Virus Continues To Damage The Local Economy  
Posted 28,May

By Chaveendra Dunuwille

In Local News

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According to the Central Bank of Sri Lanka authorities are yet to show any  interest in easing restrictions and as a result the restrictions on the import of  non-essential items is likely to remain longer and anticipated. The prevailing  conditions continue to result in the loss of jobs, income as well as livelihoods. 

The restrictions as well as the select foreign exchange outflows according to the  Central Bank is designed to ease the pressure on the domestic foreign exchange  market. According to projections the Central Bank expects a slowdown in the  demand for Sri Lanka merchandise exports which would ultimately lead to a  time of relaxation before any imports or exports would take place.  

Despite the challenging workers remittance and merchandise exports remained  the key sectors that held the economy together while the historically high yielding  tourism sector has gone into an abeyance as a result of the pandemic since  March last year.  

Experts and commentators state that if these restrictions continue for prolonged  periods of time the consumers would be the ones who are greatly affected as they  would have to pay more for ordinary items due to the lack of supplies. Coupled  with short sighted decisions of bureaucrats it may prove to be the final straw in  the road to complete economic failure unless the situation brought under  control.