Is Sri Lanka going bankrupt?; let us hope not! But the worry is that the budget deficit 4.7 per cent of GDP up to June, debt has grown faster. Budget deficit for the six months to June 2021 was 781 billion rupees, up 6 percent from a year earlier, or 4.7 percent of projected gross domestic product, data shows, though outstanding debt was accelerating at a faster pace, partly due to monetary instability.
Unfortunately, the corona pandamic has not helped either, for the deficit was broadly in line with 2020 gap of 4.9 percent of GDP in 2020. While the authorities are struggling to cope with the situation, the least civilians can do is to follow the guidelines set by health authorities to get corona pandamic under control and allow the Central Bank to do its job to improve the unstable monetary climate of the nation.
However it is certainly not going to be easy, particularly if politicians of all communities continue with their selfish outlook. Sooner they change their mind set the better for them and the nation. Every Sri Lankan must think out of the box to get the country back to prosperity!
Northern Breeze 