Economy

A man counts change at a gas station on Oct. 18, 2021, in Colombo. 
Economy

Dollar drought leaves Sri Lanka groping in the dark

Oil in short supply, basic necessities grow scarce as foreign reserves dwindle

22 January 2022
A man counts Sri Lankan rupee notes at a currency exchange shop in Colombo, Sri Lanka. A U.S. dollar can fetch about 40 more rupees on the streets than at banks.
Economy

Sri Lanka pays foreign debt at expense of domestic economy

Drop in tourism income and migrant worker remittances squeeze government income

18 January 2022
Sri Lankan rupee banknotes sit in a bucket at a fruit stall in Colombo. The country is running out of imported food, fuel, medicine and a key ingredient of milk tea.
Economy

Sri Lanka economists tell government to default on bond, buy food

$500m should be redirected to pay for fuel, medicine and other essentials, experts say

15 January 2022
Sri Lankan President Gotabaya Rajapaksa, left, was apparently eager to settle a dispute over an unpaid bill for fertilizer with his Chinese counterpart, Xi Jinping. (Nikkei montage/AP/Reuters)
International relations

Sri Lanka settles $6.9m fertilizer bill with Chinese supplier

President Rajapaksa's tussle with Beijing ends just before Wang Yi's visit

8 January 2022
Sri Lanka plans to pay Iran in tea to settle an oil debt.
Economy

Tea leaves for oil -- Sri Lanka struggles with runaway inflation

Island nation's price increases could act as bellwether for global prices

25 December 2021
Airport staffers carry the arriving remains of Priyantha Kumara, a Sri Lankan slain by a mob in Pakistan's Punjab Province on Dec. 3, at Bandaranaike International Airport on Dec. 6.
International relations

Lynching of foreigner threatens economic recovery in Pakistan

Sri Lankan factory manager was accused of blasphemy by a mob

7 December 2021
Shoppers at a street market in Istanbul on Nov. 18. The country's annual food price inflation came to 27.4% in October.
Commodities

Extreme food prices slam inflation-ridden Turkey and Sri Lanka

Vegetables vanish from dinner tables as price index soars 27%

3 December 2021
The stock market in Sri Lanka continues to climb despite a disconcerted public beset with rising prices and shortages of daily goods. (Source photo by AP) 
Market Spotlight

Sri Lankan stocks soar even as economic alarm bells ring

Market tops 11,000 for first time as rupee sinks to new low

29 November 2021
Under President Gotabaya Rajapaksa, Sri Lanka has been printing money at a high rate partly to offset a fall in the tax take following cuts he pledged to gain election. (Nikkei montage/Reuters/Getty Images)
Economy

Sri Lanka's economy seen as a 'ticking time bomb'

Central Bank has been printing money as tax take falls and prices soar

27 October 2021
India once again claims the container terminal deal in Colombo after being dumped by Sri Lanka earlier this year. (Source photos by Yuji Kuronuma and AP)
International relations

Sri Lanka walks India-China tightrope with port deal

Adani Group to build Colombo terminal in $700m agreement

7 October 2021
The European Union will visit Sri Lanka next week to see if a desperately needed trading concession should be suspended because of a recent "U-turn" there on human rights. (Nikkei montage/Reuters)
Trade

Sri Lanka's vital EU trade privileges hang in the balance

Dark human rights record could nix tax-free status in largest export market

25 September 2021
Sri Lanka's President Gotabaya Rajapaksa attends an independence day ceremony in Colombo on Feb. 4, 2020.
Politics

Sri Lanka's food emergency heightens fears of militarization

Critics accuse President Rajapaksa of endangering country's democracy

6 September 2021
Colombo's ill-planned import ban to protect Sri Lankan foreign reserve is negatively impacting the economy.
Economy

Sri Lanka's import ban puts hundreds of businesses in jeopardy

Colombo's ad hoc efforts to save forex likely to hamper economy and cost jobs

28 July 2021
A member of Sri Lanka's military tries to clear Sarakkuwa Beach, north of Colombo, of pellets from a plastic and chemical spill that has delivered another blow to the country's pandemic-ravaged economy. (Photo by Ishara S. Kodikara)
Environment

Sri Lanka fishing and tourism sectors drown in new crisis

Plastic pellet and chemical spill fuels fear of seafood and hinders exports

12 June 2021
Bangladesh's image has drastically changed after a decade of strong economic growth.
Economy

Bangladesh helps out cash-strapped Sri Lanka with $200m loan

Former recipient of major foreign aid, Dhaka now has money to lend

7 June 2021
Laborers work in a sewing section of a garment factory in Gazipur on May 2: Bangladesh's economic rise has been powered by the ready-made garment industry,
Opinion

Bangladesh goes from basket case to rising star

Recent success was far from preordained

4 June 2021
Signs advertise Colombo Port City: The development is said to give Beijing sweeping powers to oversee projects for the financial hub worth $1.4 billion. (Photo by Yuji Kuronuma)
International relations

China offers Sri Lanka a lifeline as critics question cost

Yearlong talks yield $500m loan thought to carry 'geopolitical conditions'

20 April 2021
Sri Lanka has borrowed heavily to fund the development of infrastructure, such as ports. 
International relations

Sri Lanka to scrap Japan-funded infrastructure projects

Some see pivot toward Beijing, even though Chinese loans are more expensive

29 December 2020
Indian Prime Minister Narendra Modi, left, and Chinese President Xi Jinping. India and China see a chance to deepen their geopolitical influence in cash-strapped and increasingly vulnerable Sri Lanka and the Maldives, both strategically located in the Indian Ocean.
Asia Insight

India and China compete over Indian Ocean debt-relief diplomacy

Sri Lanka and Maldives seek bailouts as Asian giants dangle dollars to gain edge

1 December 2020
Sri Lanka's government led by President Gotabaya Rajapaksa desperately needs cash to service over $15 billion in foreign debt. (Source photos by Reuters) 
International relations

Sri Lanka turns to China rather than IMF to avoid default

Relations with US-led multilateral lender strained by past misadventures

12 October 2020
A ban on the slaughter of cattle will end up increasing Sri Lanka's cattle population and send herds roaming across many parts of the country, the vice president of the Muslim Council of Sri Lanka says.
Politics

Sri Lanka cattle-slaughter ban mimics India's slight of Muslims

China-leaning Mahinda Rajapaksa seeks political gains with Modi-style policy

19 September 2020
Sri Lankan President Rajapaksa, left, has appointed a committee to examine concerns about the East Container Terminal project at Colombo Port. Critics charge the project is an attempt to distance Sri Lanka from India, led by Prime Minister Modi. (Nikkei Montage/Source photo by AP/Getty Images/Rie Ishii) 
International relations

Sri Lanka's India ties strained as Rajapaksa rethinks port deal

New president keeps 'Quad' at arms length and cozies up to China

10 July 2020
A family wait outside a railway station in New Delhi on June 1: COVID-19 has laid bare the weakness of South Asia's economies.
Opinion

South Asia risks coronavirus lost decade

India and Pakistan's poor disease management will cost them dearly

17 June 2020
Indians wait to board a repatriation flight from Kuwait International Airport in Kuwait City, on May 9: There are reports that more than 400,000 Indians worldwide are trying to return home. © AFP/Jiji
Coronavirus

Coronavirus wrecks South Asian migrant livelihoods in Middle East

Some 900,000 stranded workers to test health care systems and economies

20 May 2020
Staff at INHS Asvini, an Indian navy hospital in Mumbai, attended a ceremony in early May to honor frontline health care workers fighting the COVID-19 pandemic. 
International relations

India sends hydroxychloroquine to Africa in war on coronavirus

Aid initiative to fill pandemic leadership failings of China and the US

18 May 2020