The economic crisis and its effect on life style of the people: A study in colombo divisional secretariat division, Sri Lanka

Abstract

The people of Sri Lanka are severely impacted by the country's economic crisis. The study was conducted to determine how people's way of life had changed in Colombo due the crisis. Primary data collected through a Google form-based survey and observation. As per the study 94.1 % of participants stated that the economic crisis has altered their way of life. Because of the economic crisis, 39.2 % of respondents have reduced their food purchases. Concerning gas supply, 78.4 % of respondents stated that the situation has caused them to change their cooking methods. People also reported changing their eating habits and consuming fewer veggies and meats. Furthermore, people are mentally dissatisfied with their existing status in terms of achieving their goals and dreams. This circumstance has an impact on the lives of the youth and the country's future. Similarly, there are some positive sides due to the economic crisis. People have involved in their own cultivation. This causes a natural rise in self-production. This stage would also boost domestic output, allowing the country to stand on its own. Increasing the number of local products and inventions benefits the country's prestige. This helped the nation's health, education, environment, economy, and people's livelihoods as well.

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International Journal of Multidisciplinary Research and Growth Evaluation www.allmultidisciplinaryjournal.com
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The economic crisis and its effect on life style of the people: A study in colombo
divisional secretariat division, Sri Lanka
K Nishanthi
Sri Lanka Land Development Corporation, Rajagiriya, Sri Lanka
* Corresponding Author: K Nishanthi
Article Info
ISSN (online): 2582-7138
Volume: 03
Issue: 05
September-October 2022
Received: 21-08-2022;
Accepted: 23-09-2022
Page No: 455-459
DOI:
https://doi.org/10.54660/anfo.
2022.3.5.20
Abstract
The people of Sri Lanka are severely impacted by the country's economic crisis. The
study was conducted to determine how people's way of life had changed in Colombo
due the crisis. Primary data collected through a Google form-based survey and
observation. As per the study 94.1 % of participants stated that the economic crisis has
altered their way of life. Because of the economic crisis, 39.2 % of respondents have
reduced their food purchases. Concerning gas supply, 78.4 % of respondents stated
that the situation has caused them to change their cooking methods. People also
reported changing their eating habits and consuming fewer veggies and meats.
Furthermore, people are mentally dissatisfied with their existing status in terms of
achieving their goals and dreams. This circumstance has an impact on the lives of the
youth and the country's future. Similarly, there are some positive sides due to the
economic crisis. People have involved in their own cultivation. This causes a natural
rise in self-production. This stage would also boost domestic output, allowing the
country to stand on its own. Increasing the number of local products and inventions
benefits the country's prestige. This helped the nation's health, education, environment,
economy, and people's livelihoods as well.
Keywords: Economic crisis, Fuel crisis, Agriculture crisis, Colombo DSD
Introduction
A sharp downturn in the nation's economic performance is evident in falling output and demand, rising unemployment, and
corporate bankruptcies 1. As a result, the nation will inevitably experience significant levels of poverty. The economic crisis is
a part of a general crisis that occurs in many countries worldwide. It affects production, trade, social, political, and cultural
relations 2.
Several developed countries have experienced an economic crisis. In 2007 to 2008, the united states experienced an economic
crisis it caused unemployment and it effect youngsters severely 3. This financial crisis impacted all the countries, including
Europe countries. The worldwide economic crisis in 2009 dramatically altered the structure of modern civilization and
undoubtedly impacted the entire world 4. Due to this crisis, Italy faces a reduction in gross domestic product, which impacts
each individual in the country 5.
Sri Lanka is classified as a developing country. As per the income of the country in 2019, the World Bank downgraded Sri Lanka
from upper-middle-income category to lower middle income 6.
The ongoing economic crisis of Sri Lanka started in 2019 and is recognized as the worst economic crisis faced by the country
since 1948 7. It causes severe issues such as unprecedented inflation, near-depletion of foreign exchange reserves, shortages of
medical supplies, increased prices of essential commodities, electricity and fuel shortages, and reduced educational qualification.
The identified reason behind the economic crisis is listed as a fall in foreign remittances, tourism which is considered a primary
income way, but it started to drop in 2019 due to the Easter bombing 2019, Covid 19 pandemic, tax cuts in 2019, increased
external credit of the country that borrowed to construct unprofitable infrastructure within last decade and agriculture crisis 8.

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The agriculture crisis arose due to the announcement of the
country in 2021 as the country will allow only organic
farming and ban inorganic fertilizers and agrochemicals-
based fertilizers within a concise period 9.
Due to the economic crisis of Sri Lanka, the people in urban
cities have faced severe issues. People start to stay on the line
for fuel and face continuous power shortages, transportation
issues, and the increased price of domestic products 10. Thus
the study was used to analyze the lifestyle changes in the
urban city due to economic crisis on Colombo Divisional
Secretariat Division, Sri Lanka.
Materials and methods
The data is obtained from the primary data collection method
for the study. The study was carried out from March to June
2022. A standard questionnaire was used to collect the data
through a social survey. The questionnaire includes five
sections: social and agraphic data, economic status, Details
of consumption, Changes in consumer behavior, and Changes
in utilization of products.
A random sampling method was used to collect the data, and
an adequate sample size was decided by the following
equation 11.
Where,
n is the required sample size.
p is the percentage occurrence of a state or condition. The
default value is 50.
E is the percentage of maximum error required or the Margin
of error. The value is 5.
Z is the value corresponding to the level of confidence
required. The value is 1.96.
As per the equation, the sample size of the study area is
calculated as 422 (p = 50, E = 5, and Z = 1.96) 11. Four
hundred and twenty-two questionnaires were shared
physically and on social media with the public within
Colombo Divisional Secretariat Division. The used social
media platforms were WhatsApp and Messenger. The
questionnaire was prepared in Google form in English to
obtain the data via the internet. The obtained data were
analyzed by Excel sheet for the result.
Results and Discussion
The social character of the respondents was considered age,
sex, educational qualification, and the number of family
members. Four hundred and twenty-two individuals
responded to the questionnaire. Ninety-two questionnaires
were responded to physically by a printed version. Balance
350 was responded to through Google form, shared via the
internet. The result is summarized all together for the
outcome.
Table 1: Social characteristics of participants
General characteristic of the sample
Frequency (422)
Percentage (%)
Age
16 to 15
49
11.61
26 to 35
284
67.29
36 to 45
57
13.50
Above 45th
32
7.58
Sex
Male
168
39.81
Female
254
60.18
Educational Qualification
Secondary
112
26.54
Graduates
170
40.28
Postgraduate
140
33.17
Number of Family Members
1-3
149
35.30
1-5
209
49.52
1-8
59
13.98
>8
05
1.18
Type of Residence
Own
266
63.03
Rental
49
11.61
Flats
65
15.40
Other
42
9.95
Table 1 displays the general characteristics of the survey
respondents. According to the data, 67.2 % of respondents
were aged between twenty-six and thirty-five. There were
60.18 % women. Graduates made up 40.28 % of the
respondents, while postgraduates made up 33.17 %. 49.52 %
of participants had one to five family members. The
respondents' residential type was recorded as 63.03 % living
in their own house, 11.61 % in rental homes, 15.40 % in flats,
and 9.95 % living in other homes such as native residence and
boarding and leased houses. Furthermore, it was noted that of
the respondents, 21.32 % had monthly income between
Rs.10,000 and Rs. 50,000; and 29.62 % had income between
Rs. 50,000 and Rs. 100,000 Families earning between Rs.
100,000 and Rs. 250,000 per month made up 37.62 %, while
families earning over Rs.250,000 per month made up 11.61
%. It demonstrates that the majority of respondents have high
monthly income averages. This family could maintain a high
level of life in an urban region before the economic downturn.
According to the research, 94.1 % of the participants agreed
that the economic crisis had changed their lifestyles. Right
now, 88 % of respondents concur that they have begun to
reduce the cost of their purchases, and only 12 % disagree.
The types of things respondents avoid buying due to the
economic crisis are depicted in Figure 1.

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Fig 1: Types of products respondents declined to purchase
According to the graph, 39.2 % of people have decreased
food purchases. Every person worked as hard as they could
to keep their dietary habits satisfied, but the economic crisis
made those people less fortunate. Further, People lowered
their clothing purchases by 29.4 %. Cosmetics purchases fell
by 21.6 %, and other purchases including those of alcohol and
nicotine products, down by 9.8 %. The procurement of
petroleum from foreign nations has decreased due to the
economic crisis. It reduces availability and raises the price of
gas cylinders. As a result, most people lose the opportunity to
use a gas stove for cooking purposes. Concerning this issue,
78.4 % of the individuals admitted that they had modified
their cooker due to the economic crisis, while 21.6 % stated
they had not. Figure 2 depicts the modifications made by
research participants at the end of 2021 and after 2021.
Fig 2: Comparison of the utilization of cookers before and after 2021
According to the graph, usage of gas cookers has
significantly reduced from 70.37 % to 10.18 %, while usage
of wooden cookers has significantly increased from 8.05 %
to 59.71 %. Kerosene users decreased by 6.39 % to 1.89 %,
while those who use induction cookers rose from 3.79 % to
10.18 %. The proportion of people who use rice cookers or
multi-cookers increased from 11.37 % to 18.00 %.
However, people are still waiting in line to get a gas cylinder.
The table below shows how much time people spend waiting
in long queues.
Table 2: Time spent in the queue to obtain gas
Time
Frequency
Percentage
Less than one hour
15.63
66
1-5 hours
15.63
66
1-10 hours
19.43
82
More than 10 hours
16.11
68
Did not obtain the Gas
33.17
140

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According to the table, 15.63 % of respondents said they
stood for less than an hour to buy gas, 15.63 % stated they
stood for one to five hours, and 19.43 % claimed they stood
for one to ten hours, and 16.11 % mentioned they stood for
more than ten hours. Regrettably, 33.17 % of those who stood
for longer than ten hours did not receive gas.
The research also takes into account the petroleum issue.
Among the respondents, 80.80 % have a personal vehicle,
and 19.19 % do not own a vehicle. 80.80 % of the persons in
this circumstance waited in line for fuel. The frequency is
displayed below with time.
Fig 3: Time spent in the queue for Petroleum
According to the graph, 27.72 % of people took one to five
hours to get their petroleum, 14.92 % spent one to ten hours,
21.09 % waited for one to twenty hours, and 36.25 % lasted
more than a day. However, due to the fuel crisis, 73.31 % of
respondents who own a vehicle have switched to public
transportation, while 26.68 % use their vehicles.
In response to the economic crisis, 52.85 % of respondents
said they were considering migrating from Sri Lanka, while
47.15 % said they had no intentions of leaving.
The financial crisis has had a significant influence on Sri
Lankans. People have altered their lifestyles in a variety of
ways. The following table displays people's adjustments in
response to the national crisis.
Table 3: Lifestyle changes due to the economic crisis
No
Life Style Change
Frequency
Percentage
1
Started to walk
19
4.50
2
Riding Bicycle
12
2.84
3
Started to use public transport
26
6.16
4
Training for mental stability
20
4.73
5
Loss of Leisure time
40
9.74
6
Limited trips
26
6.16
7
Food pattern and transport
40
9.47
8
Food Pattern
53
12.55
9
Cutting off on luxury expenses
55
13.03
10
Start to cultivate own vegetables
106
25.11
11
Nothing Mentioned
25
5.92
Data collected revealed that people have altered their way of
life in response to the country's economic problems. Based
on this, 4.5 % of people began to walk for a short distance. In
addition, 2.84 % of people started riding bicycles, and 6.16
% began using public transportation, including buses and
trains. 4.73 % of the respondents stated they were mentally
preparing for the situation. Further, 9.74 % of respondents
stated that they had lost leisure time due to waiting in lines to
buy gasoline and gas. They continued by saying they didn't
have enough time to unwind at home. In response to the
gasoline problem, 6.16 % of the respondents said they had cut
back on vacations and travel. 9.47 % of respondents said their
eating habits and modes of transportation had changed. 12.55
% changed their eating habits by consuming fewer meals,
making one or two curries with rice, and avoiding fruits,
particularly grapes and apples, and meat products such as
chicken, fish, and eggs.
Additionally, 25.11 % of respondents said they started home
vegetable gardening. Chile, tomato, eggplant, bitter gourd,
and pumpkin were all vegetables. And 25.11 % stopped using
their premium production. 5.92 % of respondents did not
respond at all.
Finally, suggestions for resolving the country's economic
crisis were requested from the responders. Among the 422
respondents, 76 did not respond to the question, while the
remaining 346 people shared their ideas. The summary of the
suggestions are; to privatize all sectors of Sri Lanka's
economy, except for those related to education and health
care, establish political stability, promote tourism, change the
ruler, plan management of the financial sector, political
transition, increase domestic production, enlarge the export
market, improve local innovators opportunities, build a
reliable state while obtaining an IMF loan, increasing
products in our country, increase in agricultural productivity,
expanding employment opportunities in non-agricultural
industries, better implementation of reforms to spur safer,
more productive labor and improved access across the
country to public services and education, cutting wasteful
spending, and enacting strict laws.
Conclusion
According to the findings, 94.1 % of those surveyed agreed
that the economic downturn had altered their way of life. As
of now, 88 % of respondents agree that they have begun to
reduce the cost of their purchases. As a result of the fuel
crisis, the usage of gas cookers has decreased significantly
from 70.37 % to 10.18 %, while the use of wooden cookers
has increased significantly from 8.05 % to 59.71 %. People
struggle to obtain fuel for their vehicles, making it difficult to
carry out their jobs and daily necessities. People also stated

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that they had changed their eating habits and began to
consume fewer vegetables and meats.
In summary, the worsening economic situation has affected
families' eating habits, as they consume less of certain foods,
particularly meat, fish, and some fruits and vegetables. The
country has restrictions on imported fruits, and the prices are
high. Furthermore, due to fuel shortages, vegetables cannot
be delivered to all parts of the island on time and are
reasonably priced. These decisions may have a negative
impact on the health of family members, particularly
children, who require a well-balanced diet.
Further, people are mentally disappointed with the current
situation to achieve their aim and dreams. This situation
impacts the youngsters' life and the future of the country.
Because today's healthy and educated generation is
tomorrow's wealth of the nation, the future generation should
be strong physically and mentally.
Similarly, the situation has some positive aspects. 25.11 % of
respondents were involved in their cultivation. This results in
a natural increase in own production. If people began to meet
their own needs, they would no longer need to rely on others.
This stage would also improve local production, allowing the
country to stand independently. Increasing local products and
inventions boost the country's reputation. This paved the way
for the nation's health, education, environment, economy, and
people's livelihood.
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