12 May 2020 12:00 am
By Yohan Perera
The present economic crisis is not fueled by COVID-19 pandemic alone as the mismanagement of debt and large scale corruption over the years has contributed greatly towards it, former Minister Patali Champika Ranawaka said yesterday.
Former minister Ranawaka told a press conference that going in for commercial loans from 2005 and borrowing from the financial markets has played a greater role in creating the current economic crisis.
“The percentage of commercial loans from the total borrowings stood at 5 percent before 2005 but it grew up to 55 percent by end 2014” the former Minister said.
“ Also the country has lost a large amount of funds due to corruption over years. There has been curroption when it comes to highway projects, bond issues from 2005 to 2015, and from the Avant Garde projects. These should be recovered from those who are responsible” Mr Ranawaka added.
At the same time he said Sri Lanka will be affected by the global recession brought about by COVID-19.