CB Pointed to High Levels of Poverty in Northern & Eastern Provinces.

Central Bank Governor Dr Indrajit Coomaraswamy said, that Sri Lanka’s central bank will study the growing indebtedness in Tamil-majority north and east.

 We are concerned about the rise in household debt referring to a prevalent post-war challenge facing families that are rebuilding their lives. Following the study and its analysis, the apex institution will take necessary steps.

After Sri Lanka’s civil war ended in May 2009, scores of displaced families,  who returned to their hometowns are struggling to piece their lives together. While the community suffered enormous losses for three decades, those resettling are grappling with few jobs, means to livelihood and often resort to heavy borrowing.

A recent report of the central bank pointed to high levels of poverty in the Northern and Eastern provinces.

Also, Sri Lanka is experiencing a drought that has badly hit the agriculture sector, a key economic driver in the north.