Dates for third review under EFF to be announced in due course: IMF

Colombo, October 04 (Daily Mirror)- The International Monetary Fund (IMF) said that the dates for the third review under the Extended Fund Facility (EFF) will be announced in due course.

Addressing the IMF media briefing, Director of the IMF Communications Department Julie Kozack said a high-level team led by IMF Director of the Asia Pacific Department, Krishna Srinivasan, is currently visiting Colombo to meet with President Dissanayake and his new economic team and that the delegation is discussing with the authorities the latest economic developments and their economic reform objective.

"Dates for the Third Review under the EFF will be announced in due course and this delegation will communicate when their visit concludes," she said.

Ms. Kozack said that the programme performance is strong, and reform efforts are bearing fruit in terms of reviving economic growth, lowering inflation, boosting reserves and improving revenue mobilization. 

"The IMF Executive Board completed the 2024 Article IV Consultation, and the Second Review under the EFF programme with Sri Lanka, providing the country with immediate access to about USD 336 million to support its economic policies and reforms. Programme performance is strong, and reform efforts are bearing fruit in terms of reviving economic growth, lowering inflation, boosting reserves and improving revenue mobilisation.  However, as we have said before, important vulnerabilities and uncertainties do remain, and this means that sustaining reform momentum is critical," she added.

Commenting on the bondholders, she said Sri Lanka and the international bondholder representatives reached an agreement in principle subject to confirmation of comparability of treatment by Sri Lanka's Official Creditor Committee on September 18, and this does represent some significant progress in Sri Lanka's debt restructuring process.