ECONOMYNEXT – Sri Lanka plans to issue a fuel ‘quota’ from July 2022 after customers register, Energy Minister Kanchana Ratwatte has said, as foreign exchange shortages persist after the failure of a floating within the framework of a repurchase obligation.
Sri Lanka faces long queues for petrol, diesel and liquefied petroleum gas as the country suffers the worst currency crises in the history of the island’s old central bank 72 years old.
“We have no choice but to register consumers at service stations and give them a guaranteed weekly quota until we are able to strengthen the financial situation, restore electricity 24h /24 and a steady supply of fuel,” Minister Wijesekera said in a post on twitter.com. .
“I hope to have this system in place by the 1st week of July.”
3) We have no choice but to register consumers at gas stations and give them a guaranteed weekly quota until we are able to strengthen the financial situation, restore power 24 hours a day and a regular supply of fuel. I hope to have this system in place by the 1st week of July.
— Kanchana Wijesekera (@kanchana_wij) June 12, 2022
The Sri Lankan rupee fell 200 to 370 against the US dollar after an attempt to float the currency with a buyback obligation.
A float requires a complete suspension of convertibility, but a surrender rule makes the regime an anchor and pushes it down. (Colombo/Jun 13/2022)
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