The International Monetary Fund (IMF) has noted that Sri Lanka’s economic recovery is accelerating, with key indicators showing positive trends.
Julie Kozack, Director of the IMF’s Communications Department, highlighted that reforms are yielding results, with low inflation, improved revenue collection, and rising foreign reserves. She pointed out that Sri Lanka’s economy grew by 5% in 2024, following two years of contraction, and the recovery is expected to continue in 2025.
“These are all very positive developments for Sri Lanka and its people,” she said during a press briefing in Washington DC.
However, she cautioned that Sri Lanka’s economy remains vulnerable, stressing the need to sustain reform momentum to ensure macroeconomic stability and debt sustainability.
The IMF has disbursed $334 million under the Extended Fund Facility (EFF) program, following the approval of Sri Lanka’s third review on February 28, 2025. This brings the total IMF financial support to Sri Lanka to $1.34 billion.
The funds will support economic policies and reforms, as Sri Lanka continues its path to recovery.
