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IMF in talks towards Lanka programme review

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By INDIKA SAKALASOORIYA IN WASHINGTON

ECONOMYNEXT –The International Monetary Fund in talks with Sri Lanka’s new administration on its priorities and is working towards the next review to continue its Extended Fund Facility program with the island.

A Sri Lankan delegation, led by the Central Bank Governor, the Finance Ministry Secretary, and the President’s Advisor on economic matters, Duminda Hulangamuwa, is currently engaged in these talks.

“Under the programme we have elements which address some of the priorities of the new government including social protection and so on,” Krishna Srinivasan, Director of the IMF’s Asia Pacific Department said in Washington.

“But the details of the programme are continuing and they’ll be happening this week in Washington.

“And we are encouraged by what we’ve heard so far and hope that we can move fast toward the third review which should start soon.”

The third review of the 48-month bailout package, originally scheduled for September on June economic data, was postponed due to Sri Lanka’s presidential election, which saw Anura Dissanayake elected as the country’s new president.

Srinivasan, who led a high-level IMF delegation to Colombo following the election of the new president, said there was consensus with Sri Lanka authorities to safeguard and build on the hard-won gains achieved under the existing programme.

With the IMF’s help, Sri Lanka has reached an agreement with the country’s official creditors, and an in-principle agreement with the private creditors.

The next step for the country would be to reach a formal agreement with all the creditors.

“That’s a big step forward,” Srinivasan said. “Of course that’s not the end. There is a lot more work to be done with regards to the continuity of reforms. There is a long way to go before you are on a path of strong and sustainable recovery,”

Sri Lanka has made significant progress from the depths of the crisis it faced in 2022, achieving positive growth over the last four quarters. However, the recovery has been uneven, particularly impacting the poor and vulnerable groups, who continue to bear the brunt of economic challenges.



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Some NPP manifesto promises may be difficult to fulfil – CIABOC DG

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Ranga Dissanayake (Director General CIABOC) at the BMICH on Wednesday

Text and Pic by Priyan de Silva

Director General of the Commission to Investigate Allegations of Bribery and Corruption (CIABOC) Ranga Dissanayake has questioned whether some promises contained in the National People’s Power (NPP) manifesto, A Thriving Nation – A Beautiful Life, could be fulfilled even if the government wanted to implement them.

Dissanayake raised the issue during a discussion following the release of the third biannual report on manifesto monitoring by the March 12 Movement, at the BMICH, on Wednesday.

He questioned whether the report had taken into account legal and institutional constraints affecting the implementation of certain pledges.

Citing the proposal to establish Anti-Corruption Investigation Offices in each district, Dissanayake said such offices could be established only with the agreement of CIABOC and that amendments to the Anti-Corruption Act would be necessary.

He also referred to the pledge to abolish the Executive Presidency, noting that successive governments had made similar commitments since 1994. He questioned whether there had been adequate consideration of where the powers vested in the Executive President would be transferred if the system were abolished.

On the proposal to establish a Public Prosecutor, Dissanayake questioned whether the Government intended to maintain the office alongside the Attorney General, who currently performs prosecution-related functions.

Executive Director of the Institute for Democratic Reforms and Electoral Studies (IRES) Manjula Gajanayake said Dissanayake’s remarks should be regarded as his personal views and not as Government policy.

Monitoring and Evaluation Consultants M. Thilakarajah and D.D. Mataharaarachchi presented the third-phase findings, covering January to June 2026.

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Yoshitha and ex-Navy chief Karannagoda’s case fixed for PTC

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The corruption case filed by the Commission to Investigate Allegations of Bribery or Corruption (CIABOC) against former Navy Commander, Admiral of the Fleet Wasantha Karannagoda, and Yoshitha Rajapaksa was set for a pre-trial conference by the Colombo High Court.

The case was taken up before the Colombo High Court on Thursday (17), when the accused, who are currently out on bail, appeared before the court. After considering the submissions made, the court ordered that the case be called for a pre-trial conference.

The CIABOC had filed the case against the accused, alleging that a corruption offence was committed by sending Yoshitha Rajapaksa, son of former President Mahinda Rajapaksa, for training at the Royal Naval College in the United Kingdom despite him not having the required qualifications.

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Court orders probe into Wimal’s rally speech

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Wimal

The Colombo Magistrate’s Court yesterday directed the Inspector General of Police (IGP) to conduct an investigation and submit a report on whether a statement made by former Minister Wimal Weerawansa at a political rally, in Anuradhapura, on September 12, amounted to contempt of court.

Deputy Solicitor General Janaka Bandara, appearing for the Commission to Investigate Allegations of Bribery or Corruption (CIABOC), made the request when a complaint filed against MP Namal Rajapaksa in connection with the Airbus issue was taken up.

Bandara also handed over to court a compact disc containing the relevant speech made by Weerawansa.

After considering the request, Colombo Chief Magistrate Asanga S. Bodaragama directed the IGP to conduct an investigation into the matter and submit a report to court.

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