The Executive Board of the International Monetary Fund (IMF) reviewed non complying purchases made by Sri Lanka under the 2023 Extended Arrangement under the Extended Fund Facility (EFF) as well as inaccuracies of information reported to the IMF.

However, the IMF has decided to grant waivers and not pursue further action, citing corrective measures and a commitment to reform by Sri Lankan authorities.

Following the Executive Board’s discussion, Deputy Managing Director and Acting Chair – Mr. Kenji Okamura, has issued the following statement:

“The Executive Board of the International Monetary Fund (IMF) reviewed non complying purchases made by Sri Lanka under the 2023 Extended Arrangement under the Extended Fund Facility (“EFF”), as well as a breach of obligations under Article VIII, Section 5. The noncomplying purchases arose as a result of the provision of inaccurate information by the authorities on the stock of expenditure arrears at the first, second, and third reviews under the EFF.

“The inaccuracies in information provided to the IMF were inadvertent and arose because of weaknesses in the timely reporting of arrears by line ministries to the Ministry of Finance, as well as a misunderstanding by the authorities of the definition of “arrears” under the Technical Memorandum of Understanding. 

“The Executive Board positively considered the authorities’ corrective actions, the fact that arrears repayments will be accommodated within the existing fiscal envelope, and the authorities’ commitment to improving public financial management procedures in line with the new PFM law, to reduce the risk of accruing arrears or inaccurate reporting of information going forward. In view of the above, the Executive Board agreed to grant waivers for the nonobservances of the quantitative performance criterion that gave rise to the noncomplying purchases and decided not to require further action in connection with the breach of obligations under Article VIII, Section 5.”

Police had been compelled to use tear gas to control a tense situation that erupted between residents and police in Kahawatta following the funeral of a youth who was shot dead recently.

The funeral was held today (July 03) and the clash had broken out shortly afterwards.

Residents had expressed anger over the handling of the and had hurled stones at the police, reports say.

The foundation stone for a new five-storey building at the Maharagama Apeksha Hospital was ceremonially laid on today (03). 

This significant development project is being undertaken with the full supervision and dedicated labour of the Sri Lanka Air Force, while the financial sponsorship is generously provided by the Founder and Chairman of the Indra Traders Group, Mr. Indra Kumara Silva.
The proposed building, spanning 50,000 square feet, will house two residential wards capable of accommodating 80 patients. In addition, the facility will include a Pediatric Intensive Care Unit and a Pediatric Outpatient Chemotherapy Unit, thereby significantly enhancing the hospital’s capacity to provide specialized cancer care for children.

The event was graced by the Honourable Minister of Health and Mass Media, Dr. Nalinda Jayatissa, the Commander of the Air Force, Air Marshal Bandu Edirisinghe, members of the Air Force Board of Management, the Director of the Apeksha Hospital, along with hospital officials.

(dailynews.lk)