Central Bank losing ability to create balance of payments

Sri Lanka’s central bank is running into a crisis as foreign central banks are not willing to lend foreign currency.
The central bank of Sri Lanka is loosening its ability to create a balance of payments and the country’s economic crisis may further deepen, warn financial analysts.

Sri Lanka’s central bank created a Balance of payment deficit of 2.3 billion US dollars in 2020, 3.6 billion US dollars in 2021, and 2,986 million US dollars up to July 2022. Up to August, the BOP deficit was officially calculated as 3,035 million US dollars