The Executive Board of the International Monetary Fund (IMF) is scheduled to convene on Tuesday (12) to deliberate on the inaugural review of the 48-month Extended Fund Facility (EFF) Arrangement for Sri Lanka.
As per the IMF Executive Board Calendar, the session will focus on the First Review of the Extended Arrangement Under the Extended Fund Facility, encompassing discussions on the Request for Waiver of Nonobservance of Performance Criterion, Request for Modification of Performance Criteria, Financing Assurances Review, and Rephasing of Access for Sri Lanka.
On March 20th, 2023, the IMF Executive Board granted approval for a 48-month Extended Fund Facility, allocating approximately 3 billion U.S. dollars to bolster Sri Lanka’s economic policies and reforms.
Following the approval, Sri Lanka promptly received an initial disbursement of about $330 million from the EFF arrangement. This initial disbursement was anticipated to trigger additional external financial support, including contributions from the Asian Development Bank and the World Bank.
In October 2023, an IMF team reached a staff-level agreement with Sri Lankan authorities regarding the first review under an economic reform program supported by the 48-month Extended Fund Facility arrangement.
Subject to the approval of the IMF Executive Board, Sri Lanka is poised to access an additional approximately US$330 million, bringing the cumulative disbursement of financial support from the IMF under the arrangement to around US$660 million.
