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ஜெனரல்
The IMF staff mission advised against further loosening of Sri Lanka's monetary policy, warning that it could jeopardize economic recovery and increase inflation risks. They commended the Central Bank of Sri Lanka (CBSL) for meeting its Net Credit to Government targets and stressed the importance of maintaining its independence. The IMF emphasized the need for the CBSL to continue selling government securities and avoid primary market purchases, as well as for the government to recapitalize the CBSL. They highlighted the importance of improving revenue administration, particularly among large taxpayers, and addressing corruption in the tax system. Reforms in public financial management and energy pricing were noted as critical, along with the need to protect vulnerable populations. The mission recognized the challenges of reserve accumulation due to the current FX scarcity but advised a gradual increase to ensure reserve adequacy by 2027. They recommended limiting FX sales to prevent market disorder and advised that policies should be adaptable to the evolving situation. Risks to program implementation were acknowledged, emphasizing the need for contingency plans amid Sri Lanka’s challenging political, social, and financial circumstances.
