'Only option is IMF support, otherwise we can't recover': Sri Lankan President on economic crisis

Pic Credit: File Photo

Colombo: As Sri Lanka continues to face an overwhelming economic crisis, President Ranil Wickremesinghe believes that the only way to emerge from it is to seek support from the International Monetary Fund (IMF). "We are well aware that the economy of the country has collapsed," said Wickremesinghe in a meeting with trade union representatives at the President's Office. "So I know the difficulties faced by the country. We witnessed a drop in the number of employments. Inflation has especially increased the cost of living. Hence people's lifestyle is changing."

The President highlighted that the facilities that Sri Lankans enjoyed earlier are diminishing due to the dire economic situation in the country which has affected every field including education and health.

'Useless to talk about root causes'

He said, "These are the repercussions of this economic collapse. It is useless to talk of the root causes for these issues as they have already happened. The only option we have now is to seek the support of the International Monetary Fund (IMF). Otherwise, we cannot recover."

'Currently carrying out a debt restructuring program'

Wickremesinghe also stated that he is attempting to reinvigorate the country's collapsed economy with the help of a debt restructuring program. "We are currently carrying out a debt restructuring program," he said. "We have already completed the negotiations with Japan, which is one of the three main countries, Japan, China, and India from whom we have obtained loans."

The President also noted that the economic growth in Europe and America is now slowing down. "Under such a situation, our export market may drop by next year and we have to develop our tourism industry," he added.

Wickremesinghe is confident that the country's economy is expected to improve after the first quarter of this year and said that he is confident in achieving better economic progress in 2024. He pointed out that not only the public sector but the private sector should also be strengthened to provide relief to the people while continuing with the country's development programs. "I am aware of the hardships the people are going through today and I would somehow provide relief to the public," he added.

(With ANI inputs)