COLOMBO (News 1st) – Sri Lanka's Cabinet has granted approval to downgrade Sri Lanka to a low-income country from a lower-middle income country, announced Dr. Bandula Gunawardena, the Cabinet Spokesperson on Tuesday (11).

"Sri Lanka was a middle-income country as per the global classification. Given the middle-income status we cannot access concessionary loans from overseas," he told reporters.

He revealed that the income of persons following the economic crisis dropped drastically, and it fell even further in 2022.

The Minister said that global agencies had recommended to the Finance Minister to downgrade the status of Sri Lanka for them to provide concessionary loan assistance to Sri Lanka.

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