According to the statement issued by the Executive Board of the International Monetary Fund approving emergency financial assistance of US $ 206 million for Sri Lanka, the country’s economic growth rate is predicted to slow in the coming years. Accordingly, it is stated that the country’s economic growth will decline to 4.2% in 2025.
According to the economic indicators shown in the report, Sri Lanka’s GDP growth is shown at 5.0% in 2024. It is estimated that it will decrease to 4.2% in 2025. In addition, the International Monetary Fund has predicted that the country’s economic growth will decline further to 2.9% in 2026.
The International Monetary Fund points out that the economy has been severely affected by the cyclone that hit Sri Lanka on November 28. The disaster has created significant financial pressure due to the destruction of infrastructure and loss of livelihoods, IMF Deputy Managing Director Kenji Okamura emphasized.
Accordingly, the Fifth Review of Sri Lanka’s Economic Reform Program has been postponed in light of the current emergency, the International Monetary Fund said. Discussions on the matter are scheduled to resume in early 2026 after assessing the damage to the economy.