Sri Lanka post-default fiscal track to be hit by Ditwah: Moody’s

ECONOMYNEXT – Sri Laka’s post-default fiscal consolidation would be hit by addition spending to deal with cyclone Ditwah damage, Moody’s Ratings said. “While we do not expect a reversal in the government’s commitment to the ongoing International Monetary Fund program and related reforms, the economic impact of the cyclone and spending to deal with the aftermath will stymie post-default fiscal consolidation,” Moody’ said in a comment. Cyclone Ditwah severely damaged critical infrastructure, including roads, bridges, rail networks and power grids, disrupting supply chains and economic activity nationwide. “The hardest-hit sectors likely include tourism, agriculture and manufacturing, which are key drivers…

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