WASHINGTON, (Reuters) – The International Monetary Fund is set to meet with Sri Lankan officials in the coming days about a loan program, Gerry Rice, spokesperson for IMF, said Thursday. This was as Sri Lanka seeks to avoid a serious economic crisis.

Rice indicated that discussions will continue with Basil Rajapaksa (Sri Lankan Finance Minister) who is visiting Washington to attend the IMF and World Bank spring meetings next month.

Sri Lanka has seen its foreign currency reserves drop by 70% since January 2020, leaving it unable to purchase essential imports such as fuel and food. This is leading to unrest, and military deployments to gasoline stations.

Rice said that Sri Lankan authorities expressed interest in an IMF supported financial program. Rice spoke at a regular IMF briefing. We plan to start those program talks with Sri Lankan officials… fairly soon.”

Rice claimed that the IMF would revise its projection for Sri Lanka in its World Economic Outlook. However, he did not give any details.

As reported by Reuters last Wednesday, he said Rajapaksa will visit Washington next year to hold talks with IMF officials.

Sri Lanka, with its $4 billion debt, will request assistance from World Bank once it has entered into an IMF programme, Reuters reported. Two sources are familiar with this matter.