ECONOMYNEXT – Sri Lanka’s debt restructuring deal with its bilateral creditors is agreed and concluded, but there are some administrative issues still remaining including getting the signatures of all the creditors, State Finance Minister Shehan Semasimghe said.
President Ranil Wickremesinghe’s government reached US$10 billion worth bilateral debt deal with the members of Paris Club and Official Creditors Committee (OCC) as well as China last week.
However, the opposition has claimed that the debt restructuring negotiations are far from over.
Semasinghe acknowledged that some of Sri Lanka’s bilateral creditors are yet to sign the deal though they all have agreed on the agreement, which is yet to be seen by public.
“What happened is that the OCC and the Paris Club have agreed on what the debt restructuring process is going to be,” the State Finance Minister told reporters at a media briefing in Colombo on Tuesday (02).
“Thereafter it is going to be a administrative process. When we were in Paris, the co-chairs of the OCC sigend the agreement. But there are some more countries (to sign), but it is an administrative process. That will take a little number of days,” he said.
“The challenge was that we come to an agreement. So don’t worry about that. We have concluded the agreement.”
The State Minister’s comments came after the ruling party cancelled a two-day parliament debate on the recently concluded bilateral debt restructuring scheduled to be held on Tuesday (02) and Wednesday (03) after the opposition criticized that the restructuring deal are far from over and death of a former opposition leader.
Later, President Wickremesinghe addressed the parliament to clarify some of the false information spread through social media. (Colombo/July 02/2024)