Crisis-hit Sri Lanka looking to purchase oil from Russia

Crisis-hit Sri Lanka is discovering solutions to purchase oil from Russia, a senior minister said on Sunday, as the island nation desperately appears to be to replenish its dwindling gas stocks amid an unprecedented financial crisis because of to a crippling shortage of international exchange reserves.

On Sunday, petrol price was hiked by LKR 50 and diesel by LKR 60 respectively, the 3rd selling price revision in just in excess of two months.

The transfer was necessitated immediately after state-owned refinery Ceylon Petroleum Corporation educated the Sri Lankan federal government on Saturday that there would be a delay in the arrival of gas shipments due to banking and logistical motives.

Supplied the grim state of affairs, Sri Lanka’s Power and Electricity Minister Kanchana Wijesekera insisted that the governing administration was exploring selections to get oil from Russia.

We have been checking out diplomatic channels. The last ship which was due to get there was a Russian vessel. Our initially letter of credit rating was turned down by global banks due to the fact the ship was owned by a Russian corporation, Wijesekera told reporters on Sunday.

He stated that two ministers are scheduled to travel to Russia on Monday to discuss fuel and other diplomatic-connected issues.

Final 7 days, the Sri Lankan governing administration had attained out to quite a few firms prompt by the Russia’s Embassy in Colombo for the procurement of crude.

Wijesekera explained the precise date of the arrival of these fuel shipments that obtained delayed have been not certain, even as he asserted that 4 groups from the ministry are presently performing to protected gasoline imports.

In the meantime, the governing administration has also determined to employ a token technique in filling stations to the offer of fuel for these waiting around in queues, Wijesekera reported.

The programme will come into impact from Monday, for which the govt has sought the support of personnel from the police and military.

Sri Lanka is struggling with the worst economic crisis due to the fact independence in 1948 which has led to an acute lack of necessary goods like foods, medicine, cooking gasoline and fuel throughout the country.

The nation of 22 million has amassed USD 51 billion in international credit card debt, but has suspended repayment of almost USD 7 billion owing this calendar year.

Sri Lankans continue to languish in extended gasoline and cooking gas queues as the federal government is not able to locate dollars to fund imports.

So much, there have been an approximated twelve deaths in fuel queues owing to exhaustion, bodily conditions or incidents.

Indian credit lines for gas and necessities have supplied lifelines till the ongoing talks with the International Monetary Fund could lead to a feasible bailout.

There have been avenue protests in Sri Lanka against the Gotabaya Rajapaksa routine considering that early April owing to its mishandling of the economic crisis.