After the government declared bankruptcy, people suffering from economic pain took to the streets on July 9, holding large-scale anti-government demonstrations in the capital Colombo, and even stormed into the presidential palace to vent their anger.

[Text/Observer Network Qi Qian] Sri Lanka has experienced a week of dramatic turmoil. After the government declared bankruptcy, people suffering from economic pain took to the streets on July 9 and held large-scale anti-government demonstrations in the capital, Colombo, and even stormed into the presidential palace to vent their anger. On the same day, Sri Lankan Prime Minister Wickremesinghe, President Rajapaksa and many ministers announced their resignations.

After one night, on July 10, local time, the streets of Colombo returned to calm. But a large number of demonstrators still gathered in the presidential palace, and they even cooked, camped and played cards inside... One of the demonstrators said that "we will not stop" until the president leaves.

On the same day, Sri Lanka's opposition political parties will hold a meeting, hoping to reach an agreement on the establishment of a new government.

Affected by years of mismanagement, corruption, epidemics and other problems, Sri Lanka's total foreign debt so far has reached 51 billion US dollars, and it is no longer able to buy fuel and other necessities. United Nations data shows that nearly 90% of households in the country are worried about food, and 3 million people are receiving emergency humanitarian assistance. " New York Times " stated that Sri Lanka will need at least US$6 billion by the end of this year. But the question is: where does this money come from?

"If the president doesn't leave, we won't stop"

According to reports from Sri Lanka's " Daily Mirror " and Al Jazeera , after storming into the presidential palace, burning the prime minister's house and successfully forcing the prime minister and the president to announce their resignation, the next day (10th), Colombo streets have returned to calm.

However, the Presidential Palace is still "busy with people."

A large number of demonstrators and local residents went to visit the Presidential Palace. Picture from "Daily Mirror"

Pictures and videos circulated by the media and social networking sites showed that a large number of demonstrators still gathered at the Presidential Palace and stayed there. They made friends at the presidential palace, camping, cooking, playing piano, watching TV, swimming, playing cards...

Al Jazeera reporters present also noticed that many locals came to visit the president one after another as if they were visiting scenic spots. Mansion. One woman with her two teenage daughters said she came "to see with my own eyes" how the presidents live.

In recent months, due to the epidemic and other factors, this South Asian country with a population of 22 million is experiencing the most serious economic crisis in more than 70 years. With its foreign exchange reserves almost depleted and important supplies unable to be imported, Sri Lanka is experiencing serious domestic shortages of fuel, food and medicine. There are power outages for several hours every day, and people have to queue up to buy gasoline and diesel.

On July 5, local time, Prime Minister Wickremesinghe announced to Parliament that "the country is bankrupt" and said that this unprecedented economic crisis "will last at least until the end of 2023." On July 9, large-scale protests broke out in Colombo, the capital of Sri Lanka, and a large number of demonstrators took to the streets to participate in anti-government demonstrations. According to footage captured by local television and demonstrators, more than 100,000 people gathered outside Rajapaksa's official residence, demanding his resignation. Prime Minister Wickremesinghe's private residence was also set on fire by demonstrators.

In the afternoon of the same day, Prime Minister Wickremesinghe, President Rajapaksa and many ministers including the Minister of Investment Promotion and the Minister of Agriculture announced their resignations. According to the Constitution, the Speaker shall act as President for a period of no more than 30 days.

According to the "Daily Mirror" report, the Colombo police said on the 10th that they had arrested more than 3,000 people related to the protests. In addition, at least 50 people were injured during the demonstrations, including police officers.

"We will not stop until Gota (President) leaves," one demonstrator told Al Jazeera.

Demonstrators cooked and played cards at the Presidential Palace...

Sri Lanka urgently needs 6 billion US dollars, but where will the money come from?

The New York Times of the United States stated that Sri Lanka will need US$6 billion to purchase fuel and other necessities by the end of this year, of which monthly fuel costs will reach nearly US$500 million to stabilize its shaky economy.But the question is, “where does this money come from”?

India has been considered one of Sri Lanka's staunchest supporters, having provided $4 billion in credits and loans so far, but all of them have been exhausted in recent months. Indian Foreign Minister Subrahmanyam Jaishankar said on July 10 that India "has been working hard to provide assistance" and noted that there is currently no "refugee crisis" in Sri Lanka. However, India has not made it clear how it is or will help Sri Lanka tide over the difficulties.

The European Union and the United States also expressed their stance on the current situation in Sri Lanka on July 10. It is worth noting that the EU and the United States only urged Sri Lanka to achieve a "peaceful, democratic and orderly" government transition and to take quick action and implement solutions, but neither mentioned whether they would provide support and assistance to Sri Lanka in trouble.

Among them, the EU spokesperson said that it is paying close attention to the developments in Sri Lanka, emphasizing that "it is the responsibility of leaders of all political parties to pave the way to resolve the crisis", while the EU is evaluating "available" support options; the US State Department spokesperson urged All political leaders in Sri Lanka should implement a rapid government transition to address popular dissatisfaction with the economic situation, while stating that "the people of Sri Lanka have the right to peacefully make their voices heard."

The International Monetary Fund (IMF) said in a statement that the institution hopes that the current situation will be resolved so that the two sides can resume negotiations on the rescue package. Before the country declared bankruptcy, the Sri Lankan government was negotiating with the IMF, hoping to seek US$3 billion in bailout funds. The New York Times stated that the recent turmoil will further complicate negotiations and thereby delay the IMF's rescue plan.

Al Jazeera quoted political analyst Aruna Kulatunga as saying that whoever takes on the task of rebuilding and stabilizing Sri Lanka will not only be a difficult job, but also a "dangerous" job.

The Chinese government has announced twice recently that it will provide emergency humanitarian assistance to Sri Lanka. A batch of food arrived at the Colombo International Container Terminal on June 28, local time. Chinese Ambassador to Sri Lanka Qi Zhenhong said that vulnerable groups, including children, have been hardest hit by the economic crisis. China is willing to work with Sri Lanka to prioritize children's dietary health and basic education under difficult circumstances and help Sri Lanka overcome the difficulties as soon as possible.

China's aid food arrived at the Colombo pier, picture from CCTV news

Three feet of ice, not a day's cold

According to the Chinese Ministry of Foreign Affairs, The Democratic Socialist Republic of Sri Lanka is south of the South Asian subcontinent on the Indian Ocean The island country faces India across the Palk Strait to the northwest; it covers an area of ​​65,610 square kilometers, has a population of 21.92 million (2020), and its capital is Colombo.

As early as last year, Sri Lanka's economic crisis had begun to show its signs. In September 2021, President Rajapaksa declared an "economic emergency" in the country. In June, the country's inflation soared to 54.6%, and food prices soared 80%. Prime Minister Wickremesinghe said that IMF bailout was the only option to avoid an economic disaster. But not long after, on July 5, Sri Lanka officially declared bankruptcy.

As for why Sri Lanka’s economy is in such trouble? The Associated Press quoted economists' analysis as saying that the crisis stems from years of mismanagement and corruption by the Sri Lankan government.

First of all, there have been voices criticizing President Rajapaksa and his family's political corruption in Sri Lanka; secondly, Prime Minister Wickremesinghe's many policies, including tax cuts and the promotion of organic agriculture when government revenue is reduced, have exacerbated the situation. This has addressed the country’s already existing economic problems; as an important engine of the country’s economic growth, tourism has been hit hard during the epidemic and after the terrorist attacks in 2019.

According to the Associated Press, Sri Lanka's total foreign debt has reached US$51 billion, of which US$25 billion needs to be paid before 2026, and another US$7 billion needs to be paid this year. But currently, Sri Lanka, which is extremely short of money, has suspended its foreign debt repayments. The Indian Ocean island nation is in the throes of the worst economic crisis in its history as foreign exchange reserves are depleted and goods imports cannot be guaranteed.

The United Nations World Food Program stated that nearly 9 out of 10 families in Sri Lanka are taking various measures to save food, and 3 million people are receiving emergency humanitarian assistance. Doctors, meanwhile, are turning to social media to try to secure supplies of critical equipment and medicines.

"In short, in Sri Lanka, people are suffering and longing for things to get better soon," the AP concluded.

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