China has agreed to support Sri Lanka’s plan to restructure its debt, according to State Minister of Finance Shehan Semasinghe.
He stated that the Export-Import Bank of China (EXIM) has formally agreed to support Sri Lanka’s debt restructuring program.
Semasinghe also mentioned that the debt restructuring plan has been successful so far and the government of Sri Lanka aims to obtain approval for the Extended Fund Facility (EFF) from the International Monetary Fund (IMF) in the first quarter of this year. India also confirmed its support for Sri Lanka’s debt restructuring plan.
On January 16, India informed the IMF that it strongly supports Sri Lanka’s debt restructuring plan as the country seeks a $2.9 billion loan from the IMF.
Sri Lanka is currently facing one of its worst economic crises and is seeking a bailout of $2.9 billion from the IMF.