McDonald’s Shutters All Sri Lankan Stores Amidst Franchise Fallout

McDonald’s has closed all of its 12 outlets in Sri Lanka following the termination of its agreement with its local partner, as confirmed by an attorney for the U.S. company. Sanath Wijewardane, representing McDonald’s, cited standard issues leading to the termination and hinted at the possibility of returning with a new franchisee in the future. The deal was officially canceled on Wednesday, although the stores had remained operational for some days thereafter. The local partner, Abans, chose not to comment on the matter. While specific details regarding the issues leading to the termination were not disclosed by Wijewardane, local media reported allegations of poor hygiene, with McDonald’s reportedly taking legal action against Abans. Abans, on its website, states its initial partnership with McDonald’s dates back to 1998. The closure of McDonald’s outlets in Sri Lanka comes at a time when the country, with a population of 22 million, is grappling with a significant financial crisis.