CBSL Submits 2023 Economic Review To President

COLOMBO (News 1st); The Central Bank of Sri Lanka released its inaugural Annual Economic Review and Financial Statements and Operations of the Central Bank for the Year 2023.

The report were presented to President Ranil Wickremesinghe by Governor of the Central Bank of Sri Lanka, Dr. Nandalal Weerasinghe.

The Sri Lankan economy witnessed a gradual revival in 2023 from the deepest economic downturn in its post-independence history.

Decisive policy adjustments and structural reforms implemented by the Government and the Central Bank helped restore macroeconomic stability to a great extent, despite the short run hardships faced by economic stakeholders.

The report says that these measures were essential to prevent further deepening of the crisis and to navigate the economy along a sustainable path of recovery.

The economic progression witnessed in the latter half of 2023 is expected to continue in the years ahead, supported by the continuation of the reform agenda under the International Monetary Fund’s Extended Fund Facility (IMF-EFF) arrangement.

While a broadbased economic expansion is
envisaged across all sectors, domestic price stability is expected to be preserved with greater
independence and accountability of the Central Bank in monetary policymaking and the prohibition of monetary financing of the government budget deficit.

However, the formidable recovery of
the Sri Lankan economy hinges on the continuity of the reforms implemented thus far, and as part of this process, the successful continuation of the IMF-EFF arrangement and completion of the debt restructuring process remain paramount.

Since the country has not fully exited the crisis, there is no space available for any slippages from the committed path.