United National Party (UNP) Deputy Leader and MP Ravi Karunanayake has warned that Sri Lanka could face a severe crisis by 2028 if it fails to meet the foreign exchange accumulation targets set by the International Monetary Fund (IMF) for the end of this year.
Speaking in an interview with Ceylon Wire, Karunanayake said that if the targets are not met, Sri Lanka would need to secure around US$14.5 billion by 2028.
He said the government would need to have sufficient foreign exchange reserves to cover three months of imports while also maintaining the capacity to meet its debt servicing obligations.
Karunanayake further noted that the government would have to safeguard the country’s foreign reserves amid these challenges.
He warned that failure to meet the required and projected foreign exchange targets could lead to multiple economic crises by 2028 and potentially undermine years of efforts made to stabilize the country’s economy.
