Sri Lanka says many countries cannot address climate risks and financial risks on their own

 

Due to high risk of debt distress, fiscal situation not only constrains the ability of governments to meet immediate development needs but also limits their ability to invest in longer-term challenges, such as climate change, says State Minister of Finance Shehan Semasinghe. 

“Sri Lanka also has been ranked among the countries that are most vulnerable to climate change in the global climate change risk index. In the meantime, Sri Lanka has been facing its worst economic downturn since independence in 1948, as a result of the Covid-19 pandemic and other global challenges, the state minister stressed. 

Due to high risk of debt distress, fiscal situation not only constrains the ability of governments to meet immediate development needs but also limits their ability to invest in longer-term challenges, such as climate change”. 

The state minister concluded his address by saying that, “Many countries like Sri Lanka cannot address climate risks and financial risks on their own. Therefore, the gatherings as the one we are having today are important to understand the risks and challenges of these crises and to plan for the future towards sustainable economic development.