Sri Lanka Can take loan from India soon. The government of Sri Lanka is considering taking fuel loan assistance of US $ 500 million from India. People familiar with the development said on Friday that the neighboring country is exploring the possibility of getting loan assistance from India amid increasing energy cooperation after the signing of the oil tank deal between the two countries.
It is being told that there is a fuel crisis in the country at this time. At the same time, inflation has increased in the country, which is also having a bad effect on the common people.Neighboring Sri Lanka on Thursday signed an agreement with Indian Oil Corporation’s Sri Lanka branch (LIOC), Ceylon Petroleum Corporation (CPC) and a joint venture between the two companies to redevelop around 75 oil tanks in Trincomalee. Meanwhile, Sri Lanka’s Energy Minister Uday Gamanapilla said on Friday that his country could face a fuel crisis in the third week of January.
Appeal to Central Bank to intervene in the matter
Energy Minister Udaya Gammanpila appealed to the Central Bank to intervene in this matter, so that necessary foreign exchange could be arranged for imports. According to media reports, Sri Lanka’s treasury has become empty amid the Corona epidemic, crisis on the tourism industry, rising government spending and tax cuts.
Sri Lanka also took loans from many countries which have to be paid. The economic crisis in the country is also affecting the general public. People are facing a lot of problems due to the rise in inflation at a record level.