Monday, 16 October 2023 07:52

IMF and WB grapple to reach consensus on SL/China bond issue Featured

Govenmnt keeps high hopes that Sri Lanka would reach a deal with other creditors at the IMF and World Bank annual meetings in Marrakech, but they have reportedly been sgappling to reach a consensus on the issue .

They might be concerned that China managed to negotiate special terms with regards to the loans, according to Dhananath Fernando of Colombo based think tank Advocata.

If they got preferential treatment, it means another creditor will have the bear the burden, according to Mr Fernando.

Japan, India and France say they were not informed of the EXIM deal and have asked to be given the same terms as China in restructuring discussions.China is known to cut these kinds of deals in secret and keep the details private

Sri Lanka has a total foreign debt of $46.9bn, 52% of which is owed to China, its largest lender

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