Sri Lanka

Sri Lanka’s recovery is gaining momentum, with the economy growing by 4.7% YoY in Q2 2024, following a 5.3% expansion in Q1 2024. Further IMF loans, including an additional USD 330 mln expected in Q4 2024, should strengthen FX reserves and help purchase more raw materials for production. Endorsement of debt restructuring and IMF reforms is expected to boost investor confidence.