Sri Lanka reaches IMF staff-level agreement, $700M financing expected

April 9 (Daily Mirror) - The International Monetary Fund (IMF) and authorities of Sri Lanka have reached a staff-level agreement on economic policies to conclude the combined Fifth and Sixth Reviews under the Extended Fund Facility (EFF).

Following approval by the IMF Executive Board, Sri Lanka will gain access to approximately US$700 million in financing.

The IMF noted that ongoing economic reforms implemented by Sri Lankan authorities have supported the country’s recovery, with foreign reserves increasing and both real GDP growth and revenue mobilization exceeding expectations.

However, the country remains significantly exposed to external risks, particularly the impact of the Middle East conflict, and continues recovery efforts following Cyclone Ditwah.

The IMF emphasized that advancing reforms remains critical to safeguarding macroeconomic stability and ensuring the country stays on a path toward sustainable and inclusive growth. Strengthening economic resilience is also essential to better withstand external shocks amid ongoing global uncertainty.