Driving

Parking Fees in Colombo: To Pay or Not to Pay?

On-street parking is common in urban Colombo. Last year, the Colombo Municipal Council (CMC) introduced parking meters in central Colombo; in addition to the parking fee, drivers are now slapped with late fees and fines for non-payment. While there have been many criticisms and complaints about the parking fee system, this blog examines the choice set and the rationalisation of a driver’s decision to pay an ex-ante parking fee versus an ex-post parking fine.