Former Prime Minister and Leader of the United National Party (UNP), Ranil Wickremesinghe, has called for an immediate debate in Parliament on the IMF report on Sri Lanka.

“As the Government has agreed to engage the IMF for financial assistance, the Parliament must be briefed on their plan of action,” he was quoted as saying by party’s media unit. 

International Monetary Fund (IMF) on Friday released its Article IV consultation report on Sri Lanka which highlights that the island nation faces “solvency” issues because of risks stemming from unsustainable debt levels that jeopardize the country’s economy.

“Based on staff analysis, the fiscal consolidation necessary to bring debt down to safe levels would require excessive adjustment over the coming years, pointing to a clear solvency problem,” the IMF said.

The full report provides further analysis of Sri Lanka’s debt and finances. A summary of the report released earlier in the month said Sri Lanka faced unsustainable debt levels and needed a “credible and coherent” strategy to restore stability. 

The country’s “debt overhang,” along with persistent fiscal and balance-of-payments shortfalls, “will constrain growth and jeopardize macroeconomic stability in both the near and medium term,” the report said.