Sri Lanka to receive first tranche from IMF in next two days - IMF official

Sri Lanka will receive the first tranche of about $330 million from the International Monetary Fund in the next two days, and, going forward, disbursements would be tied to reviews that take place every six months, an IMF official said on Tuesday.

Peter Breuer, Senior Mission Chief for Sri Lanka, Asia and Pacific Department at IMF, said debt sustainability is one of the key criteria for the IMF to approve a bailout for any economy, and though debt in Sri Lanka is not yet sustainable, it is expected to be on a forward-looking basis.

The IMF on Monday said its executive board approved a nearly $3 billion bailout for Sri Lanka, and the country's presidency said the program will enable it to access up to $7 billion in overall funding.