Thursday, 11 January 2024 12:49

Sri Lanka gains progress on Debt Restructuring: CB Governor Featured

The Central Bank of Sri Lanka (CBSL), has outlined positive update on the country's debt restructuring efforts by the governor of the bank Nandalal Weerasinghe when he presented “monetary and financial sector policies for 2024 and beyond at a press conference in Colombo on Wednesday10.

The Governor reported significant progress on the debt restructuring front. He emphasized the successful completion of the Domestic Debt Optimisation (DDO) operation, which aimed to extend the maturity of domestic debt and reduce the immediate pressure on government finances.

Furthermore, Dr. Weerasinghe announced that Sri Lanka has reached an Agreement in Principle (AIP) with both the Official Creditors Committee (OCC) and the Export-Import Bank of China (EXIM Bank) for debt restructuring. This marks a major milestone in securing long-term debt relief from key creditors.

The Governor also acknowledged ongoing negotiations with other creditors, expressing optimism that similar agreements will be reached soon. He stated, "good faith negotiations are continuing with other creditors to reach an AIP at the earliest."

 

 

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