Sri Lanka Anticipates $600 Million Infusion from Asian Development Bank After IMF's 2nd Tranche Release

December 06, 2023

In a positive turn of events for Sri Lanka's economic landscape, the Asian Development Bank (ADB) is set to disburse approximately $600 million to the country on a staggered basis following the release of the International Monetary Fund's (IMF) second tranche.

The disbursement of funds comes as part of the broader financial support framework, with the ADB expressing its intention to provide substantial budgetary assistance to Sri Lanka. The ADB Country Director stated that, in conjunction with the ongoing IMF program, the bank is poised to extend a total budgetary support package amounting to $2 billion over the next four years.

The injection of funds from both the IMF and the ADB is expected to play a crucial role in stabilizing Sri Lanka's economic conditions, addressing fiscal challenges, and fostering sustainable development initiatives. This financial support comes at a time when Sri Lanka grapples with various economic hurdles, and the commitment from international financial institutions signals a collaborative effort to bolster the nation's financial resilience.