LONDON, (Reuters) - Sri Lanka’s dollar bonds fell on Tuesday in the wake of the worst outbreak of sectarian violence since the Easter bombings by Islamist militants.

The government’s 2025 bond shed 1 cents to reach its lowest since late January, while the 2027 issue lost 0.6 cents, according to Refinitiv data.

Sri Lankan shares had slumped 1.6% earlier, closing at their lowest in more than six-and-a-half years, while the rupee fell for a fourth day. The IMF extended an Extended Fund Facility to the country by a year on Monday. (Reporting By Tom Arnold; Editing by Marc Jones)