Sri Lanka: Fourth Post-Program Monitoring Discussion-Press Release; Staff Report; and Statement by the Executive Director for Sri Lanka
IMF Staff Country Reports, June 14, 2016
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- Sri Lanka: Fourth Post-Program Monitoring Discussion-Press Release; Staff Report; and Statement by the Executive Director for Sri Lanka
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Bibliographic details
- Published: June 14, 2016
- Series: IMF Staff Country Reports
- DOI: https://doi.org/10.5089/9781484389645.002
Overview
- Publication date: June 14, 2016
- This paper discusses recent economic developments, outlook, and policies required to stabilize the economy of Sri Lanka.
- Pages: 49
Recent economic developments
- Recent economic developments reflect a more challenging external environment as well as a sharpening of macro-financial imbalances that began emerging late in 2014.
- Fiscal consolidation has stalled, and public debt is set to rise in 2015.
- Monetary policy has been on hold since the last rate cut in April 2015, and there appears little room for additional easing.
Outlook and risks
- Quick action is needed to reestablish credible policies and restore confidence.
- Strong fiscal and monetary policies need to be implemented for sustainable economic growth in Sri Lanka.
Policy recommendations
- Reestablish credible policies to restore confidence.
- Implement strong fiscal policies.
- Implement strong monetary policies.
Subject coverage and keywords
- Subject: Debt sustainability analysis, External debt, Income, Inflation, National accounts, Prices, Public debt
- Keywords: Asia and Pacific, Central Asia, core inflation, CR, credit growth, debt, Debt sustainability analysis, GDP, Global, headline inflation, Income, Inflation, ISCR, Middle East, South Asia, staff appraisal, staff projection, vehicles import, year-on-year headline inflation