Editing Sri Lanka (section)

== Economy ==
{{Main|Economy of Sri Lanka}}
{{See also|Agriculture in Sri Lanka|Tea production in Sri Lanka|Tourism in Sri Lanka|Transport in Sri Lanka}}
[[File:GDP per capita development of Sri Lanka.svg|thumb|Development of real GDP per capita, 1820 to 2018]]

According to the International Monetary Fund, Sri Lanka's [[Gross domestic product|GDP]] in terms of [[purchasing power parity]] is the second highest in the South Asian region in terms of [[per capita income]]. In the 19th and 20th centuries, Sri Lanka became a [[plantation economy]] famous for its production and export of [[cinnamon]], [[rubber]], and [[Tea production in Sri Lanka|Ceylon tea]], which remains a trademark national export.<ref name="plnyn">{{cite web |url=http://www.historyofceylontea.com/articles/tea_feat_echoes_plantation_economy.html |title=Echoes of a Plantation Economy |publisher=historyofceylontea.com |author=Fernando, Maxwell |url-status=dead |archive-url=https://web.archive.org/web/20120117155721/http://www.historyofceylontea.com/articles/tea_feat_echoes_plantation_economy.html |archive-date=17 January 2012}}</ref> The [[Ministry of Ports and Aviation (Sri Lanka)|development of modern ports]] under British rule raised the strategic importance of the island as a centre of trade.<ref name="startim">{{cite web |url=http://www.asiapacificdefencereporter.com/articles/53/The-Strategic-Importance-of-Sri-Lanka-to-Australia |title=The Strategic Importance of Sri Lanka to Australia |publisher=asiapacificdefencereporter.com |access-date=15 July 2014 |archive-url=https://web.archive.org/web/20140807181932/http://www.asiapacificdefencereporter.com/articles/53/The-Strategic-Importance-of-Sri-Lanka-to-Australia |archive-date=7 August 2014 |url-status=dead }}</ref> From 1948 to 1977, socialism strongly influenced the government's economic policies. Colonial plantations were dismantled, industries were nationalised, and a [[welfare state]] established. In 1977, the [[free market]] economy was introduced to the country, incorporating privatisation, deregulation, and the promotion of private enterprise.<ref name="filbrn">{{cite web |url=http://www.fulbrightsrilanka.com/?page_id=561 |title=Sri Lanka – an Overview |publisher=[[Fulbright Program|Fulbright commission]] |access-date=20 August 2011 |archive-date=16 March 2011 |archive-url=https://web.archive.org/web/20110316231316/http://www.fulbrightsrilanka.com/?page_id=561 |url-status=live }}</ref>

[[File:LK-Colombo-altes-parlament.jpg|thumb|The [[World Trade Center Colombo|World Trade Center]] in Colombo. [[Presidential Secretariat (Sri Lanka)|Presidential Secretariat]], Bank of Ceylon and Galadari Hotel are also visible in the image.]]

While the production and export of tea, rubber, coffee, sugar, and other commodities remain important, industrialisation has increased the importance of food processing, textiles, telecommunications, and finance. The country's main economic sectors are tourism, tea export, clothing, rice production, and other agricultural products. In addition to these economic sectors, overseas employment, especially in the Middle East, contributes substantially in foreign exchange.<ref name="treasry">{{cite web |url=https://www.treasury.gov.lk/api/file/2a7fd7a7-2ce2-4b4a-afc3-6e61ff0c993c |title=Annual Report 2010 |publisher=Ministry of Finance – Sri Lanka |year=2011 |access-date=15 July 2014 |archive-date=7 July 2022 |archive-url=https://web.archive.org/web/20220707104601/https://www.treasury.gov.lk/api/file/2a7fd7a7-2ce2-4b4a-afc3-6e61ff0c993c |url-status=live }}</ref>

{{As of|2020}}, the service sector makes up 59.7% of GDP, the industrial sector 26.2%, and the agriculture sector 8.4%.<ref name="Annual Report 2020">{{cite web |title=Annual Report 2020 |url=https://www.treasury.gov.lk/api/file/0b7d1935-6235-4156-97b6-752d6a8039d0 |website=treasury.gov.lk |publisher=[[Ministry of Finance (Sri Lanka)|Ministry of Finance]] |access-date=23 May 2022 |archive-date=23 May 2022 |archive-url=https://web.archive.org/web/20220523190037/https://www.treasury.gov.lk/api/file/0b7d1935-6235-4156-97b6-752d6a8039d0 |url-status=live }}</ref> The private sector accounts for 85% of the economy.<ref name="adbrep">{{cite web |url=http://www.adb.org/Documents/CPSs/SRI/2008/CPS-SRI-2009-2011.pdf |page=1 |title=Country Partnership Strategy |publisher=[[Asian Development Bank]] | year=2008 |access-date=15 July 2014 |url-status=dead |archive-url=https://web.archive.org/web/20131115144722/http://www2.adb.org/Documents/CPSs/SRI/2008/CPS-SRI-2009-2011.pdf |archive-date=15 November 2013}}</ref> China, India and the United States are Sri Lanka's largest trading partners.<ref name="Sri Lanka's Trading Partners">{{cite web |url=https://www.lki.lk/blog/who-are-sri-lankas-top-trading-partners/ |title=Sri Lanka's Top Trading Partners |publisher=Lakshman Kadiragamar Institute |year=2018 |access-date=14 October 2018 |archive-date=17 June 2020 |archive-url=https://web.archive.org/web/20200617093141/https://www.lki.lk/blog/who-are-sri-lankas-top-trading-partners/ |url-status=live }}</ref> Economic disparities exist between the provinces with the Western Province contributing 45.1% of the GDP and the Southern Province and the Central Province contributing 10.7% and 10%, respectively.<ref name="ecdisp">{{cite news |url=http://sundaytimes.lk/110717/BusinessTimes/bt24.html |title=Western Province share of national GDP falling: CB |newspaper=Sunday Times |date=17 July 2011 |access-date=7 September 2011 |archive-date=4 March 2016 |archive-url=https://web.archive.org/web/20160304113958/http://www.sundaytimes.lk/110717/BusinessTimes/bt24.html |url-status=live }}</ref> With the end of the war, the Northern Province reported a record 22.9% GDP growth in 2010.<ref name="northpr">{{cite news |url=http://www.asiantribune.com/news/2011/07/18/sri-lanka%E2%80%99s-northern-province-has-recorded-highest-gdp-growth-rate-229-cent-last-yea |title=Sri Lanka's Northern province has recorded the highest GDP growth rate of 22.9 per cent last year |newspaper=[[Asian Tribune]] |date=18 July 2011 |access-date=7 September 2011 |archive-date=4 March 2016 |archive-url=https://web.archive.org/web/20160304122500/http://www.asiantribune.com/news/2011/07/18/sri-lanka%E2%80%99s-northern-province-has-recorded-highest-gdp-growth-rate-229-cent-last-yea |url-status=live }}</ref>

[[File:Sri Lanka 030.jpg|thumb|Sri Lanka's most widely known export, [[Ceylon tea]], which [[ISO]] considers the cleanest tea in the world in terms of pesticide residues. Sri Lanka is also the world's 2nd largest exporter of tea.<ref name="clnst">{{cite web |url=http://www.worldteanews.com/page.cfm/Action=Exhib/ExhibID=98 |title=Sri Lanka Tea Board |publisher=worldteanews.com |access-date=7 September 2011 }}{{dead link|date=July 2022|bot=medic}}{{cbignore|bot=medic}}</ref>]]
The per capita income of Sri Lanka doubled from 2005 to 2011.<ref name="toplsl">{{cite web |url=http://www.tops.lk/article35231-parliament-per-capita-income-has-doubled.html |title=Per capita income has doubled |publisher=tops.lk |year=2011 |access-date=7 September 2011 |archive-date=20 March 2012 |archive-url=https://web.archive.org/web/20120320123833/http://www.tops.lk/article35231-parliament-per-capita-income-has-doubled.html |url-status=dead }}</ref> During the same period, poverty dropped from 15.2% to 7.6%, unemployment rate dropped from 7.2% to 4.9%, [[market capitalisation]] of the [[Colombo Stock Exchange]] quadrupled, and the [[Government budget deficit|budget deficit]] doubled.<ref name="treasry" /> 99% of the households in Sri Lanka are electrified; 93.2% of the population have access to safe drinking water; and 53.1% have access to pipe-borne water.<ref name="Annual Report 2020" /> Income inequality has also dropped in recent years, indicated by a [[Gini coefficient]] of 0.36 in 2010.<ref name="statgovineq">{{cite web |url=http://www.statistics.gov.lk/poverty/PovertyIndicators2009_10.pdf |page=3 |title=Inequality drops with poverty |publisher=Department of Census and Statistics |access-date=15 July 2014 |archive-date=27 June 2011 |archive-url=https://web.archive.org/web/20110627062832/http://www.statistics.gov.lk/poverty/PovertyIndicators2009_10.pdf |url-status=live }}</ref>

The 2011 [[Global Competitiveness Report]], published by the [[World Economic Forum]], described Sri Lanka's economy as transitioning from the factor-driven stage to the efficiency-driven stage and that it ranked 52nd in global competitiveness.<ref>{{Cite report |url=http://www3.weforum.org/docs/WEF_GCR_Report_2011-12.pdf |pages=326–327 |author=Schwab, Klaus |year=2011 |title=The Global Competitiveness Report 2011–2012 |publisher=World Economic Forum |access-date=15 July 2014 |archive-date=1 July 2014 |archive-url=https://web.archive.org/web/20140701161530/http://www3.weforum.org/docs/WEF_GCR_Report_2011-12.pdf |url-status=live }}</ref> Also, out of the 142 countries surveyed, Sri Lanka ranked 45th in health and primary education, 32nd in business sophistication, 42nd in innovation, and 41st in goods market efficiency. In 2016, Sri Lanka ranked 5th in the [[World Giving Index]], registering high levels of contentment and charitable behaviour in its society.<ref>{{cite web |title=CAF world giving index 2016 |url=https://www.cafonline.org/docs/default-source/about-us-publications/1950a_wgi_2016_report_web_v2_241016.pdf?sfvrsn=4 |website=cafonline.org |publisher=Charities aid foundation |access-date=18 August 2019 |archive-date=25 October 2016 |archive-url=https://web.archive.org/web/20161025184737/https://www.cafonline.org/docs/default-source/about-us-publications/1950a_wgi_2016_report_web_v2_241016.pdf?sfvrsn=4 |url-status=live }}</ref> In 2010, ''[[The New York Times]]'' placed Sri Lanka at the top of its list of 31 places to visit.<ref>{{cite news |url=https://www.nytimes.com/2010/01/10/travel/10places.html |title=The 31 Places to Go in 2010 |work=The New York Times |date=24 January 2010 |access-date=18 February 2017 |archive-date=19 January 2017 |archive-url=https://web.archive.org/web/20170119022604/http://www.nytimes.com/2010/01/10/travel/10places.html |url-status=live }}</ref> [[S&P Dow Jones Indices]] classifies Sri Lanka as a [[Frontier markets|frontier market]] as of 2018.<ref>{{Cite web |url=https://www.indexologyblog.com/2018/04/26/a-closer-look-at-indices-country-classifications/ |title=A Closer Look at Indices Country Classifications – Indexology® Blog &#124; S&P Dow Jones Indices |access-date=5 April 2021 |archive-date=11 July 2018 |archive-url=https://web.archive.org/web/20180711161138/https://www.indexologyblog.com/2018/04/26/a-closer-look-at-indices-country-classifications/ |url-status=live }}</ref> [[List of countries by Human Development Index|Sri Lanka ranks]] well above other South Asian countries in the [[Human Development Index]] (HDI) with an index of 0.750.

By 2016, the country's debt soared as it was developing its infrastructure to the point of near bankruptcy which required a bailout from the [[International Monetary Fund]] (IMF).<ref>{{cite web |url=https://www.cnbc.com/2016/05/02/why-sri-lankas-economic-outlook-is-looking-less-rosy.html |title=Why Sri Lanka's economic outlook is looking less rosy |last=Shaffer |first=Leslie |date=2 May 2016 |publisher=CNBC |access-date=14 January 2017 |quote=While the government is aiming to raise its low revenue collection, partly through an increase in the value-added tax rate ... the country has a spotty record on tax collection. |archive-date=3 May 2016 |archive-url=https://web.archive.org/web/20160503120133/https://www.cnbc.com/2016/05/02/why-sri-lankas-economic-outlook-is-looking-less-rosy.html |url-status=live }}</ref> The IMF had agreed to provide a US$1.5&nbsp;billion bailout loan in April 2016 after Sri Lanka provided a set of criteria intended to improve its economy. By the fourth quarter of 2016, the debt was estimated to be $64.9&nbsp;billion. Additional debt had been incurred in the past by state-owned organisations and this was said to be at least $9.5&nbsp;billion. Since early 2015, domestic debt increased by 12% and external debt by 25%.<ref>{{cite web |url=https://www.forbes.com/sites/wadeshepard/2016/09/30/sri-lankas-debt-crisis-is-so-bad-the-government-doesnt-even-know-how-much-money-it-owes/ |title=Sri Lanka's Debt Crisis Is So Bad The Government Doesn't Even Know How Much Money It Owes |last=Shepard |first=Wade |date=30 September 2016 |work=[[Forbes]] |access-date=14 January 2017 |quote="We still don't know the exact total debt number," Sri Lanka's prime minister admitted to parliament earlier this month. |archive-date=1 October 2016 |archive-url=https://web.archive.org/web/20161001150730/https://www.forbes.com/sites/wadeshepard/2016/09/30/sri-lankas-debt-crisis-is-so-bad-the-government-doesnt-even-know-how-much-money-it-owes/ |url-status=live }}</ref> In November 2016, the IMF reported that the initial disbursement was larger than US$150&nbsp;million originally planned, a full US$162.6&nbsp;million (SDR 119.894&nbsp;million). The agency's evaluation for the first tranche was cautiously optimistic about the future. Under the program, the Sri Lankan government implemented a new Inland Revenue Act and an automatic fuel pricing formula which was noted by the IMF in its fourth review. In 2018 China agreed to bail out Sri Lanka with a loan of $1.25&nbsp;billion to deal with foreign debt repayment spikes in 2019 to 2021.<ref>{{cite web |url=https://www.imf.org/en/News/Articles/2016/11/18/PR16515-Sri-Lanka-IMF-Completes-First-Review-of-the-Extended-Arrangement-Under-the-EFF |title=IMF Completes First Review of the Extended Arrangement Under the EFF with Sri Lanka and Approves US$162.6 Million Disbursement |author=<!--Staff writer(s); no by-line.--> |date=18 November 2016 |website=IMF |access-date=14 January 2017 |quote=[IMF] completed the first review of Sri Lanka's economic performance under the program supported by a three-year extended arrangement under the Extended Fund Facility (EFF) arrangement. |archive-date=20 November 2016 |archive-url=https://web.archive.org/web/20161120140933/https://www.imf.org/en/News/Articles/2016/11/18/PR16515-Sri-Lanka-IMF-Completes-First-Review-of-the-Extended-Arrangement-Under-the-EFF |url-status=live }}</ref><ref>{{cite web |url=https://www.imf.org/en/Publications/CR/Issues/2018/06/19/Sri-Lanka-2018-Article-IV-Consultation-and-the-Fourth-Review-Under-the-Extended-Arrangement-45997 |title=Sri Lanka : 2018 Article IV Consultation and the Fourth Review Under the Extended Arrangement Under the Extended Fund Facility-Press Release; Staff Report; and Statement by the Executive Director for Sri Lanka |website=IMF |language=en |access-date=5 August 2018 |archive-date=25 June 2018 |archive-url=https://web.archive.org/web/20180625141232/https://www.imf.org/en/Publications/CR/Issues/2018/06/19/Sri-Lanka-2018-Article-IV-Consultation-and-the-Fourth-Review-Under-the-Extended-Arrangement-45997 |url-status=live }}</ref><ref>{{cite web |url=https://economynext.com/China_on_track_to_bail_out_Sri_Lanka_with_US$1.25bn_in_2018-3-11431.html |title=China on track to bail out Sri Lanka with US$1.25bn in 2018 |website=economynext.com |language=en |access-date=5 August 2018 |archive-url=https://web.archive.org/web/20180805112826/https://economynext.com/China_on_track_to_bail_out_Sri_Lanka_with_US$1.25bn_in_2018-3-11431.html |archive-date=5 August 2018 |url-status=dead}}</ref>

In September 2021, Sri Lanka declared a major [[economic crisis]].<ref name="BBC News 2021 crisis">{{cite web|date=1 September 2021|title=Covid: Sri Lanka in economic emergency as food prices soar|url=https://www.bbc.com/news/business-58390292|access-date=10 September 2021|website=BBC News|archive-date=30 November 2021|archive-url=https://web.archive.org/web/20211130122230/https://www.bbc.com/news/business-58390292|url-status=live}}</ref> The Chief of its Central Bank has stepped down amid the crisis.<ref name="Bloomberg 2021">{{cite web|last=Ondaatjie|first=Anusha|date=10 September 2021|title=Sri Lanka Central Bank Chief Steps Down Amid Reserves Crisis|url=https://www.bloomberg.com/news/articles/2021-09-10/sri-lanka-central-bank-governor-lakshman-to-step-down-sept-14|access-date=10 September 2021|website=Bloomberg|archive-date=10 September 2021|archive-url=https://web.archive.org/web/20210910101236/https://www.bloomberg.com/news/articles/2021-09-10/sri-lanka-central-bank-governor-lakshman-to-step-down-sept-14|url-status=live}}</ref> The Parliament has declared emergency regulations due to the crisis, seeking to ban "food hoarding".<ref name="Al Jazeera 2021 crisis">{{cite web|date=7 September 2021|title=Sri Lanka parliament approves state of emergency – Food News|url=https://www.aljazeera.com/news/2021/9/7/sri-lanka-parliament-emergency-food-prices-economic-crisis|access-date=10 September 2021|website=Al Jazeera|archive-date=7 September 2021|archive-url=https://web.archive.org/web/20210907035532/https://www.aljazeera.com/news/2021/9/7/sri-lanka-parliament-emergency-food-prices-economic-crisis|url-status=live}}</ref><ref>{{Cite web|title=Sri Lanka parliament passes emergency regulations to seize food stocks, warehouses|date=6 September 2021|url=https://economynext.com/sri-lanka-parliament-passes-emergency-regulations-to-seize-food-stocks-warehouses-85840/|access-date=11 September 2021|archive-date=6 September 2021|archive-url=https://web.archive.org/web/20210906131412/https://economynext.com/sri-lanka-parliament-passes-emergency-regulations-to-seize-food-stocks-warehouses-85840/|url-status=live}}</ref>

Tourism, which provided the economy with an input of foreign currency, has significantly declined as a result of the ongoing COVID-19 pandemic.<ref name="The New York Times 2021sri"/>

=== Transport ===
{{Main|Transport in Sri Lanka}}
[[File:UG-LK Photowalk - Colombo Harbour - 2017-03-12 (10).jpg|thumb|[[Port of Colombo|Colombo Port]] is the largest and busiest port in Sri Lanka]]
Sri Lanka has an extensive road network for inland transportation. With more than {{cvt|100,000|km}} of paved roads,<ref>[http://siteresources.worldbank.org/INTSARREGTOPTRANSPORT/1812598-1130163750121/20988151/Sri_Lanka_Benchmarking_Summary_21-12-04.pdf Sri Lanka: Transport at a Glance – Core Road Performance Indicators] {{Webarchive|url=https://web.archive.org/web/20150402114922/http://siteresources.worldbank.org/INTSARREGTOPTRANSPORT/1812598-1130163750121/20988151/Sri_Lanka_Benchmarking_Summary_21-12-04.pdf |date=2 April 2015 }} World Bank</ref> it has one of the highest road densities in the world ({{cvt|1.5|km|disp=or}} of paved roads per every {{cvt|1|km2|disp=or}} of land). The road network consists of 35 [[List of A-Grade highways in Sri Lanka|A-Grade highways]] and [[Expressways of Sri Lanka|four]] [[controlled-access highway]]s.<ref>{{cite web |title=Southern Expressway |url=http://www.rda.gov.lk/supported/expressways/stdp.htm |url-status=dead |archive-url=https://web.archive.org/web/20090415105137/http://www.rda.gov.lk/supported/expressways/stdp.htm |archive-date=15 April 2009 |access-date=15 July 2014 |publisher=Road Development Authority}}</ref><ref>{{cite web |title=Colombo_Katunayaka Expressway |url=http://www.rda.gov.lk/supported/expressways/cke.htm |url-status=dead |archive-url=https://web.archive.org/web/20090417080550/http://www.rda.gov.lk/supported/expressways/cke.htm |archive-date=17 April 2009 |access-date=15 July 2014 |publisher=Road Development Authority}}</ref> A and B grade roads are national (arterial) highways administered by Road Development Authority.<ref>{{cite web |url=http://www.rda.gov.lk/source/rda_roads.htm |title=Class A, B & E Roads |url-status=dead |archive-url=https://web.archive.org/web/20160428015938/http://www.rda.gov.lk/source/rda_roads.htm |archive-date=28 April 2016}}</ref> C and D grade roads are provincial roads coming under the purview of the Provincial Road Development Authority of the respective province. The other roads are local roads falling under local government authorities.

The [[Sri Lanka Railways|railway network]], operated by the state-run [[National Railway]] operator [[Sri Lanka Railways]], spans {{convert|1447|km|mi|-1}}.<ref>{{cite web |title=Statistics – Sri Lanka Railways |url=http://www.transport.gov.lk/web/index.php?option=com_content&view=article&id=128&Itemid=114&lang=en |archive-url=https://web.archive.org/web/20121228064539/http://www.transport.gov.lk/web/index.php?option=com_content&view=article&id=128&Itemid=114&lang=en |archive-date=28 December 2012 |publisher=Ministry of Transport Sri Lanka}}</ref> Sri Lanka also has three [[deep-water port]]s at [[Port of Colombo|Colombo]], [[Galle]], and [[Trincomalee]], in addition to the newest port being built at [[Ruhunu Magampura International Port|Hambantota]].

=== Transition to biological agriculture ===

In June 2021, Sri Lanka imposed a nationwide ban on inorganic fertilisers and pesticides. The program was welcomed by its advisor [[Vandana Shiva]],<ref>{{Cite web|date=16 June 2021|title=Sri Lanka's shift towards organic farming|url=https://navdanyainternational.org/sri-lankas-shift-towards-organic-farming/|access-date=5 September 2021|website=Navdanya international|language=en-US|archive-date=5 September 2021|archive-url=https://web.archive.org/web/20210905105342/https://navdanyainternational.org/sri-lankas-shift-towards-organic-farming/|url-status=live}}</ref> but ignored critical voices from scientific and farming community who warned about possible collapse of farming,<ref name=":7">{{Cite web|title=Opinion {{!}} The ban on chemical fertilizer and the way forward of Sri Lankan Tea Industry|url=https://agrigateglobal.com/reads/opinion/opinion-the-ban-on-chemical-fertilizer-and-the-way-forward-of-sri-lankan-tea-industry/|access-date=5 September 2021|website=Agrigate Global|language=en-US|quote=By diverting the attention of policymakers towards pointless nonscientific arguments instead of promoting such integrated management systems and high technological fertilizer production, will be only a time-wasting effort and meanwhile, the global demand for Ceylon Tea will generate diminishing returns. At present, there are about 500,000 direct beneficiaries from the tea industry and about 600 factories are operating around the country. In general, the livelihood of around 3 million people is directly and indirectly woven around the domestic tea industry.  The researchers and the experienced growers have predicted that a 50 percent reduction in the yield has to be anticipated with the ban of chemical fertilizer. The negative implication of this yield reduction is such that there is a risk of collapsing the banking sector which is centralized around the tea industry in the major tea growing areas including Ratnapura, Galle, Matara, Kaluthara, and Kegalle.|archive-date=5 September 2021|archive-url=https://web.archive.org/web/20210905104247/https://agrigateglobal.com/amp/reads/opinion/opinion-the-ban-on-chemical-fertilizer-and-the-way-forward-of-sri-lankan-tea-industry/|url-status=live}}</ref><ref>{{Cite web|title=Opinion {{!}} Inorganic Fertilizer and Agrochemicals Ban in Sri Lanka and Fallacies of Organic Agriculture|url=https://agrigateglobal.com/reads/opinion/inorganic-fertilizer-and-agrochemicals-ban-in-sri-lanka-and-fallacies-of-organic-agriculture/|access-date=5 September 2021|website=Agrigate Global|language=en-US|archive-date=15 October 2021|archive-url=https://web.archive.org/web/20211015032253/https://agrigateglobal.com/amp/reads/opinion/inorganic-fertilizer-and-agrochemicals-ban-in-sri-lanka-and-fallacies-of-organic-agriculture/|url-status=live}}</ref><ref>{{Cite web|date=8 June 2021|title=Sri Lanka Going Organic: Rethink the strategy; Agriculturists Write to President {{!}} The Sri Lankan Scientist|url=https://scientist.lk/2021/06/08/sri-lanka-going-organic-rethink-the-strategy-agriculturists-write-to-president/|access-date=5 September 2021|language=en-US|archive-date=19 November 2021|archive-url=https://web.archive.org/web/20211119105054/https://scientist.lk/2021/06/08/sri-lanka-going-organic-rethink-the-strategy-agriculturists-write-to-president/|url-status=live}}</ref><ref>{{Cite web|date=30 June 2021|title=Organic Farming In Sri Lanka – Ideology Of Hitler & Sri Lankan Agri "Cults"|url=https://www.colombotelegraph.com/index.php/organic-farming-in-sri-lanka-ideology-of-hitler-sri-lankan-agri-cults/|access-date=5 September 2021|website=Colombo Telegraph|language=en-US|archive-date=15 October 2021|archive-url=https://web.archive.org/web/20211015022319/https://www.colombotelegraph.com/index.php/organic-farming-in-sri-lanka-ideology-of-hitler-sri-lankan-agri-cults/|url-status=live}}</ref><ref>{{Cite web|date=25 June 2021|title=Sri Lanka's organic push threatens to backpedal ag progress|url=https://www.agdaily.com/insights/perspective-sri-lankas-organic-push-threatens-to-backpedal-ag/|access-date=5 September 2021|website=AGDAILY|language=en-US|archive-date=3 October 2021|archive-url=https://web.archive.org/web/20211003002356/https://www.agdaily.com/insights/perspective-sri-lankas-organic-push-threatens-to-backpedal-ag/|url-status=live}}</ref> including financial crisis due to devaluation of national currency pivoted around tea industry.<ref name=":7" /> The situation in the tea industry was described as critical, with farming under the organic program being described as ten times more expensive and producing half of the yield by the farmers.<ref>{{Cite web|title=Organic food revolution in Sri Lanka threatens its tea industry|url=https://www.aljazeera.com/news/2021/9/1/organic-food-revolution-sri-lanka-tea-industry|access-date=5 September 2021|website=aljazeera.com|language=en|archive-date=4 September 2021|archive-url=https://web.archive.org/web/20210904184316/https://www.aljazeera.com/news/2021/9/1/organic-food-revolution-sri-lanka-tea-industry|url-status=live}}</ref> In September 2021 the government declared an economic emergency, as the situation was further aggravated by falling national currency exchange rate, inflation rising as a result of high food prices, and pandemic restrictions in tourism which further decreased country's income.<ref name="BBC News 2021 crisis"/>

In November 2021, Sri Lanka abandoned its plan to become the world's first organic farming nation following rising food prices and weeks of protests against the plan.<ref>{{Cite news|last=Watt|first=Louise|date=21 November 2021|title=Sri Lanka abandons drive to become world's first organic country amid spiralling food prices|language=en-GB|work=[[The Daily Telegraph]]|url=https://www.telegraph.co.uk/world-news/2021/11/21/sri-lanka-abandons-drive-become-worlds-first-organic-country/|url-status=live|access-date=18 January 2022|archive-url=https://web.archive.org/web/20220118001307/https://www.telegraph.co.uk/world-news/2021/11/21/sri-lanka-abandons-drive-become-worlds-first-organic-country/|archive-date=18 January 2022|issn=0307-1235}}</ref> As of December 2021, the damage to agricultural production was already done, with prices having risen substantially for vegetables in Sri Lanka, and time needed to recover from the crisis. The ban on fertiliser has been lifted for certain crops, but the price of urea has risen internationally due to the price for oil and gas.<ref name="The New York Times 2021sri">{{cite web|last1=Wipulasena|first1=Aanya|last2=Mashal|first2=Mujib|date=7 December 2021|title=Sri Lanka's Plunge Into Organic Farming Brings Disaster|url=https://www.nytimes.com/2021/12/07/world/asia/sri-lanka-organic-farming-fertilizer.html|url-status=live|archive-url=https://web.archive.org/web/20220107014029/https://www.nytimes.com/2021/12/07/world/asia/sri-lanka-organic-farming-fertilizer.html|archive-date=7 January 2022|access-date=19 January 2022|website=[[The New York Times]]}}</ref> Jeevika Weerahewa, a senior lecturer at the [[University of Peradeniya]], predicted that the ban would reduce the paddy harvest in 2022 by an unprecedented 50%.<ref>{{Cite news|last1=Wallen|first1=Joe|last2=Hewage|first2=Nishantha|date=31 January 2022|title=Sri Lankan families go hungry as cost of food skyrockets|language=en-GB|work=The Daily Telegraph|url=https://www.telegraph.co.uk/global-health/climate-and-people/sri-lankan-families-go-hungry-cost-food-skyrockets/|url-status=live|access-date=1 February 2022|archive-url=https://web.archive.org/web/20220201045654/https://www.telegraph.co.uk/global-health/climate-and-people/sri-lankan-families-go-hungry-cost-food-skyrockets/|archive-date=1 February 2022|issn=0307-1235}}</ref>

===Tourism===
{{Main|Tourism in Sri Lanka}}
Sri Lanka's tourism industry is recovering, with tourism revenue reaching over $1.5 billion in the first half of 2024, a 78% increase year-on-year. Tourist arrivals also increased to 1.01 million, up 62% from the same period in 2023. This growth is attributed to the government's proactive measures and improvements from [[SriLankan Airlines]].<ref name="k997">{{cite web | last=Bhutia | first=Peden Doma | title=Is This the Comeback of Sri Lanka's Tourism? $1.5 Billion Revenue Suggests So | website=Skift | date=July 10, 2024 | url=https://skift.com/2024/07/10/is-this-the-comeback-of-sri-lankas-tourism-a-1-5-billion-revenue-suggests-so/#:~:text=Sri%20Lanka's%20tourism%20revenue%20reached,have%20played%20a%20crucial%20role. | access-date=January 1, 2025}}</ref> The government launched a global tourism marketing campaign and offered visa-free entry for visitors from several countries to encourage tourism. A free tourist visa program was introduced for visitors from selected countries, allowing them to stay for up to 30 days.<ref name="k997"/>