IMF Executive Board approves Sri Lanka’s fourth review

The Executive Board of the International Monetary Fund (IMF) has approved the Fourth Review of Sri Lanka’s Extended Fund Facility (EFF) arrangement.

The IMF’s Executive Board met to evaluate Sri Lanka’s fourth review under the Extended Fund Facility (EFF) earlier today (01).

On April 25th IMF staff and the Sri Lankan authorities reached staff-level agreement on the fourth review of Sri Lanka’s program under the EFF.

Accordingly, Sri Lanka will now have access to approximately USD 350 million in financing through the IMF program.

This brings the total IMF financial support disbursed so far to approximately USD 1.74 billion.

Evan Papageorgiou, the IMF Mission Chief for Sri Lanka also confirmed that the Executive Board of the IMF completed the Fourth review under the 48-month Extended Fund Facility Arrangement yesterday.

Evan Papageorgiou said in a statement, “The EFF arrangement for Sri Lanka was approved by the Executive Board on March 20, 2023 in an amount of SDR 2.286 billion (395 percent of quota or about US$3 billion). The program supports Sri Lanka’s efforts to durably restore macroeconomic stability by (i) restoring fiscal and debt sustainability while protecting the vulnerable, (ii) safeguarding price and financial sector stability, (iii) rebuilding external buffers, (iv) strengthening governance and reducing corruption vulnerabilities, and (v) enhancing growth-oriented structural reforms.”