Friday, July 15, 2022

Ground Truth : Ceylon 2022

Economist podcast : Average Sri Lankans were better off economically than their counterparts in India, Pakistan and Bangladesh. Now, the same people are skipping meals.

WSJ podcast : Due to the power-cuts and lack of fuel, people are lighting fires on balconies to cook meals.

In a nutshell : SL borrowed heavily to fund development - some projects ridiculously grandiose - like the new empty airport (named after the ruling family) which is now being infiltrated by wild elephants (real. Wait a tick! SL is an island. How did elephants get there?). They counted on tourism revenue to pay off the loans. But then the pandemic hit and choked tourism. Then the Russian invasion of Ukraine hit and that sent prices of food and fuel above the breaking point. Now they're bankrupt and need $6b by the end of the year (for what?)





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