HAS THE IMF REALLY BAILED SRI LANKA OUT OF DISTRESS?
The Morning Standard|November 08, 2024
WO and a half years after Sri Lanka announced a sovereign default on all its foreign debt of about $51 billion and sought a rescue package from the International Monetary Fund (IMF), two pertinent questions arise.
BISWAJIT DHAR
HAS THE IMF REALLY BAILED SRI LANKA OUT OF DISTRESS?

The first is whether IMF's Extended Fund Facility (EFF) provided to Sri Lanka in March 2023, a four-year bailout package of about $3 billion, has been able to put the country onto a sustainable path of recovery from its worst ever post-independence economic crisis. After all, the IMF had extended the support to the crisis-stricken country to "restore macroeconomic stability and debt sustainability, safeguarding financial stability, and stepping up structural reforms".

Secondly, has the IMF programme put Sri Lanka on a path of reducing debt distress?

The announcement of debt default meant the country, once an unqualified economic success story in South Asia, was facing an unprecedented economic crisis since the Covid-induced downturn. Sri Lankan economy had shrunk by about 8 percent in 2022, while the inflation rate was galloping at over 50 percent. Foreign exchange reserves had suffered a precipitous fall since the end of 2020 and was below $2 billion at the end of March 2022, enough for just 10 days of imports, as against a 3-month import cover the IMF considers adequate.

These downsides created shortages of essentials, including food and fuel. But more importantly, it increased the number of people below the poverty line by about half a million in 2021. Based on the Household Income and Expenditure Survey of 2022, the Department of Census and Statistics estimated that about 60 percent of total households were below the poverty line.

この記事は The Morning Standard の November 08, 2024 版に掲載されています。

7 日間の Magzter GOLD 無料トライアルを開始して、何千もの厳選されたプレミアム ストーリー、9,000 以上の雑誌や新聞にアクセスしてください。

この記事は The Morning Standard の November 08, 2024 版に掲載されています。

7 日間の Magzter GOLD 無料トライアルを開始して、何千もの厳選されたプレミアム ストーリー、9,000 以上の雑誌や新聞にアクセスしてください。

THE MORNING STANDARDのその他の記事すべて表示
THE BEAR AND THE BULLET
The Morning Standard

THE BEAR AND THE BULLET

This newest addition to the lineup of India's most premium bike manufacturer is a nod in the direction of taking the rough with a smooth ride

time-read
1 min  |
November 25, 2024
Set for board exam: Gukesh plotting to lift India to pinnacle of chess world
The Morning Standard

Set for board exam: Gukesh plotting to lift India to pinnacle of chess world

November 23, 2014, Viswanathan Anand, the owner of five world titles, tried for one final time. But the young world champion, Magnus Carlsen, kept the door shut.

time-read
3 分  |
November 25, 2024
George Clooney starrer Wolfs 2 cancelled at Apple
The Morning Standard

George Clooney starrer Wolfs 2 cancelled at Apple

It has only been three months since filmmaker Jon Watts signed on the dotted line for a sequel to his crime caper Wolfs with George Clooney and Brad Pitt, but the film is no longer moving forward at Apple.

time-read
1 min  |
November 25, 2024
Jazball Down Under: Twin centuries put India on top
The Morning Standard

Jazball Down Under: Twin centuries put India on top

Yashasvi, Kohli hit tons before early wickets leave Australia wanting

time-read
2 分  |
November 25, 2024
The Morning Standard

Of homecomings and new beginnings

THE 2025 IPL auction was always going to be about new beginnings.

time-read
2 分  |
November 25, 2024
The Morning Standard

Blasters shine in 2nd-half to sink Chennaiyin FC

KERALA Blasters produced a strong show in the second-half to beat Chennaiyin FC 3-0 in the ongoing Indian Super League in Kochi, on Sunday.

time-read
1 min  |
November 25, 2024
Salah sends Reds eight points clear
The Morning Standard

Salah sends Reds eight points clear

MOHAMED Salah fired Liverpool eight points clear at the top of the Premier League as the leaders survived a scare from lowly Southampton thanks to the Egypt star's second-half double in a 3-2 away win on Sunday.

time-read
1 min  |
November 25, 2024
FINANCIAL INDEPENDENCE OF WOMEN MATTERS
The Morning Standard

FINANCIAL INDEPENDENCE OF WOMEN MATTERS

However, the situation in India demands steps like these to enhance the participation of women in the workforce.

time-read
3 分  |
November 25, 2024
RBI-Centre tussle: Is govt trying to guide interest rates?
The Morning Standard

RBI-Centre tussle: Is govt trying to guide interest rates?

Is the Centre undoing its own achievements in bringing in legislation, setting up six-member MPC that is guided by data to bring inflation down to 4%?

time-read
3 分  |
November 25, 2024
MULTI CAP FUNDS - A MULTI-CUISINE BUFFET
The Morning Standard

MULTI CAP FUNDS - A MULTI-CUISINE BUFFET

To qualify as a genuine all-rounder in cricket, one must not only be able to bat and bowl well but also field well.

time-read
2 分  |
November 25, 2024