IMF Loan Efforts, Public Sector Hiring Freeze, Tax Hike by Siri Lanka
After going bankrupt in April last year due to the deteriorating economic situation, Sri Lanka received debt sustainability as a precondition for receiving an installment of 2.9 billion dollars from the IMF. need to.
On the other hand, the IMF has urged the bankrupt country to reduce the government expenses by reducing the expenses of government institutions from 15 lakhs, to increase taxes and to sell loss-making government institutions.
It should be noted that after Sri Lankan President Ranil Wickremesinghe reduced the age limit from 65 years to 60 years, 2 thousand government employees retired from their jobs in December.
The concerned ministry says that new employees will not be recruited to replace the retired employees.
In an effort to increase government revenue, the government has doubled personal income and corporate taxes at the beginning of the new year, while electricity rates have increased by 65 percent after a 75 percent tariff increase in August.
The country's president said that despite the restoration of fuel, food and fertilizer supplies, the crisis has not ended yet.
He told his employees on the first day of work at the beginning of the new year that our problems are not yet solved and if we want to move forward, we have to reduce the debt burden.
However, China and India, the main lenders to Sri Lanka, will announce an agreement on their loans.
In view of the new measures, the finance ministry has also banned unnecessary capital expenditure.
A finance ministry official said that any officials who allow investment of more than Rs 50 crore without clearance from the ministry will be held personally accountable.
It should be noted that when Sri Lanka went bankrupt six months ago, there were queues of people at the fuel stations to pour petrol into the vehicles, while long load shedding of 13 hours was also done in the country.
Comments
Post a Comment