Inflation could increase due to the relief package – Dew Gunasekara

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The Leader of the Communist Party of Sri Lanka Dew Gunasekera says that the Minister of Finance’s relief package includes the payment of an allowance of Rs. 5,000 to public servants seems to be a political decision rather than an economic action.

He said that Rs. 229 billion was needed to provide the relief package and that inflation would inevitably rise further if the money was raised through printing. Gunasekera points out that if the relief package had been incorporated into the manufacturing process of the country, inflation would not have increased in any way.

Gunasekera points out that Sri Lanka has never had to face such a dollar crisis in its history and that if money is to be printed, it must be done in a way that does not increase inflation. He also emphasized that if inflation rises, the currency notes printed will have no value.

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