Lanka sought IMF assistance 16 times during Mahinda’s presidency 

By Rathindra Kuruwita

The government had not ruled out seeking IMF support although it expected the economy to turn around in the coming months, Co -Cabinet spokesman and Plantation Minister Dr. Ramesh Pathirana said yesterday during the post-Cabinet press briefing.

“We have a clear understanding of the challenges we face, and we are ready to consider any option to resolve our issues. In fact, we constantly communicate with the World Bank, the Asian Development Bank (ADB) and other international lending bodies. The government has not ruled out IMF support. During the Mahinda Rajapaksa presidency Sri Lanka went to the IMF for assistance several times,” Minister Pathirana said.

During the Mahinda Rajapaksa presidency Sri Lanka sought IMF assistance 16 times, he said. The Minister added that remittances from Sri Lankans working outside were now increasing along with tourist arrivals.

“We have saved a lot of forex by restricting vehicle and non-essential imports.

However, the rapid rise in fuel prices is a big dent in our resources.

Sri Lanka needs to increase its exports,” he said.

Sri Lanka has a widening trade gap, the Minister said. In 2021, Sri Lanka imported goods in excess of US$ 4.1 billion compared to its exports.

“We need to minimise the trade gap in the short term and we need to have a positive trade balance in the long run. This is the only way out,” Minister Pathirana said.