US Senate says IMF agreement with SL must depend on key reforms

Source:Dailymirror

The United States Senate Foreign Relations Committee said yesterday that any IMF agreement with Sri Lanka must be contingent on independence of the Central Bank of Sri Lanka, strong anti-corruption measures, and promotion of the rule of law.

“Without these critical reforms, Sri Lanka could suffer further economic mismanagement and uncontrollable debt,” he tweeted.

Earlier, the IMF team which concluded its visit to Sri Lanka said they had had constructive and productive discussions with the Sri Lankan authorities on economic policies and reforms to be supported by an IMF Extended Fund Facility (EFF) arrangement and also said Executive Board approval would require adequate financing assurances from Sri Lanka’s creditors that debt sustainability will be restored and far-reaching tax reforms are urgently needed.