IMF Reaffirms Support for Sri Lanka Amid Global Economic Volatility

COLOMBO (News 1st); As global economic uncertainty continues to cast a shadow over emerging markets, the International Monetary Fund (IMF) has reiterated its commitment to supporting Sri Lanka through potential turbulence.

Julie Kozack, Director of the IMF’s Communications Department, emphasized the importance of resilience and reform during a press briefing this week.

“In an environment of high uncertainty, this poses risks to economies like Sri Lanka and many others,” Kozack stated, highlighting the challenges that volatile global conditions present for vulnerable economies.

She assured that the IMF stands ready to work closely with Sri Lankan authorities should downside risks materialize. “We will first assess the impact of any downside risks that materialize, and then work with the authorities to consider appropriate policy responses within the contours of the program,” she explained.

Kozack also underscored the critical need for countries to maintain reform momentum. “Sustaining reform momentum—both with macroeconomic policy reforms and growth-enhancing reforms—is critical for all countries in our membership, including Sri Lanka,” she said.

Sri Lanka is currently undergoing an IMF-supported program aimed at stabilizing its economy and fostering long-term growth following a severe financial crisis.