December 08, Colombo (LNW): Sri Lanka is poised to receive crucial financial support after the International Monetary Fund signalled that it is expediting the country’s request for emergency assistance through the Rapid Financing Instrument (RFI).
The appeal comes in the aftermath of Cyclone Ditwah, which inflicted heavy economic and infrastructural damage across the island.
An IMF spokesperson confirmed on Sunday that the organisation’s Executive Board has placed Sri Lanka’s request at the top of its agenda, underscoring the urgency of the situation. The emergency package will be offered alongside the country’s existing Extended Fund Facility (EFF), which continues to underpin wider economic reforms and fiscal stabilisation efforts.
“The authorities’ request for rapid assistance is receiving priority consideration, and an IMF delegation is due to visit Sri Lanka in early 2026 to resume the Fifth Review of the EFF,” the spokesperson noted. They emphasised that the RFI is intended to help bridge immediate financing gaps without delaying the longer-term programme already under way.
A separate statement from Evan Papageorgiou, the IMF’s Mission Chief for Sri Lanka, extended condolences to communities devastated by Cyclone Ditwah. He acknowledged the widespread hardship caused by the storm and reaffirmed the Fund’s commitment to staying closely engaged with national authorities during the recovery phase.
The government has formally sought around US$200 million under the RFI—about a quarter of Sri Lanka’s IMF quota—to help stabilise essential services and support reconstruction. The request is now awaiting Executive Board approval.
Papageorgiou added that the IMF stands ready to support the country’s efforts to rebuild and strengthen its resilience, stressing that the path to recovery will require both international backing and sustained domestic commitment.
