The Electricity Price: A Necessary Evil and Must Stay on Course : Why not Double the Samurdhi Payments?

The government is to be commended for its highly courageous decision to adjust electricity prices towards cost reflectivity. The political leadership and pragmatic policymakers have to be given considerable credit for setting aside short term political expedience and addressing a fundamentally unstable situation that could eventually have had a very negative impact on the financial viability of the two state banks and consequently the entire financial system. It is not just the broader financial system but the real economy involving SMEs and farmers for whom, the People’s Bank was created, who are being adversely affected by the huge losses of public enterprises