State Minister of Finance Shehan Semasinghe states that over the next couple of months Sri Lanka will seek to make further progress on debt restructuring whilst completing some IMF programme prior actions, with a view to obtaining approval of the IMF Executive Board, enabling the release of its next tranche of funds. 

Posting on ‘X’ (formerly Twitter) regarding Sri Lankan authorities and the IMF mission team reaching the staff-level agreement on the second review of the EFF (Extended Fund Facility) programme today (21), he claimed that this reflects the strong progress made by Sri Lanka in key reforms encompassing fiscal consolidation, monetary policy, financial sector stability, and governance, among others. 

Furthermore, the Finance State Minister mentioned that the signs of a shift from economic stabilisation to growth are emerging as an economic growth of 4.5% was recorded in the fourth quarter of 2023. 

“This is evidence that the reforms implemented over the last 2 years are beginning to bear fruit and it is essential that this reform momentum is maintained”, he added.

Meanwhile, the lawmaker also highlighted that any slippage or reversal of these reforms threatens to rapidly unwind the economic recovery, and will gravely hinder the well-being of all Sri Lankans, particularly the poor and vulnerable.