Sri Lanka’s recovery under pressure in unstable global order

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📰 Sri Lanka

Sri Lanka’s recovery under pressure in unstable global order 3h ago

Daily FT

Sri Lanka's economic recovery, anticipated for 2026, faces significant pressure from escalating global geopolitical tensions, according to industry leaders. These tensions are already manifesting in disruptions to tourism, exports, and shipping, threatening to derail progress. At a forum organized by the Sri Lanka-Italy Business Council, Ambassador Damiano Francovigh of Italy to Sri Lanka and the Maldives cautioned that while immediate impacts like fuel prices are visible, long-term consequences will necessitate deeper economic integration and diversified trade partnerships for smaller nations. He advised Sri Lanka to shift towards a more open economic model, strengthen alliances, and diversify trade to remain relevant in a global order moving from rules-based to power-based dynamics, emphasizing the urgent need for regional cooperation and faster decision-making, echoing concerns about countries not at the "table" being "on the menu."

Daily FT Full Article

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