Friday, September 4 2026
Friday, September 4 2026
MONETABRIEF - A team from the International Monetary Fund will be in Sri Lanka from September 10 to 23 for the 7th review of its program, Mission Chief Evan Papageorgiou said in a statement.
The 2026 Article IV Consultations will also be held at the same time.
"The IMF team will communicate its findings at the end of the visit," the statement said.
Sri Lanka has two reviews remaining in the program.
In November a budget is due.
In the second quarter of 2026, the rupee collapsed amid a budget surplus as excess liquidity from fx buy-sell swaps and dollar purchases in earlier months was denied convertibility.
Inflation has shot up over 8.2 percent after the currency collapse, which was initially blamed on an 'external shock' but rates were hiked anyway.
Even if the 'external shock' from a far away conflict was the cause, it shows that the operating framework involving high inflation of 5-7 percent and the exchange rate as the first line of defence is not robust enough to maintain even its high inflation target.
When inflation remains above the IMF program's 6.5 percent target, it leads to consultation with the IMF team and its board. (Colombo/Sept04/2026)
| 3 month bill | 9.22% | 22bp ▼ |
| 12-m bill | 9.91% | 10bp ▼ |
| Gold (Ounce) | $4602 | - - |
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