Sri Lanka Ready To Advance IMF Program Aligning With People's Aspirations - President

COLOMBO (News 1st); Sri Lanka President Anura Kumara Dissanayake has reaffirmed the government's readiness to advance the IMF program while ensuring alignment with the aspirations of its citizens.

President Anura Kumara Dissanayake held a virtual meeting with the Managing Director of the International Monetary Fund (IMF), Kristalina Georgieva, on March 7.

During the meeting, he emphasized that strengthening social safety nets for the poor and enhancing public expenditure efficiency remain key government priorities. Additionally, he highlighted the commitment to improving state-owned enterprises, particularly in the energy sector, through better governance and cost-reflective pricing.

The discussion centered on enhancing the partnership between Sri Lanka and the IMF as the nation successfully completed half of the 48-month Extended Fund Facility (EFF) agreement initiated in March 2023.

President Dissanayake expressed his gratitude for the IMF's unwavering support during Sri Lanka's severe economic crisis in 2022.

He highlighted the country's substantial progress in implementing economic reforms, enhancing macroeconomic stability, supporting vulnerable groups, and strengthening governance. The President also acknowledged the crucial role of the IMF's Managing Director, senior management, and staff in the debt restructuring process.

Emphasizing the importance of continued collaboration, President Dissanayake reiterated Sri Lanka's commitment to maintaining macroeconomic stability, completing the third review under the EFF, and successfully concluding the bond exchange and debt restructuring processes.

Georgieva congratulated Sri Lanka on its achievements and commended the nation's efforts in carrying out key reforms. She reaffirmed the IMF's commitment to supporting Sri Lanka's economic policies, particularly in the face of rising global uncertainties, sluggish global growth, and increasing global debt levels. She also underscored the importance of strengthening macroeconomic fundamentals alongside good governance frameworks.

Recognizing the importance of attracting foreign direct investment and securing multilateral support to minimize debt risks and promote sustainable and inclusive development, President Dissanayake reiterated Sri Lanka's dedication to successfully completing the remaining reviews under the EFF.

Looking ahead, IMF Managing Director Georgieva emphasized the need for Sri Lanka to remain steadfast in its reform agenda to ensure a decisive shift towards sustainable and equitable development. She acknowledged the challenges posed by rapid global technological and geopolitical shifts and reaffirmed the IMF's role as a steadfast partner in Sri Lanka's recovery journey. She also reiterated the IMF's unwavering commitment to supporting Sri Lanka's efforts in inclusive development, poverty alleviation, and improving the living standards of its people.

Both leaders agreed on the need for continued dialogue and cooperation to secure a stable and sustainable future for Sri Lanka, mutually emphasizing the importance of working together toward a prosperous and resilient future.