Sri Lanka, Oct. 1 -- Sri Lanka has successfully transitioned from mere survival to a phase of potential transformation, Dr. Evan Papageorgiou, IMF Mission Chief for Sri Lanka told the Central Bank of Sri Lanka's Open Mic series held recently.

He highlighted that the restoration of price stability was a defining achievement of the recovery. He stressed that an independent central bank was instrumental in reducing inflation from a peak of approximately 70% to current levels near 5%. By removing political influence from monetary policy, the Central Bank has built the essential credibility required to anchor long-term economic stability, he said.

Regarding the current inflation targeting framework, the IMF has recommended that Sri Lanka mai...