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No government can deviate from current IMF path: CB Governor

30 December 2023 06:03 am - 85     - {{hitsCtrl.values.hits}}

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By Nishel Fernando

Colombo, Dec 30 (Daily Mirror) - Central Bank Governor Dr. Nandalal Weerasinghe said yesterday any government could renegotiate the programme with the International Monetary Fund (IMF) but it would be required to follow the path chosen currently to get international support.

Addressing a press conference, he said if the chosen path is broken, no support will be forthcoming internationally.

The IMF programme began on September 1, last year. After disbursing the first tranche, it’s again negotiated what our commitments are before disbursing the next tranche. So, it will be a continuous process of renegotiation to change policies in a timely manner, whatever the government is in power for the next four years. There are no restrictions for that. But, the key element is we need to move forward with the programme in order to obtain international support,” he said.

He said the foreign governments and other commercial entities are extending the debt relief only on the understanding that this programme is moving forward.

“We need to go in this direction, during this period of 10 years of debt restructuring. If that changes, they can also change their decision on the debt relief. So if this is broken, they can say we don’t support this any more. We will have to repay $6 billion per year in debt repayments,” he said.

His remarks came in the wake of certain political leaders, including Opposition Leader Sajith Premadasa vowing to renegotiate the IMF agreement in case they get back to power.

Pix by Pradeep Pathirana


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  Comments - 85

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  • Kandiah Balendran Saturday, 30 December 2023 06:16 AM

    EPF scammer Nandalal will have nowhere to hide by end of next year.

    Central Bank Governor is playing the UNP and SLPP tune Saturday, 30 December 2023 12:03 PM

    As long as the UNP and SLPP can prevent elections he can stay in power. The EPF scammer probably has worse tricks to make people miserable until President and Parliament elections happen. New government must block his fleeing overseas as soon as it gets in.

    Sarath Saturday, 30 December 2023 09:44 PM

    So in other words you have sealed the fate of the people and future generations of the country by your stupid actions.

    Kabir Hashim Saturday, 30 December 2023 06:17 AM

    Arjuna Mahendran Bond scammer, Nandalal EPF scammer.

    Shalani Tharaka Saturday, 30 December 2023 06:17 AM

    Uncle Jayantha Dharmadasa could have done better.

    Ranil the protector of criminals Saturday, 30 December 2023 06:46 AM

    Except for taking measures to recover stolen assets by the presidents friends.

    Tinpot president and his band of crooks Saturday, 30 December 2023 06:48 AM

    But the president goes very quiet when the discussion turns to curbing corruption.

    Susan Saturday, 30 December 2023 06:57 AM

    RW taking all sort of tough decisions to victimize general public using all sort of high handed activities but refusing to take actions against rajapakshas who stole national treasury and gold belong to Jaffna people, RW himself who looted central bank and import tax offenders who unethically bagging billions of tax money which suppose to add to government revenue using inside information,this hurts more the public,why innocent we have to shoulder their faults, and why offenders are above the law

    Amaran Saturday, 30 December 2023 07:00 AM

    Yes, you are correct to some extent. Who ever elected, must be ready to continue with the LONG-TERM PROJECTS and the IMF arrangements. However, new government has the right to RENEGOTIATE on the already agreed terms, if any, that might be beneficial for the general public. CORRUPRION must be totally eliminated with its roots. Tax collection must be streamlined

    Poor citizen Saturday, 30 December 2023 07:09 AM

    The man who tells absolute truth ! Jayawewa !

    Central Bank Governor is playing the UNP and SLPP tune Saturday, 30 December 2023 12:00 PM

    No, he just plays to the tune of the UNP and SLPP government. Central Bank Governor will never be positive about improving other than how UNP-SLPP government do things.

    DOT Saturday, 30 December 2023 07:21 AM

    Good news! It should be our national policy.

    Central Bank Governor is playing the UNP and SLPP tune Saturday, 30 December 2023 06:24 PM

    There is no national policy, just the laws passed by the Parliament of the day. Or regulation signed by the President of the day.

    Fact Saturday, 30 December 2023 07:25 AM

    In simple words, we are caught in a debt trap.

    Jude Saturday, 30 December 2023 07:25 AM

    One thing is for sure with the New government in SL, we won't need to hear or see you again!! You scumbag go back to Australia, yeah.

    Central Bank Governor is playing the UNP and SLPP tune Saturday, 30 December 2023 06:23 PM

    EPF scammer is only a Sri Lankan. New government must block his cunning exit or confiscate his passport as soon as they come to power until the EPF scam is completely undone.

    Dee Saturday, 30 December 2023 08:07 AM

    A future NPP government will do away with IMF . They will do it ‘utuwankandey Saradiel style’! We don’t need foreign aid to feed our people, we can take it from our own people!

    Hiran Saturday, 30 December 2023 11:30 AM

    This is typical historical JVP rhetoric which is in the NPP DNA. We know what happended after Sirimavo nationalised estates and private wealth. We are still reaping the impact of the damage. Our export incomes would have bene significantly higher if such stupid intitatives were not taken. Cheap rhetoric is easy for politocal expediency, but the damage is enduring. It it much harder to take the unpalatable hard decisons, and very few politicians have the conviction to tread that path.

    Central Bank Governor is playing the UNP and SLPP tune Saturday, 30 December 2023 12:02 PM

    Anything is better for the future than the worsening suffering the way the current government is doing things. Many countries have referendum before agreeing to IMF conditions because it is the public to decide about it. Sri Lanka the authoritarian state run by wicked Ranil and SLPP cronies don't care about public wishes. If NPP get government, then public had decided they wanted the NPP policies, however they are.

    Rajitha Saturday, 30 December 2023 12:50 PM

    Please enlighten us as to which specific counties, if any, have a referendum before agreeing to IMF agreements. I have searched far and wide and not cone across a single. This comment appears to be part of an organised leftist propaganda machine.

    Mahila Saturday, 30 December 2023 02:21 PM

    The SAME FATE FOR SRI LANKANS, as they experienced from 1974 to 1977 - after LSSP/CP left the coalition (POOR PEOPLE EATING FROM DUSTBINS) - when finance minister was changed from Dr N M Perera to an SLFP Minister and all foreign aid including "Thriposha" was stopped!!!??? Big Talk, Puswedilla!!!??? All F---s and No S--- syndrome!!!??? This is the short memory of the Sri Lankans adverted frequently by all!!!??? What did all these guys used to fill their stomachs in 06/2022 to 10/2022 to curtail their 'Pangs of Hunger'!!!??? best to think before uttering nonsense to Mislead the 6.9M Voters, up the Garden Path!!!???

    Gamaya do internet search easily found 2015 Greek bailout referendum Saturday, 30 December 2023 06:19 PM

    @Rajitha, can easily find the "2015 Greek bailout referendum" which is when in 2015 Greece had a referendum to accept or reject IMF bailout.

    Dee Saturday, 30 December 2023 07:39 PM

    Read the comments. Go ahead and vote for NPP! Let’s all suffer together. Because most of you commented that the current economic reforms are no good! Go ahead and vote NPP. Good luck! End will be near for all!

    Citizen k Saturday, 30 December 2023 08:11 AM

    Please Mr Governor there are many ways to increase the government revenue than keep on squeezing the citizens.This what other parties are talking about.None of us need to draw a plan for the government.

    Forcing Euthanasia on poor and elderly people is wrong Saturday, 30 December 2023 06:27 PM

    He is Gota stooge. Once SLPP out of power, he will be put in remand until the EPF scam is undone.

    Kan Ravin Saturday, 30 December 2023 08:12 AM

    Politicians have no memory .... Whether anyone like it or not , if not for India and IMGF we would have gone bankrupt . Those who would have survived are only those looted and stashed money overseas ...It pity to see even now what is discussed in Parly .. Everything except Peoples Plight and economic condition ..

    Sambo Saturday, 30 December 2023 08:52 AM

    Give it to someone else and we will show you how to deviate. The biggest roughs are in the ministry of finance and the central bank. So don't talk too much.

    P Mahendran R R SELLasami Saturday, 30 December 2023 09:01 AM

    Next peoples government will clear and ease the path by confiscating looted wealth of all concerned.

    johan Saturday, 30 December 2023 09:04 AM

    They can renegotiate provided they bring down the recurrent expenditure, slash down most of the privileges enjoyed by politicians in the Central and Provincial levels and proper investigation for robbed money by the present and pervious regimes and bring them back and pass the benefits to the masses

    Retrieve Previous Lost / Stolen Monies Saturday, 30 December 2023 09:06 AM

    Getting loans to overcome the current situation is your job. Hovever what’s being done to retrieve all previous funds not accounted for? Current solution is keep on begging for new loans to cover previous losses

    Central Bank Governor is playing the UNP and SLPP tune Saturday, 30 December 2023 11:59 AM

    Everything stolen by the Rajapaks will be shielded by him since he got his job because of Gota.

    Seegiri Dathusena Saturday, 30 December 2023 09:11 AM

    Of course, you have no option, but to say to everything set by Hora group lead by Ponaya and backed by Myna and company! You save your Pin Padi while serving to Pin Gonas!

    Central Bank Governor is playing the UNP and SLPP tune Saturday, 30 December 2023 11:58 AM

    Central Bank Governor talked against the aragalaya and any future revolution to improve public freedoms. Of course he's in the pocket of those who put him in the job.

    Gamini Saturday, 30 December 2023 09:48 AM

    The god said "I am the way". Amen

    Bernard Jayatilake Saturday, 30 December 2023 09:49 AM

    The Central Bank has missed one point - I. e. we wll be a debt country at least for the next 10 years due to the IMF loan.

    Not 10years, it will be forever Saturday, 30 December 2023 10:27 AM

    At the rate it’s going, new loans will be taken to cover interest

    Uthum Saturday, 30 December 2023 11:26 AM

    If one takes the effort to look at the debt stock and the maturities, they could understand for themselves why he says at least 10 years. If anyone think that the foriend debt could be wiped out with a magic wand sooner they are clearly uninformed or simply mischievious.

    Central Bank Governor is playing the UNP and SLPP tune Saturday, 30 December 2023 11:57 AM

    Central Bank Governor is Gota appointee. He is SLPP loyalist. The SLPP-UNP government and he must be removed for the country to move forward.

    Jude Saturday, 30 December 2023 10:00 AM

    NOT all countries running the way IMF wants!!

    Voter 100 Saturday, 30 December 2023 10:08 AM

    Come on, give Sajith a break please. Everybody knows that he is not intelligent. He will continue to say and do stupid things without thinking through as always. He has even said that he will hand over lands to planation workers for their votes. Dislodging the IMF road map and killing the plantations are things he will do for votes.

    Premalal Perera Saturday, 30 December 2023 10:31 AM

    Why do you need a government? We the civil service can just implement IMF directives. Will save loads of money which could be used to reduce taxes.

    Waco Saturday, 30 December 2023 11:09 AM

    Entire Sri Lanka is indirectly sold to other countries. Pi-President’s development.

    Dan Saturday, 30 December 2023 11:23 AM

    Governor himself has mentioned that any government could renegotiate with the IMF, implying that any alternative sources of income, instead of merely taxing the poor, if acceptable to the IMF, can be implemented without loosing the international support. What is his big problem????

    Sajith, Harasha, SJB on collision with the Governor Saturday, 30 December 2023 11:56 AM

    Slap in the face of SJB to be able to make any difference. Too long they talk how good the Central Bank Governor is, now get slapped saying Sajith and Harasha talking nonsense. Sajith and Harasha are failures.

    Thimal Samarajeewa Saturday, 30 December 2023 12:02 PM

    NPP or SJB will not abundant the IMF program totally simply because they know very well the repercussion they have to face. If they drop it people will become equally poor.

    Volker Metzger Saturday, 30 December 2023 12:03 PM

    Given the context mentioned in the press conference regarding the repayment of 6 billion US dollars in debt annually, the incoming government of Sri Lanka will have no choice but to "get back" the money and assets stolen from the citizens!!! In concrete terms, this means that the robbers will be accused in regular legal proceedings of returning the illegally acquired wealth!!! Furthermore, the “mass phenomenon” of corruption must be combated specifically and permanently at all levels!!! Tax holes must be closed by those who cause them!!! On the other hand, this creates opportunities to provide tax relief for the majority of the suffering population!!! The only huge problem is which of the presidential candidates mentioned so far has the strength, stamina and the support of the then elected parliamentarians to consistently implement such a policy against all resistance!!!

    Volker Metzger Saturday, 30 December 2023 12:07 PM

    Given the context mentioned in the press conference regarding the repayment of 6 billion US dollars in debt annually, the incoming government of Sri Lanka will have no choice but to "get back" the money and assets stolen from the citizens!!! In concrete terms, this means that the robbers will be accused in regular legal proceedings of returning the illegally acquired wealth!!! Furthermore, the “mass phenomenon” of corruption must be combated specifically and permanently at all levels!!! Tax holes must be closed by those who cause them!!! On the other hand, this creates opportunities to provide tax relief for the majority of the suffering population!!! The only huge problem is which of the presidential candidates mentioned so far has the strength, stamina and the support of the then elected parliamentarians to consistently implement such a policy against all resistance!!! I don't see anyone!!! Only Sarath Fonseka combines all the skills !!!

    Royb Saturday, 30 December 2023 12:20 PM

    Mr.CB we know you can't without going on begging bowls. Please don't under estimate our learned people they are more knowledgeable and not book worms. We think Cabraal he much better than you It is you who messed up the whole show telling Srilanka is bankrupt. We had war for decades but economy was stable, poor people were not taxed and never died without food and medicines and allow these happend because of you and RW and due wrong decisions taken by GR then Plus corruptions ect.... Stop passing the buck on other political parties.

    CitizenP Saturday, 30 December 2023 12:24 PM

    Yes as long as Great Bank Robbers exist with this Government.

    Thilak Saturday, 30 December 2023 12:58 PM

    Seems a lot or organised and orchestrated comments on here from the sahodaraya's.

    Kapila Ordinary Sunday, 31 December 2023 07:57 AM

    You want to hear comments appeasing Ranil, Rajapakshas and the corrupt politicians?? If you expect such praise from the people, that'll be only in your imagination. What do government's survey results say about people's views about government? Hold the election and see. Or at least you can go to the Fort railway station or Pettah bust stand or any other town and talk to people randomly. Then you would realise what people really think about corrupt politicians and officials and that would help you get out of your day dreams!!

    Volker Metzger Saturday, 30 December 2023 01:02 PM

    I don't see anyone!!! Only Sarath Fonseka has all the skills necessary to implement and persevere in such a policy with all its consequences!!!

    Sam Silva Saturday, 30 December 2023 06:52 PM

    Sounds like you are close associate of sf.

    Senior Citizen suffering Saturday, 30 December 2023 01:35 PM

    WE SENIOR CITIZENS ARE SUFFERING WITH 9.55% FD MONTHLY RATE ... HOW DO YOU EXPECT US TO LIVE TODAY WITH THE HIGH COST OF FOOD AND MEDICINES ? ARE YOU BLIND AND DEAF TO OUR WOES IN OUR OLD AGE... PLEASE HELP US DIE DECENTLY.. INCREASE THE FD RATE FOR US SENIORS IMMEDIATELY

    Devaka Saturday, 30 December 2023 02:17 PM

    Interest rates are linked to inflation rates. Lower the inflation lower the interest rates. High inflation and people will cry cost of living is increasing. I empathise with the above comment as I am a retiree too. But yearning for high inflation would be more than counter productive.

    Forcing Euthanasia on poor and elderly people is wrong Saturday, 30 December 2023 06:26 PM

    Sadly in Western Country, many old people choose Euthanasia when they cannot afford to feed themselves anymore.

    Ram Saturday, 30 December 2023 02:14 PM

    No government can deviate from current IMF path: CB Governor- Nande is Day dreaming. Nothing is permanent. A meaningful chat with the IMF will open the doors for a variation.

    Chicoo Saturday, 30 December 2023 02:27 PM

    Diabolical errors caused by you and your predecessors have put all of the lotus eaters in trouble. So thank you once again for robbing my EPF as well as rooking me with the PAYE tax!

    Inshi Saturday, 30 December 2023 02:31 PM

    Those who genuinely love the country remain and serve. It is best to get sound advisors who have a vision to improve the lives of her people.

    dana Saturday, 30 December 2023 03:04 PM

    Political power of MR,teased even judiciary, when asked how they collected so much of money, they answered with absurd’daisy achchi’s gem bag’ what a insensible mocking answer, but it was accepted,every cent belong them should be confiscated,MR don’t die since then

    Ranil Saturday, 30 December 2023 04:18 PM

    Nandalal probably deserves the biggest credit for preventing the nation from crashing. A sober voice among the crazy.

    Nicole Phillips Saturday, 30 December 2023 04:18 PM

    It's funny that nobody talks about reducing government spending... all governments have used hiring of unnecessary bodies to state run entities to get votes... the jvp is no better... they have a history of crippling resources with their mad TU actions... No one spoke against it and now we are reaping the benefit...

    AJ Saturday, 30 December 2023 04:49 PM

    Could you kindly brief on what actions had taken to bring down your former boss Arjun M to face legal actions and where the money he pumped out, and why can’t use them Secondly Are you allowing to pay pension to him and idiot Cabraal, if so stop it immediately, otherwise you will loose your’s and would even risk face jail term too in certain administrative change

    Sri Wickrema Saturday, 30 December 2023 05:26 PM

    IMF has already given 16 recommendations to implement. But the Govt is ignoring them. Not a single word from the CB Governor about this.

    sam Saturday, 30 December 2023 05:54 PM

    Nothing is permanent. A part of corruption.

    Gamaya do internet search easily found 2015 Greek bailout referendum Saturday, 30 December 2023 06:21 PM

    All good political parties must talk up a referendum like done by Greece in 2015, on whether to continue with the IMF agreement signed by UNP-SLPP with EPF scammer supporting the terrible decision.

    SenPer Saturday, 30 December 2023 11:09 PM

    Despite the result of the referendum, the government of Tsipras reached an agreement on 13 July 2015 with the European authorities for a three-year-bailout with even harsher austerity conditions than the ones already rejected by voters. This represented a "drastic turnaround" for Prime Minister Tsipras' position,[3] That's what your "referendum" will get you for Sri Lanka in a few years.

    Daya Jay Saturday, 30 December 2023 06:53 PM

    How ignorant does he believe the populace to be? The determination of the country's governance should be entrusted to the democratic will of its people, rather than being manipulated by self-centred and avaricious individuals solely concerned with their own interests.

    Malaka W Saturday, 30 December 2023 07:42 PM

    Mr. Nandalal is one of the key personalities in CBSL when he was a deputy governor there some years ago who contributed, advocated and assisted corrupt politicians in their economic mismanagement and ill-conceived economic policies, which drove the economy to this mess. Now he's talking and behaving like a sanit who came from heaven to save the country. As per the IMF program, you're blindly pressuring the ordinary people to achieve stability at the expense of growth and employment in the economy. In the same way as the current politicians in power, you're a bunch of officials without vision and innovative thinking to find a way towards recovery. IMF is needed but should avoid extremes and should negotiate to avoid extremes. What's your plan to boost productive capacity and exports and to retain and build skilled labour in long term? You may leave office after 2 or 3 years maximum. But generations to come will suffer from what these corrupt politicians and their henchmen do today...

    Senanayake Saturday, 30 December 2023 07:58 PM

    These officials indirectly ask the people not to make a regime change and to allow those who are in power to continue. In the light of the current situation, it's not a crime to seem IMF help in restructuring the economy but a new government should renegotiate the extreme terms forcefully imposed on the already suffering and starving general public. Mr. Governor, how do you distinguish yourself from a person that IMF directly appoints to CBSL as CB Governor considering the wider public interest of the people? It doesn't seem that you've realised how people are suffering at the moment due to the extreme policies being implemented with no regard to their wider implications.

    Quintus Perera Saturday, 30 December 2023 08:10 PM

    People need to learn the basic arithmetic! How much we need for the education, health and other essential public services. Then ask the question where is this money going to come from: not just for one year but year after year! There has been a considerable siphoning of funds that were taken as loans! These funds are not easy to find because the crooks were masters at their game! Recovering stolen money is only a cheap political rhetoric. These funds cannot be recovered overnight, if at all, it will take a very long time. How will the economy run in the meanwhile! People need to start asking these questions from all parties waiting to come to power! I think a disaster far worse than ‘saubagye dekma’ is waiting to be ushered in by the very same groups who voted for it! same groups that canvasses and voted for it!

    IndikA Sunday, 31 December 2023 03:24 AM

    Very good point. I think voting public needs to be educated on this point.

    Karalasingam Saturday, 30 December 2023 11:04 PM

    The IMF intervention has tied the entire population of Sri Lanka for another ten years is disturbing, it is doubtful whether the incoming government would manage the finances/debt repayment etc; in collaboration/consultation, with IMF, an unknown scenario is in the offing.

    SenPera Saturday, 30 December 2023 11:07 PM

    In Lebanon, after their economic crisis, inflation has continued to rise every year, passing 100, 200% In Sri Lanka, after only one year, we have halved inflation from 48 to 20% thanks to the efforts of Nandalal and Ranil. Unfortunately uneducated people who live in a socialist dreamland with no taxes but everything still free think they are in the wrong, and will doom this country. Don't worry about Nandalal-if the JVP comes to power, we will be living in a moneyless lawless wasteland like Venezuela or Somalia within a month.

    Observer Sunday, 31 December 2023 12:26 AM

    TWO STATES IN ONE COUNTRY. THATS WHAT WE NEED TO PROSPER.

    Expatriate Sunday, 31 December 2023 12:53 AM

    Some comments in this appears to be unfounded. CB governor is a professional well sought after by various international universities and other governmental organisations, expatriate from Downunder. He calls spade a spade would not make statements to protect any politicians. Which expatriate wants to offer services to motherland when unfounded allegations being directed towards honest and ethical expatriates. Being an expatriate worked more than two third of my work in a developed country now retired recently , I wouldn’t want to offer any work in our beautiful country because of such people.

    Vive James Sunday, 31 December 2023 03:34 AM

    Without negotiating or come to terms with India we demerged north east of Srilanka and went against Indo -Lanka Accord, didn't we ? You reap what you sow

    Vive James Sunday, 31 December 2023 03:34 AM

    Without negotiating or come to terms with India we demerged north east of Srilanka and went against Indo -Lanka Accord, didn't we ? You reap what you sow

    Vive James Sunday, 31 December 2023 03:34 AM

    Without negotiating or come to terms with India we demerged north east of Srilanka and went against Indo -Lanka Accord, didn't we ? You reap what you sow

    Vive James Sunday, 31 December 2023 03:34 AM

    Without negotiating or come to terms with India we demerged north east of Srilanka and went against Indo -Lanka Accord, didn't we ? You reap what you sow

    Deshi Bandu Sunday, 31 December 2023 03:56 AM

    Except Quintus Perera and few others, most of the commentators are ignorant. If they represent Sri Lanka's population, then there is no hope for Sri Lanka. No point in having elections because the people are too stupid. In the short term, Chinses style governance should be considered until the general public learn basic economics and governance and develop commons sense.

    Humble Citizen Sunday, 31 December 2023 04:24 AM

    A government elected by the people for the people will be the day that the people will send you back to where you came from. On that day you can take the IMF agreement with you. Sooner the better.

    Nimal Sunday, 31 December 2023 12:00 PM

    There are no alternative path. That could be what these unlightened morons think. Lee Kuan Yew raised Singapore from the third world country to one of the first world with hardly anything. These scoundrels take the easy way out by letting the people of this nation bear the almost unbearable brunt of the follies and corruptions of the jarapaksha and unp regimes, while the perpetrators of these miserable acts lead lives of luxury.

    IMF debt trap Monday, 01 January 2024 01:05 AM

    Passing the debt from bilateral and commercials to multi laterals

    RR Monday, 01 January 2024 09:56 PM

    SCHEMES, SCHEMES AND SCHEMES. WHY TRAP THE INNOCENT PEOPLE?


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