IMF gives thumbs up to Sri Lanka's reform progress, stresses need to sustaining momentum

THE International Monetary Fund (IMF) this week commended Sri Lanka’s continued progress under its economic reform program, whilst stressing the importance of maintaining reform momentum amid global uncertainty.

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• IMF Communications Director Julie Kozack confirms it is closely engaged with Sri Lankan authorities to assess key prior actions —15 % electricity tariff hike and revised bulk supply guidelines

• Says $ 344 m IMF tranche pending Executive Board approval following review

• Welcomes governance reform plan, including procurement and asset recovery laws

• Commends Sri Lanka's rebound in growth, low inflation, rising reserves, and improved revenue

• Cautions on heightened global uncertainty, stressing need to maintain reform momentum

• Notes IMF continues close engagement with Sri Lankan authorities to support EFF program completion

• In a first in 20 years IMF's First Deputy Managing Director arrives in SL tomorrow

Speaking at a media briefing on Thursday, IMF Communications Director Julie Kozack confirmed that the IMF is closely engaged with Sri Lankan authorities to assess key prior actions taken recently, including a 15% increase in electricity tariffs and the publication of revised bulk supply transaction account guidelines.

These measures announced on 11 June, are considered essential prior actions for the country to unblock the next branch of IMF financing.

“Once the review is completed by our Executive Board, Sri Lanka would have access to about $ 344 million in financing,” she said, adding that the Board meeting date will be announced in due course.