Sri Lankan President Seeks, government unity to deal crises

On Monday Sri Lankan President Gotabaya Rajapaksa called for unity government to deal with economics’ crises of country after cabinet ministers and the central bank governor offered to resignation.

The country is facing struggle to pay debt for import of fuel and other things because of foreign exchange crises which leads to the

The debt-laden country is struggling to pay for imports of fuel and other goods due to a foreign exchange crisis, which leads to hours-long power cuts and shortage of essentials. Voluntary street protests continued over the weekend despite a curfew.

The President’s media office said in their statement that “Considering this a national need, the time has come to work together for the sake of all the citizens and future generations,” and the president invites all political parties representing in the parliament to come together to accept ministerial portfolios in order to find solutions to this national crisis.”

Whereas Central Bank of Sri Lanka Governor Ajith Nivard Cabraal told that he had also offered to quit.

In his twitter handling he said “In the context of all cabinet ministers resigning, I have today submitted my resignation as Governor.”

Briefly The Colombo Stock Exchange’s All Share turned positive following the flurry of declaration, before turning red again. Market is now down about a third this year, and on Monday the bourse suspended trading twice morning due to sharp falls in the benchmark share price index.

On Friday the developments arrived after President, whose elder brother is the prime minister and younger brother the finance minister, announced the state of emergency, following protests over the economic hardship faced by the people of the country.

On Monday traffic was back on the streets of the Colombo, but there were reports of sporadic and peaceful protests from across the country.

The nation of 22 million, off India’s southern tip, is also struggling with taking off inflation after the government steeply devalued its currency last month ahead of talks with the International Monetary Fund for a loan program.

The country’s disbursement has exceeded its income under successive governments while its production of tradable goods and services has been inadequate. The both storage was badly exposed by the COVID-19 pandemic that crippled its economic mainstay, the tourism industry.

Paikiasothy Saravanamuttu, executive director of the Centre for Policy Alternatives think-tank said that, “If this interim government is put in place and it is with people who have some credibility, then we can instil some confidence both in the people and in the markets but there would be some dissatisfaction with the president holding on to his position.”

Further he said “The demands on the street were that Gotabaya Rajapaksa should go. He was the target,”