The International Monetary Fund has approved USD 206 million in rapid‑response financing to help Sri Lanka cope with the severe economic and humanitarian fallout from Cyclone Ditwah, which struck the island on 28 November. The funding, released under the IMF’s Rapid Financing Instrument, is intended to ease immediate fiscal and balance‑of‑payments pressures created by the disaster.

Cyclone Ditwah caused widespread destruction, leaving hundreds dead and displacing tens of thousands, while inflicting heavy damage on infrastructure and livelihoods. The IMF said the emergency support will help the country address urgent recovery needs and stabilize its economy in the short term.

Because of the scale of the disaster, the IMF has postponed Sri Lanka’s Fifth Review under its ongoing Extended Fund Facility programme, with discussions expected to resume in early 2026

Source: IMF

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