By Marlon Dale Ferreira
Colombo, September 24 — In a stark warning, Senior Professor Wasantha Athukorala from the Department of Economics and Statistics at the University of Peradeniya revealed that Sri Lankans are accruing debt at an alarming rate of Rs 6.5 billion every day due to government borrowing over the past 26 months. This growing debt crisis poses a severe threat to the nation’s economic stability.
Professor Athukorala highlighted that this translates to an overwhelming Rs 196 billion per month, which places an unsustainable financial burden on the populace. He stated, “Sri Lanka is currently facing a severe crisis related to this kind of debt, which requires immediate attention and action from the government.”
Adding to the gravity of the situation, he noted that inflation has skyrocketed since 2021, with the prices of goods and services increasing by 106%. More alarmingly, the costs of food and essential services have surged by a staggering 138%.
“The newly elected president must fully grasp the severity of these conditions and implement a series of economic reforms in the very near future,” Athukorala urged. “It is crucial for the government to establish a supportive environment that enables the public to overcome these financial challenges.”
The professor’s comments reflect widespread concerns among economists and citizens alike regarding the nation’s economic management and the need for decisive reforms to alleviate the burden of debt on ordinary Sri Lankans. With the economic landscape continuing to shift, the call for action grows louder as the country navigates these challenging times.
