Four multinational firms reject claims they are 'winding up operations' in Sri Lanka

"With the steep depreciation of the rupee, these multinational companies have begun winding up operations in Sri Lanka," reads the Sinhala-language text overlaid on an image that featured the logos of four companies -- KFC, Pizza Hut, Coca-Cola, and Pepsi.

It was posted on May 24 in a Facebook post and shared more than 800 times.

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Screenshot of the misleading Facebook post captured on May 26, 2022

Sri Lanka is facing its worst-ever shortage of foreign exchange with the government unable to finance even the most essential imports such as food, fuel, and medicines.

Customers have been unable to obtain petrol, diesel, or cooking gas, and staple foods have been rationed. In addition, the country is experiencing record inflation and daily power outages.

The image with the identical claim was also shared more than 300 times on Facebook here and here. 

AFP spoke to representatives from the companies mentioned in the posts on May 26 -- and all denied the claim.

Ranil Irugalbandara, chief operations officer of KFC in Sri Lanka, told AFP: "This is a fake claim. There is no such plan to shut down the operations of KFC. In fact, we are planning to open a couple of new outlets across the country in the coming months." 

A representative for Gamma Pizzakraft Lanka Private Limited that franchises Pizza Hut in Sri Lanka said: "This is fake news. There is no such plan to wind down the operations of PizzaHut in Sri Lanka."

Shamal Gunawardena, director of sales for Coca-Cola in Sri Lanka said: "This is a false claim. There is absolutely no such plan to wind down Coca-Cola's operations in Sri Lanka."

Meanwhile, a spokesperson for Varun Beverages Lanka -- Pepsi's bottler in the country -- also told AFP the posts have shared "false information" and added the company had no plans to shut down its plants in Sri Lanka.

As of May 30, AFP found no credible reports or statements that support the claim.