ECONOMYNEXT – Sri Lanka’s cabinet of ministers had given the go ahead to raise bus fares by an average of 15 percent, reports said, in the wake of a steep fall of the rupee triggered by money printed to keep interest rates down.
The minimum fare had gone up from 17 to 20 rupees, Petroleum Minister Gamini Lokuge told reporters after the cabinet meeting.
Transport Minister Dilum Amunugama had submitted the higher rates proposed by the National Transport Commission.
The 20 rupee fare is now 23 rupees, the 27 rupee fare is now 31 rupees, the 33 rupee fare is 38 rupees, 39 rupee fare is now 45 rupees, the rupee 52 fare is now 60, according to Sri Lanka’s Divaina newspaper.
Sri Lanka’s rupee has fallen to around 265 from an earlier 203 after money printing broke an unstable peg with aggressive open market operations.
Sri Lanka’s diesel prices are now 176 rupees a litre at state-run Ceylon Petroleum Corporation and 214 at the Lanka IOC. (Colombo/Mar15/2022)