SUMMARY

The fiscal policies of Sri Lanka, the US, and Canada during the COVID-19 recession differed greatly because of differences in their economic capacity, political structures, and social welfare priorities. The US and Canada, as developed nations with larger economic resources, implemented substantial fiscal stimulus packages focused on direct payments to citizens, extensive unemployment benefits, and business support. Comparatively, Sri Lanka is a developing nation with much more limited fiscal space. They, in turn, focused on targeted relief measures, including tax cuts and subsidies, but faced significant constraints due to previously existing debt levels and limited access to international credit markets.