IMF commends Sri Lanka’s swift cyclone response, confirms EFF support

A meeting between representatives of the International Monetary Fund (IMF), who arrived in Sri Lanka to assess the damage caused by Cyclone Ditwah, and President Anura Kumara Dissanayake was held this morning (January 28) at the Presidential Secretariat in Colombo.

The IMF delegation, which arrived in the country on January 22, 2026 travelled across Sri Lanka to observe the damage caused by the cyclone and met with affected communities.

The representatives expressed regret over the disaster, which occurred as Sri Lanka’s economy was gradually recovering, and over the severe hardships faced by the people. However, they commended the Government’s swift actions to provide relief, restore infrastructure and help communities return to normal life. They also noted that many members of the public had praised the Government’s response, describing it as a significant achievement.

The IMF representatives stated that the strong fiscal discipline maintained by the Government over the past year had been key in addressing the crisis. They noted that the Government’s ability to present a supplementary estimate of Rs. 500 billion was made possible by a Treasury surplus, calling it a highly commendable development.

They further stated that Sri Lanka is moving in the right economic direction despite the disaster and confirmed that there would be no changes to the Extended Fund Facility programme. Discussions on the release of the sixth tranche are expected to resume in March.

President Dissanayake said the disaster had most severely affected poor rural communities, damaging infrastructure and livelihoods. He stated that Rs. 500 billion had therefore been allocated to protect rural livelihoods and restore income-generating activities.

The President stressed that this allocation does not represent a departure from fiscal responsibility. He said the Government’s goal is to ensure that economic gains reach ordinary citizens and that priority is being given to rebuilding lives affected by the Easter Sunday attacks and the recent economic crisis. He added that all future Government programmes are aligned with this approach and that Sri Lanka expects continued IMF support.

Both sides agreed to continue implementing the Extended Fund Facility programme without changes.

Representing the Government were Minister of Labour and Deputy Minister of Economic Development Dr. Anil Jayantha Fernando, Secretary to the Ministry of Finance Dr. Harshana Suriyapperuma, Central Bank Governor Dr. Nandalal Weerasinghe, Senior Economic Adviser to the President Duminda Hulangamuwa, and other officials.

The IMF delegation included Director of the Asia and Pacific Department Krishna Srinivasan, Deputy Director Sanjaya Panth, Mission Chief Evan Papageorgiou, and Resident Representative Martha Woldemichael.