International Business: Sri Lanka open to IMF talks as crisis looms – Gulf Digital News

International Business: Sri Lanka open to IMF talks as crisis looms – Gulf Digital News

COLOMBO: Sri Lanka is open to discussions with the International Monetary Fund (IMF) and other multilateral lenders for assistance, a cabinet spokesman said on Tuesday, as it faces its worst economic crisis in years.

“Sri Lanka has sought IMF assistance multiple times in the past and we are still open to that option,” cabinet spokesman and Plantation Minister Ramesh Pathirana said.

Sri Lanka’s foreign exchange reserves have plummeted to $2.36 billion, hitting imports of essential goods, including fuel, and inflation is quickening.

The island nation of 22 million people also faces debt repayment obligations of about $4 billion this year, and opposition leaders and economists are pushing the government to seek assistance from the likes of the IMF.

“We are keeping lines of communication open with the IMF and other multilateral lenders such as the Asian Development Bank,” Pathirana told reporters.

Some opposition members have also urged the government to table in parliament an upcoming IMF assessment of the economic and financial situation, conducted as part of its regular Article IV consultations.

“It is essential that the government table this document before parliament and clearly state their plan for addressing this crisis in a sustainable manner,” said opposition member of parliament Harsha de Silva.

‘HOPE AND