MOU Signing Vital for Sri Lanka's Debt Restructuring - Japan

COLOMBO (News 1st); The Minister of Foreign Affairs of Japan Yoko Kamikawa has conveyed Japan's expectation for the early signing of the MOU between the official creditors committee and Sri Lanka.

She made the announcement during a media briefing in Colombo, alongside her Sri Lankan counterpart, Ali Sabry, PC.

"This stressed the importance of reaching a debt restructuring agreement with all the creditors in a transparent and comparable manner," she noted. 

In response to the financial default two years ago and the subsequent economic crisis of Sri Lanka, Japan has been providing various grant aid projects in a manner that meets the needs of the Sri Lankan people.

In addition, Japan is leading the international discussions on Sri Lanka's debt restructuring as co-chair of the official creditors' committee.

"The restoration of stability and economic development of Sri Lanka, which is at the strategic location in the Indian Ocean, is essential for the stability and prosperity of the entire Indo-Pacific region. Japan, as a friend, continues to support Sri Lanka. This is exactly what I came to Sri Lanka today to convey," said Kamikawa.

The visiting Minister of Foreign Affairs had also conveyed Japan's intention to further support Sri Lanka's development by swiftly resuming existing yen loan projects.

"Once the MOU on debt restructuring is signed and Sri Lanka's government's intention to swiftly conclude it, a bilateral agreement is confirmed. I also expressed Japan's intention to continue to supply Sri Lanka's ongoing effort for national reconciliation," she added.

The Minister of Foreign Affairs also said that Japan intends to further strengthen cooperation with Sri Lanka in the maritime domain in order to realize a free and open Indo-Pacific.

"In this regard, based on the request from Sri Lanka, I have conveyed to Minister Sabry that Japan will offer a vessel equipped with a sonar to be used for compiling maritime data and charts," she said.