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International Business Times

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IMF Resumes Sri Lanka Bailout After China's Debt Deal

International Monetary Fund Sri Lanka China the International Monetary Fund

A vendor selling jackfruit waits for customers at a stall in Colombo in September (Credit: AFP)

The International Monetary Fund announced on Tuesday it is reviving its $2.9 billion bailout for Sri Lanka after the South Asian nation clinched a debt restructure deal with its largest single lender China.

The IMF said its board completed the first review of Sri Lanka's rescue package known as the Extended Fund facility (EFF) and released the second tranche of $337 million to support economic policies and reforms.

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