An assessment of the loss arising from the bond scam
June 21, 2015, 7:48 pm
By Ajith Nivard Cabraal
Former Governor of the Central Bank of Sri Lanka
The loss to the government is mainly due to the higher interest burden arising from the unnecessary and unwarranted increase in interest rates. Over the past few weeks, the government has embarked on a mission to stealthily brainwash peoplethrough carefully placed comments that no loss has arisen due to the Bond scam.
Sri Lanka’s biggest ever economic scandal, the Bondscam of 27th February 2015 created a useful platform for researchers, analysts and opinion makers to analyse, debate and comment on this unsavoury subject for over four months. Since the primary analysis has already been done, the priority now seems to be uncover the latent aspects of this scam so that the country could cut the losses and bring the master-mind behind this scam to justice. In order to do so, it is vital that politicians, academics, intellectuals and the general public are gradually familiarized with the technical issues and economic ramifications related to this subject.
