Why Sri Lanka pipo dey protest for streets?

Policemen carry an injured man during a clash between government supporters and demonstrators outside the President's office in Colombo on May 9, 2022.

AFP
Police take away a man injured in protests outside the president’s office in Colombo

Violent scenes dey happun for Sri Lanka, wit crowd of protesters targeting di homes of prominent political figures including di ruling Rajapaksa family.

Prime Minister Mahinda Rajapaksa don resign sake of how goment dey handle di island nation economic crisis.

Tori be say dis na di worst since dey get independence from Britain for 1948. However, his brother is refusing to step down as president.

Why pipo enta streets?

Protests over increasing prices and shortages enta anoda level for early April for di capital, Colombo, and e don grow plus spread across di kontri.

Pipo dey provoke becos cost of living no dey affordable.

Line chart showing rising prices of wheat flour and white rice in Colombo

BBC

Food prices start to rise for late 2021, and pipo dey now pay up to 30% more for food dan a year ago. Dis don force many pipo to skip meals.

Dem also dey face fuel shortages and power cuts, and lack of medicines don make di health system almost collapse.

Why dem target Rajapaksa family?

Protestors attempt to storm di prime minister official house while Mahinda Rajapaksa bin dey nside, and dem bin don also attack Rajapaksa family houses for oda places for Sri Lanka.

Di family don play prominent role for Sri Lankan politics for years, occupying top positions for different administrations.

Graphic showing Rajapaksa family members in government

BBC

Mahinda Rajapaksa bin be president during di kontri long-running civil war, wey end wit di defeat of di Tamil Tiger rebels for 2009.

Im younger broda, Gotabaya, wey serve as defence minister during dat time, na Sri Lanka president now.

Gotabaya no get intention of comoting as president, and last week im declare state of emergency

Im two oda siblings, Basil and Chamal Rajapaksa, wey dey hold key positions for goment resign last month as di crisis for di kontri dey worse.

And Namal, one of Mahinda Rajapaksa sons, do di same, im leave im post for goment.

Why Sri Lanka dey face economic crises?

Sri Lanka problems come down to di fact say im foreign currency reserves don almost run dry. Di kontri dey heavily rely on imports, but e no longer fit to afford to pay for staple foods and fuel.

Di goment dey blame Covid pandemic, wey don kill di Sri Lanka tourist trade – one of im biggest foreign currency earners.

E also say tourists dey fear series of deadly bomb attacks for churches three years ago.

However, many experts say economic mismanagement na im dey responsible.

Vegetable prices in the Nugegoda retail vegetable market near Colombo, Sri Lanka. December 16, 2021

Getty Images
The cost of living has skyrocketed in Sri Lanka, with food costing up to 30% more than a year earlier

For di end of dia civil war for 2009, Sri Lanka chose to focus more on im domestic markets instead of selling to foreign ones.

So income from exports bin remain low, while di bill for imports dey grow dey go.

Nowadays, Sri Lanka dey import $3bn (£2.3bn) more dan im dey export every year.

Di goment also collect plenty debt from oda kontris including China, to pay for wetin some call unnecessary infrastructure projects.

For end of 2019, Sri Lanka bin get $7.6bn (£5.8bn) in foreign currency reserves.

However, by March 2020 im reserves don reduce to only $1.93bn (£1.5bn).

Finance Minister Ali Sabry recently say most of di moni for dis reserves dem no fit use dem, leaving just $50m (£40.5m) for di kontri to use.

WATCH: Police in Sri Lanka fire tear gas and water cannon at protesters in Kandy
The British Broadcasting Corporation

Dem also blame several populist policies for di situation wey dey worse dey go.

Wen im enta power for 2019, President Rajapaksa decide to offer big tax cuts. Dis mean say di goment now get less moni to buy foreign currency.

Oga Rajapaksa now admit say di tax cuts na “mistake,” and Finance Minister Ali Sabry say dem result in estimated loss of more dan $1.4bn (£1.13bn) of goment revenue.

Wen Sri Lanka currency shortages became really big problem for early 2021, di goment try to stop di outflow of foreign currency by banning all imports of chemical fertiliser, telling farmers to use organic fertilisers instead.

Dis led to widespread crop failures. Di kontri gatz to supplement im food stocks from abroad, wey make im foreign currency shortage even worse.

One IMF report for March dis year say di fertiliser ban (wey dem reverse for November 2021) don also hurt tea and rubber production, leading to “potentially substantial” export losses.

A farmer carries harvested paddy on his head at a field in Kalutara on the outskirts of Colombo on February 24, 2021.

Getty Images
The switch from chemical to organic fertiliser resulted in widespread crop failure, exacerbating foreign currency shortages

Since den, goment don ban di import of a wide range of “non-essential” items – from cars to some types of food and even shoes.

Di goment also refuse to let di Sri Lankan rupee fall against oda currencies, in order to boost exports. E finally allow am for March 2022, and di rupee fall more dan 30% against di dollar.

How much foreign debt Sri Lanka must repay?

Sri Lanka goment don make up $51bn (£39bn) as foreign debt.

Dis year, e dey required to pay $7bn (£5.4bn) to service dis debts, wit similar amounts for years to come.

For April, di Sri Lankan goment fail to make repayment of $78m. Credit rating agency S&P call am “selective default”.

Na di first time wey Sri Lanka fail to repay im foreign debts since independence.

Which help Sri Lanka fit get from abroad?

Sri Lanka dey look for emergency loan of $3bn to pay for essential imports like fuel.

Di World Bank don agree to lend am $600m. India don committe $1.9bn and still fit lend am additional $1.5bn for imports.

Di goment dey also look for bail-out from di International Monetary Fund (IMF), and dem still dey discuss am.

IMF don tok say di goment must raise interest rates and taxes as condition for di loan, wey go make di kontri cost of living crisis to dey worse.

Sri Lanka dey owe $6.5bn to China and di two dey tok on how to restructure di debt.

China bin earlier agree to boost Sri Lanka foreign reserve by swapping di Lankan rupee for im currency, renminbi. Since den, e don signal say im no happy say Colombo dey meet IMF for help.