Prime Minister Harini Amarasuriya has defended the government’s decision to continue Sri Lanka’s International Monetary Fund (IMF) programme despite previously criticising it, saying the administration had little choice when it assumed office.
Speaking in an interview with CNN, the Prime Minister acknowledged that her party had opposed the IMF programme due to Sri Lanka’s previous experiences with the institution.
“We had no choice but to follow it,” she said when questioned about the government’s decision to continue the programme.
“We didn’t like it because we felt that our previous experiences with IMF have not been great. This is not the first time we’ve entered an IMF programme,” she explained.
However, Amarasuriya said the agreement had already been signed when the new government took office, and subsequent discussions with the IMF had been constructive.
“When we came into power, the IMF agreement was already signed and we started working with them and we found them approachable,” she said.
The Prime Minister said the government had been able to discuss its concerns with the IMF, particularly regarding governance, corruption and fiscal discipline.
She noted that several of the IMF’s priorities aligned with the government’s own objectives, leading to the decision to continue the programme.
Amarasuriya said maintaining economic stability was among the administration’s immediate priorities following the election.
She also acknowledged that the new government faced pressure to demonstrate its ability to govern, saying many people had been waiting for it to fail.
Commenting on Sri Lanka’s economic recovery following the 2022 crisis, the Prime Minister said the country had made considerable progress.
“We are doing remarkably well given what we’ve been through,” she said.
She attributed the improvement primarily to fiscal management, financial discipline, efforts to address corruption and waste, and governance reforms.
The Prime Minister said these measures had contributed to economic stability, adding that two years into the administration, the situation was “looking not too bad.” (Newswire)