The Executive Board of the International Monetary Fund approved a 252 million dollar disbursement, upon completion of the Fourth Review of Sri Lanka’s Economic Performance, under the program supported by a three-year extended arrangement under the Extended Fund Facility Arrangement.
Sri Lanka’s three-year extended arrangement was approved in June 2016, in the amount of 1.5 billion dollars.
Following the Executive Board’s discussion of the review, Acting Chair and Deputy Managing Director: Mitsuhiro Furusawa noted, Sri Lanka has made important progress under its Fund-Supported Program. In a statement issued yesterday he pointed out, keeping the reform momentum is critical to build resilience, and boost sustainable growth.
He notes major achievements, which include the launch of the new Inland Revenue Act, as well as important steps in Energy-Pricing Reforms and towards flexible inflation targeting.
He observes, the authorities’ efforts to improve the policy-mix through fiscal consolidation, prudent monetary policy, and landmark structural reforms are supporting ‘economic recovery’, despite recent shocks