Sri Lanka in crisis after president flees
Here’s what life is like in Sri Lanka in the midst of its economic crisis
From CNN’s Heather Chen
Sri Lanka, an island nation of 22 million, is suffering from its worst financial crisis since it gained independence in 1948.
Crippling inflation is sending the cost of basic goods skyrocketing. Its foreign exchange reserves plummeted to record lows, with dollars running out to pay for essential imports including food, medicine and fuel.
Government ministers were resigning en masse and Sri Lankans are out on the streets to protest as the crisis has turned their daily lives into an endless cycle of waiting in lines for basic goods, many of which are being rationed.
Despite earlier efforts by the government to ease the crisis, like the introduction of a four-day work week, then-Prime Minister Wickremesinghe declared the country “bankrupt” last Tuesday.
In several major cities including the capital, Colombo, desperate residents continue to queue for food and medicine, with reports of civilians clashing with police and the military as they wait in line.
In early July, Energy Minister Kanchana Wijesekera said the country had less than a day’s worth of fuel left.
Trains have reduced in frequency, forcing travelers to squeeze into compartments and even sit precariously on top of them as they commute to work.
Patients are unable to travel to hospitals due to the fuel shortage and food prices are soaring. Rice, a staple in the South Asian nation, has disappeared from shelves in many shops and supermarkets.
How we got here: The crisis has been years in the making, said experts, who point to a series of government decisions that compounded external shocks.
Over the past decade, the Sri Lankan government has borrowed vast sums of money from foreign lenders to fund public services, said Murtaza Jafferjee, chair of Colombo-based think tank Advocata Institute.
This borrowing spree has coincided with a series of hammer blows to the Sri Lankan economy, from both natural disasters — such as heavy monsoons — to man-made catastrophes, including a government ban on chemical fertilizers that decimated farmers’ harvests.
Facing a massive deficit, President Gotabaya Rajapaksa slashed taxes in a doomed attempt to stimulate the economy.
But the move backfired, instead hitting government revenue. That prompted rating agencies to downgrade Sri Lanka to near default levels, meaning the country lost access to overseas markets.
Sri Lanka then had to fall back on its foreign exchange reserves to pay off government debt, shrinking its reserves. This impacted imports of fuel and other essentials, which sent prices soaring.
Topping all that, the government in March floated the Sri Lankan rupee — meaning its price was determined based on the demand and supply of foreign exchange markets.
However, the plunging of the rupee against the US dollar only made things worse for ordinary Sri Lankans.
Public frustration and anger erupted on March 31, when demonstrators hurled bricks and started fires outside the President’s private residence. On Saturday, protests boiled over as people stormed the residence, calling for his resignation. In the latest developments, President Rajapaksa fled to Maldives and Prime Minister Wickremesinghe was appointed as acting president. Currently, Sri Lankans are still protesting on the streets and there is a lot of uncertainty over who is in charge and what the outcome of this turmoil will be.
UN Human Rights office calls for peace in Sri Lanka
From CNN’s Martin Goillandeau
The United Nations Human Rights office called on all sides of the political crisis in Sri Lanka “to refrain from violence” to ensure a “peaceful political transition” in a tweet on Wednesday.
“Leaders must call for respect of life+property. Security forces incl military must respect human rights & exercise restraint,” the tweet read.
Crowds of protesters gather outside Sri Lankan parliament speaker’s office
From Rukshana Rizwie in Colombo
Crowds of protesters in Colombo have now amassed outside the Sri Lankan parliament speaker’s office, video from the scene shows.
Parliament Speaker Mahinda Yapa Abeywardena said during a televised briefing earlier Wednesday that President Gotabaya Rajapaksa had confirmed his resignation to him via a phone call, but that he was still waiting on the formal letter.
As per Sri Lanka’s constitution, Rajapaksa’s resignation is only considered official once the Speaker of the Parliament receives a letter of resignation.
Rajapaksa fled to the Maldives with first lady Ioma Rajapaksa earlier Wednesday.
Sri Lanka’s parliament speaker says president confirmed resignation but official letter is still needed
From CNN’s Rukshana Rizwie in Colombo
Sri Lanka’s speaker of the parliament said President Gotabaya Rajapaksa confirmed his resignation over the phone on Wednesday, but that he is still waiting for the official document confirming it.
“With regards to an official document signifying it, I was told that it would reach me within the day today,” Speaker Mahinda Yapa Abeywardena said during a televised briefing.
Rajapaksa was due to formally resign on Wednesday after being forced to step down in the wake of months-long protests over the nation’s crippling economic crisis.
Remember: As per Sri Lanka’s constitution, Rajapaksa’s resignation is only considered official once the Speaker of the Parliament receives a letter of resignation.
Rajapaksa fled to the Maldives with first lady Ioma Rajapaksa earlier Wednesday.
In pictures: Turmoil in Sri Lanka as protesters storm prime minister’s office
Protesters in Sri Lanka stormed the prime minister’s office on Wednesday, demanding the country’s leaders step down after President Gotabaya Rajapaksa fled to the Maldives without resigning.
See images from the ground in the commercial capital of Colombo here:
Sri Lanka in chaos as protests force president to flee. Here’s what you need to know
Angry protesters have forced Sri Lanka’s president from the country and are calling for the government to fall. Here’s what you need to know at 5:30 p.m. on Wednesday, a day of chaos in the country.
- Leader flees: President Gotabaya Rajapaksa fled to the Maldives without resigning, despite being expected to formally step down on Wednesday. He appointed Prime Minister Ranil Wickremesinghe as its acting leader, citing a section of the constitution that allows a prime minister to “discharge the powers, duties and functions of the office of president” when the president is ill or “absent” from Sri Lanka.
- Protesters storm government: Hundreds of demonstrators breached the compound of the prime minister’s office in Sri Lanka’s largest city Colombo on Wednesday and entered the premises, following a standoff with armed police at the gates of the property, according to footage from the scene and local witnesses.
- Economic crisis: Rajapaksa’s departure further enraged protesters, who want both leaders to vacate their roles as the country’s 22 million people struggle to buy basic goods, fuel and medicine.
- State of emergency: As demonstrators took to the streets, Prime Minister’s Wickremesinghe’s office declared a state of emergency and a curfew, only to later cancel both orders. He has since appointed a committee of senior armed forces commanders to “restore law and order.”
- Broadcaster strikes deal: A handful of protesters also entered the premises of state broadcaster Sri Lanka Rupavahini on Wednesday, negotiating a “deal” with broadcast staff not to give airtime to politicians such as Wickremesinghe.
- Long-term causes: An economic crisis that has gripped Sri Lanka was years in the making, according to analysts, with a series of government decisions compounding external shocks.
Dozens injured in protests outside prime minister’s office
From Rukshana Rizwie in Colombo
At least 30 people needed hospital treatment for injuries sustained in protests outside the Sri Lankan prime minister’s office on Wednesday.
A nurse at Colombo National Hospital told CNN that many people were brought in due to tear gas inhalation, while others had cuts and bruises likely from trying to jump over fences. The nurse did not confirm any gunshot injuries.
The grounds of the prime minister’s office were taken over by protesters on Wednesday following a standoff with armed police at the gates of the property.
Sri Lankan police have continued to use tear gas to disperse the crowds throughout the day, according to footage from the scene and local witnesses.
Sri Lanka’s acting president cancels state of emergency
In his role as acting president, Ranil Wickremesinghe declared a state of emergency across Sri Lanka and a curfew on Wednesday only to later cancel both orders, according to the prime minister’s office.
Protesters in Sri Lanka have since breached the compound of the former prime minister’s office and entered the premises following a standoff with armed police at the gates of the property, according to footage from the scene and local witnesses.
Wickremesinghe had earlier announced that he would formally resign as Sri Lanka’s prime minister on Wednesday “to make way for an All-Party Government,” as he had said in a tweet.
Sri Lanka’s acting president appoints committee of top military staff to “restore law and order”
From CNN’s Iqbal Athas
Sri Lanka’s acting President Ranil Wickremesinghe has appointed a committee of senior armed forces commanders headed by the Chief of Defense Staff Lt. Gen. Shavendra Silva to “restore law and order” across the nation, a high-ranking military official told CNN Wednesday.
The committee will be tasked with issuing commands to troops on the ground and police across the country as they try to maintain order throughout the country, said the source, who requested anonymity to discuss developments not yet publicly announced by the acting president.
The decision was taken during a meeting of Sri Lanka’s National Security Council that was chaired by Wickremesinghe on Wednesday, the source added.
Source: https://www.cnn.com/asia/live-news/sri-lanka-protests-07-13-22-intl/index.html
