(Photo by Anthony Behar/Sipa USA)
COLOMBO, Sri Lanka (AP) — Sri Lanka’s prime minister says its debt-laden economy has “collapsed” after months of shortages of food, fuel and electricity.
In comments underscoring the country’s dire situation as it seeks help from international lenders, Prime Minister Ranil Wickremesinghe told Parliament the South Asian country is “facing a far more serious situation beyond the mere shortages of fuel, gas, electricity and food.
Our economy has completely collapsed.” Wickremesinghe is also the finance minister tasked with stabilizing the economy. He said Sri Lanka cannot purchase imported fuel, even for cash, due to heavy debt owed by its petroleum corporation.
The country is negotiating with the International Monetary Fund on a bailout, with a preliminary agreement expected next month.
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