The Asian Development Bank (ADB) has expressed confidence in Sri Lanka’s macroeconomic indicators, with Country Director Takafumi Kadono noting positive developments during a media briefing in Colombo yesterday.
“Inflation has been controlled, primary and current balance figures are positive, the currency has stabilized, and reserves have increased. We observe significant progress since the economic crisis, with GDP also on an upward trend,” Kadono said.
He praised the Sri Lankan government for its effective management and implementation of fiscal and monetary policies, alongside ongoing economic reforms. Kadono highlighted the importance of recent legislative measures, including the Central Bank Act, Public Finance Management Act, and public debt management, which he believes are crucial for long-term growth and enhanced competitiveness.
Regarding the IMF program, Kadono acknowledged that the government has met the benchmarks up to at least the second review, commending the actions taken to stabilize the economy and lay the foundation for sustained growth.
The ADB remains committed to supporting the development of member countries through their governments, ensuring that the benefits reach the population. Kadono assured continued support for Sri Lanka, regardless of election outcomes.
Although the ADB is not directly involved in debt restructuring, Kadono noted that Sri Lanka has made significant progress, particularly with bilateral and commercial creditors, in a short period of time. He also mentioned that the IMF recognizes this substantial progress in debt restructuring.