Economic crisis management: Consensual logical and consistent policy package is need of the day
http://www.ft.lk/article/515521/Looming-economic-crisis--policy-approaches-are-too-short-and-too-late-while-some-are-unproductive). It was manifested on the foreign exchange front, fiscal front and the money and credit front which all led to slow down the economic growth.
The article under reference warned the policymakers that their response to the crisis was too short and too late. The crisis was hidden by both the Central Bank and the Ministry of Finance in their respective annual reports for 2014 released in mid-2015.
The Bank’s Annual Report for 2014 has expressed satisfaction about the present state of the economy in its opening sentence as follows: “In 2014, the Sri Lankan economy showed the resilience in the face of domestic as well as external challenges. Real GDP grew by 7.4 per cent in 2014, in comparison to the growth of 7.2 per cent in 2013.”
The Ministry of Finance, in its annual report for 2014 released two months after the release of the Central Bank Annual Report, reaffirmed the Central Bank’s claim that the economy grew at a higher pace. In fact, the Ministry of Finance took pride in the high growth – at 7.4% on average – the country had maintained during the last five year period from 2010.
Present Government cannot continue to blame previous administration and remain doing nothing
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18 April 2016
Taking a completely contradictory view to the wisdom pronounced by IMF Mission, Central Bank Governor Arjuna Mahendran is reported to have dismissed the need for monetary policy tightening
An economic crisis hidden from the public’s view
Sri Lanka’s current economic crisis is no more a secret today. In a previous article in this series, this writer drew the attention of economic policy makers to its threefold manifestation (available at:
Sri Lanka’s current economic crisis is no more a secret today. In a previous article in this series, this writer drew the attention of economic policy makers to its threefold manifestation (available at:
http://www.ft.lk/article/515521/Looming-economic-crisis--policy-approaches-are-too-short-and-too-late-while-some-are-unproductive). It was manifested on the foreign exchange front, fiscal front and the money and credit front which all led to slow down the economic growth. 
The article under reference warned the policymakers that their response to the crisis was too short and too late. The crisis was hidden by both the Central Bank and the Ministry of Finance in their respective annual reports for 2014 released in mid-2015.
The Bank’s Annual Report for 2014 has expressed satisfaction about the present state of the economy in its opening sentence as follows: “In 2014, the Sri Lankan economy showed the resilience in the face of domestic as well as external challenges. Real GDP grew by 7.4 per cent in 2014, in comparison to the growth of 7.2 per cent in 2013.”
The Ministry of Finance, in its annual report for 2014 released two months after the release of the Central Bank Annual Report, reaffirmed the Central Bank’s claim that the economy grew at a higher pace. In fact, the Ministry of Finance took pride in the high growth – at 7.4% on average – the country had maintained during the last five year period from 2010.
Present Government cannot continue to blame previous administration and remain doing nothing
READ MORE
