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It is obvious that, Sri Lanka has experienced an open economic system in the ancient times, and the rulers had given the state patronage for trading whereby, trading had never been discouraged. As, it had been the tradition in India, and also in that of Sri Lanka as well, the king had been inherited with the state land and water resources. And also it has been stated even in the Kautilyas? Arthashasthra. Hence, the king had played a major role both in internal and external trade. At times, it has been reported in chronicles such as Mah?vamsa that the kings have sent trade delegations to foreign countries through which their counterparts were invited to have trade transactions with the island.
Between the East and the West, the island stands in a central position, in the middle of the sea routes, that link the shores of the Persian Gulf, Red Sea, Southeast Asia and Far East. The island is blessed with numerous bays, natural harbors, estuaries and navigable rivers which could facilitate both internal and external trade. The most important capitals of Sri Lanka were situated in the inland of Sri Lanka. The capital of Anur?dhapura was linked to the port of Mah?thitha, closer to the Aruvi ?ru river. The second ancient capital of Polonnaruwa was situated on the banks of the Mahaveli river which is near the port of G?kanna, Tissamah?rama, Sri Lankan?s ancient city in the South was situated on the left bank of the Krindi Oya which is near to the ancient port of Kirinda.
Since the Anuradhapura period in the internal trade, the exchange of goods as well as that of the usage of coins had been practiced. The main medium of exchange in the internal trade was the ?Kahavanu?. |
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