects was like to drive the last nail into the coffin. The climactic crisis of financial and political was started in 2022. But the travelling sector has brought up the important role about passing over the crisis. The coming of travelers has again been started from the last September. About two lakh travelers came in Sri Lanka in 2021. And in the last year more than 7 lakh foreign travelers travelled to this island-country. The Travelling Ministry of Sri Lanka has taken a new programme to make an attractive travelling destination.

The State Minister of Sri Lanka has said that an important incident is going to happen in the country at the year end, because they will prepare the final competition of 'World Travel Award' in December. They are also expecting about 117 countries will participate in this dignified event that will more develop the dignity of Sri Lanka as the global travelling destination.

Sri Lanka is now thinking to make a strong controlling frame for saving interest of traveler and travelling sector in which no one does bad manner with them. The amount of foreign currency in the 'Reserve Fund' is now moving upwards and the currency- rate of Sri Lanka in the international market has also gone up.

The basis view of Sri Lanka is now towards reorganization the foreign debt of 3 crore and 60 lakh dollars. But it is being minded the effect of native debt will fall so much on the people. If the native loan is reorganized then the labors' pension will come down. For this reason extensive agitation has been occurred in the country. It is understood that though people's lives are natural but the reality is that they are living in troubles.

Marathi Night, a senior economist has said that many middle-class families are living under the limit of poverty. The World Bank has informed they gave 70 crore dollars for budget-backing where 20 crore dollars have been given for poor and unprotected people.

On the other hand the Sri Lanka government has given proposal for privatization the Sri Lanka Airlines, Sri Lanka Insurance Corporation and Sri Lanka Telecom those are the nationalized organizations. In that a vast part of people will lose their jobs. The people have appeared in the roads in protest and the government is trying to restrain the movement. The analysts think the government has to take the step with sufficient reflections because Sri Lanka can again be impregnated with fire at any time.

Source: The Daily Observer