Former President Mahinda Rajapaksa, who, at one point, was the Finance Minister of his own government, dodged media queries on how he proposed to resolve the issue of depreciation of Sri Lankan currency.
“We will resolve it when we get power. Ask them to give us power and see, “Rajapaksa said, flippantly, when media asked him to explain his mechanism to control or prevent depreciation, during a press conference held in Colombo.
Rajapaksa spoke to reporters as the Sri Lankan currency hit as low as Rs.170 against the US dollar for the first time in history. Currency depreciation is experienced in many parts of the world as the US has taken measures to strengthen the US Dollar through its trade policy.
When the issue of depreciation of Sri Lankan currency was first raised by media, the former President paused for about a minute, before answering.
During this break, the former Central Bank Governor, Ajith Nivaad Cabraal, who sat behind Rajapaksa at the press conference, was seen whispering in his ears.
It was clear to the audience that the former Central Bank Governor, now a critique of the current government’s economic policy, was prepping former President Rajapaksa to answer the question.
Upon Cabraal’s consultation, Rajapaksa gave a brief answer to the question, saying the government should make necessary interventions to strengthen the currency and prevent further appreciation of the Sri Lankan rupee.
Rajapaksa said the current state of affairs reflected the government’s inability to handle the country’s economy.
It was at this point that a journalist asked how the former President proposed the government to go about it. (By Tilini Rajapakse)
Nimal / September 23, 2018
If we are to strengthen the rupee then we mustn’t borrow and fall into debt,do more exports and do what the Americans do, force other nations sell their products and ask for Srilankan rupees.Ha Ha
Don’t print money.
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Don Stanley / September 23, 2018
Well this question should have been addressed to Nivard Cabraal who intervened to stop SL currency decline. Tho’ he also looted CB with Greek Junk bonds scam , but not on the scale of Bondscam Ranil, Ravi K and Mahendran.
Bondscam Ranil should be impeached for crashing Lanka’s economy – as exports have decline and (car) imports magnified, and FTA’s with SIngapore with advice from his US friends at Millennium Challenge Corporation who have been doing fake research and CAPTURED LANKA’ S ECONOMIC POLICY SPACE via PM’s office while drafting a fake Compact (ha, ha, ha,) for the last years of Ranil’s Jaraplanaya to give a paltry sum of Fake Aid to Bondscam Ranil!
NO FDI, crashing rupee and massive debt trap is the result of 3 years of IMF-MCC economic policy reform !
What a CORRUPT joke Bondscam Ranil’s and Hairdresser Mangala’s economic policy is with their fine friends from Washington!
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Native Vedda / September 23, 2018
Rajapaksa said
“the current state of affairs reflected the government’s inability to handle the country’s economy.”
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This is another example of Mahinda’s and his b***s carrier’s sham sovereignty.
Learn stupid people learn.
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shankar / September 26, 2018
nimal
“Don’t print money.”
hahahaha.this is the only way to fool the people and get out of a situation of inefficient management of the economy,and you want the pollies to get rid of it.
JRJ had the option of following keynes theory or following the singapore model of efficiency without printing money and JRJ chose keynes.Then he said we are going to become a singapore after rejecting the singapore model of financial management.
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jim softy / September 23, 2018
BBS have held a special service at the various temple prevent depreciation of our currency. No other faith has done that. this shows that other people are not patriotic.
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Ajay / September 23, 2018
Yes … I saw this cardboard hero and pseudo-leader stumble and fumble terribly in the press meet shown this evening on ITN. It was shocking but not surprising. Mahinda is mostly a persona created and boosted by the parasites who live off him and the sycophant media. The hesitation to answer was painful to watch. The silence seemed to last forever. The Great Leader, the author of Mahinda Chinthanaya, and Oxford speechmaker blushed, his face turning red. He then sheepishly lowered his head and extended his neck back towards the smiling owl Cabarala who was sitting behind. The owl fed some words into his ears, but that was not good enough. That sparked only more questions from the media vultures who were smelling blood. His general-purpose defenders and house pandits – Podineris Weerawansa and the Ever Grimacing Gammanpila – had to pitch in with their usual non sequiturs to divert the attention and save their hero from further humiliation. Wonder whatever happened to Mahinda’s economic wizard, the blabbermouth Bandula Gunewardena, PhD Tuition (China), when he was most needed.
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K.Pillai / September 23, 2018
Ajay: Thank you for the very good description of the ITN interview.
You have kept the sense of humour in a grave situation. Not many can do that.
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Champa / September 23, 2018
Ajay
Mahinda hesitated? Hooooo…..man, ANYBODY would hesitate before answering questions that are not clear.
Let’s take the question asked in English. (I had to play the ITN version 3 times .)
Quote:
“In your opinion, what is the realistic (?) what should be the current (what – I didn’t get the word) of the Rupee vis-à-vis the Dollar.”
Unquote:
:D :D :D Even I cannot understand this question. This is the FIRST TIME I heard the phrase “vis-à-vis” in a question which is mostly used in articles or if not as a statement.
If I was there and somebody asked me the question, I would tell the person to REPEAT IT. But MR got Cabraal’s help and I don’t see any fault in that.
Media person could have asked: “What is your opinion about the current depreciation of the Rupee as against the Dollar?” Clear.
If not, “In your opinion, what is the reality of the Rupee in relation to US Dollar?” More clear.
MR could have easily answered had the question was clear as HE ALREADY GAVE HIS OPINION about the same, before this question was asked!!!. He answered more complex questions without any hesitation, when he was in India .
Mujibar’s opinion is comical.
Let’s take the questions asked in Sinhala.
“What do you propose (as the solution)?” Why should he tell the solution? He is in the Opposition. It is upto the government to find a solution to make the Rupee stable. His answer was PERFECT. “Hand over the government, then I will do the needful.”
The next question in Sinhala.
“Don’t you remember abducting Keith Noyahr?” :D :D :D :D (Of course I don’t Machang, because I didn’t abduct him.) MR said “I have never met Keith Noyahr. I can say it plain.” That is the only answer.
(300-words-dead.)
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Ajith / September 23, 2018
It is not only Srilankan rupee but also UK’s sterling pound also depreciate against US dollar. It is not surprise the rupee depreciate considering the country’s instability created by Mahinda’s brutal corrupted regime policies. Half of this governments members are trained by Mahinda and they will not allow to bring stability in this country.
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Champa / September 24, 2018
Ajith
I invite you to read my other two comments somewhere below. There is no point of repeating same.
Mahinda was defeated 3 years and 8 months ago. His ‘regime’ has nothing to do with the slave government as the policies of the two are worlds apart.
Mahinda has left US$ 10 billion in the Central Bank Reserves when he was ousted.
According to countryeconomy.com, the overall debt as of 2014 was US$57.28 billion.
Within just two years by 2016, under Ranil and Maithri regime, the debt has risen in US$ 7.2 billion making the overall debt as US$ 64.48!!!!
The overall debt by 2017 and 2018 is not published as yet.
When Mahinda took over in 2005, the overall debt was US$ 22.09.
In other words, the debt taken by MR is actually (57.28 – 22.09) only US$ 35.19 for “10 years” whereas this government has taken US$ 7.2 billion within just “2 years.”
MR hasn’t taken US$ 58 as Ranil lies in public. It is only US$35.
How many BRAND NEW infrastructure based development projects MR launched with that money? Once, somebody published a list of 100 such projects.
Name a single development project launched by Ranil and Maithri for the last 3 years and 8 months?
As MR says, they didn’t even build a culvert!!!
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Mallaiyuran / September 24, 2018
” Even I cannot understand this question. “
Champawathi,
You were not supposed to understand that question, because your explanation indicates that you are not a person of that capacity. A man who was controlling the 80% of the country’s budget supposed to know how to replace the missing word and make up the question relevant to him. He did not ask Ajith Nivard to explain him the question. He remained stunt. Not understanding a question doesn’t stunt a seasoned man who has been killing the reporters to bring the celebrated status to the country as 174th in 179 countries in media-men safety. Apparently he did understand the question, but felt he was corned, could not have thought of passing the question to Ajith Nivard.
There is nothing complicated in the question as you attempt to create there. In reality, when American dollar collapsed, the LKR should have registered a massive surge in value 2008/2009. Remember the tortoise and the rabbit race? Rabbit missed the race while it should have scored, because it was sleeping during the race. By proportion, between 2011/2012 LKR faced a down turn it yet has to repeat after that. That time American economy has started to show symptoms of recovery(, but Europe was still in trouble).
He never explained any policy or mechanism, ever, that would stop the currency’s free falling. You just don’t baffle to defend him. Come out with honest methods and explanations. (FDI is the only way to fix this. Additional Chinese loan that UNP is taking in is not going to help. Old King knows, next year, when his loans fall dues, the currency going to collapse and Ranil going to put more blame on him. That is why he was thinking of his election year problem and remained stunted.)
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wannihami / September 23, 2018
Aiyo Ajay, What a piece of rubbish that you have typed, if you hate MR so much how come it was painful for you to watch MR hesitating, the media is too stupid to ask the right question if they really wanted to trump MR they could have asked a totally different question/s, as Champa, I too listened to the interview many times to understand the nonsensical question the reporter was asking, I am glad MR hesitated and let Cabral translate the question into something that made sense. I cringe when the uneducated media ask the most irrelevant question using vocabulary that they learned that morning from a word -a-day calendar or something of the sort.
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Champa / September 24, 2018
wannihami
I wonder why didn’t MR bring his “future Finance Minister Bandula Gunawardene” to this media briefing?
MR is media savvy, no question about that. But Bandula’s absence is felt here.
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shankar / September 23, 2018
US dollar is going up.So how can MR stop that.That is why he is silent.
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Champa / September 23, 2018
shankar
True. MR can’t stop US Dollar going up. But he can stop Rupee’s depreciation with the help of a sound economic policy. That is what he said. He gave an example: During the period 2007/2008 when the recession hit globally, he said that he managed to keep the Rupee stable. This government is poor in financial administration and management that is why they cannot do what he did.
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shankar / September 24, 2018
champa
sri lanka taking on the US dollar is like david vs goliath.What happens in the US has effect on the US dollar.Now due to its sound economy interest rates are supposed to go up at the next fed meeting.hence the rise in US dollar.Fuckall nothing that other countries can do about that with this giant.Not only sri lanka,all currencies are affected.Whether MR had sound economic policies (and we know he did not, wasting money on white elephants and plundering the country)or not,rupee will depreciate.The silver lining is tourists will pour in and exports go up.
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Mallaiyuran / September 24, 2018
That was another fraud. There was business down turn. It was Western Banks collapse. Because it was only bank collapse White House allowed a guarantee to automobile industry. So within two, three years GM and Ford back on their feet, repaid the loan fully. It was only Financing problem, induced from housing loans. If you didn’t know what it was you don’t know. That is it. The idiot did nothing in Lankawe to fix that problem. For my knowledge no Lankawe bank suffered like Western Banks. The game is India did not feel at all it kept its above 7% growth. China suffered a little bit by inability of exporting to west.
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Lankan / September 23, 2018
US wants to mess up with economies of many countries .look at Turkish problem…
It is nothing but US is taking revenge because Turkey put a US clergy in jail..
US is making trouble in this way ;
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Native Vedda / September 23, 2018
Lankan
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“US wants to mess up with economies of many countries .”
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How is it possible for US to mess up economies of many countries single handedly (like our army generals) all at the same time?
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Any serious suggestions?
I am not interested in wannihami’s/Sri Lanky’s usual crap, neo con bull.
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What is stopping the Sri Lankan armed forces, and their smart ass leader Dr Go, Mahanayake and the present unitary constitution from preventing the the US currency poking fun at Sri Lankan sovereignty?
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Where is smart ass patriot Wimal Sangili Karuppan Weerawansa? Here is another opportunity for him to lie down his life for the country and his king, probably he will fight the Google, Yahoo, with his lemon puff struggle.
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nalmen / September 23, 2018
why is cabraal not in prison for squandering public money
acc to sira he faces the death penalty
another mega failure on the part of the yahapalana govt and ranil in particular
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PARAGON / September 23, 2018
AS FOR FINANCE MATTERS mahinda is clueless.AT ANY COST they want to come back to power NOT TO RECOVER LOST DOLLAR VALUE but only to FIND A WAY OUT OF ALL CORRUPTION CHARGES against RAJAPAKSE AND COMPANY LTD.hope they will not bring back AJITH NIRVANAYA CABAARAL again to manage finance.
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Champa / September 23, 2018
MR dodged the question? Oh man, what an infantile observation!
Why should he explain his mechanism to prevent currency depreciation and save the slave government?
Let’s us talk about the matter in simple words. (I am not an Economist. Their big words are driving me nuts.)
In the international market, there was a deliberate “excess” supply of the US Dollar until recently. When it was stopped, in other words, when the Dollar “tap” was closed, then there was a “shortage” of US Dollars in the international market. The result was the value of the Dollar going up making other currencies pay more money for a US Dollar.
With the appreciation of the US Dollar, imported goods in the US became cheap. However, the demand for their exports will go down, as other countries will have to pay more money for American made products than before.
With the strength of the US Dollar, oil prices will go down too. As a result the local currency of oil exporting countries will depreciate as against the Dollar.
What MR says is correct. The impact of the strong US Dollar varies from country to country depending on their economic policies. I’m sure they had a better policy (though I can’t remember now.) As Wimal pointed out, Ethiopia seems to have better economic policies than our slave government. Mangala should be sent to Ethiopia on a study tour.
However, paying off debt will cost more Rupees than before which is inevitable. Even Lord Brahma can’t stop it.
There is a dire need for a new economic system. Though MR/others say they know the job better than others as they have experience, the old system which is outdated, can’t make the country get out of debt. I hope MR will be receptive to new ideas.
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JD / September 23, 2018
Why should Mahinda RajaPakse answer and why Ranil’s HARVARD Team predict this Catastrophe and they solutions only to make Ranil prosper only if he wins another term. I can not understand that Harward is this stupid.
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JD / September 24, 2018
Iam sorry, It should be …………. did not predict and …………..they presented slutions…………..
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yus ibrahi / September 23, 2018
As every currency has depreciated against the Us $ let’s appoint Mahinda as the universal emperor to solve the problem with the assistance of Cabral.As a test run of his economic expertise let’s hand over Mattala airport to the Rajapakses to make it viable.
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joker / September 23, 2018
If you want MR to solve the depreciation of the rupee, vote him back into power. He doesn’t need to give a free lunch to the joke of a yahapalanya government.
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joe noitall / September 23, 2018
Rupee depreciation is good for our tourism and remittances from foreign workers. This will increase our hotel revenues and as well provide relief to families who depend on remittances from overseas. Also will encourage FDI as the projects done locally will require less foreign exchange. The losers will be the equity market investors and funds management guys who invest in SL who are one of the culprits speculating in fx operations. This money however is of a temporary nature and in the long term is not going to help SL. Exporters will also get more rupees for their products and will encourage them expand and improve the quality of their products to be competitive internationally and this will force them to look at their cost structures and improve productivity. too.So all in all not a bad thing to have a weak rupee. Wonder what the sycophant unqualified Mahinda toilet paper roll Cabral will have to say now. The main reason why we have this problem is the heavy debt burden that was created during the Rajapakse regime by heavy borrowing for useless no return projects which only helped the Rajapakse family and cohorts and moron rob more funds. The mess for the financial situation today is clearly because of the Rajapakse regime who were only interested in borrowing to make commissions. Lock them up RW and Sirisena the patholaya.
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rbh / September 23, 2018
MR Dodges Media Queries, Imran khan facing the Media Quries Adapting to China Poverty eradication Not the mind set for borrowing
We will change the way Pakistan has been governed. We will change the mindset of the people of Pakistan. We will do it in two ways: One we will lift up bottom 50 percent of the population, rather than rich grow richer, bring people out of poverty, very much what china has done. China’s greatness is that it has taken out of poverty 700 million people in past 30 years. And it has become a world powerful
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Champa / September 23, 2018
Under all UNP governments, the wealthy got wealthier and the poor got poorer. Even this time no difference.
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dayal / September 23, 2018
it is foolish to expect an intelligent answer from MR. the question was to reveal his empty mind. even gabral is useless as he is not a trained economist. what is the advice he can hive MR?
-dayal
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hancho pancha / September 23, 2018
MR should own up this financial mess. Greek Bonds, extravagant spending to secure sponsorship of commonwealth games, purchase of Russian MIG Fighter Jets, Brother in law Nishantha milking the Srilankan Airlines and the list will never end. Not to forget his family extravaganza like the Millions of Rupees his wife and his mother in law incurred the taxpayer for the UNESCO Wesak Celebrations in Paris, acting like Queen Elizabeth II indulging in Bacchanalian propensity. When can we expect dumb Srilankans to wake up????
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Plato. / September 23, 2018
MaRa knows nothing of Economics: But the man is a Maestro at Siphoning off Rupees!
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Patriotric Lankan / September 23, 2018
I also saw out Drumwamsa by the side of MR stating during MRs regime they paid the outstanding debts of the Chandrika government , D B Wijetunge’s government, Premadasa’s government, JRs government, Sirima’s government as well as Dudley’s government and even DS senanayake’s government.This idiot does not know that the governments from DS, Dudley , Sirima and even JR managed if there were any debts without selling the country to the Chinese as done by MR for 10 years!!! Who is Weerawamsa to talk about sovereign debt? He is a crook who has the gab to fool innocent people with his false statements. May Pachawamsa simmer in his own juices l!!!!!
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N. Wimaladasa / September 23, 2018
We have to be carefully an observed that of complex issues of that Rupee deprecation was/is mismanaging whole Economy and as well as the monetary policies by UNP Ranil Wicks and his gang.
By and large last 48 months trend of Free Fall of Rupee against US Dollars was key policy shifting was major economies of Lanka under Ranil Wicks. It was voiced in relation to nation dominated economy by UNP economics corridor an OPEN for of that Western and Indian Companies.
Our Rupee value has lost potential threat from Big companies of which jeopardizes whole national currency by UNP initiative..
The flood Gate has open to all unnecessary IMPORTS of Commodities by Ranil Wicks and his cronies.
While relax Foreign Currency market , by removed many exchange Control Rules and regulation by UNP Ranil Wicks has undermined Foreign reserves.
It is well understood fact unknown economy policies by delivered gang led by Ranil Wicks and his team has govern since 2015 January 8th ruin whole nation sustsnsbility of Development as well as projects was initiated by previous MR government.
I am not allied to MR set of policies ,but MR and his team has been realized that shifting Global capital market for West to East or south even before end of War in 2009 May 19th., which against Tamil Terrorist WAR launch by LTTE and TNA over 30 odd years of Separatism.
I do want to proposed that MR and his team has to search for New Venture market capitalism not that OLD one advocated by UNP orthodox politics has failure to do so.
In fact Stable and stability of RUPPE is life-line deliver policy of Sustsnsbility of Economies development time being.
Undoubtedly Stable currency if motto of my Economic policy.
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K.Pillai / September 23, 2018
“MR Dodges Media Queries On How To Prevent Depreciation Of Rupee”
Unfair. No one knows how to!
Depreciation of currency is worldwide. The present dominant currency is the US$ but at one time it was the GBP. The US$ also depreciates, some slower but others depreciate faster. This seems to be a required aspect of the consumer oriented world economic order. The need to keep everyone on a war footing also helps.
No one knows why currency depreciates. MR’s silent-dodges of the media questions is a way of saying “I do not know”.
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Rohan / September 23, 2018
All idiots. Period. That’s why this good country and people are in this sad pathetic plight.. Man, soon after 2007/8 crush, for a long period, the Obama administration kept the interest rate at zero for the economy to pick up. Cheap money, the Americans borrowed heavily since zero return in their country, they invested heavily all over the world to get higher returns. After Trump, the rates are rising, and they are pulling out the money and taking it back to the US to earn more. Those countries heavily exposed to this are facing lot of pain for their currencies are hitting rock bottom. Only way forward – in the long run – is to export massively to build good reserves to mitigate this kind of issues. For this we requir lot of foreign investment for that we need more open and liberalised trade regime. We have to connect well with the world trade for this we need more and more free trade agreements to facilitate massive international trade, export and foriegn investment flows into the country. These idiotic donkeys owing to their power greed, not enlightening this simple magic to the poor people who suffers the most on this. If fail to do this, it would be like the story in the early seventies, more queues, more shortages, eating leaves, barks, manioc and bathala. Our rupee is nothing, we need foriegn exchange – dollars, pounds, Euro, yen etc – for the imports and to services foriegn debts. It’s not the time to shame, think about it and work hard to soon rectify these issues, else all are going to be doom for good.
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Julampitye Amaraya / September 23, 2018
MaRaya Jarapassa is an expert on Finnacial Jilmarts and so His Jarapassa sibiling and Families. the other leaches also there because Cabba is there to ransack the central bank and Treasury. why Jarapassa did not bring his mates Jarawansa and toosion bandula for press briefing. Whole lot of Leaches ,Hyenas and Vultures Sucked and hoping to sucking the poor peoples blood.
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Lasith / September 23, 2018
The LKR decline is as a result of the USD gaining in strength mostly.
Open your eyes, Indian rupee has hit an all time low of 70+ Rs to a USD.
British pound that gained against the USD has declined again. Like wise the Euro. Euro used to be 1.5 times the USD. Today EURO is almost equal to the USD. The same goes for the Canadian Dollar.
This is not something the SL government can fight. It is good in a way if the LKR can assume its true value, at least it will favour exports and discourage imports.
What we should worry more about is the purchasing power of the rupee within the country.
If the rupee falls against the USD but prices within the country are holding then this can be a blessing. Purchasing power of the LKR going up, exports looking good and imports getting less.
We have to see what the government will do to cushion the effects of this change on the public.
I say cut imports for starters, ramp up the local production capacity, focus on developing local products to replace imported stuff. Turn the entire scenario in our favour.
Lets wait and see.
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Real Revolutionist / September 23, 2018
RW predicts, MR dodges
Both can’t do it.
People must find a new person.
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Douglas / September 23, 2018
I cannot understand why this “JOKER” – a DEPOSED KING is taken so seriously and given prominence. This man said some time back that he would TAKE OVER the Government after the “SINHALA/TAMIL NEW YEAR. Then he changed that strategy to: “After the “WESAK POYA” Next “HE” declared to “INSTALL” himself as the Prime Minister after the “Palaath Saba” (Local Government) elections. Nothing happened and he still is the MP for Kurunegala Distrct. Having failed all that, now “HE” is asking: “Give me the Government, if you cannot manage the escalating Foreign Exchange Rate” Do any one with an atom of brain and knowledge want to believe this and his coterie of JOKERS? The only purpose would be to have some FUN TIME engaging “HIM” in conversation of these type of Media Dramas.
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Buddhist / September 23, 2018
Cabraal when he was the Governor of Central Bank is the one who sent CB money illegally to USA through the then Ambassador of SL (now in Foreign Ministry over looking US Embassy in NY) to Sajin Vass for his illegal spending. Cabraal is one who worked very closely with Perpetual Treasuries which handled black money of his Bosses in the Govt. In fact Cabraal got his sister appointed as a Director at Perpetual Treasuries. Today he is trying to be a saint. His advice, his actions and his direction are the reasons why Sri Lankan Government’s finances are in such a mess.
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JD / September 24, 2018
It is not rocket science. Many countries which only imported and that didi not have any considerable export income had their currency devalued. Sri Lanka only imports and the barrier against is the income of those women who come in coffins 500 a year. That money is spent on fuel. Any way, toilet paper is worth more in the west than the rupee. The solution is to stop imports as much as they can. But, Ranil and Mangala’s Harward (MCC) team wants rupee depreciated, so they can buy sri lanka out right for their toilet paper. Why Should Mahinda Rajapake explain it and pi$$ off an Embassy which will say we don’t want rajapakses in the president’s office. I don’t think MY3 understands any of these things (Mahinda Rajapakse also does not understand. At least for the time being he is safe). His Viyathun team is also foreign experts and sri lankan expertys who want that break point for viyathun to get into the capitalist world, See how many of these Viyathuns after the election says that I had lot of family fortune, we did not steal and we have only what we were given. Anyway, I heard, the govt is so bankrupt and there is no officer appointed to looks after the ancient buddhist temples in the North and south. So Protestants throw every thing into the OCean saying it is our ancient mythical homeland and buddhists place Statues every where. Wigneswaran began the same thing. I don’t know whether it continues or not.
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Mallaiyuran / September 24, 2018
Ranil had explained that the SL currency value falling only because American currency is increasing. He sighted India, Brazil & Pakistan as countries in parallel to Lankawe. We had said somewhere else that Lankawe status of economy is well said by Lankawe rupee, not by Pakistan or Indian Rupee. There are so many variables get together to tell if the SLR is indicating to crash path or simple fluctuation of the floating market. Pakistan and Brazil had faced their down turn. Pakistan is in real mess. Pakistanis had same problem of selecting their PM as Lankaweyans had. So Ranil comparing LKR to PKR is only confirming the economic trouble Lankawe facing, but not clearing it. Indian consummation has massively increased. TN like some states now have all the social welfare expenses like Lankawe had all these times. Two years ago, during Diwali, we could not buy any Indian beans or Dals. You can get Turkey Masoor Dal, no Indian dal in Patel Brothers. India will have to balance this new consummation by their currency exchange. India has become a big power hungry country. It pays for that. Still why INR is losing is needed a close economics study, not Ranil’s escape talk.
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Mallaiyuran / September 24, 2018
Ranil said that when American banks collapsed, investors pulled the money out & now they are taking to America that is American currency appreciating. Sound like an explanation, but it a fraud. If we look at LKR, it never in the history appreciated against Dollar, irrelevant of whether investors were pulling out of US or going back to US. When American banks collapsed all country faced the same problem other than China and India. Though there was a small improvement in Indian FDI, but China did not show sudden surge. Ranil’s game is not backed up numbers. While America pushed down its interest rate to zero still LKR was losing very badly, but INR was not falling like that.
LKR is continuously falling from the time JR floated it. If the economy is holding well, within the first two, three years of fall will have balanced to the real value. This is parabolic decease in value for ever. An enormous amount of loan has been pumped into the country for the last 15 years. But this has not slowed or reversed the parabolic nature (Accelerated Decrease).
American currency may be increasing because there is massive global exchange growth in trade. That needs not to indicate American GDP growth or even the Global GDP growth. But this increase is not observed widely against on all major currencies. So, the LKR down fall is only about the mismanagement of economy from 1948. It is Singapore & Korea are the good comparisons to Lankawe.
LKR was falling while Old Royals were there too. But it was slow just after the war for one or two years. When he encountered serious trouble of managing the economy, he just conducted an election and ran out of Temple Tree House. The idiot understands nothing about economy though he held 80% of the budget and swindled the country.
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Good Sense / September 24, 2018
Is MR a man who answers a difficult question? It is senseless to expect an artful dodger to answer a very difficult but important question affecting all Sri Lankans. There are a few standard tricks. The well known is to suffer from political amnesia.
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Bensen Berner / September 24, 2018
On what matter does this artful dodger not dodge? Bensen Berner
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Native Vedda / September 24, 2018
Bensen Berner
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“On what matter does this artful dodger not dodge? Bensen Berner”
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Remember Dr Mahinda is a politician hence by definition he does not have to answer the people or find solutions to mounting problems or in fact feel ashamed of his/her behaviour as long as the media remain his/her cheerleaders and the people remain stupid.
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