Sri Lanka deploys troops in capital after violent stir
Central bank chief warns economy will ‘collapse’ unless a new govt is appointed to restore stability
Sri Lanka’s economy will “collapse” unless a new government is urgently appointed, the central bank chief warned Wednesday, as security forces fanned out on the streets to restore order after spasms of mob violence.
Police say nine people have died since Monday, when frustration at a dire economic crisis erupted into clashes between backers and opponents of President Gotabaya Rajapaksa, injuring more than 200.
Opposition parties have refused Rajapaksa’s overtures for a unity government to resolve a political deadlock and instead demanded his resignation. Central Bank Governor Nandalal Weerasinghe said it was critical that a new administration take charge by Friday or the country would suffer a catastrophe.
“The economy will completely collapse and no one will be able to save it,” he told reporters.
“The country was fast going down a slope when I took over just over a month ago. I thought we were able to apply the brakes, but with events of Monday the brakes no longer work.”
Shortly after taking over as the bank’s chief in April, Weerasinghe announced a default on Sri Lanka’s $51 billion external debt, saying the country had no money to pay its creditors.
He said political stability was vital to implement the reforms needed to address Sri Lanka’s snowballing debt crisis and the acute shortage of foreign exchange to import essentials.
Security forces have largely curbed public disorder after they were deployed to enforce a nationwide curfew with orders to “shoot on sight” anyone engaged in looting or violence.
“If the situation is not brought under control, there could be total anarchy,” a senior security official told AFP on condition of anonymity.
Deserted streets
The capital Colombo was almost deserted on Wednesday aside from soldiers manning checkpoints, near the charred remains of buses that had been set alight by anti-government crowds.
With armoured personnel carriers and a heavy security presence, Sri Lanka’s military chief addressed a press conference to deny speculation of a looming coup.
“Don’t ever think that we are trying to capture power,” said Kamal Gunaratne, the secretary of Sri Lanka’s defence ministry.
“The military has no such intentions.”
In a tweet, Rajapaksa on Wednesday called for “all Sri Lankans to join hands as one, to overcome the economic, social & political challenges”.
But the main opposition SJB party reiterated it will not be a part of any government with Rajapaksa still president, even after his brother Mahinda’s resignation as prime minister on Monday.
Talks to break impasse
Sri Lankan President Gotabaya Rajapaksa was having talks with the ruling party dissidents and the main Opposition Samagi Jana Balawegaya ( SJB) on Wednesday to end the political impasse after the resignation of prime minister Mahinda Rajapaksa.
After nearly two days of political deadlock, the stakeholders are engaged in prolonged talks to try and appoint a successor to Mahinda Rajapaksa. The SJB said that its leader Sajith Premadasa would not be taking over the premiership under President Gotabaya Rajapaksa.
“He must resign, he has lost both local and international support,” SJB spokesman Lakshman Kiriella said.
Meanwhile, the Marxist JVP said that they would like to form an interim government if Gotabaya Rajapaksa steps down.
If he does not resign, then the party would give an external support from the Opposition to the interim government.