"So that way investment would be much higher than if there is no IMF. So that will have some impact on growth as well."
The central bank is forecasting growth at 2.5 percent in 2009, down from 6.0 percent in 2008, though central bank governor Nivard Cabraal says an 'optimistic' estimate would put growth as high as 4.5 percent.
Sri Lanka said it originally applied for a 1.9 billion US dollar bailout at least.
IMF bailouts, known as 'stand-by arrangements', are usually the end result of past fiscal and monetary mis-management.
But under an IMF stand-by arrangement some fiscal restraint and brakes on money printing and government expenditure is expected, which will restore economic