President Ranil Wickremesinghe last week held a significant meeting with Kenji Okamura, the Deputy Managing Director of the International Monetary Fund (IMF).

The dialogue primarily revolved around the IMF's consideration of the second tranche of the Extended Fund Facility (EFF), scheduled for September. In March of this year, Sri Lanka received the initial disbursement of USD 330 million to support economic policies and reforms.

During the meeting, one of the crucial topics addressed was the delay in presenting a new Central Bank Act in accordance with the IMF's request. Additionally, the restructuring of domestic debt was also a matter of concern. President Wickremesinghe was accompanied by key officials, including Saman Ekanayake, Secretary to the President, Shehan Semasinghe, State Minister of Finance, and Sagala Ratnayake, National Security Advisor to the President.

The new Central Bank Act was initially expected to be introduced by April, but Semasinghe provided an explanation for the unexpected delay. Challenges to the proposed legislation were raised before the Supreme Court, which subsequently recommended amendments. These legal considerations contributed to the revised timeline for finalizing the new Central Bank Act.

The meeting between President Wickremesinghe and IMF Deputy Managing Director Okamura reflects the administration's commitment to addressing the IMF's concerns and working towards implementing necessary reforms. The discussions held are pivotal in paving the way for the second tranche of the EFF, which will further support Sri Lanka's economic policies and facilitate the ongoing reform process.