Colombo: Money crunch Sri Lanka announced on Tuesday it would sell long-term visas to attract desperately needed foreign currency after the island nation ran out of dollars to pay for food and fuel as well.
The government said foreigners who deposit at least $100,000 locally would be allowed to live and work in Sri Lanka for 10 years under the “Golden Paradise Visa Program”.
But any income from the scheme is likely to fall short of the scale of the current crisis, prompting widespread protests over severe shortages of food, fuel and medicines.
Thousands camped outside the President Gotabaya RajapakseBeach office to demand his resignation.
trading on Colombo Stock Exchange The blue-chip S&P index had rallied three times on Tuesday as prices tumbled, closing down 9.75 per cent.
It fell nearly 13 percent on Monday, the first day of trading after a two-week break during which the government hiked interest rates and defaulted on its $51 billion of foreign debt.
Equities have dropped 47 percent of their value since January, with the local currency losing nearly 40 percent against the greenback last month.
Fuel prices have almost doubled since December and the government on Tuesday announced an 81 per cent hike in the price of cooking gas.
Cement, soap and detergents rose by 17-100 per cent on Monday.
The latest price hike came as the main opposition began a six-day protest march from the central city candy To the capital, a distance of 115 kilometers (72 mi).
The government said in a statement that the amount due under the program would have to be deposited in a local bank account for the duration of the visa.
“This plan will help Sri Lanka at a time when we are facing the worst financial crisis since our independence,” Media Minister Nalaka Godaheva told reporters in Colombo.
The government also approved a five-year visa to any foreigner who spent a minimum of $75,000 to buy an apartment on the island.
With the crisis worsening, the government also said it was ready to consider political reforms, including constitutional amendments that could curtail the authority of the president.
Gotabaya Rajapaksa gave himself broad powers to appoint and dismiss ministers, judges and public servants after his 2019 election.
His government also rolled back democratic reforms that gave statutory independence to the police, civil service, election commission and judiciary.
Sri Lanka’s economic fallout began to be felt when the coronavirus pandemic torpedoed significant revenues from tourism and remittances.
utilities Unable to pay for fuel imports, prolonged blackouts to ration electricity, while long lines form around service stations as people queue for petrol and kerosene.
There is a shortage of vital medicines in hospitals, the government appeals to citizens abroad for donations and record inflation has added to the hardships of everyday life.
Sri Lankan officials arrived Washington to negotiate a bailout with last week International Monetary Fund,
The government said foreigners who deposit at least $100,000 locally would be allowed to live and work in Sri Lanka for 10 years under the “Golden Paradise Visa Program”.
But any income from the scheme is likely to fall short of the scale of the current crisis, prompting widespread protests over severe shortages of food, fuel and medicines.
Thousands camped outside the President Gotabaya RajapakseBeach office to demand his resignation.
trading on Colombo Stock Exchange The blue-chip S&P index had rallied three times on Tuesday as prices tumbled, closing down 9.75 per cent.
It fell nearly 13 percent on Monday, the first day of trading after a two-week break during which the government hiked interest rates and defaulted on its $51 billion of foreign debt.
Equities have dropped 47 percent of their value since January, with the local currency losing nearly 40 percent against the greenback last month.
Fuel prices have almost doubled since December and the government on Tuesday announced an 81 per cent hike in the price of cooking gas.
Cement, soap and detergents rose by 17-100 per cent on Monday.
The latest price hike came as the main opposition began a six-day protest march from the central city candy To the capital, a distance of 115 kilometers (72 mi).
The government said in a statement that the amount due under the program would have to be deposited in a local bank account for the duration of the visa.
“This plan will help Sri Lanka at a time when we are facing the worst financial crisis since our independence,” Media Minister Nalaka Godaheva told reporters in Colombo.
The government also approved a five-year visa to any foreigner who spent a minimum of $75,000 to buy an apartment on the island.
With the crisis worsening, the government also said it was ready to consider political reforms, including constitutional amendments that could curtail the authority of the president.
Gotabaya Rajapaksa gave himself broad powers to appoint and dismiss ministers, judges and public servants after his 2019 election.
His government also rolled back democratic reforms that gave statutory independence to the police, civil service, election commission and judiciary.
Sri Lanka’s economic fallout began to be felt when the coronavirus pandemic torpedoed significant revenues from tourism and remittances.
utilities Unable to pay for fuel imports, prolonged blackouts to ration electricity, while long lines form around service stations as people queue for petrol and kerosene.
There is a shortage of vital medicines in hospitals, the government appeals to citizens abroad for donations and record inflation has added to the hardships of everyday life.
Sri Lankan officials arrived Washington to negotiate a bailout with last week International Monetary Fund,