Colombo, Apr. 6: Sri Lankan President Gotabaya Rajapaksa late Tuesday night revoked the state of Emergency with immediate effect on his island nation. In a gazette notification number 2274/10, the President said he has withdrawn the Emergency rule ordinance which gave security forces sweeping powers to curb any disturbance in the country.

President Rajapaksa had declared an Emergency on April 1 amid a spate of protests over the worst economic crisis in the country, with thousands gathering outside the President’s private residence, demanding his resignation.

Later, the government imposed an island-wide curfew. Protests continued despite curfew and the state of Emergency with senior ruling party figures having their homes surrounded by angry protesters who urged the government for solutions to the economic crisis. The revocation of the gazette assumes significance as the ruling coalition appeared to have lost its majority in the 225 member Parliament with over 40 MPs declaring independence from the ruling coalition.

Sri Lankan police fired tear gas and water cannons at some 2,000 irate protesters who defied curfew orders and tried to storm Prime Minister Mahinda Rajapaksa's residence in Tangalle on Monday, demanding his resignation amid the worst economic crisis in the country. Around 2,000 people descended near the Prime Minister's residence known as Carlton House in Tangalle, situated 200 km south of Colombo, and pulled down barricades chanting anti-Rajapaksa slogans.

Interestingly, Tangalle, which has a Sinhalese-majority population, is considered to be the bastion of the powerful Rajapaksa clan.

According to eyewitness accounts, angry protesters managed to dodge the police and were seen running toward Rajapaksa's gates clamouring for his resignation.

Sri Lankan President Gotabaya Rajapaksa dropped his brother as finance minister and sought a new central bank governor on Monday.

The president's nephew resigned as sports minister in the government that was disbanded while the Central Bank of Sri Lanka (CBSL) governor offered to quit. The CBSL delayed its monetary policy announcement scheduled for Tuesday.

Former CBSL official P. Nandalal Weerasinghe said on Monday that he had accepted an offer from Rajapaksa to become the central bank's next governor.

"The president called me and made the offer, and I have accepted," Weerasinghe told Reuters.

The president's media office said Justice Minister Ali Sabry was named finance minister, replacing Basil Rajapaksa, the president's younger brother, who was due to visit Washington this month for talks with the International Monetary Fund (IMF) on a loan programme.

Ministers of foreign affairs, education and highways will keep their positions.-Agencies