Evan Papageorgiou says Sri Lanka’s economic reform programme continues to make progress as the International Monetary Fund Executive Board prepares to consider the combined Fifth and Sixth Reviews of the country’s Extended Fund Facility (EFF) programme on May 27.
Speaking on Thursday (21), Papageorgiou stated that Sri Lanka’s current policy framework is “considerably stronger than in the past.”
According to the IMF mission chief, recent efforts by Sri Lankan authorities to restore macroeconomic stability and rebuild foreign reserves have been positively recognized by:
- The public
- Investors
- International stakeholders
The upcoming IMF Executive Board decision is expected to determine whether Sri Lanka will receive the sixth and seventh tranches of the EFF programme, amounting to approximately US$700 million.
Papageorgiou noted that although global economic shocks continue to create pressure, Sri Lanka is now in a stronger position to manage external challenges due to improved economic policies and reforms.
He also emphasized the importance of maintaining policy consistency going forward.
“Maintaining a consistent policy course and continuing to allow the economy to adjust to evolving conditions will be key to sustaining the gains achieved so far,” he said.
The IMF official further reaffirmed the Fund’s continued engagement with Sri Lanka as the reform process moves forward.
“We look forward to continued close engagement with the Sri Lankan authorities as the reform agenda advances,” Papageorgiou added.
The IMF-supported reform programme has played a central role in Sri Lanka’s economic recovery efforts following the country’s severe financial crisis, with reforms focusing on fiscal consolidation, debt restructuring, reserve rebuilding, and macroeconomic stability.
