News

IMF completes 3rd review of EFF programme ; approves $344 mn. for SL

Published

4 months ago

March 1, 2025

editor

The International Monetary Fund (IMF) Executive Board has completed the third review of Sri Lanka’s 48-month Extended Fund Facility (EFF) arrangement, approving an immediate disbursement of approximately $334 million (SDR 254 million).

This brings the total IMF financial support disbursed to Sri Lanka to about $1.34 billion (SDR 1.02 billion) under the $3 billion program.

The IMF commended Sri Lanka’s strong performance under the program, noting that all quantitative targets for end-December 2024 were met, except for the indicative target on social spending. Most structural benchmarks due by end-January 2025 were either met or implemented with delay.

The recent successful completion of the bond exchange was highlighted as a major milestone in restoring debt sustainability.

Key highlights from the IMF statement:
– Economic Recovery: Sri Lanka’s economy has shown remarkable recovery, with growth averaging 4.3% since the third quarter of 2023. By end-2024, real GDP had recovered 40% of the losses incurred between 2018 and 2023.
– Inflation and Reserves: Inflation remains low, revenue collection is improving, and foreign reserves continue to accumulate.
– Reform Momentum: Sustaining the reform agenda is critical to ensure macroeconomic stability, debt sustainability, and long-term inclusive growth. The IMF emphasized that there is no room for policy errors.
– Revenue Mobilization: Strengthening tax compliance and avoiding tax exemptions are essential for fiscal sustainability and continued provision of essential services.
– Social Spending: Meeting social spending targets and reforming the social safety net are crucial to protect the poor and vulnerable.
– Debt Restructuring: Progress in debt restructuring, including the successful bond exchange, is a significant step towards restoring debt sustainability. Finalizing agreements with bilateral creditors remains a priority.
– Monetary Policy: Maintaining price stability, prohibiting monetary financing, and safeguarding Central Bank independence are key priorities.
– Structural Reforms: Addressing non-performing loans, improving governance in state-owned banks, and enhancing insolvency frameworks are vital for reviving credit growth and supporting economic recovery.

IMF Deputy Managing Director Kenji Okamura had stated :
“Reforms in Sri Lanka are bearing fruit, and the economic recovery has been remarkable. Sustaining the reform momentum is critical to ensure macroeconomic stability, debt sustainability, and promote long-term inclusive growth. There is no room for policy errors.”

The IMF’s continued support underscores the importance of Sri Lanka’s commitment to reforms as the country works towards lasting economic recovery and stability.

News

Solar power tariffs revised

Published

4 hours ago

June 22, 2025

editor

The Cabinet has approved a revision of tariffs for newly contracted solar energy systems in Sri Lanka, effective from June 16, 2025.

According to a letter issued by the Ministry of Energy dated June 20, the updated rates are as follows:

Rs. 20.90 per unit for systems up to 5 kilowatts (kW)
Rs. 19.61 per unit for systems between 5 kW and 20 kW
Rs. 17.46 per unit for systems between 20 kW and 100 kW

These revised rates will apply to all applicants who pay the system clearance fees on or after June 16, 2025. The new tariffs will also be valid for extension requests submitted on or after that date.

(dailynews.lk)

(Except for the headline, this story, originally published by dailynews.lk has not been edited by SLM staff)

News

Army denies social media claims fraudulent officer removals

Published

4 hours ago

June 22, 2025

editor

The Sri Lanka Army has dismissed recent social media claims suggesting a group of officers is being fraudulently removed using forged documents.

In a statement, the Army said the allegations are completely false stating that such assertions stem from a fundamental lack of understanding regarding military administrative protocols.

The allegations are aimed at damaging the institution’s reputation in the eyes of the public.

While confirming that no removals have taken place without proper procedures or the approval of the President, the statement asserts that the Army is committed to transparency while safeguarding national security.

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News

A/L top achievers in North, felicitated (Pics)

Published

4 hours ago

June 22, 2025

editor

Three hundred students from the Northern Province who excelled in all subject streams of the 2023 G.C.E. Advanced Level (A/L) Examination will each receive a grant of Rs. 100,000 from the President’s Fund.

As part of a newly launched initiative to honour high-performing students at the district level for the 2023/2024 G.C.E. A/L Examination, the President’s Fund hosted an award ceremony this morning (22) at the Iranamadu Nelum Piyasa Auditorium in the Northern Province.

During the event, 300 students from the districts of Jaffna, Kilinochchi, Mullaitivu, Mannar and Vavuniya, specifically 60 students per district, with the top 10 students from each subject stream, were recognised and presented with financial awards for their outstanding academic performance. The President’s Fund has allocated a total of Rs. 30 million for this initiative, which is expected to be extended to all districts in the future.

Dr. Nandika Sanath Kumanayake, Secretary to the President, addressed the gathering and noted that following the formation of the new government, the President’s Fund has been restructured and expanded under the leadership of President Anura Kumara Disanayaka. He emphasised that the Fund now operates with increased transparency, correcting past irregularities to ensure benefits are directed to the truly deserving. Dr. Kumanayake also mentioned ongoing efforts to digitise the Fund and decentralise its services to improve accessibility and efficiency.

He further highlighted that education is the key to a successful life and urged the students to take full advantage of the support provided, pursue academic excellence, become responsible citizens and contribute positively to the country’s development.
Also addressing the event were Speaker (Dr.) Jagath Wickramaratne and Minister of Fisheries, Aquatic and Ocean Resources, Ramalingam Chandrasekar.

A vote of thanks was delivered by Abhishek, a student from Jaffna Hindu College, who expressed heartfelt appreciation to the President and the President’s Fund. He described the programme as a valuable opportunity for students from economically disadvantaged backgrounds to pursue higher education and achieve their goals.

In attendance at the ceremony were Northern Province Governor Nagalingam Vethanayahan, Deputy Minister of Cooperative Development Upali Samarasinghe, Members of Parliament K. Ilankumaran, Rajeevan Jeyachandramoorthy and M. Jagadeeswaran, along with other public representatives. Also present were Mr. Roshan Gamage, Senior Additional Secretary to the President and Secretary of the President’s Fund, senior officials from the Fund, government officers, heads of security forces, parents and students.

(President’s Media Division)