Prime Minister Ranil Wickremesinghe says that by the middle of June, it will be possible to implement a loan program with the International Monetary Fund.
He made the remarks in an interview with Bloomberg.
Accordingly, Sri Lanka hopes to expedite negotiations with the International Monetary Fund and agree to a loan by mid-June, Bloomberg said.
They point out that this will enable Sri Lanka to reach out to other lenders for urgent needs.
The Prime Minister said in the interview that the primary surplus is expected to reach 1% by 2025.
However he acknowledged that their numbers were not enough to defeat the International Monetary Fund's primary target of 2%.
The Prime Minister said that discussions will be held with the International Monetary Fund in this regard.
“We need to find dollars. The IMF does not give everything. But if we start working with the IMF, it will be easier for others to help us, ”he said.
According to Bloomberg, Sri Lanka expects around US $ 4 billion this year for food and fuel from the International Monetary Fund, including China and Japan.
In that interview, the Prime Minister stated that he expects a loan restructuring from China after concluding a deal with the International Monetary Fund.
“We are not trapped in a Chinese debt trap. I think the debt ratio in Japan and China is the same except for the increase in interest rates in China, ”he said.
Bloomberg reports that the prime minister is also trying to control his anger against the Rajapakse family as negotiations for a loan continue.
“Someday we will have to start repaying all the foreign loans we have taken. If we do not start earning income, we will surely inherit a debt burden. Therefore, we must change our economic system, ”the Prime Minister said.
He pointed out that the main purpose of bringing in a new budget, even if taxes have to be raised in the future, is to cut spending and use that money for welfare.
“I understand the anger of people. Some people give up one meal a day. We have to get out of this problem somehow, ”he said.
Watch Prime Minister Ranil Wickremesinghe's interview with Bloomberg here
Meanwhile, the International Monetary Fund (IMF) says it is ready to extend assistance to Sri Lanka once it has a clear understanding of the new debt restructuring program.
Its Managing Director Crystalina Georgieva, in an interview with NDTV India, pointed out that Sri Lanka needs an economic base to support Sri Lanka.
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