This is tom nash and not every day. You see protesters swimming in the president president's private pool trashing. His house. Absolutely going berserk that is exactly what's on in sri lanka.

Right now that is not something you see every day. But the actual story of what happened in sri lanka for the past few days is gonna blow your mind because it's absolutely insane let's talk about that hey this is tom nash and one of my favorite shows of all time has an episode. Where the main protagonist keeps trying to help this restaurant owner to actually get some business. He keeps giving him advice change your restaurant to indian change it to pakistani change it to whatever and the guy keeps listening to him because he's the smart american and he's you know the foreigner.

But the restaurant fails because the advice was horrible and then basically the protagonist says well i'm sorry. But he goes back home and the restaurant owner is basically left there standing holding the bag. Now if you actually know which show that is that means you're old enough to remember comment below. I want to see who knows which show i'm talking about but i'll explain in a second how this episode connects to what just happened in sri lanka in a way that's absolutely going to blow your mind.

I want to give a huge shout out to doomberg who run one of the best financial newsletters in existence. This is not a sponsored video. I'm simply a happy paying client and i want to give them a huge shout out their work helped me a lot research for this video and a bunch of other videos. I did and i highly recommend it now let's talk about sri lanka.

Now sri lanka is an island nation of 22 million people. It's beautiful you never hear about it because nothing wrong ever happens. There. It's quiet it's peaceful.

It's beautiful. It's located in the middle of the indian ocean between the maldives. Which is actually paradise and the beautiful country of india. Now this might come as a surprise.

But sri lanka doesn't have a history of ups in fact. It has an educated population and a median income among one of the highest in south asia. They're not the troublemaker before this whole mess started. Sri lanka had higher gdp per capita than india.

Ukraine south africa. Even the philippines just to name a few it was actually ranked 94th out of 200 by the international monetary fund in fact just four years ago in 2018. The world bank actually classified sri lanka as an upper middle income nation and the country had an absolutely bright future ahead of it so what the hell happened well in one word esg. My guy you want the long answer pull up a chair.

Because this is about to get. Interesting now look you might have heard that slang is going through a little bit of a tough time right now in fact. It's going through a major economic crisis. The government is in a complete state of chaos they completely lost control over the country.

The climax came over the weekend when thousands of people stormed. The official residence of the president essentially demanding his resignation. Now while this whole thing in this pool was going on another group of protesters was burning down the home of the prime minister in what seems to be a complete collapse of the society now what caused all this mayhem well it's the economy stupid. Grocery shelves were empty and whatever food was left was just too expensive fuel supplies completely depleted you have people in sri lanka.

Waiting for days just to get a few gallons as expected this ended up in people exploding losing it going to the streets. But why what the hell happened to cause all of this well look the sri lankan politicians simply got played they simply fell in love with this esg movement and for those of you who never heard about asg. It's basically a trendy rating system for investments with higher environmental social and government nature now look in 2018. The sri lankan government will balls deep into this basically deciding to impose a nationwide ban on the use of synthetic fertilizers and pesticides basically ordering 2 million farmers to go 100 organic overnight and with this new organic initiative.

Basically sri lanka actually got their beautiful score of 98. Esg. Almost doubled in the us with its measly 51. Even higher than sweden.

Unfortunately. Here's where the problem lies you can't freaking eat esg. My guy and with stupid policies you get stupid prizes. Because what happened next was horrific.

Now this ban pretty much destroyed the country's decrop. Which is its primary export and a huge source of foreign exchange. Another example rice production fell by 20 in just six months. That is a huge deal for sri lanka.

Who is always always as self sufficient in rice production. This ended up costing. The government 500 million dollars in imported rice costs not to mention the fact that the price of rice actually rose by 50 of the same six months. This is a heavy burden for a rice based nutrition country like sri lanka.

Now the sri lankan. President has not been seen publicly since the protesters basically broke in and busted up his house. But two days ago. He announced he's going to be stepping down.

Now. The problem is that whoever ends up running this country will have one hell of a sandwich to handle because sri lanka is practically bankrupt. It doesn't have any fuel food or medicine and now you know they're facing one of the most horrific crisis. We can imagine with no solution inside now obviously look inflation didn't help but in this case the wounds are mainly self inflicted.

But hey at least they achieved the near perfect esg score. It was all worth it now i'm not blaming the sri lankan government or their president. I'm blaming the elites in the west. Because this is just another chapter in the esg failure saga.

Germany. Had the same issue germany essentially did the same thing they shut down its own nuclear power coal power plants just to get a better esg score to suck up to the elites. Only to become totally dependent on russia for energy and we all know how that ended now what most people outside germany. Don't even realize is that even before putin went balls deep into ukraine.

Germany's dependence on russian gas had already taken a major toll on its economy. The german electricity prices literally jumped by one thousand percent of the past few years one thousand percent. They literally have one of the highest electric bills in europe probably globally this is exactly what happens when you voluntarily put yourself into a monopolistic relationship. Now look sri lanka is not germany.

Germany is not sri lanka. Germany is facing a whole different enchilada and their pain is still ahead. What happens in germany. I don't know yet but they're going to face some major issues because the winter is going to come and they're going to have a lot explaining to do and unfortunately.

This is exactly what happens when western elites. Think they know better than the simple locals coming in giving their horrible advice thinking they know better absolutely annihilating everything with their esg agenda. Leaving back to the country clubs as if nothing happened. While the poor sulankans are left to handle this and clean up the mess.

Which is exactly what happened in the seinfeld episode. I referenced in the beginning. This was the restaurant episode with babu. Very famous episode.

If you guessed correctly comment below let me know and let me know what you think about what's going on right now. Sri lanka and if you want to watch more videos about things. Like that comment below. I'll see you next video 30 hertz straight up you.