IMF Warns Sri Lanka Proposed Anti-Graft Law Amendments Risk Undermining Transparency

The International Monetary Fund has cautioned Sri Lankan authorities over planned amendments to the nation's anti-corruption legislation, warning that the changes could erode transparency standards and reduce the effectiveness of accountability institutions.

The IMF's concerns centre on proposed modifications to the existing anti-corruption framework that officials fear may restrict access to information, limit investigative powers, or reduce the independence of oversight bodies responsible for combating graft. Such weakening of transparency mechanisms would run counter to commitments made under Sri Lanka's current IMF programme, which includes governance reforms as a key pillar.

The warning reflects broader international scrutiny of Sri Lanka's institutional reforms as the island nation navigates its economic recovery following the 2022 financial crisis. Transparent governance and robust anti-corruption measures have been identified as essential to restoring investor confidence and supporting long-term fiscal stability.

Authorities have not yet publicly detailed the specific amendments under consideration. The IMF's position is expected to carry significant weight in parliamentary discussions, given Sri Lanka's ongoing dependence on international financial support and the conditionality attached to its bailout package.