Urgent: Reinstate special Fixed Deposit rates for senior citizens

Each year, the world commemorates the “International Day of Older Persons” on October 1. This day is celebrated globally to raise public awareness about the opportunities and challenges faced by aging populations and to mobilize families, community groups, and stakeholders to address the difficulties faced by older people.

On October 1, 2022, the Sri Lankan government marked the occasion by making a surprising announcement; the abrupt termination of the Senior Citizens Fixed Deposit interest programme, effective immediately. This programme had previously provided a substantial interest rate of 15% for deposits up to Rs. 1.5 million.

The decision carried far-reaching implications as the interest rate has now plummeted to around 9-10%, significantly and negatively impacting the financial well-being of elderly individuals.

This particularly affects non-pension drawing corporate sector employees whose retirement benefits are provided as lump-sum payments upon retirement. Often, these funds are allocated for essential purposes like home renovations and children’s education, leaving them with only a minimal amount that can be deposited in fixed accounts.

These elders had relied on this as a vital source of income and financial security, and the unexpected change in policy has left them in a precarious situation. Compounding this issue is the very old age group that require various forms of long-term care, including assisted living, community care, residential care, and extended hospital stays.

Ageing is associated with psychological, functional and compulsive changes affecting an individual’s physical, mental, emotional and social well-being. Research and literature on ageing have explored the relationship between health and ageing, revealing that with increasing age, several physiological and psychological changes occur, with a higher risk of developing chronic diseases. In many instances, among the older age groups (age 75 or over), the primary burdens of disability and mortality stem from age-related declines in hearing, vision, and mobility, and non-communicable diseases like heart disease, stroke, chronic respiratory disorders, cancer and dementia.

Healthy ageing aims to enhance the quality of life by reducing the risk of premature morbidity, disability, and death.

When considering older age groups, specifically individuals aged 70-79 and those aged 80 and over, the disability status within the elderly population varies by age and gender. In Sri Lanka, among the total aged population, it’s observed that over 75% of older individuals experience physical or mental impairments, often associated with the aging process. These impairments commonly include conditions such as cardiovascular diseases, cancers, diabetes, arthritis, depression, dementia, and Alzheimer’s disease.

Preventing and managing these diseases and functional difficulties in older age can play a significant role in delaying the onset of morbidity, allowing individuals to enjoy a better quality of life in the latter part of their lives.…

The effective implementation of the National Elderly Health Policy, launched in February 2017, is crucial to ensure the allocation of facilities and resources that can provide equitable, integrated, curative, preventive, and rehabilitative geriatric healthcare services throughout Sri Lanka. This approach is essential to safeguard the health and well-being of the older population in the country.