Amid its financial challenges, Sri Lanka has received commendation from the International Monetary Fund (IMF) for its handling of debt negotiations with China’s Export-Import Bank, a move that is pivotal for the country’s debt restructuring efforts and economic recovery. Peter Breuer, a representative from the IMF, highlighted the importance of the agreement involving approximately $4.2 billion in debt. This accord is crucial for the continuation of Sri Lanka’s fiscal reforms and for securing further support from international creditors.
The IMF is currently awaiting assurances from various creditor groups, including the Official Creditor Committee, to advance the review of Sri Lanka’s Extended Fund Facility (EFF) program. The review by entities such as the IMF Executive Board is a necessary step before proceeding with the next phase of economic support.
Read More : IMF Commends Sri Lanka’s Debt Management Collaboration with China’s Exim Bank