Sri Lanka has successfully negotiated with the International Monetary Fund (IMF) to maintain the terms of the Extended Fund Facility (EFF) following a visit by the IMF team to assess the impact of Cyclone Ditwah, according to the Presidential Media Division (PMD).
The IMF mission had been anticipated to finalize the fifth review of the EFF, which was a prerequisite for releasing the sixth tranche. However, the visit’s primary focus shifted to evaluating the cyclone’s aftermath, as indicated by government sources.
In a statement, the PMD noted, “The IMF representatives acknowledged that Sri Lanka is progressing positively on its economic path, despite the challenges posed by the severe disaster. They confirmed that there will be no alterations to the Extended Fund Facility programme currently in place with Sri Lanka.”
The statement further mentioned that discussions regarding the release of the sixth tranche under the programme are expected to resume in March. Consequently, the approval of the sixth tranche, initially slated for December 2025, will face further delays.
The IMF commended the Government’s ability to propose a supplementary estimate of Rs. 500 billion, attributing it to a surplus in the Treasury, which they described as a highly commendable achievement.
The President emphasized that this financial measure does not imply any deviation from sound financial management or fiscal responsibility. “All future Government programmes have been structured in alignment with this direction, and Sri Lanka anticipates the continued support of the International Monetary Fund,” the President stated.
(Colombo/January 28/2026)
