Sri Lanka is on track to complete its external debt restructuring and secure the next tranche of IMF funding, Treasury Secretary Dr. Harshana Suriyapperuma told International Sovereign Bond (ISB) holders yesterday, highlighting improved macroeconomic stability and strong reform momentum under the IMF Extended Fund Facility (EFF).

He said agreements have been reached with creditors representing nearly 99% of Sri Lanka’s external debt, with more than 92% already restructured, while public debt has declined significantly to around 105% of GDP by mid-2025 from a peak of 145% in 2022. Despite the $ 4.1 billion damage caused by cyclone Ditwah, recovery spending has been transparently incorporated into the 2026 Budget without derailing fiscal consolidation, he noted.