The UNP pointed out a stark contrast in exchange rates over the last 20 months since former President Ranil Wickremesinghe handed over the governance of the country. At the time of the transition, the US dollar stood at 292 LKR, but it has since surged to 354 LKR. According to the party, this drastic decline is primarily due to the current government's failure to sustain the economic programs initiated by the former president. The UNP attributed the skyrocketing dollar rate to a lack of a clear economic plan and the government's inability to boost foreign reserves.
This continuous depreciation amid rising domestic and international pressures has sparked deep concern within the private sector. While a devalued currency traditionally yields higher profits for certain export industries, the UNP warned that the escalating cost of living is severely burdening employees and the general public. Furthermore, the party noted that exporters in major sectors, such as the apparel industry, are struggling to capitalize on these gains due to tightening international market conditions.
The press release also drew attention to global geopolitical shifts complicating the economic landscape. European markets are facing mounting pressures, prompting them to explore alternatives to restrict imports. Additionally, the party raised concerns regarding US foreign policy under President Donald Trump, noting an apparent shift away from ensuring that Iran abstains from using nuclear weapons, alongside a general lack of focus on global economic management. These factors, combined with the closure of the Strait of Hormuz and ongoing attacks in the Red Sea, continue to threaten naval freedom, driving up shipping costs and dealing a non-favorable blow to the country's export industries.
