Devastating economic crisis and the interim budget - EDITORIAL

Yesterday President Ranil Wickremesinghe submitted his government’s interim budget to parliament. It comes at a time of desperation among the populace.  
The United Nations (UN) points out more than a quarter of our population of 22 million is struggling to secure at least a single nutritious meal per day. Just yesterday, the media reported the Bakers’ Association claimed the price of a loaf of bread could rise to Rs. 300 per loaf!
The spokesperson for UNICEF Sri Lanka a few days ago, emphasized that Sri Lanka’s economic crisis is a children’s crisis, with children in the country having to bear the brunt of the problem. 

Sri Lanka has one of the highest rates of child malnutrition in South Asia and the economic crisis has exacerbated the child malnutrition crisis. According to the UNICEF, 7 out of 10 families are cutting down their food intake to mitigate the crisis. Some families have been forced to have no more than one meal a day.
In his interim budget, the President promised to continue and increase the safety net to the poorer sections via continuation of the Samurdhi Scheme and other charity allowances.

School-going children are among the worst affected by the ongoing economic crisis. Many of them find it difficult to attend school due to the steep rise in school transport. The President hopes to change this via the introduction of electric vehicles. After the rise in electricity tariffs, we hope the costs work out.
Whether the mere continuation of the dole - Samurdhi scheme - and introduction of electric vehicles will help is debatable. If many children are unable to attend school due to increases in the cost of transport, the high literacy rate which Sri Lanka was famous for, may soon be a thing of the past. 

The million dollar question we are faced with is... are we going to condemn the next generation of our children to becoming drawers of water and hewers of wood? We are also witnessing a flight of many young educated people leaving the country. With the country in such a bad economic condition, we can scarcely blame them for wanting to leave.

The President’s offer to offer public servants five-year unpaid leave to work abroad validates our young peoples’ flight from the country.
According to the Sri Lanka Bureau of Foreign Employment in the month of June alone, 27,937 left the shores of this country in search of employment abroad. Between January and July this year 156,179 persons have gone abroad in search of employment. 

Faced with a foreign currency shortage government has slapped a ban on over 400 items it considers as non-essential imported goods. At first glance it may appear a necessary move, but in a situation where government is trying to attract foreign tourists to the country, is it feasible? 
The tourist industry is Sri Lanka’s biggest foreign currency earner. This country’s efforts to woo tourists to visit the country is going to hit a stumbling block, if tourists are not provided with what they (tourists) consider basics, or are priced out of the market. 

There are over 500,000 persons who are directly and indirectly involved in the tourism trade. They too are in danger of losing their source of income if the tourism industry collapses on the rock
of import bans.
In laying out his interim budget, the president stressed his government would lay emphasis on strengthening the sector. It is to be hoped the present problems created by the ban on imports, fuel and food shortages will be re-looked at by the state.

The medical fraternity too, has pointed out that the near blanket ban on imported items will adversely affect medical supplies and equipment needed by the health care sector.
Sadly, the president seems to have missed mentioning any measures his government will be taking to help the health sector which is straining at the seams due to high costs and now an import ban.

The President also spoke of his intention to make LP gas freely available. Unfortunately today, the price of LP gas is way beyond the reach of ordinary citizens who have now been forced to use firewood for domestic cooking. 
President Wickremesinghe however emphasized the restructuring of loss-making state ventures, a long-standing need. The move will cut losses the banking industry suffers.
We hope the Head of State will stand up to those opposing move and implement this
much-needed reform.