Sri Lanka: Sixth Review Under the Extended Arrangement Under the Extended Fund Facility and Requests for Waiver of Nonobservance and Modification of Performance Criterion-Press Release; Staff Report; and Statement by the Executive Director for Sri Lanka
IMF Staff Country Reports, November 4, 2019
Source details
- Canonical URL
- Sri Lanka: Sixth Review Under the Extended Arrangement Under the Extended Fund Facility and Requests for Waiver of Nonobservance and Modification of Performance Criterion-Press Release; Staff Report; and Statement by the Executive Director for Sri Lanka
Other formats
Bibliographic details
- Published: November 4, 2019
- Series: IMF Staff Country Reports
- DOI: https://doi.org/10.5089/9781513518978.002
Overview
- The document discusses Sri Lanka’s Sixth Review Under the Extended Arrangement Under the Extended Fund Facility and Request for Waiver of Nonobservance and Modification of Performance Criterion.
- The Sri Lankan economy is described as gradually recovering from the impact of the Easter Sunday terrorist attacks.
- Recovery is supported by the authorities’ security and policy efforts to mitigate the impact of the attacks.
Economic outlook and projections
- Growth is projected to strengthen to 3.5 percent in 2020, from 2.7 percent in 2019, as tourist arrivals and related activities gradually recover.
- The recovery is gradual and contingent on restoration of tourism and related sectors.
Vulnerabilities and downside risks
- The economy remains vulnerable to shocks given high public debt and low external buffers.
- Higher downside risks have emerged since the attacks, amid heightened external and domestic uncertainty.
- Sustained fiscal policy discipline is emphasized as critical to strengthen resilience and support growth.
Policy recommendations and priorities
- Sustaining fiscal policy discipline remains critical to:
- Strengthen resilience.
- Support investment and growth.
- Efforts to rebuild reserve buffers are recommended to address vulnerabilities and strengthen the economy’s resilience.
Subject areas and keywords (as listed)
- Subjects: Anti-money laundering and combating the financing of terrorism (AML/CFT), Central banks, Credit, Crime, International organization, International reserves, Monetary policy, Money, Public debt, Revenue administration
- Keywords: Anti-money laundering and combating the financing of terrorism (AML/CFT), Credit, Global, IMF's transparency policy, International reserves, policy discipline, Policy discussion, policy effort, reform agenda, Sri Lankan authorities
Key publication statistics
- Pages: 122
- Volume: 2019
- Issue: 335
- Series: Country Report No. 2019/335
- DOI: https://doi.org/10.5089/9781513518978.002
- Stock No: 1LKAEA2019003
- ISBN: 9781513518978
- ISSN: 1934-7685
Source: Sri Lanka: Sixth Review Under the Extended Arrangement Under the Extended Fund Facility and Requests for Waiver of Nonobservance and Modification of Performance Criterion-Press Release; Staff Report; and Statement by the Executive Director for Sri Lanka, November 4, 2019.
Content in this bundle
- 1lkaea2019003