In a country in ruins, the government imposes a new austerity plan aimed at releasing an IMF loan.
The tensions that rocked Sri Lanka in 2022 have eased somewhat. But the economic crisis is far from over. This led the government of the island of 22 million inhabitants which borders southern India to start the year with a new austerity plan.
Recruitment of civil servants has been frozen. Nearly 20,000 of them, who retired at the end of December, will not be replaced. The number of departures is particularly high. It was multiplied by eight compared to 2021, due to the lowering of the retirement age from 65 to 60, which was decreed for civil servants, said the Ministry of Public Administration.
Read alsoIn Sri Lanka, the crisis pushes the population to the limit
Tax increases and electricity prices have also just come into force. Personal and business income tax has been doubled. Electricity, whose rates had already been increased by 75% in August, is now 65% more expensive.
A $2.9 billion bailout
“Our problems have not yet been solved”warned President Ranil…
This article is for subscribers only. You have 74% left to discover.
Cultivating your freedom is cultivating your curiosity.
Keep reading your article for €0.99 for the first month
Already subscribed? Login