Economic policy and stability of Sri Lanka's coalition remain unclear - Fitch Ratings

Fitch Ratings, a global economic rating agency, called on Sri Lanka’s new government to offer greater clarity over its economic policy on Wednesday.

Commenting on the election of a new government, the Fitch Ratings press release said,

“The establishment of a new government with a clear electoral mandate following parliamentary elections on 17 August, should mitigate some political uncertainty, though the direction of economic policy and the stability of the likely coalition remain unclear.”

Noting that President Sirisena had made changes in good governance, the agency added that "there has been no corresponding strengthening in economic management."

Sri Lanka has the fourth-highest share of government debt of any country in its ‘BB’ rating range.

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