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→Civil war, 1983-present
The UNP government moved quickly to stimulate the stagnating economy by means of a sharp devaluation of the national currency, elimination of many economic restrictions, large foreign loans, and big increases in public spending for development projects. Helped by high tea prices in 1977 and 1978, Sri Lanka entered a period of rapid economic growth and falling unemployment—accompanied, however, by increased social inequalities and inflation. In 1982 president Jayewardene was reelected to a second six-year term with 53% of the vote; a popular referendum extended the term of the 1977 parliament until 1989.
The UNP government moved quickly to stimulate the stagnating economy by means of a sharp devaluation of the national currency, elimination of many economic restrictions, large foreign loans, and big increases in public spending for development projects. Helped by high tea prices in 1977 and 1978, Sri Lanka entered a period of rapid economic growth and falling unemployment—accompanied, however, by increased social inequalities and inflation. In 1982 president Jayewardene was reelected to a second six-year term with 53% of the vote; a popular referendum extended the term of the 1977 parliament until 1989.
===Civil war, 1983-present===
===Civil war, 1983-2009===
Severe riots broke out in August 1977 between majority and Tamils (who constituted about 20% of the population). The minorities bore the brunt of the violence, and after about two weeks of anti-Tamil arson, looting, and killing, the toll was 105 dead, 3,000 in jail, 125,000 homeless, and damage to property in the millions of rupees. Again in August 1983 a devastating explosion of communal violence saw Sinhalese mobs kill more than 300 Tamils, force more than 100,000 to become refugees, and destroy many Tamil-owned stores and factories.
Severe riots broke out in August 1977 between majority and Tamils (who constituted about 20% of the population). The minorities bore the brunt of the violence, and after about two weeks of anti-Tamil arson, looting, and killing, the toll was 105 dead, 3,000 in jail, 125,000 homeless, and damage to property in the millions of rupees. Again in August 1983 a devastating explosion of communal violence saw Sinhalese mobs kill more than 300 Tamils, force more than 100,000 to become refugees, and destroy many Tamil-owned stores and factories.
====Tamil Tigers====
====Tamil Tigers====