AVN 67.60 Increased By ▲ 0.50 (0.75%)
BAFL 30.99 Decreased By ▼ -0.01 (-0.03%)
BOP 4.91 Increased By ▲ 0.01 (0.2%)
CNERGY 3.74 Decreased By ▼ -0.04 (-1.06%)
DFML 14.03 Decreased By ▼ -0.40 (-2.77%)
DGKC 41.11 Decreased By ▼ -0.74 (-1.77%)
EPCL 46.58 Increased By ▲ 0.01 (0.02%)
FCCL 11.60 Decreased By ▼ -0.09 (-0.77%)
FFL 5.03 Decreased By ▼ -0.04 (-0.79%)
FLYNG 5.85 Increased By ▲ 0.05 (0.86%)
GGL 10.34 Decreased By ▼ -0.08 (-0.77%)
HUBC 68.04 Increased By ▲ 0.04 (0.06%)
HUMNL 5.74 Decreased By ▼ -0.02 (-0.35%)
KAPCO 28.02 Decreased By ▼ -0.08 (-0.28%)
KEL 2.26 Decreased By ▼ -0.03 (-1.31%)
LOTCHEM 25.02 Decreased By ▼ -0.03 (-0.12%)
MLCF 21.45 Decreased By ▼ -0.24 (-1.11%)
NETSOL 87.66 Increased By ▲ 1.66 (1.93%)
OGDC 99.30 Increased By ▲ 6.92 (7.49%)
PAEL 11.00 Decreased By ▼ -0.09 (-0.81%)
PIBTL 4.26 Increased By ▲ 0.02 (0.47%)
PPL 81.12 Increased By ▲ 0.97 (1.21%)
PRL 13.23 Decreased By ▼ -0.41 (-3.01%)
SILK 0.88 Decreased By ▼ -0.02 (-2.22%)
SNGP 43.85 Increased By ▲ 0.38 (0.87%)
TELE 6.12 Increased By ▲ 0.16 (2.68%)
TPLP 15.66 Decreased By ▼ -0.07 (-0.45%)
TRG 118.99 Increased By ▲ 3.98 (3.46%)
UNITY 14.01 Increased By ▲ 0.16 (1.16%)
WTL 1.23 Increased By ▲ 0.07 (6.03%)
BR100 4,171 Increased By 47 (1.14%)
BR30 15,253 Increased By 323.5 (2.17%)
KSE100 41,523 Increased By 332 (0.81%)
KSE30 15,663 Increased By 168.9 (1.09%)
Follow us

COLOMBO: Crisis-hit Sri Lanka slashed fuel prices on Monday, the second cut in as many weeks, after the World Bank warned that the economy will shrink an unprecedented 9.2 percent this year.

The energy ministry said the price of petrol will be reduced by 40 rupees to 370 rupees ($1.02) a litre from Monday night after a similar 10 percent reduction earlier this month.

But the price of regular petrol is still twice the amount before the start of the crisis last year while diesel is three and a half times more than what it was in December 2021.

Earlier this year motorists spent weeks to get fuel, contributing to weeks of protests that forced president Gotabaya Rajapaksa to flee the country in July and quit.

The wait at the pumps has reduced to a few hours in recent weeks, but fuel is still strictly rationed because of an enduring shortage of dollars needed to pay for essential imports.

Public transport also ground to a halt due to a lack of diesel but now services are almost back to normal, although many fares – in common with soaring prices for other services and goods – have doubled.

Sri Lanka president, Chinese minister discuss debt restructuring

Official annual inflation rates are running at close to 70 percent.

The latest lowering of petrol and diesel came after the World Bank warned that the economic contraction will be worse than the 8.7 percent forecast by the Central Bank of Sri Lanka.

The World Bank in its latest country update published last week said the economy will continue to shrink next year too. It expects a 4.2 percent contraction next year.

In addition to the Covid-19 pandemic and the Ukraine war, Sri Lanka’s worst crisis since independence is also partly blamed on the sharp tax cuts announced by Rajapaksa after he came to power in November 2019.

The crisis forced the government to default on its $51 billion foreign debt in April.

Rajapaksa’s successor, Ranil Wickremesinghe, has overturned some of the tax cuts and introduced new revenue measures.

The International Monetary Fund has tentatively approved a four-year, $2.9 billion bailout.

But the package is subject to an agreement with creditors including China, Sri Lanka’s biggest creditor, as well as to contain inflation and tackle corruption.

Comments

Comments are closed.

samir sardana Oct 17, 2022 07:38pm
PETROL IN PAKISTAN IS RS 230/LITRE,AND IN INDIA IS RS 100 BOTH IS WELL OVER 1 USD SRI LANKA IS 370 - WHICH IS EXACTLY, I USD SO PAKISTAN AND INDIA,SHOULD CUT MUCH MORE ! CUTTING PETROL, IN LIGHT OF RATES IN INDIA AND PAKISTAN, IS NOT WISE RUSSIA WILL GO ON,TILL AT LEAST,END OF WINTER ! UNTIL COMMODITY RATES FALL - THERE IS NO HOPE,FOR LANKA ! BETTER TO KILL CONSUMER LOCOMOTION,AND WORK FROM HOME - BY KEEPING FUEL RATES, AT LEAST AT PAR, WITH PAKISTAN ! dindooohindoo
thumb_up Recommended (0)

Bankrupt Sri Lanka slashes fuel prices

FY24 budget: FBR invites proposals on income tax

AIIB chief economist briefed about state of economy

Dar inducts four new members into ‘RRMC’

Reason behind cut in PSDP disbursement identified

Rs 417bn received by KP: Cabinet decides to conduct audit

Thar coal-based power plant: COD achieved

Power breakdown of Jan 23: Senate panel directs Power Division to conduct probe

LCCI says wants ‘charter of economy’, not elections

TAPI gas pipeline: Pakistan willing to go ahead with or without India

Rs650bn collection likely: 1pc hike in ST thru ordinance on the cards