NZ Herald
  • Home
  • Latest news
  • Herald NOW
  • Video
  • New Zealand
  • Sport
  • World
  • Business
  • Entertainment
  • Podcasts
  • Quizzes
  • Opinion
  • Lifestyle
  • Travel
  • Viva
  • Weather

Subscriptions

  • Herald Premium
  • Viva Premium
  • The Listener
  • BusinessDesk

Sections

  • Latest news
  • New Zealand
    • All New Zealand
    • Crime
    • Politics
    • Education
    • Open Justice
    • Scam Update
  • Herald NOW
  • On The Up
  • World
    • All World
    • Australia
    • Asia
    • UK
    • United States
    • Middle East
    • Europe
    • Pacific
  • Business
    • All Business
    • MarketsSharesCurrencyCommoditiesStock TakesCrypto
    • Markets with Madison
    • Media Insider
    • Business analysis
    • Personal financeKiwiSaverInterest ratesTaxInvestment
    • EconomyInflationGDPOfficial cash rateEmployment
    • Small business
    • Business reportsMood of the BoardroomProject AucklandSustainable business and financeCapital markets reportAgribusiness reportInfrastructure reportDynamic business
    • Deloitte Top 200 Awards
    • CompaniesAged CareAgribusinessAirlinesBanking and financeConstructionEnergyFreight and logisticsHealthcareManufacturingMedia and MarketingRetailTelecommunicationsTourism
  • Opinion
    • All Opinion
    • Analysis
    • Editorials
    • Business analysis
    • Premium opinion
    • Letters to the editor
  • Politics
  • Sport
    • All Sport
    • OlympicsParalympics
    • RugbySuper RugbyNPCAll BlacksBlack FernsRugby sevensSchool rugby
    • CricketBlack CapsWhite Ferns
    • Racing
    • NetballSilver Ferns
    • LeagueWarriorsNRL
    • FootballWellington PhoenixAuckland FCAll WhitesFootball FernsEnglish Premier League
    • GolfNZ Open
    • MotorsportFormula 1
    • Boxing
    • UFC
    • BasketballNBABreakersTall BlacksTall Ferns
    • Tennis
    • Cycling
    • Athletics
    • SailingAmerica's CupSailGP
    • Rowing
  • Lifestyle
    • All Lifestyle
    • Viva - Food, fashion & beauty
    • Society Insider
    • Royals
    • Sex & relationships
    • Food & drinkRecipesRecipe collectionsRestaurant reviewsRestaurant bookings
    • Health & wellbeing
    • Fashion & beauty
    • Pets & animals
    • The Selection - Shop the trendsShop fashionShop beautyShop entertainmentShop giftsShop home & living
    • Milford's Investing Place
  • Entertainment
    • All Entertainment
    • TV
    • MoviesMovie reviews
    • MusicMusic reviews
    • BooksBook reviews
    • Culture
    • ReviewsBook reviewsMovie reviewsMusic reviewsRestaurant reviews
  • Travel
    • All Travel
    • News
    • New ZealandNorthlandAucklandWellingtonCanterburyOtago / QueenstownNelson-TasmanBest NZ beaches
    • International travelAustraliaPacific IslandsEuropeUKUSAAfricaAsia
    • Rail holidays
    • Cruise holidays
    • Ski holidays
    • Luxury travel
    • Adventure travel
  • Kāhu Māori news
  • Environment
    • All Environment
    • Our Green Future
  • Talanoa Pacific news
  • Property
    • All Property
    • Property Insider
    • Interest rates tracker
    • Residential property listings
    • Commercial property listings
  • Health
  • Technology
    • All Technology
    • AI
    • Social media
  • Rural
    • All Rural
    • Dairy farming
    • Sheep & beef farming
    • Horticulture
    • Animal health
    • Rural business
    • Rural life
    • Rural technology
    • Opinion
    • Audio & podcasts
  • Weather forecasts
    • All Weather forecasts
    • Kaitaia
    • Whangārei
    • Dargaville
    • Auckland
    • Thames
    • Tauranga
    • Hamilton
    • Whakatāne
    • Rotorua
    • Tokoroa
    • Te Kuiti
    • Taumaranui
    • Taupō
    • Gisborne
    • New Plymouth
    • Napier
    • Hastings
    • Dannevirke
    • Whanganui
    • Palmerston North
    • Levin
    • Paraparaumu
    • Masterton
    • Wellington
    • Motueka
    • Nelson
    • Blenheim
    • Westport
    • Reefton
    • Kaikōura
    • Greymouth
    • Hokitika
    • Christchurch
    • Ashburton
    • Timaru
    • Wānaka
    • Oamaru
    • Queenstown
    • Dunedin
    • Gore
    • Invercargill
  • Meet the journalists
  • Promotions & competitions
  • OneRoof property listings
  • Driven car news

Puzzles & Quizzes

  • Puzzles
    • All Puzzles
    • Sudoku
    • Code Cracker
    • Crosswords
    • Cryptic crossword
    • Wordsearch
  • Quizzes
    • All Quizzes
    • Morning quiz
    • Afternoon quiz
    • Sports quiz

Regions

  • Northland
    • All Northland
    • Far North
    • Kaitaia
    • Kerikeri
    • Kaikohe
    • Bay of Islands
    • Whangarei
    • Dargaville
    • Kaipara
    • Mangawhai
  • Auckland
  • Waikato
    • All Waikato
    • Hamilton
    • Coromandel & Hauraki
    • Matamata & Piako
    • Cambridge
    • Te Awamutu
    • Tokoroa & South Waikato
    • Taupō & Tūrangi
  • Bay of Plenty
    • All Bay of Plenty
    • Katikati
    • Tauranga
    • Mount Maunganui
    • Pāpāmoa
    • Te Puke
    • Whakatāne
  • Rotorua
  • Hawke's Bay
    • All Hawke's Bay
    • Napier
    • Hastings
    • Havelock North
    • Central Hawke's Bay
    • Wairoa
  • Taranaki
    • All Taranaki
    • Stratford
    • New Plymouth
    • Hāwera
  • Manawatū - Whanganui
    • All Manawatū - Whanganui
    • Whanganui
    • Palmerston North
    • Manawatū
    • Tararua
    • Horowhenua
  • Wellington
    • All Wellington
    • Kapiti
    • Wairarapa
    • Upper Hutt
    • Lower Hutt
  • Nelson & Tasman
    • All Nelson & Tasman
    • Motueka
    • Nelson
    • Tasman
  • Marlborough
  • West Coast
  • Canterbury
    • All Canterbury
    • Kaikōura
    • Christchurch
    • Ashburton
    • Timaru
  • Otago
    • All Otago
    • Oamaru
    • Dunedin
    • Balclutha
    • Alexandra
    • Queenstown
    • Wanaka
  • Southland
    • All Southland
    • Invercargill
    • Gore
    • Stewart Island
  • Gisborne

Media

  • Video
    • All Video
    • NZ news video
    • Herald NOW
    • Business news video
    • Politics news video
    • Sport video
    • World news video
    • Lifestyle video
    • Entertainment video
    • Travel video
    • Markets with Madison
    • Kea Kids news
  • Podcasts
    • All Podcasts
    • The Front Page
    • On the Tiles
    • Ask me Anything
    • The Little Things
  • Cartoons
  • Photo galleries
  • Today's Paper - E-editions
  • Photo sales
  • Classifieds

NZME Network

  • Advertise with NZME
  • OneRoof
  • Driven Car Guide
  • BusinessDesk
  • Newstalk ZB
  • Sunlive
  • ZM
  • The Hits
  • Coast
  • Radio Hauraki
  • The Alternative Commentary Collective
  • Gold
  • Flava
  • iHeart Radio
  • Hokonui
  • Radio Wanaka
  • iHeartCountry New Zealand
  • Restaurant Hub
  • NZME Events

SubscribeSign In
Advertisement
Advertise with NZME.
Home / World

Out of cash and out of fuel, Sri Lanka runs on patience

By Mujib Mashal, Emily Schmall and Skandha Gunasekara
New York Times·
20 Jul, 2022 07:00 AM6 mins to read

Subscribe to listen

Access to Herald Premium articles require a Premium subscription. Subscribe now to listen.
Already a subscriber?  Sign in here

Listening to articles is free for open-access content—explore other articles or learn more about text-to-speech.
‌
Save

    Share this article

    Reminder, this is a Premium article and requires a subscription to read.

A fuel shortage in Colombo means that buses, with government-guaranteed supply of diesel, remain a reliable means of transport, though an increasingly crowded one. Photo / Atul Loke, New York Times

A fuel shortage in Colombo means that buses, with government-guaranteed supply of diesel, remain a reliable means of transport, though an increasingly crowded one. Photo / Atul Loke, New York Times

The rage at the failure and corruption of a ruling elite is matched by generosity and ingenuity to prevent complete collapse and anarchy.

The queues are ubiquitous — and orderly.

To get 5 litres of gasoline, auto-rickshaw drivers wait calmly in line for as long as five days. People have been queuing up for cooking gas, milk powder, and meals at soup kitchens, without fights or friction. Each day, essential workers, in hospitals, sanitation, post offices and banks, tolerate cramming into buses, one of the only means of transport with an assured supply of fuel.

"Without hanging? It's 110 people," bus driver M.P.L.K. Saman, 32, said about the number of passengers he packs in for the 25km journey between Colombo and Dompe in the east. "With hanging? 150 people."

The country is running on patience, even as the political and economic crisis intensifies.

Advertisement
Advertise with NZME.
People who have resolved to leave the country face a long wait at the walk-in line outside the passport office. The next online appointment is not until September. Photo / Atul Loke, New York Times
People who have resolved to leave the country face a long wait at the walk-in line outside the passport office. The next online appointment is not until September. Photo / Atul Loke, New York Times

Former President Gotabaya Rajapaksa went into hiding after protesters stormed his residence and office last week, and then he fled the country on a military plane. The Parliament will vote for a successor on Wednesday, and the country is closely watching whether the politicians can put aside their bickering to find a path to economic relief.

A fuel shortage, rising global food prices and the shock of erratic climate patterns, compounded by crushing policy mistakes and the coronavirus pandemic, have created a crisis with no easy solution.

"Look no further than Sri Lanka as a warning sign," said Kristalina Georgieva, managing director of the International Monetary Fund. "Countries with high debt levels and limited policy space will face additional strains."

Advertisement
Advertise with NZME.

But Sri Lanka might be unique in one thing: The rage at the failure and corruption of a ruling elite has been matched by generosity and ingenuity to prevent complete collapse and anarchy.

Hospitals are still functioning. Sanitation trucks still roam the city's neat streets, even if less often. The three-hour power cuts are announced in detailed schedules a day ahead.

Protesters in Colombo last week celebrated the resignation of President Gotabaya Rajapaksa by offering soldiers milk rice. Not allowed to take food, they declined. Photo / Atul Loke, New York Times
Protesters in Colombo last week celebrated the resignation of President Gotabaya Rajapaksa by offering soldiers milk rice. Not allowed to take food, they declined. Photo / Atul Loke, New York Times

At the peak of the anger last week, thousands stormed the president's mansion and several other top government buildings. But soon after, Sri Lankans went back to queues, patiently waiting outside the palaces for their turn to get a peek.

The country is increasingly dependent on the goodness of others, donors, lenders — really any person or institution with the funds to help.

To bridge the gap in medical supplies, hospital administrators often put out lists of needed supplies and mobilise donations. At the Lady Ridgeway Hospital, where the country's sickest children come for open-heart surgeries, kidney transplants and other complicated procedures, 40 per cent of their essential medicine and surgical equipment are from donors abroad.

Every week, the hospital posts a list of needed items on its website and a link to its charity account. Dr. G. Wijesurija, the hospital's top administrator, said that the hospital had not lost any patients in the 1,600-bed facility because of the country's shortages.

"But if the donors were not here, we would have to compromise our services," he said.

Volunteers at a soup kitchen in Colombo. Despite rage at the failure and corruption of a ruling elite, people's generosity has prevented complete collapse. Photo / Atul Loke, New York Times
Volunteers at a soup kitchen in Colombo. Despite rage at the failure and corruption of a ruling elite, people's generosity has prevented complete collapse. Photo / Atul Loke, New York Times

The government itself is scrounging for what it needs. Sumila Wanaguru, an economist at Sri Lanka's central bank, analyzes cash flow each day to determine what can be spared.

Advertisement
Advertise with NZME.

Tourism and remittances — Sri Lanka's main sources of foreign currency — have largely evaporated. When the government ran out of money to import the essentials last spring, it tapped the central bank's reserves, which in recent months have hovered around zero.

Wanaguru, director of the international operations department, and others at the central bank have had to beg and plead for lines of credit, debt deferments and currency swaps to get the hundreds of millions of dollars needed every month to import the bare minimum to keep the country afloat.

Tourists at Mirissa Beach in March. Tourism used to be a vital source of foreign currency before the pandemic. Photo / Atul Loke, The New York Times
Tourists at Mirissa Beach in March. Tourism used to be a vital source of foreign currency before the pandemic. Photo / Atul Loke, The New York Times

Officials have forced exporters to exchange a portion of their profits in foreign currency to the bank. When the World Bank gave the government US$130 million for a cash transfer program to the country's poorest, Wanaguru swapped the money for rupees, adding US dollars to the bank's reserves.

"We are running the country without foreign exchange inflow," she said.

After rating agencies downgraded Sri Lanka's debt last spring, some suppliers of diesel and other commodities started demanding upfront payments. The situation has worsened since Sri Lanka defaulted on its debt in May, losing access to capital markets.

Wanaguru has to regularly authorize and arrange enormous cash transactions for trade. Import companies meet ships carrying desperately needed cargoes of fuel at the Port of Colombo with stacks of cash.

"Everybody is looking at the central bank all the time, but it can't do everything. That is why we have government and ministries who must sit together and come up with a national plan," she said. "Let's hope they learn a good lesson."

A ship loaded with rice, milk powder, drugs and other medical supplies that reached Sri Lanka in May. The country is increasingly dependent on the goodness of donors. Photo / Atul Loke, New York Times
A ship loaded with rice, milk powder, drugs and other medical supplies that reached Sri Lanka in May. The country is increasingly dependent on the goodness of donors. Photo / Atul Loke, New York Times

If there is one business that is flourishing, it is the bus business — public and private. But that, too, has required constant troubleshooting. Transportation problems have become so commonplace that radio DJs joke about waiting four hours for a bus to arrive, or not making it to work at all when it never comes.

Officials at Sri Lanka Transport Board said public and private buses ferry about 1.5 million passengers a day in Colombo and its greater suburbs. The transit board has ensured that the government will provide a separate and steady stream of diesel for both the public and private buses so that transport does not collapse entirely.

"The price of spare parts has doubled," said Kingsley Ranawaka, chair of the transport board. "A tire that was 70,000 rupees is now 160,000 rupees."

The bus stops, at the end of a day of work, are both signs of the problems and the perseverance. While buses have always been key to the city's transport, the demographic at the bus stops are changing, in a country where the middle class is on pause.

Among those waiting to get home was Praneeth Anuruddha, 33, who has worked as a banker for a little over a decade.

Two years ago, he had bought a car — a Toyota Axio — for his small family, consisting of his wife and 4-year-old child. He would park his car at the bank's premises.

"At the time I never thought I'd have to use the bus again," he said with a smile.

Waiting in line for fuel in Colombo in May. People have waited in line for fuel for as long as five days. Photo / Atul Loke, The New York Times
Waiting in line for fuel in Colombo in May. People have waited in line for fuel for as long as five days. Photo / Atul Loke, The New York Times

But for the past week, Anuruddha has parked his car at home, with just "one tick" of fuel remaining for family emergencies.

His bag dangling on his shoulder, he inched closer to a bus that arrived.

"It's too crowded," he said. "I will wait for the next one."

This article originally appeared in The New York Times.


Written by: Mujib Mashal, Emily Schmall and Skandha Gunasekara
Photographs by: Atul Loke
© 2022 THE NEW YORK TIMES

Save

    Share this article

    Reminder, this is a Premium article and requires a subscription to read.

Latest from World

World

Israel strikes dozens of Tehran targets in aggressive overnight raids

20 Jun 08:29 AM
World

Trump to decide on Iran invasion within two weeks

World

Tensions rise: Hospital, nuclear sites targeted in Iran-Israel conflict

20 Jun 06:49 AM

Jono and Ben brew up a tea-fuelled adventure in Sri Lanka

sponsored
Advertisement
Advertise with NZME.

Latest from World

Israel strikes dozens of Tehran targets in aggressive overnight raids

Israel strikes dozens of Tehran targets in aggressive overnight raids

20 Jun 08:29 AM

More than 60 fighter jets hit alleged missile production sites in Tehran.

Trump to decide on Iran invasion within two weeks

Trump to decide on Iran invasion within two weeks

Tensions rise: Hospital, nuclear sites targeted in Iran-Israel conflict

Tensions rise: Hospital, nuclear sites targeted in Iran-Israel conflict

20 Jun 06:49 AM
Teacher sacked after sending 35,000 messages to ex-student before relationship

Teacher sacked after sending 35,000 messages to ex-student before relationship

20 Jun 05:55 AM
Help for those helping hardest-hit
sponsored

Help for those helping hardest-hit

NZ Herald
  • About NZ Herald
  • Meet the journalists
  • Newsletters
  • Classifieds
  • Help & support
  • Contact us
  • House rules
  • Privacy Policy
  • Terms of use
  • Competition terms & conditions
  • Our use of AI
Subscriber Services
  • NZ Herald e-editions
  • Daily puzzles & quizzes
  • Manage your digital subscription
  • Manage your print subscription
  • Subscribe to the NZ Herald newspaper
  • Subscribe to Herald Premium
  • Gift a subscription
  • Subscriber FAQs
  • Subscription terms & conditions
  • Promotions and subscriber benefits
NZME Network
  • The New Zealand Herald
  • The Northland Age
  • The Northern Advocate
  • Waikato Herald
  • Bay of Plenty Times
  • Rotorua Daily Post
  • Hawke's Bay Today
  • Whanganui Chronicle
  • Viva
  • NZ Listener
  • Newstalk ZB
  • BusinessDesk
  • OneRoof
  • Driven Car Guide
  • iHeart Radio
  • Restaurant Hub
NZME
  • About NZME
  • NZME careers
  • Advertise with NZME
  • Digital self-service advertising
  • Book your classified ad
  • Photo sales
  • NZME Events
  • © Copyright 2025 NZME Publishing Limited
TOP