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Economy / Sri Lanka

Troubling Times

August 2006 | Risk Summary

Heavy fighting between the Sri Lankan army and Tamil Tiger rebels in the country's north-eastern district of Trincomalee has brought back conditions of full-scale war. The latest clashes sparked off on July 23 when the Sri Lankan air force began bombing Tamil Tiger positions, accusing the rebels of stopping water in areas they control on the Maavilaru waterway from reaching tens of thousands of civilians in government-controlled areas. The decision by Nordic truce monitors from Finland, Denmark and Sweden, to pull out of the ceasefire monitoring mission by September 1 - following a rebel demand that EU nations leave the

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