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Sri Lanka is on the brink of either a historic political revolution where45 years of autocratic rule will end or a catastrophic break down of law and order that could have grave consequences.
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Wednesday August 4, 2021 7:30 am Wednesday August 4, 2021 7:30 am ECONOMYNEXT – Sri Lanka’s opposition Janatha Vimukthi Peramuna has slammed the printing of over a trillion rupees to fund state expenses after a tax cut, defend interest rates in the overnight and gilt markets as well as planned sales of state land to bring in foreign investment. “The government should in fact worship the Biyagama money printing factory,” Anura Dissanayake, leader of Sri Lanka’s Marxist Janatha Vimukthi Peramuna told parliament in reference to a international security printer, Thomas de la Rue unit in an export industrial zone where currency notes are produce. “The government has printed one trillion rupees in the last 16 months. You can repay the local debts by printing money. But large chunk of our loan are foreign borrowing.”
India, which accounts for nearly 70 percent of the transshipment business in the Colombo port has raised concerns over increasing Chinese presence specially after the visits of two Chinese submarines to Colombo port in 2014. The West including the United States has raised concerns over Chinese using the ports for military purpose. China has rejected such claims and said it’s deals with Sri Lanka are purely commercial. “I think the Chinese issue has come up because of the privatization of Hambantota port.That is because the port was sold on the premise that we are unable to pay debts,” Jayasundera said.