By APD wrtier Easwaran

COLOMBO, Feb. 19 (APD) -- A delegation from the International Monetary Fund (IMF) had key talks on Monday and Tuesday in Sri Lanka on a suspended funding programme.

The International Monetary Fund had approved a three-year extended arrangement on June 3, 2016, in the amount of about US$ 1.5 billion in six installments.

The 5th installment of this loan facility was scheduled to be given in November last year. However, the IMF postponed the disbarment of the 5th tranche due to political instability in the country last year.

After completion of the fifth review Sri Lanka is expected to receive a fifth tranche of about $250 million. The total loan was expected to have been disbursed with a sixth tranche by mid-2019.

However last month the IMF decided to resume discussions on the funding programme with Sri Lanka.

The decision was taken after Christine Lagarde, Managing Director of the IMF met with Finance Minister Mangala Samaraweera and Governor Indrajit Coomaraswamy in Washington.

At the meeting the authorities stressed Sri Lanka’s continued commitment to their economic reform agenda under the IMF-supported program.

It was decided at the meeting to send an IMF team to Sri Lanka this month to resume program discussions.

(ASIA PACIFIC DAILY)