IMF funds are expected by end of 2022 – CBSL Governor

August 23, 2022 at 10:09 AM

The International Monetary Fund’s disbursement of the Extended Fund Facility to Sri Lanka can be expected by the end of the year, Sri Lanka’s Central Bank Governor Dr. Nandalal Weerasinghe said.

He further said the funding will be provided subject to the success of debt restructuring with creditors and successful negotiations with the IMF.

Asked whether he can give the IMF assurances that Sri Lanka’s debt is sustainable without restructuring domestic debt, he said: “This is exactly what we are discussing with the IMF.”

“First part is to reach a staff-level agreement on the overall macro-fiscal policy framework for the next 3-4 years and the medium-term framework. We are coming closer to reaching an agreement on a macro-fiscal framework,” he added.

Speaking on Bloomberg Television, the Governor also discussed inflation in Sri Lanka, monetary policy, and the country’s domestic debt. 

Commenting on inflation, Dr. Weerasinghe said that Sri Lanka’s inflation is currently showing a downward trend.

Interview link : (NewsWire)