EXCLUSIVE: IMF Applauds Sri Lanka's Debt Deal Milestone; Eyes Quick Progress with Private Creditors

COLOMBO (News 1st); The International Monetary Fund has welcomed the announcement of Sri Lanka’s finalization of its debt agreements with its major official creditors. 

Peter Breuer, Senior Mission Chief for Sri Lanka said that the finalization of the debt agreements is a key milestone and takes Sri Lanka one step closer towards completing its debt restructuring and restoring debt sustainability. 

"We hope that there will be swift progress on reaching agreements with external private creditors in the near future," he said in a comment to News1st.

On June 26, 2024, Sri Lanka concluded negotiations with the Official Creditor Committee (OCC) and China Exim Bank, marking pivotal strides towards stabilizing its financial footing amid recent economic challenges.

The agreements, valued at a combined USD 10 billion, encompass restructuring arrangements with major bilateral lenders under the auspices of the OCC, co-chaired by Japan, India, and France. Notable members of the committee include Australia, Austria, Belgium, Canada, Denmark, Germany, Hungary, Korea, the Netherlands, Russia, Spain, Sweden, the United Kingdom, and the United States of America.