Wed Jul 02 05:08:45 UTC 2025: Here’s a summary of the text, followed by a news article based on it:

**Summary:**

The International Monetary Fund (IMF) has completed its fourth review of Sri Lanka’s $2.9 billion bailout program, approving the release of a $350 million tranche. This brings the total disbursed to $1.74 billion. The IMF program, designed to restore macroeconomic stability, has included reforms that caused economic hardship and a change of government in 2024. Despite initial criticism, the new government is continuing with the IMF program.

**News Article:**

**IMF Releases $350 Million Tranche to Sri Lanka Amid Ongoing Economic Recovery Efforts**

**Colombo, July 2, 2025** – The International Monetary Fund (IMF) has completed its fourth review of Sri Lanka’s $2.9 billion bailout program, approving the release of SDR254 million (approximately $350 million) to the nation. This disbursement brings the total IMF financial support to Sri Lanka to SDR1.27 billion (around $1.74 billion) under the 48-month Extended Fund Facility (EFF) arrangement.

The IMF initiated the bailout in March 2023 to assist Sri Lanka in overcoming its unprecedented economic crisis and to restore macroeconomic stability and debt sustainability. The program has involved stringent economic reforms, which, while intended to stabilize the economy, have also led to hardship for many Sri Lankans.

These unpopular measures contributed to a change of government in 2024. The current government, led by the National People’s Power, had initially been critical of the IMF’s prescribed reforms. However, despite earlier vows to review the program, the government has chosen to maintain its commitment to the IMF agreement.

The IMF has stated that the reforms are necessary to ensure Sri Lanka’s long-term economic growth and stability. The funds are expected to further boost Sri Lanka’s reserves and support ongoing debt restructuring negotiations with external creditors.

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