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IMF welcomes progress made by Sri Lankan authorities

PTI
Updated: March 8th, 2023, 09:23 IST
in Home News, International
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Washington: The International Monetary Fund Tuesday welcomed the progress made by Sri Lanka in taking some decisive policy actions to address its economic woes and obtaining financing assurances from all their major creditors, including China, India and the Paris Club.

“Look forward to presenting for approval Sri Lanka’s IMF-supported program to our Executive Board on March 20,” IMF Managing Director Kristalina Georgieva said.

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The Extended Fund Facility (EFF) will support the authorities’ programme of ambitious reforms, which will help Sri Lanka emerge from its current crisis and set it on a trajectory of strong and inclusive growth, she said.

“I welcome the progress made by the Sri Lankan authorities in taking decisive policy actions and obtaining financing assurances from all their major creditors, including China, India and the Paris Club” Georgieva said.

Krishna Srinivasan, Director of Asia and Pacific Department of IMF, said Sri Lanka has now received financing assurances from all major bilateral creditors. This paves the way for consideration by the IMF’s Board March 20 the approval of the Staff Level Agreement reached on September 1, 2022 for financing under an Extended Fund Facility.

“Approval by the Board would also catalyze financing from other creditors, including the World Bank and the Asian Development Bank. The arrangement will support the authorities’ programme of ambitious reforms that they have already embarked upon, which will help Sri Lanka emerge from its current crisis and set it on a trajectory of strong and inclusive growth,” Srinivasan said.

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