The newly appointed Advisor on Finance is in Washington with a four member team to discuss an aid program with IMF and World Bank. It is said that the foreign exchange reserves of the counry have depleted to such an extent that they are not sufficient for the heavy import bill. For the last two days there has been intense rumors that certain banks may collapse and government may seize bank lockers which has createted uncertainly in general public.
People are reluctant to keep money in the banks, particulaly small account holders who feel that they may lose thier money in case the bank collapses. The government sources say that there is no possiblillity of default and that everything will be back on track in two to three weeks. I wonder if it is so easy. The damage has already been done and it will take long time by the economy of the country before it recovers.
The newly appointed Advisor on Finance is in Washington with a four member team to discuss an aid program with IMF and World Bank. It is said that the foreign exchange reserves of the counry have depleted to such an extent that they are not sufficient for the heavy import bill. For the last two days there has been intense rumors that certain banks may collapse and government may seize bank lockers which has createted uncertainly in general public.
People are reluctant to keep money in the banks, particulaly small account holders who feel that they may lose thier money in case the bank collapses. The government sources say that there is no possiblillity of default and that everything will be back on track in two to three weeks. I wonder if it is so easy. The damage has already been done and it will take long time by the economy of the country before it recovers.
Related
