Sri Lanka Achieves Key Milestones in IMF Program Amid Global Challenges

Sri Lanka's Economic Progress Under IMF Scrutiny

Colombo: President Anura Kumara Dissanayake announced on Thursday that Sri Lanka has successfully met all the benchmarks established under the IMF's Extended Fund Facility (EFF) program.

This statement was made during a meeting with an IMF delegation currently visiting Sri Lanka to conduct a combined review of the country's reform initiatives supported by the EFF.

The two funding tranches are anticipated to release a total of USD 700 million from a larger USD 2.9 billion bailout package initiated in 2023.

According to Dissanayake, the nation has achieved all program targets and has attained a state of relative economic stability, as reported by the president's office.

In light of external pressures stemming from the ongoing conflict involving the US, Israel, and Iran, Dissanayake emphasized the government's commitment to mitigating any negative impacts on the populace.

The IMF team, which will remain in Sri Lanka until April 9, praised the government's economic advancements, highlighting the country's shift towards a more resilient economic framework through the attainment of growth objectives, enhanced revenue management, and bolstered foreign reserves.

Sri Lanka aims to secure the two funding tranches once the IMF delegation concludes its current assessment.

The island nation accessed the nearly USD 3 billion facility after declaring its first-ever sovereign default in 2022, a program that has faced political backlash due to its associated austerity measures.