You are here: Home » PTI Stories » National » News
Business Standard

IMF approves $251 mn payout to Sri Lanka

AFP  |  Washington 

The International Monetary Fund today approved the release of USD 251 million to Sri Lanka, the latest payment of a three-year loan that had been delayed amid differences over the scope and pace of reforms.

The IMF approved the USD 1.5 billion loan in June 2016 following a balance of payments crisis in

With this latest tranche it has released a total of USD 760 million.

While noting the progress on reducing Sri Lanka's deficit, the fund said more progress will be needed, including on collection and beefing up foreign reserves.

"It is important to build on the progress made and accelerate reforms to further reduce fiscal and external vulnerabilities," Deputy Managing Director Mitsuhiro Furusawa said in a statement.

He pointed to the country's high debt burden and the weak performance of state-owned enterprises, as well as the need for the central to continue to lean towards raising as long as remains a threat.

This payment was expected to be approved early this year, but officials in Colombo said there were differences with the IMF over reforms and monetary policy, as well as reforms to state companies.

(This story has not been edited by Business Standard staff and is auto-generated from a syndicated feed.)

First Published: Fri, December 08 2017. 06:40 IST