Breuer: ‘Sri Lanka has committed to report and rebuild’
COLOMBO: To tackle the enormous economic challenge that Sri Lanka is facing, everyone must come together to support the recovery and promote stable and inclusive growth, says the International Monetary Fund (IMF) Senior Mission Chief for Sri Lanka Peter Breuer.
Speaking in a video on the IMF YouTube channel on supporting recovery and promoting stable and inclusive growth in Sri Lanka, Peter Breuer states that after years of increasing economic problems and policy mistakes, Sri Lanka has committed to report and rebuild.
“The IMF is here to help. The fund has approved about USD 3 billion over the next four years to support Sri Lanka in this time of need,” he said, in the video.
Peter Breuer, the IMF Senior Mission Chief for Sri Lanka expresses that since 2019, significant tax cuts and delays in anticipated reforms have left the country entering the pandemic with thin currency reserves, high debt levels and no fiscal space to buffer against shocks.
“With no reserves left, power cuts, shortages of food and medicines, and long lines for petrol emerged. Sri Lanka defaulted on its debt for the first time in its history. There are no easy solutions, but that’s where everyone must come together to tackle this enormous problem,” Breuer said.
Breueralso also points out that Sri Lankans must make efforts to continue their way out of the crisis while supporting the less fortunate, highlighting that the global community must support Sri Lanka in this effort so that it can once again be on a path of strong and inclusive growth.