Sri Lanka’s central bank kept its benchmark interest rate at 8% to manage inflation and support economic recovery. The economy grew by 5% last year and is expected to maintain this growth rate. The central bank projects inflation to turn positive by mid-2025. To secure further IMF funds, Sri Lanka needs to meet fiscal targets and implement governance reforms. Sri Lanka secured USD 334 mln in loans from the IMF in February and is in the process of signing debt restructuring agreements with bilateral creditors, including India and members of the Paris Club.