Friday Nov 15, 2024
Friday Nov 15, 2024
Tuesday, 1 March 2022 03:10 - - {{hitsCtrl.values.hits}}
Energy Minister Udaya Gammanpila yesterday said the Government must prioritise its needs to manage the economy. 
“It is high time that the Government cuts down on unnecessary spending and prioritises its needs to manage the economy. Certain items like apples, grapes, and honey are imported, while essential items such as medicines and fuel are not,” he told journalists yesterday.
It was pointed out that the country spent $ 21 billion on imports last year, of which the allocation for fuel
was only $ 2.8 billion.
Minister Gammanpila pointed out that if the Government will provide foreign exchange continuously, a continuous supply of fuel can be guaranteed. He claimed that the key crisis is neither fuel nor power, but the foreign exchange crisis.
“Already, there are vessels carrying fuel that are anchored near Colombo port, but the shipments cannot be cleared with no foreign exchange. These ships will not wait for payments if there was a fuel crisis,» he said.
He thanked the Central Bank for its unwavering support extended to supply foreign exchange in the past, noting that the matter is now being taken up by the Finance Ministry and everyone is waiting for the funds to be provided.
“The State banks have stopped providing loans, the Government has also failed to provide concessions to import fuel while taxes have not been lifted on imported fuel,” he said.
When asked about possible fuel price increase, Minister Gammanpila said he is not willing to comment on uncertain futuristic matters.
Minister Gammanpila also emphasised that the conflict between Russia and Ukraine has also impacted the global oil prices.
“The trade sanctions imposed on Russia by the world are impacting Sri Lanka as well. Part of the fuel demand for Europe was supplied by Russia and now they are all looking at the Middle East, which has been reflected in the high prices where crude oil prices are now over $ 100,” he explained.
