The International Monetary Fund (IMF) will commence its second review of the Extended Fund Facility (EFF) program for Sri Lanka today (March 07) with an opening meeting scheduled with President Ranil Wickremesinghe.

Taking to his X handle (formerly Twitter), Finance State Minister Shehan Semasinghe said this marks a crucial milestone in the ongoing efforts by the government to enhance stability and economic growth.

The lawmaker said the government aims to conclude a successful review and reach the staff-level agreement which will help unlock the third tranche of the global lender’s bailout package of USD 2.9 billion.

“This will accelerate our growth trajectory, fostering increased confidence in the economy,” he added.

Speaking to Ada Derana in this regard, Semasinghe said Sri Lanka is expecting the third tranche of the IMF loan in June.

The IMF had previously said the second review of Sri Lanka’s $2.9 billion bailout could be completed in the first half of 2024, provided it manages to meet debt restructuring and revenue targets set under the programme.

The IMF executive board cleared the first review of Sri Lanka’s bailout package in December 2023, providing approximately USD 337 million in funds as the second tranche to help tackle the fallout from the country’s worst financial crisis in decades.

Sri Lanka received the first tranche of the loan in March 2023 after the executive board approved the 48-month EFF program.