Sri Lanka is 'bankrupt,' Prime Minister says

[WizardofSoda]

https://www.cnn.com/2022/07/05/asia/sri-lanka-bankrupt-fuel-crisis-intl-hnk/index.html

"We are now participating in the negotiations as a bankrupt country. Therefore, we have to face a more difficult and complicated situation than previous negotiations," Wickremesinghe said in parliament.

Sri Lanka population 2020: 21 million.

Well add them to the list of Pakistan and Argentina that recently went down and the West is taking over.


If I was the leader of Sri Lanka I would never take the loans and fight it out if necessary. Because the conditions of those loans amounts to handing over the country.

 

[WizardofSoda]

One thing the IMF saw is in Sri Lanka everyone and their brothers and cousins.. and all their brothers and cousins are on the government payroll.

So the IMF came up with a number for staffing reductions in the government. Now its basically like guys with machetes in a melee to see who gets the remaining chairs.

 

[faded]

https://www.cnn.com/2022/07/05/asia/sri-lanka-bankrupt-fuel-crisis-intl-hnk/index.html



Sri Lanka population 2020: 21 million.

Well add them to the list of Pakistan and Argentina that recently went down and the West is taking over.


If I was the leader of Sri Lanka I would never take the loans and fight it out if necessary. Because the conditions of those loans amounts to handing over the country.

 

[Misogynist Curry 卐]

It's over for dravidiancels

 

[WizardofSoda]

You have to be so stupid to bankrupt an entire national government.

They make it sound hard to avoid but its not. If the government gets $10 billion in tax revenues you spend less than $10 billion.

 

[Justdone]

You have to be so stupid to bankrupt an entire national government.

They make it sound hard to avoid but its not. If the government gets $10 billion in tax revenues you spend less than $10 billion.

So they actually need tourism more than Japan

 

[Transcended Trucel]

You have to be so stupid to bankrupt an entire national government.

They make it sound hard to avoid but its not. If the government gets $10 billion in tax revenues you spend less than $10 billion.

true imo Sri Lanka should bow down to the west. They don't have the ability to fight it out nor self-govern clearly.

 

[WizardofSoda]

true imo Sri Lanka should bow down to the west. They don't have the ability to fight it out nor self-govern clearly.

Ya they aren't able to have self-governing status. So they can go back to being a colony with an appointed governor from the Crown of England.

In all honesty basically that is what will happen just it will be behind the scenes.


Thats what happened in the EU to all the Catholic countries. Is one by one they all went under. Then the EU was willing to bail them out but they had to permanently transfer their sovereignty to the EU.

 

[HyperVersager_4EVER]

>Be underdeveloped country just walking out of decade long civil war and high tensions
>No natural resources or significant industrial base
>Heavily reliant on tourism and agriculture
>Major Terror attack happens three years ago drying tourism income
>Covid happens. Global shutdown kills what's left of your meager tourism income
>Agriculture is your last leg
>In your infinite wisdom put some woke morons into office who want organic agriculture
>Woke morons have no idea wtf they are doing, they try to change your agricultural economy rapidly and forcefully
>Instead of training farmers properly and planning a gradual, sustainable phase out you force people who have no idea how to do organic farming your woke shit
>They complain and clearly tell you it doesn't work, you respond by shutting them down and banning the much need fertilizer imports
>To do surprise of nobody, you have a horrible harvest
>The heavily strained government budget collapses
>Public services, imports, everything else fall down too like dominos
>Bonus points for playing the blame shifting politics game instead of actually trying to stop the crisis
>Country on the verge anarchy
Congrats you have a Sri Lanka

You have to be so stupid to bankrupt an entire national government.

They make it sound hard to avoid but its not. If the government gets $10 billion in tax revenues you spend less than $10 billion.

That's a bit simplified down
For liquidity reasons most governments are indebted varying amounts(Much easier to manage quick loans rather than summoning your national money out of the bureaucratic hellhole). As long as you can manage them the debt isn't fundamentally a problem.
But for a developing/underdeveloped countries it can be a big problem if the income quickly falls and it spills out of control, which is exactly what happened in Sri Lanka.

 

[Deleted member 43828]

Poor lankacels

 

[racoon4]

new colony @faded @mentalcel1 @kikecel

 

[I.N.C.E.L.S. Boss]

>Be underdeveloped country just walking out of decade long civil war and high tensions
>No natural resources or significant industrial base
>Heavily reliant on tourism and agriculture
>Major Terror attack happens three years ago drying tourism income
>Covid happens. Global shutdown kills what's left of your meager tourism income
>Agriculture is your last leg
>In your infinite wisdom put some woke morons into office who want organic agriculture
>Woke morons have no idea wtf they are doing, they try to change your agricultural economy rapidly and forcefully
>Instead of training farmers properly and planning a gradual, sustainable phase out you force people who have no idea how to do organic farming your woke shit
>They complain and clearly tell you it doesn't work, you respond by shutting them down and banning the much need fertilizer imports
>To do surprise of nobody, you have a horrible harvest
>The heavily strained government budget collapses
>Public services, imports, everything else fall down too like dominos
>Bonus points for playing the blame shifting politics game instead of actually trying to stop the crisis
>Country on the verge anarchy
Congrats you have a Sri Lanka

That's a bit simplified down
For liquidity reasons most governments are indebted varying amounts(Much easier to manage quick loans rather than summoning your national money out of the bureaucratic hellhole). As long as you can manage them the debt isn't fundamentally a problem.
But for a developing/underdeveloped countries it can be a big problem if the income quickly falls and it spills out of control, which is exactly what happened in Sri Lanka.

So if i understand, their currency was backed by tourism and agriculture. But due to covid hitting tourism and questionable agricultural management, their currency got massively devaluated.
To the point where the debt when translated to Sri Lanka currency reached astronomical amounts due to the severe davaluation ? hence the bankruptcy ?

 

[faded]

new colony @faded @mentalcel1 @kikecel

It was always a colony you stupid goyim but now we need to collect our debts

 

[faded]

Oy vey

 

[HyperVersager_4EVER]

So if i understand, their currency was backed by tourism and agriculture. But due to covid hitting tourism and questionable agricultural management, their currency got massively devaluated.
To the point where the debt when translated to Sri Lanka currency reached astronomical amounts due to the severe davaluation ? hence the bankruptcy ?

Add mismanagement and corruption(which resulted in downgrade of their credit rating, which in turn further worsened the debt crisis) to the list and basically yes. 1 USD equaled 200 Sri Lankan Rupee in March, which became 360 Rupee in May.

 

[WizardofSoda]

>Be underdeveloped country just walking out of decade long civil war and high tensions
>No natural resources or significant industrial base
>Heavily reliant on tourism and agriculture
>Major Terror attack happens three years ago drying tourism income
>Covid happens. Global shutdown kills what's left of your meager tourism income
>Agriculture is your last leg
>In your infinite wisdom put some woke morons into office who want organic agriculture
>Woke morons have no idea wtf they are doing, they try to change your agricultural economy rapidly and forcefully
>Instead of training farmers properly and planning a gradual, sustainable phase out you force people who have no idea how to do organic farming your woke shit
>They complain and clearly tell you it doesn't work, you respond by shutting them down and banning the much need fertilizer imports
>To do surprise of nobody, you have a horrible harvest
>The heavily strained government budget collapses
>Public services, imports, everything else fall down too like dominos
>Bonus points for playing the blame shifting politics game instead of actually trying to stop the crisis
>Country on the verge anarchy
Congrats you have a Sri Lanka

That's a bit simplified down
For liquidity reasons most governments are indebted varying amounts(Much easier to manage quick loans rather than summoning your national money out of the bureaucratic hellhole). As long as you can manage them the debt isn't fundamentally a problem.
But for a developing/underdeveloped countries it can be a big problem if the income quickly falls and it spills out of control, which is exactly what happened in Sri Lanka.

That is insanely stupid to go with organic agriculture. Organic agriculture is for some woke rich people to do on their hobby farms and get minimal farm yields but get to look down their nose as snobs at real farmers as polluters.

And the woke always go all in right away when they get power, instead of trying it out in some small areas like you said, seeing how it goes. If it appears to be working, expand it more and work out the problems that emerge. So we are talking a long switchover in the unlikely event it works. Aka science. For renewable energy in Europe they actually started that way and it showed it didn't work. So they put massive subsidies with tax dollars on it and went all in, because in their religion they weren't willing to accept that it didn't work.



For the liquidity reasons in honesty I feel most small countries aren't viable over the long run. Because they are based on one or two industries, so what happens when those two industries go down and stay down for a decade? The opposite can happen too, what if they have two industries and both go into a long boom. Their currency then will be very high and stifle development in other industries.

If you look at the EU currency it is very stable compared to most of the old Eurozone currencies. Because the euro it averages out across many industries and outright countries. That stabilization is important for example for governments or corporations thinking about long term large capital investments in a place. For example if I am building some industrial plant in Germany and going to hire 5,000 people in the city directly and with the subcontractors. I can calculate out the wage costs, and other costs and probably those aren't going to change much year to year.

Also regulatory stability is really important. People asked when large corporations are investing in Europe why do they keep choosing Germany? I mean with relatively high wages and shortages of workers it seems not a good choice at first. But Germany has this large sophisticated stable state, that corporations trust. Whereas they don't trust one of the small countries to not change the rules on them 10 years from now.

The plan in the EU is to have a US or Germany like superstate across the whole EU.

 

[JayGoptri]

https://www.cnn.com/2022/07/05/asia/sri-lanka-bankrupt-fuel-crisis-intl-hnk/index.html



Sri Lanka population 2020: 21 million.

Well add them to the list of Pakistan and Argentina that recently went down and the West is taking over.


If I was the leader of Sri Lanka I would never take the loans and fight it out if necessary. Because the conditions of those loans amounts to handing over the country.

Oh yeaah. This is the next one. They can take help from India proper and/or by proxy the West.

 

[ilieknothing]

Over for Dilmahcels

 

[WizardofSoda]

Oh yeaah. This is the next one. They can take help from India proper and/or by proxy the West.

India seems to have a critical mass that its quite stable. One example is the Indian Ministry of Agriculture must be a vast ministry with at least some smart people in it. Its not likely to do some crazed policies with disastrous results. Then the large Indian provinces they must have their own departments. Probably one province or another is doing something stupid all the time, but the others can bail it out and reform it.

 

[HiddenUzer]

time to betabuxx some srilankan stacies

 

[JayGoptri]

India seems to have a critical mass that its quite stable. One example is the Indian Ministry of Agriculture must be a vast ministry with at least some smart people in it. Its not likely to do some crazed policies with disastrous results. Then the large Indian provinces they must have their own departments. Probably one province or another is doing something stupid all the time, but the others can bail it out and reform it.

Well said. Yes.

For example in Delhi there is the Aam Aadmi party. Sometimes in line with BJP and sometimes seperatist. Most of India is relatively stable despite what's happening in the West. Overtime however, due to the West's decline, this gets eroded.

 

[JayGoptri]

>Sri lanka
>Stacies

Choose one, Sri Lanka is more subhuman than the india dude

There are many pretty women in Sri Lanka.