Courtesy Hiru News

The Governor of the Central Bank Dr. Nandalal Weerasinghe stated that One of the ways to overcome the current crisis situation is to allow the Central Bank to function independently.

He was speaking at a special media briefing on ‘Economic Crisis Emergency’ held last night (08).

He also stated that it does not want unnecessary political interference in any way to curb inflation.

The Governor of the Central Bank Dr. Nandalal Weerasinghe stated the following during the discussion.

“I want to make decisions without any political influence. The Central Bank hopes for the blessings of the government, the opposition and the people for the future economic progress of the country. Recovering a collapsing economy cannot be done all at once, it will have to go on like this for a while. In two weeks we will send a good message to the international market that we are coming out of this crisis…. ”

He also spoke about the International Monetary Fund and the technical assistance that Sri Lanka hopes to receive from it.

”Debt restructuring and negotiations with the International Monetary Fund will begin. Everyone now understands that procrastination and irresponsibility can no longer be the norm in this country. The only reason I accepted this responsibility is because people are suffering, not because of any political party decision. Political stability and social stability are needed to recover quickly. “

Weerasinghe said he would hold an online discussion with the IMF on the 11th, adding that the resignation of Ali Sabry’s, the finance minister, had not been accepted by the President.

The Governor of the Central Bank also expressed his views as follows.

” Any central bank must print money. But if you print large amounts there is a problem. Unnecessarily reducing taxes has exacerbated  the crisis. Raising interest rates is one of the main steps we will take. Do not expect inflation to ease tomorrow, inflation for the next three months has already been decided. Inflation could cross 25% in the next month or two. There is no need to restructure domestic debt.”

He also said that foreign exchange could not be brought in through gazettes and legislation, adding that he was requesting the expatriate Sri Lankans to send as much money as possible through the banking system.

The Governor of the Central Bank further stated that the Sri Lankan economy has now become a vehicle that is going downhill uncontrollably.

Finally, the Governor of the Central Bank made a special reminder to the people on the streets stating that people should exert pressure on politicians to help solve the country’s economic crisis. 

Meanwhile, the conversation also focused on the foreign exchange deficit and the dollar crisis.

Duminda Hulangamuwa, Vice President of the Chamber of Commerce of Sri Lanka stated that he believed that the country could be without power by June if this is not resolved now.