Sri Lanka's economic wins tempered by IMF concerns

02 May '24

1 min read

Sri Lanka's economic wins tempered by IMF concerns

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Insights

Krishna Srinivasan of IMF noted Sri Lanka's performance under IMF-supported programme has been “pretty good.”
He, however, cautioned road ahead remains arduous, underscoring necessity for steadfast adherence to the programme.
Srinivasan stressed importance of maintaining momentum in fiscal adjustments and governance enhancements outlined within the programme.

Krishna Srinivasan, director of the Asia and Pacific Department at the International Monetary Fund (IMF), commended Sri Lanka’s progress under the IMF-supported programme, acknowledging the authorities’ efforts amidst challenging circumstances.

He emphasised that Sri Lanka’s adherence to the programme had yielded positive outcomes so far, as observed by the IMF.

Despite this, Srinivasan cautioned that significant challenges lie ahead, emphasising the importance of continued commitment to the programme for a sustainable recovery even as he highlighted the need for ongoing fiscal adjustments and governance improvements outlined in the programme to maintain momentum and overcome obstacles.

While acknowledging the government’s efforts in addressing governance and corruption issues, the director of the Asia and Pacific Department at IMF, reiterated that the road ahead remains challenging while stressing the necessity for Sri Lanka to remain steadfast in implementing the programme to ensure a durable exit from the crisis and facilitate economic recovery.

Looking forward, Srinivasan expressed optimism about the potential for further improvements if the government maintains its commitment to the programme while highlighting the importance of continued adherence to the programme’s objectives for achieving better results in the future.

Fibre2Fashion News Desk (DR)

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