Colombo, Sri Lanka (25 July 2024) — A recent survey conducted by the Department of Census and Statistics has highlighted the severe impact of the ongoing economic crisis on Sri Lankan households. According to the 2023 report from the ‘Household Survey on the Impact of Economic Crisis,’ approximately 22% of households in Sri Lanka are currently in debt.
Key Findings:
- Decrease in Monthly Income: The survey reveals that the average monthly income of 60.5% of households has decreased, indicating widespread financial strain among the population.
- Impact on Youth: The crisis has significantly affected younger demographics, with 54.9% of individuals aged between 3 and 21 years reporting adverse effects. Among these, 93.5% have implemented various strategies to mitigate the impact.
- Job Losses: Since March 2022, 14.2% of individuals over the age of 15 have experienced job losses due to the economic downturn. The data shows that males are disproportionately affected compared to females.
- Increased Expenditure: The average monthly expenditure has risen for 91% of households. Additionally, 7% of the population has altered their health treatment methods in response to financial pressures.
- Health Treatment Adjustments: Among those who changed their health treatment methods, a substantial 81.7% cited a lack of funds as the primary reason.
Additional Observations:
The survey underscores the pervasive impact of the economic crisis on various aspects of life in Sri Lanka. With many households struggling with increased debt and rising expenditures, and significant job losses reported, the economic challenges have led to notable shifts in personal and family financial management, including changes in health care approaches due to budget constraints.
The findings call for urgent attention and intervention to address the financial instability affecting a substantial portion of the population and to provide support to those struggling with the economic hardships exacerbated by the crisis.
