Sri Lanka will restrict fuel imports for the next 12 months due to a severe shortage of foreign exchange as the island nation's new government struggles to find a way out of its worst economic crisis, Energy Minister Kanchana Wijesekera said on Monday, Reuters reported.

The country has been struggling for months with a shortage of essentials, including fuel and medical supplies, after its foreign exchange reserves dried up due to economic mismanagement and the impact of the COVID-19 pandemic.

Due to currency issues, fuel imports should be limited for the next 12 months, Wijesekera said, explaining the reasons for the introduction of a fuel rationing system that will come into effect this week.

The rationing system is one of the first steps Sri Lanka's new president, Ranil Wickremesinghe, will take to mitigate the impact of the crisis after taking office last week after winning a parliamentary vote.

His predecessor, Gotabaya Rajapaksa, fled the country and then resigned earlier this month after widespread protests sparked by the economic crisis.