Sri Lanka has defaulted on its foreign debts, thus sending a wave of shocks around the world.

The country is even not able to pay for fuels imported.

External economic factors and mismanagement is said to be the reason why the country has not been able to meet up with payments.

It is the first country in that region to face this kind of challenge in the last two years.

At the head of challenges are food and energy crisis. These have worsened the country’s economic situation after the challenges of the pandemic.

Sri Lanka is not the only country facing these challenges. Other countries are also suffering economic woes.

The country is owing almost $200 million in debts.