India offers economic lifeline to Sri Lanka with multimillion dollar fuel assistance
Following widespread protests in Sri Lanka over rising energy prices, India has offered the island nation an additional $500 million in financial assistance to buy fuel.
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One of Sri Lanka’s biggest fuel suppliers has raised the price of petrol by nearly 20 percent [source: Getty]
India will provide an additional $500 million in financial assistance to Sri Lanka for it to buy fuel, Sri Lanka's foreign minister told reporters on Wednesday.
The minister also said Bangladesh was willing to postpone a $450 million in swap repayments.
"Assistance by the IMF will take about six months to come to us and it will come in tranches," Sri Lankan Foreign Minister G. L. Peiris said. "During the intervening period, we need to find funds to keep our people supplied with essentials."
Sri Lanka is suffering from one of its worst economic crises in decades, with fuel prices rising and the government accused of failing to address the deepening financial woes.
Several people have taken to the streets in recent days to demonstrate against the worsening situation. Police fired at a group of protesters on Tuesday, killing one person and injuring 13 others.
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