Japan Welcomes Sri Lanka's Debt Restructuring Agreement; Ready To Resume Yen Loans

COLOMBO (News 1st); Japan has welcomed the final agreement reached between the Official Creditor Committee (OCC) and Sri Lanka on the memorandum of understanding (MOU) on debt restructuring.

Minister for Foreign Affairs of Japan Yoko Kamikawa also commended the efforts under the Ranil Wickremesinghe Government, in addressing the debt issues.

Sri Lanka's Foreign Affairs Minister met with his Japanese counterpart in Tokyo for bilateral talks and a working dinner.

During the meeting and the dinner, Minister Kamikawa also stated the importance of an early signing of the MOU on debt restructuring, and expressed hope for the implementation of debt restructuring with other creditor countries and private creditors in a transparent and comparable manner.

Minister Kamikawa also expressed Japan’s intention to further support Sri Lanka's development by promptly resuming yen loans for existing projects once the MOU on debt restructuring is signed and the Sri Lankan government's intention to swiftly conclude a bilateral agreement is confirmed. 

In response, Minister Sabry explained the current situation regarding the signing process of the MOU and the future outlook regarding debt restructuring, and stated that he will proceed with the necessary measures in order to realize the resumption of yen loans for existing projects at the earliest opportunity.