Sri Lanka receives first tranche of IMF bailout
22 March, 2023
Sri Lanka has received the first tranche of an IMF bailout programme, President Ranil Wickremesinghe told parliament on Wednesday (Mar 22).
The crisis-ridden island nation was scheduled to receive a US$330 million tranche, the first part of a nearly US$3 billion bailout approved by the International Monetary Fund on Monday.
"This sets the stage for Sri Lanka to have better fiscal discipline and improved governance," Wickremesinghe said.
The IMF bailout is expected to catalyse additional support to the tune of US$3.75 billion from the likes of the World Bank, the Asian Development Bank and other lenders.
This was the 17th IMF bailout for Sri Lanka and the third since the country's decades-long civil war ended in 2009.
Economic mismanagement coupled with the impact of the COVID-19 pandemic left Sri Lanka severely short of dollars for essential imports at the beginning of last year, tipping the island nation into its worst financial crisis in seven decades.