Government Denies Claims of Unusual Borrowing Post-Election
October 16, Colombo (LNW): Senior Advisor to the President on Economic and Financial Affairs, Prof. Anil Jayantha, has refuted media reports suggesting that the government has engaged in extraordinary borrowing following the appointment of President Anura Kumara Dissanayake.
Addressing inquiries about allegations that local and foreign borrowings have surged since the new president took office, Prof. Jayantha clarified that the government is only conducting regular fundraising activities, such as selling treasury bills and bonds, to meet essential expenses and repay maturing debts.
“This is a standard process carried out by any government to ensure the smooth running of services and day-to-day operations,” he said. “There has been no special or unusual borrowing apart from the normal financial activities.”
Prof. Jayantha also pointed out that these fundraising operations, such as selling treasury instruments and collecting US dollars, have been in place prior to the current administration, and any claims of increased borrowings need to be carefully investigated.
He stressed that the Central Bank of Sri Lanka is responsible for maintaining the stability of the financial market, and its recent actions are part of the regular efforts to sustain economic balance. The professor reiterated that there is no basis for the claims of unusual financial activities and urged further scrutiny into the actual amounts borrowed from both local and foreign markets.
