The International Monetary Fund (IMF) has reaffirmed its readiness to continue supporting Sri Lanka after the current IMF-supported programme concludes in March next year, with options including a new financing arrangement, policy advice and technical assistance.
Speaking about Sri Lanka’s progress under the reform programme, IMF Deputy Director for the Asia and Pacific Department Sonali Jain-Chandra said the Fund remained committed to supporting the country in whatever form the Sri Lankan authorities considered appropriate.
She said future engagement would depend on the government’s preferences and could include financing, policy advice, surveillance and capacity development. Discussions on the next phase of cooperation would take place in due course, she added.
Jain-Chandra stressed that important work remained under the current programme. The staff-level agreement reached between the IMF and Sri Lankan authorities on the Seventh Review in early October is expected to be considered by the IMF Executive Board in the coming weeks.
She also said another review mission would take place before the programme expires, emphasising the need to maintain macroeconomic stability and continue implementing reforms.
Highlighting the country’s progress, Jain-Chandra said Sri Lanka’s macroeconomic situation had improved significantly since the peak of the economic crisis. Government revenue had doubled during the reform period, debt restructuring was largely complete, and the economy had recorded positive growth for 11 consecutive quarters following the severe contraction.
She also pointed to structural reforms, including governance-related measures, as important achievements under the programme.
Jain-Chandra said Sri Lanka must now consolidate these gains and sustain the progress made in recent years. The IMF’s continued willingness to engage with the country signals that cooperation could extend beyond the current programme.
