Sri Lanka Crisis: The Indian government on Sunday announced a bail-out package for Sri Lanka, which is embroiled in its biggest financial crisis in over half a century.
“The Sri Lankan crisis is a serious matter. It is something which has been built over a period of time. PM Modi has a policy called ‘Neighbourhood First.’ We try and support our neighbours in a way which meets their requirements,” External Affailrs Minister Dr S. Jaishankar told the media on Friday.
“We’d given Sri Lanka a line of credit, which has kept essential commodities flowing to them for the past several months. We’ve also provided them a line of credit for the purchase of fuel. This year alone, we have pledged $3.8 billion in support to Sri Lanka,” he added.
Reiterating India’s commitment to helping Sri Lanka in its hour of need, Jaishankar pointed out that poor financial policies have led the island nation to the current situation.
“There is a bigger issue about how you manage your finances… about how you have a prudent fiscal policy. There are issues pertaining to the management of the economy. Our focus is on helping them,” Jaishankar said.
Sri Lanka Crisis
Sri Lanka, once called the ‘Emerald Island’, is struggling with poverty these days. In the last few months, the situation here has been getting worse. The country is suffering its worst economic crisis since independence.
The people of Sri Lanka, troubled by inflation, are on the streets and have stormed the president’s palance and set the PM’s residence on fire.
There are reports of the President fleeing the country and the Prime Minister’s house burning. Sri Lankan PM Ranil Wickremesinghe has resigned. President Gotabaya Rajapaksa will resign on July 13.
Meanwhile, Ranil Wickremesinghe has offered to form an all-party government. In view of the continuous violent protests in the country, an emergency meeting of party leaders has been called.