{"id":83569,"date":"2022-01-08T04:59:45","date_gmt":"2022-01-08T04:59:45","guid":{"rendered":"https:\/\/websitedesigns.com.au\/elankanew\/?p=83569"},"modified":"2022-01-08T04:59:45","modified_gmt":"2022-01-08T04:59:45","slug":"sri-lanka-gives-1-billion-relief-as-anger-grows-over-food-costs-2","status":"publish","type":"post","link":"https:\/\/websitedesigns.com.au\/elankanew\/sri-lanka-gives-1-billion-relief-as-anger-grows-over-food-costs-2\/","title":{"rendered":"Sri Lanka gives $1 billion relief as anger grows over food costs"},"content":{"rendered":"

Sri Lanka gives $1 billion relief as anger grows over food costs<\/span><\/h1>\n
\"Sri
Sri Lankans wait in queue for a refill of their cooking gas cylinders during a supply shortage in Colombo.<\/figcaption><\/figure>\n

Source:<\/span>timesofindia.indiatimes.com<\/a><\/strong><\/span><\/p>\n

COLOMBO:\u00a0Sri Lanka<\/a>\u00a0unveiled a $1 billion relief package as President\u00a0Gotabaya Rajapaksa<\/a>\u2019s government seeks to temper growing public anger over the surging prices of essential food and medical items in a country that\u2019s running out of foreign exchange to pay for imports.<\/span>
\nThe government will raise civil servants salaries and pensions, remove some taxes on food and medicine and provide cash for its poorest citizens, a move critics say won\u2019t help Sri Lanka\u2019s state of finances and soaring inflation.<\/span>
\nThe package accounts for 1.2% of gross domestic product, and will be re-allocated from the 3.9 trillion rupees budgeted to be spent in the whole of 2022, Rajapaksa\u2019s brother and finance minister Basil Rajapaksa told a briefing in Colombo late Monday. There are no plans for new taxes, he added.<\/span>
\nThe relief covers about 2 million people who are on income support and is a clear signal the government is seeking to prevent a backlash over the the rising prices of wheat, sugar and milk power. Sri Lanka is struggling to purchase these key staples from abroad due to worsening foreign exchange shortages.<\/span>
\nThe escalating food prices also stem from domestic crop losses that have emerged after a government directive to stop chemical fertilizer use. The administration has included a plan to buy crops at higher-than-market rates from farmers who have been protesting for much of last year.<\/span>
\nSri Lanka\u2019s main opposition slammed the relief package, saying it doesn\u2019t address the issue of external liquidity and domestic inflation, which accelerated to 12.1% in December, the second-fastest pace in Asia after Pakistan.<\/span>
\n\u201cThey are not addressing either of the problems. If they accommodate these wage increases by printing money inflation may go up further,\u201d said Harsha de Silva, a lawmaker from the Samagi Jana Balawegara and former minister of economic reforms.<\/span>
\nEmergency support<\/span>
\nSri Lanka\u2019s financial problems emerged with the start of the pandemic that has largely shuttered the tourism sector, a key source of foreign exchange earnings. In recent weeks, this has stoked debate among policymakers about whether it should seek a bailout from the\u00a0International Monetary Fund<\/a>\u00a0or rely on bilateral emergency support from nations including China and India.<\/span>
\nThe country has $500 million of dollar bonds maturing January 18 and another $1 billion in July. It has $3.1 billion of foreign exchange reserves, roughly enough to pay for two months of imports, based on extrapolations from previous government calculations.<\/span>
\nBasil Rajapaksa said at Monday briefing that the government hasn\u2019t made a decision on going to the IMF for support. In the past few weeks, Sri Lanka has held discussions with India for $1.9 billion in economic aid and used a $1.5 billion currency swap facility from China to build up its reserves.<\/span>
\nSri Lanka\u2019s sovereign dollar bonds were mostly steady to higher on Tuesday. Notes due March 2020 were trading at 51.1 cents on the dollar, while those maturing in July 2022 were at 70.5 cents.<\/span><\/p>\n","protected":false},"excerpt":{"rendered":"

Sri Lanka gives $1 billion relief as anger grows over food costs Source:timesofindia.indiatimes.com COLOMBO:\u00a0Sri Lanka\u00a0unveiled a $1 billion relief package as President\u00a0Gotabaya Rajapaksa\u2019s government seeks to temper growing public anger over the surging prices of essential food and medical items in a country that\u2019s running out of foreign exchange to pay for imports. The government […]<\/p>\n","protected":false},"author":3,"featured_media":83570,"comment_status":"closed","ping_status":"open","sticky":false,"template":"","format":"aside","meta":{"footnotes":""},"categories":[20],"tags":[29759,2086,7465,627],"class_list":{"0":"post-83569","1":"post","2":"type-post","3":"status-publish","4":"format-aside","5":"has-post-thumbnail","7":"category-articles","8":"tag-basil-rajapaksa","9":"tag-colombo","10":"tag-gotabaya-rajapaksa","11":"tag-international-monetary-fund","12":"post_format-post-format-aside"},"yoast_head":"\nSri Lanka gives $1 billion relief as anger grows over food costs - eLanka<\/title>\n<meta name=\"description\" content=\"COLOMBO: Sri Lanka unveiled a $1 billion relief package as President Gotabaya Rajapaksa\u2019s government seeks to temper growing public anger over the surging prices of essential food and medical\" \/>\n<meta name=\"robots\" content=\"noindex, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"Sri Lanka gives $1 billion relief as anger grows over food costs\" \/>\n<meta property=\"og:description\" content=\"COLOMBO: Sri Lanka unveiled a $1 billion relief package as President Gotabaya Rajapaksa\u2019s government seeks to temper growing public anger over the surging prices of essential food and medical\" \/>\n<meta property=\"og:url\" content=\"https:\/\/websitedesigns.com.au\/elankanew\/sri-lanka-gives-1-billion-relief-as-anger-grows-over-food-costs-2\/\" \/>\n<meta property=\"og:site_name\" content=\"eLanka\" \/>\n<meta property=\"article:publisher\" content=\"https:\/\/www.facebook.com\/eLanka.com.au\/\" \/>\n<meta property=\"article:published_time\" content=\"2022-01-08T04:59:45+00:00\" \/>\n<meta property=\"og:image\" content=\"https:\/\/websitedesigns.com.au\/elankanew\/wp-content\/uploads\/2022\/01\/Sri-Lanka-gives-1-billion-relief-as-anger-grows-over-food-costs.jpg\" \/>\n\t<meta property=\"og:image:width\" content=\"400\" \/>\n\t<meta property=\"og:image:height\" content=\"260\" \/>\n\t<meta property=\"og:image:type\" content=\"image\/jpeg\" \/>\n<meta name=\"author\" content=\"eLanka admin\" \/>\n<meta name=\"twitter:card\" content=\"summary_large_image\" \/>\n<meta name=\"twitter:label1\" content=\"Written by\" \/>\n\t<meta name=\"twitter:data1\" content=\"eLanka admin\" \/>\n\t<meta name=\"twitter:label2\" content=\"Est. reading time\" \/>\n\t<meta name=\"twitter:data2\" content=\"3 minutes\" \/>\n<script type=\"application\/ld+json\" class=\"yoast-schema-graph\">{\"@context\":\"https:\/\/schema.org\",\"@graph\":[{\"@type\":\"Article\",\"@id\":\"https:\/\/websitedesigns.com.au\/elankanew\/sri-lanka-gives-1-billion-relief-as-anger-grows-over-food-costs-2\/#article\",\"isPartOf\":{\"@id\":\"https:\/\/websitedesigns.com.au\/elankanew\/sri-lanka-gives-1-billion-relief-as-anger-grows-over-food-costs-2\/\"},\"author\":{\"name\":\"eLanka admin\",\"@id\":\"https:\/\/websitedesigns.com.au\/elankanew\/#\/schema\/person\/f6e635b74ab35ef88a68a9973cacc5bd\"},\"headline\":\"Sri Lanka gives $1 billion relief as anger grows over food costs\",\"datePublished\":\"2022-01-08T04:59:45+00:00\",\"mainEntityOfPage\":{\"@id\":\"https:\/\/websitedesigns.com.au\/elankanew\/sri-lanka-gives-1-billion-relief-as-anger-grows-over-food-costs-2\/\"},\"wordCount\":534,\"publisher\":{\"@id\":\"https:\/\/websitedesigns.com.au\/elankanew\/#organization\"},\"image\":{\"@id\":\"https:\/\/websitedesigns.com.au\/elankanew\/sri-lanka-gives-1-billion-relief-as-anger-grows-over-food-costs-2\/#primaryimage\"},\"thumbnailUrl\":\"https:\/\/websitedesigns.com.au\/elankanew\/wp-content\/uploads\/2022\/01\/Sri-Lanka-gives-1-billion-relief-as-anger-grows-over-food-costs.jpg\",\"keywords\":[\"Basil Rajapaksa\",\"Colombo\",\"Gotabaya Rajapaksa\",\"International Monetary Fund\"],\"articleSection\":[\"Articles\"],\"inLanguage\":\"en-US\"},{\"@type\":\"WebPage\",\"@id\":\"https:\/\/websitedesigns.com.au\/elankanew\/sri-lanka-gives-1-billion-relief-as-anger-grows-over-food-costs-2\/\",\"url\":\"https:\/\/websitedesigns.com.au\/elankanew\/sri-lanka-gives-1-billion-relief-as-anger-grows-over-food-costs-2\/\",\"name\":\"Sri Lanka gives $1 billion relief as anger grows over food costs - 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