IMF to begin talks with new Lanka government led by President Dissanayake

IMF to discuss Sri Lanka loan programme review with new government led by President Anura Kumara Dissanayake.

The International Monetary Fund (IMF) on Tuesday (September 24, 2024) said it will discuss the timing of the next review of Sri Lanka’s loan programme and looks forward to working with the new government headed by President Anura Kumara Dissanayake.

“We look forward to working together with President Dissanayake and his team towards building on the hard-won gains that have helped put Sri Lanka on a path to economic recovery since entering one of its worst economic crises in 2022,” the Washington-based lender said in a statement.

Former President Ranil Wickremesinghe-led government was negotiating with the IMF for the release of the third tranche of the $2.9 billion facility when the presidential election was announced in July.

The disbursement of around $360 million was anticipated after the third review which the IMF put on hold until the end of the election held last weekend.

“We will discuss the timing of the third review of the IMF-supported programme with the new administration as soon as practicable,” the IMF said.

The new government, set up on Monday (September 23, 2024), said they were looking forward to being in touch with the IMF this week.

Mr. Wickremesinghe successfully negotiated the IMF bail-out when Sri Lanka suffered its worst-ever economic crisis leading to the shortage of essential commodities, including fuel and food.