Unlike the Easter Sunday attacks, COVID-19 is not only affecting Sri Lanka. Its effect is felt by almost all countries across the world. The economic impact of this on Sri Lanka will not only be influenced by what is happening in the country, but also by how the disease is affecting global values chains, markets, and the movement of goods and people across the world. With the COVID-19 pandemic still unfolding, it is too early to estimate the economic impact of the crisis. This blog compares the economic impact of the Easter Sunday attacks to illustrate the likely impact of COVID-19 on Sri Lanka’s economy.
The World Health Organisation (WHO) has declared the outbreak of the novel coronavirus (2019-nCoV) as a global emergency. Amid geopolitical tensions, prospects for the Chinese economy and global economic growth have weakened further with the outbreak of the coronavirus. According to a recent paper by the Overseas Development Institute (ODI) that measured which countries are susceptible to the impact of the coronavirus and the resulting slowdown in China’s economy, Sri Lanka was among the low and middle income countries which are most vulnerable to the situation.
Despite multiple measures by successive governments to bring down tobacco prevalence in Sri Lanka, still more than one in four males use tobacco. Reducing smoking prevalence is also identified as one of the concerns in the manifesto of the newly elected president of Sri Lanka. This blog argues that bringing down tobacco prevalence further will entail tightening tobacco control policies and initiating focused measures targeting difficult-to-reach groups.
In the run up to elections, Sri Lanka is once again witnessing various news activities highlighting how the government is losing revenue due to increased consumption of illicit cigarettes and beedi. However, the wider government policy on tobacco control is aimed to reduce smoking rates and the related direct and indirect costs – which was estimated to amount to 6% of government revenue in 2015 – through taxation. This blog argues that although controlling the availability of illegal cigarettes in the market is important, this should be done through regulation so that both legal and illegal cigarette consumption remains low in the country.
The world is on the cusp of the Fourth Industrial Revolution (4IR), which is affecting the way people live, work, do business, and interact. Newly emerging technologies such as robotics, artificial intelligence (AI), internet of things (IOT), virtual reality, and 3D printing are fast becoming the new normal. Therefore, it is important to explore the development challenges for South Asia in the new era of the 4IR. In this context, one of the plenary sessions at the 12th South Asia Economic Summit (SAES XII) explored the links between 4IR and SDGs at the regional level.