IMF to review Sri Lanka’s extended fund facility after Presidential Election

Sri Lanka’s Minister of State for Finance, Shehan Semasinghe, announced that the IMF will conduct its third review of the Extended Fund Facility for Sri Lanka after the upcoming Presidential Election.

An IMF team is scheduled to visit Sri Lanka for this review.

Peter Brewer, head of the IMF mission, recently visited Sri Lanka, emphasizing the IMF’s commitment to the country. The IMF has warned that failing to stick to policies could threaten Sri Lanka’s recovery.

During its visit from July 25 to August 2, 2024, the IMF team observed that Sri Lanka’s economic reforms have led to three consecutive quarters of GDP growth, low inflation, increased revenue, and higher external reserves.

However, the IMF stressed that significant progress on reforms is needed to ensure a stable and widespread economic recovery for all Sri Lankans.

So far, Sri Lanka has received a total of one billion dollars from the IMF under this arrangement, distributed in three separate payments.