SL could suffer further economic mismanagement without critical reforms: US Senate Foreign Relations Committee

COLOMBO (News 1st); The US Senate Foreign Relations Committee has said Sri Lanka could suffer further economic mismanagement and uncontrollable debt, if certain reforms aren't made.

In a tweet, the United States Senate Committee on Foreign Relations has said that any IMF agreement with Sri Lanka must be contingent on the Central Bank's independence, strong anti-corruption measures and promotion of the rule of law.

It added that without these critical reforms, Sri Lanka could suffer further economic mismanagement and uncontrollable debt.

The Senate Committee was responding to a tweet by the International Monetary Fund.

The IMF had said that the aim of its new program is to restore economic stability and debt sustainability.

It added that the program also aims to protect the most vulnerable, safeguarding financial stability and stepping up reforms to address corruption vulnerabilities sow that Sri Lanka can meet its full potential.

President Gotabaya Rajapaksa also in a tweet said, he held discussions with Dr. Indrajit Coomaraswamy, Prof. Shanta Devarajan and Dr. Sharmini Cooray.

The discussions held on zoom, focused on the future of IMF procedures and the methods to overcome the challenges the country is facing.