Economic prospects for Sri Lanka are very bright now and the country must capitalize on it. The process can be accelerated with tourism, tea and garments, IMF Resident Representative for Sri Lanka and the Maldives Dr. Koshy Mathai said.
He was the Chief Guest at the tenth CIM Annual Conference held at Cinnamon Grand hotel on Monday.

'IMF is very concerned about Sri Lanka’s fiscal condition which is improving supported by the growth in the world coming out of recession. The Government has brought down the deficit. The Government does tax reforms. All in all, economic management by the Government is good.

Thus, conditions are set to develop Sri Lanka', Mathai said.
At present, things are on the right track for Sri Lanka. Banks are now recognizing the upward trend of economy and falling in line. Private sector credits which were at a low level for implications in the macro environment too are now following suit and as a result, private sector credits are growing. The GDP, which is six per cent, now is forecast to hit six point five per cent towards the year-end.

“Now the country must maintain the macro economic stability. The recession hitting the world hard in the fourth quarter of 2008 and oil prices sky rocketing saw a fall in remittances to the country. In the last two to three years, Sri Lanka depended on short-term or external borrowing. As a result, the rupee depreciated,” he said.