IMF agrees to bail Sri Lanka out with US$2.9 billion conditional package

The International Monetary Fund has preliminarily agreed to a US$2.9 billion conditional bailout for Sri Lanka. The proposed four-year programme would boost government revenue, encourage fiscal consolidation, introduce new pricing for fuel and electricity, hike social spending, bolster central bank autonomy and rebuild depleted foreign reserves. Sri Lanka’s current financial turmoil, its worst since the country’s independence in 1948, stems from economic mismanagement and a collapse in tourism…