Key insights
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1
Debt Reduction Goals
Sri Lanka aims to reduce its debt-to-GDP ratio to 87% by 2030.
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2
IMF Program Alignment
The 2026 budget aligns with a $2.9 billion IMF program to stabilize the economy.
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3
Growth Projections
The World Bank projects growth rates of 4.6% in 2025 and 3.5% in 2026.
Takeaways
Sri Lanka's economic recovery is underway, with significant steps taken towards debt reduction and fiscal stability, although challenges remain in achieving comprehensive reforms.