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The Economic Analysis

IMF loan: Paradox of high reserves and further borrowing

IMF loan: Paradox of high reserves and further borrowing

The Government’s request for a further US$ 1.5 billion loan from the IMF has been turned down on two grounds: that the IMF does not provide budget support to governments and that Sri Lanka’s external reserves have now reached a level of about US$ 7 billion and “accordingly, there appears to be a very limited [...]

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