Bankrupt Sri Lanka asks citizens abroad to send home cash

Bankrupt Sri Lanka asks citizens abroad to send home cash

Appeal came a day after the government announced it suspended payments to all foreign debt, which would free money to refill gasoline, pharmaceutical, and other needs.

Sri Lanka urged its citizens abroad to send money home to help pay food and fuel needed Wednesday after announcing the default on $ 51 billion foreign debt.

The island country is in the grip of the worst economic crisis since independence in 1948, with a shortage of severe important items and periodic blackouts that cause difficulties that are widespread.

Authorities moisturize intense public anger and protest enthusiasm demanding the resignation of the government ahead of negotiations for the international monetary fund bailout.

Nandalal Weerasinghe’s central bank governor said he needed Sri Lanka abroad to “support the state at these important points by contributing a very needed foreign exchange”.

His request came a day after the government announced it suspended payments to all foreign debt, which would free money to refill gasoline, pharmaceutical, and other needs.

Weerasinghe said he had set up a bank account for contributions in the United States, Britain and Germany and promised Sri Lankan expatriates, the money would be spent where the most needed.

The bank “assures that such foreign currency transfers will be used only for essential imports, including food, fuel and medicine”, Weerasinghe said in a statement.

The default announcement on Tuesday will save Sri Lanka around $ 200 million in payment of interest falling on Monday, he said, adding that the money would be diverted to pay important imports.

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