IMF team in Sri Lanka from June 20-30; reaffirms support within its policies

ECONOMYNEXT – An International Monetary Fund (IMF) team will visit crisis-hit Sri Lanka to discuss on an economic programme and the global lender has reaffirmed its commitment to support the island nation during the ongoing economic crisis in line with the “IMF’s policies”, a spokesman for the global financial institution said.

Sri Lanka has to re-structure its foreign debt, or make substantial progress before the IMF lends money. The island nation has already hired financial and legal advisors to help Sri Lanka with debt re-structuring.

Already representatives of financial advisers Lazard and legal advisor Clifford Chance have arrived in Sri Lanka earlier this week to start off the restructuring discussion of over its foreign debt.

“The IMF team is visiting Colombo during June 20-30 to continue discussions on an economic program that could be supported by an IMF lending arrangement, building on the progress made during the May 9-24 virtual mission,” the IMF said in an emailed statement.

“We reaffirm our commitment to support Sri Lanka at this difficult time, in line with the IMF’s policies.”

Prime Minister Ranil Wickremesinghe, who is also the finance minister, has already raised taxes and in the process of presenting a revised budget. (Colombo/Jhune 18/2022)