July 29, 2022
2 mins read

World Bank has no plan for new financing to crisis-hit Lanka

Regarding the ongoing crisis, the World Bank Group said it is deeply concerned about the dire economic situation and its impact on the people of Sri Lanka…reports Asian Lite News

The World Bank has no plan to offer new financing to Sri Lanka until an adequate macroeconomic policy framework is in place in the island country, which is facing its worst crisis.

The international financial institution in a statement said deep structural reforms are needed.

 Reforms must focus on economic stabilization, and also on addressing the root structural causes that created this crisis to ensure that Sri Lanka’s future recovery and development is resilient and inclusive.

Regarding the ongoing crisis, the World Bank Group said it is deeply concerned about the dire economic situation and its impact on the people of Sri Lanka.

“To help alleviate severe shortages of essential items such as medicines, cooking gas, fertilizer, meals for school children, and cash transfers for poor and vulnerable households, we are repurposing resources under existing loans in our portfolio. To date, about USD 160 million of these funds have been disbursed to meet urgent needs,” the statement said.

In addition, other ongoing projects continue to support basic services, the delivery of medicine and medical supplies, school meals and tuition waivers.

“We are working closely with implementing agencies to establish robust controls and fiduciary oversight to ensure these resources reach the poorest and most vulnerable. We will continue to monitor this closely,” it added.

We are also coordinating closely with other development partners to maximize the impact of our support for the people of Sri Lanka.

For the record, Sri Lanka has experienced an escalating economic crisis and the government has defaulted on its foreign loans. The United Nations warned that 5.7 million people “require immediate humanitarian assistance.”

With many Sri Lankans experiencing extreme shortages of essentials including food and fuel, peaceful protests began in March. The protests led then-Prime Minister Mahinda Rajapaksa to resign on May 9, and his brother, President Gotabaya Rajapaksa, to flee the country on July 13 and resign the following day.

Ranil Wickremesinghe became acting President and parliament elected him as the new president on July 20 with the support of the Rajapaksas’ political party, the Sri Lanka Podujana Peramuna. (ANI)

ALSO READ: Sri Lanka extends state of emergency for a month

Previous Story

Chinese court jails poet who called on Xi to step down

Next Story

SL Prez, US envoy discuss economic crisis

Latest from -Top News

Is Bangladesh cosying up to Beijing and Islamabad?

The Kunming gathering appears to mark the beginning of a dangerous geopolitical maneuver. Behind the diplomatic curtain, efforts to forge a strategic bloc seem to be underway—one that not only threatens regional

UAE rolls out red carpet for Indian start-ups

MoU signed with IIT Bombay’s SINE as CEPA Start-up Series aims to accelerate market access for Indian ventures In a bid to bolster cross-border entrepreneurship and innovation, the UAE-India CEPA Council (UICC),

Fuel switch mystery in Air India horror crash

Cockpit voice recordings, fuel switch anomalies and a possible overlooked advisory emerge in early findings The preliminary investigation into the crash of Air India flight AI171, which went down shortly after take-off

‘Kill and Dump’ Haunts Balochistan Again

The latest killings have reignited accusations of extrajudicial executions and the use of counterterrorism laws to cover up custodial deaths in Balochistan….reports Asian Lite News Concerns have deepened across Balochistan following the

‘ASEAN Expands, But Keeps Its Soul’

Malaysian Foreign Minister Mohamad Hasan urged ASEAN to uphold its unity and strategic resolve amid intensifying geopolitical tensions and mounting external pressures…reports Asian Lite News Consensus and inclusivity will remain the cornerstones
Go toTop

Don't Miss

Global Covid caseload tops 517 mn

The global coronavirus caseload has topped 517 million, while the

Global Covid caseload tops 270 mn

The global coronavirus caseload has topped 270 million, while the