The Cabinet of Ministers has approved a proposal to establish a ‘Committee on Economic Surveillance’ aimed at assessing the potential economic impacts on Sri Lanka stemming from the ongoing conflict in the Middle East.
This proposal, presented by the President, has received the necessary Cabinet endorsement. The committee will be led by Dr. Anil Jayantha Fernando, who is currently the Deputy Minister of Finance and Planning as well as the Minister of Labour. It will comprise heads of relevant institutions and experts from various sectors.
Authorities have highlighted that the current conflict in the Middle East has resulted in a globally unstable economic environment, which could adversely affect Sri Lanka’s economy. Given its status as a small open economy, Sri Lanka is significantly reliant on external factors such as energy imports, remittances from Sri Lankan migrant workers in the Middle East, and trade and investment ties with the region, according to a statement from the Department of Government Information.
Due to this dependence, Sri Lanka is vulnerable to external economic shocks arising from the ongoing crisis, the statement further emphasized.
In response to these concerns, the newly established ‘Committee on Economic Surveillance’ will be responsible for continuously monitoring potential economic impacts, evaluating risks across multiple sectors, and regularly reviewing the evolving situation. Based on its findings, the committee will propose policy recommendations and necessary response measures to the Cabinet to mitigate possible economic disruptions.
