The International Monetary Fund (IMF) has lauded Sri Lanka’s significant strides on the debt restructuring front, highlighting the island nation’s commendable outcomes in macroeconomic policy reforms. According to IMF Communication Department Director Julie Kozack, Sri Lanka’s program performance has been robust, with most conditions for the second review of the IMF’s Extended Fund Facility met or implemented with slight delays.
The upcoming second review, scheduled for June 12, signifies a crucial step in assessing Sri Lanka’s progress under the $2.9 billion bailout program. Kozack emphasized Sri Lanka’s rapid disinflation, robust reserve accumulation, and initial signs of economic growth as commendable outcomes of the reform efforts. Furthermore, she noted ongoing discussions with external official creditors and strong expectations for agreements with external commercial creditors, indicating a positive trajectory for Sri Lanka’s financial stability and economic recovery.