President Anura Kumara Dissanayake has said Sri Lanka has not ruled out entering into another International Monetary Fund (IMF) programme after the current arrangement ends, although the government has yet to make a final decision.
Speaking at a discussion organised by the Ceylon Chamber of Commerce, the President said the government was examining the possibility of a new agreement focused on economic growth while preserving the stability achieved under the existing programme.
He said Sri Lanka had made considerable progress in restoring economic stability following the crisis, but foreign exchange reserves still needed to reach the desired level and the country’s credit standing required further improvement.
The President explained that the current IMF programme had primarily focused on restoring economic stability, while the next phase should prioritise economic growth without undermining those achievements.
He said the government would consider a new agreement if it could reach an understanding with the IMF that supported the country’s growth objectives.
Discussions are underway among senior government economic officials, including representatives of the Finance Ministry and the Central Bank, to determine the possible structure of a future programme, he added.
However, the President stressed that the government had neither decided to end its engagement with the IMF nor committed to another programme. Any decision would depend on the country’s economic position, the strength of its foreign reserves and its ability to withstand potential external shocks.
Highlighting the economic impact of the conflict in the Middle East, he warned that Sri Lanka’s fuel import expenditure could reach approximately USD 6 billion in 2026 if the current trend continued, compared with around USD 4.4 billion in 2025.
He said these developments underscored the uncertainty facing the economy and the need to assess its capacity to withstand further external pressures.
The President also defended the government’s cooperation with the IMF, stating that there had been relatively few disagreements between the administration’s economic objectives and its commitments under the existing programme.
He indicated that approximately six months remained under the current arrangement and said the government would use this period to assess its options before deciding on its future engagement with the IMF.
Tighten the article into fewer paragraphsReduce repetition about IMF decisions
