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Significance
Separately, the IMF’s Executive Board on March 20 approved a four-year, roughly USD3bn Extended Fund Facility for the country. The approval came around ten months after Sri Lanka formally defaulted on its external debt.
Impacts
Reaching agreement with bilateral creditors on debt restructuring, a key condition of the bailout, may take several months.
Many of the reforms which the government will need to pass to retain IMF backing could lead to protests.
Despite the government’s unpopularity, several lawmakers will likely abandon the opposition and join it.
Keywords:
Sri Lanka,
AP,
IMF-World Bank,
China,
India,
Japan,
Saint Kitts and Nevis,
United States,
economy,
international relations,
politics,
bonds,
debt,
election,
exchange rate,
finance,
fiscal,
government,
monetary,
opposition,
party,
protest,
reform,
strike,
talks,
banking,
employment,
food,
immigration,
judicial,
legislation,
privatisation,
public sector,
unions
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2023
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