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Thursday July 18th, 2024

China “sad” that Sri Lanka went to IMF and defaulted: envoy

China’s Ambassador to Colombo, Qi Zhenhong

ECONMYNEXT – China is “sad” that Sri Lanka went to the International Monetary Fund (IMF) and defaulted on its debt, Ambassador Qi Zhenhong said, adding that China is watching the island nation’s negotiations with the Washington-based lender.

“China has done its best to help Sri Lanka not to default but sadly they went to the IMF and decided to default,” Ambassador Qi told reporters at a media briefing in Colombo.

“The debt restructuring definitely will have an impact on future bilateral loans,” he said.

Ambassador Qi said in March that China was considering a request for 1.5 billion US dollars in buyer’s credit and another billion-dollar loan.

The IMF determined that Sri Lanka’s debt was not sustainable or could not be repaid with macro-economic adjustments involving rate and tax hikes alone and had to restructure debt to reduce the gross finance need to a manageable level.

On April 12, Sri Lanka said it was suspending payment on foreign debt and will negotiate with creditors.

Now China was waiting for IMF talks to progress and wanted more information on debt restructuring. Sri Lanka will negotiate with the Paris Club of western donors, other lenders like China and India, multilateral and separately with bondholders.

“We are closely monitoring the IMF discussion between Sri Lanka and IMF,” he said.

“Countries that colonised Sri Lanka have more obligations to help at this juncture.”

However China will continue to disburse old loans as agreed, he said. (Colombo/Apr25/2022)

Comments (8)

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  1. Tirupathirao ankusarao says:

    You better ask Srilankans who the colonizers are.

  2. Panduka says:

    China is also responsible for lending money to SL project that doe snot create income and using debt to trap countries

  3. Brigadier (Rtd) Ranjan de Silva says:

    China took pride in saying China does not interfere in Sri Lanka’s internal affairs. They gave massive “loans” to Sri Lanka’s corrupt rulers. Now the truth is out. The country, the people did not benefit. These corrupt rulers stole the money. Their policy of non-interference helped dishonest Sri Lankan rulers. These rulers brought disgrace upon themselves and China. China is not popular in Sri Lanka anymore. China’s big mistake. What have you got to say China?

  4. Tua says:

    Ah, funny to squeeze us further & bloody parasites

  5. piero emmanuel says:

    COLONIZATION HAS DIFFRENT MEANING IN THE PAST AND THE PRESENT CONTEXT
    SRI LANKA HAS SUPPORTED CHINA BY IMPORTING CLOSE TO 4 BILLION USD PER YEAR WHILE PAYING INTERESTS AS WELL AS CERATING JOBS FOR CHINEASE AND SENDING SRI LANKAN STUDENTS TO CHINA .WHAT KIND OF INVESTMENT WE HAVE RECIVED ?ODAs are not investments .invest in secorts that Sri Lanka has identified not what China wants like cement and steel

  6. Marlon says:

    This comment section is made out of morons and sold out liberals.

  7. Jivaka says:

    It is even sadder that the “wisdom of Asia” is lacking in the Chinese statement. Is this the Country that took hundreds of millions of their people over the poverty line on a strategic trajectory?

  8. kumar dassenaieke says:

    China has always helped SL with genuine interest.History can justify(just one eg:Rice/Rubber pact).Has always been a friend.
    I believe going to IMF was not prudent.This is the fault of the Finance minisier/Central Bank/Treasury

View all comments (8)

Comments (8)

Cancel reply

Your email address will not be published. Required fields are marked *

  1. Tirupathirao ankusarao says:

    You better ask Srilankans who the colonizers are.

  2. Panduka says:

    China is also responsible for lending money to SL project that doe snot create income and using debt to trap countries

  3. Brigadier (Rtd) Ranjan de Silva says:

    China took pride in saying China does not interfere in Sri Lanka’s internal affairs. They gave massive “loans” to Sri Lanka’s corrupt rulers. Now the truth is out. The country, the people did not benefit. These corrupt rulers stole the money. Their policy of non-interference helped dishonest Sri Lankan rulers. These rulers brought disgrace upon themselves and China. China is not popular in Sri Lanka anymore. China’s big mistake. What have you got to say China?

  4. Tua says:

    Ah, funny to squeeze us further & bloody parasites

  5. piero emmanuel says:

    COLONIZATION HAS DIFFRENT MEANING IN THE PAST AND THE PRESENT CONTEXT
    SRI LANKA HAS SUPPORTED CHINA BY IMPORTING CLOSE TO 4 BILLION USD PER YEAR WHILE PAYING INTERESTS AS WELL AS CERATING JOBS FOR CHINEASE AND SENDING SRI LANKAN STUDENTS TO CHINA .WHAT KIND OF INVESTMENT WE HAVE RECIVED ?ODAs are not investments .invest in secorts that Sri Lanka has identified not what China wants like cement and steel

  6. Marlon says:

    This comment section is made out of morons and sold out liberals.

  7. Jivaka says:

    It is even sadder that the “wisdom of Asia” is lacking in the Chinese statement. Is this the Country that took hundreds of millions of their people over the poverty line on a strategic trajectory?

  8. kumar dassenaieke says:

    China has always helped SL with genuine interest.History can justify(just one eg:Rice/Rubber pact).Has always been a friend.
    I believe going to IMF was not prudent.This is the fault of the Finance minisier/Central Bank/Treasury

Sri Lanka to conduct threat assessments for presidential candidates

ECONOMYNEXT – Sri Lanka’s President Ranil Wickremesinghe has submitted a cabinet paper proposing security measures for presidential candidates and former presidents, following the recent attack on former US President Donald Trump during a campaign rally in the USA.

“This proposal suggests the appointment of a committee to conduct threat assessments and provide necessary security for Presidential candidates as well as former Presidents,” a statement from his media division said.

The committee will include the Secretary of the Ministry of Public Security as Chair, the Chief of Defence Staff, the Inspector General of Police, the Chief of National Intelligence, and the Senior Deputy Inspector General of Police/Elections.

A Deputy Inspector General of Police will be appointed to oversee all security arrangements.

The committee and the designated officer will work closely with the Election Commission to ensure seamless coordination of security arrangements, the PMD said.

After today, July 17, Sri Lanka’s Election Committee is empowered to announce a date for the presidential polls due to be held this year.

Minister of Foreign Affairs M U M Ali Sabry has said the election will be held on October 5 or 12.

Members of the Samagi Jana Balawegaya (SJB) have said that the government should be accountable for the security of Opposition Leader Sajith Premadasa, the SJB’s presidential candidate. (Colombo/Jul17/2024)

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Sri Lanka rupee closes flat at 303.80/304.00 to US dollar

ECONOMYNEXT – Sri Lanka’s rupee closed almost flat at 303.80/304.00 to the US dollar on Wednesday, from 303.70/304.00 to the US dollar on Tuesday, dealers said, while bond yields were down.

A bond maturing on 15.12.2026 closed at 10.60/75 percent, down from 10.82/92 percent.

A bond maturing on 15.12.2027 closed at 11.60/38 percent, down from 11.65/75 percent.

A bond maturing on 01.05.2028 closed at 11.72/78 percent, down from 11.80/90 percent.

A bond maturing on 15.09.2029 closed at 12.05/10 percent, down from 12.05/20 percent. (Colombo/Jul17/2024)

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Sri Lanka stocks close down, John Keells, Hemas, Hayleys push turnover

ECONOMYNEXT – The Colombo Stock Exchange closed down on Wednesday, data on its site showed.

The broader All Share Index closed down 0.41 percent, or 48.44 points, at 11,830; while the more liquid S&P SL20 Index closed down 0.52 percent, or 17.91 points, at 3,456.

Turnover was 1.2 million. A big part of this (Rs597mn) came from John Keells Holdings Plc (down at 194.25).

“There was foreign buying interest on John Keells and Hemas,” Softlogic Stockbrokers said.

“We saw foreign interest in selective counters persist.”

Hemas Holdings Plc contributed Rs143mn to the turnover, and the share closed down at 81.10.

Hayleys Plc contributed Rs156mn to the turnover, and the share closed up at 101.50.

The three crossings made up 67 percent of the turnover.

The capital goods counters, with all the bluechips, was the leading sector contributing to the day’s turnover.

With the exception of Hayleys and a couple of other companies, the counter saw most stocks close down or flat.

Sentiment around the banking counters also remained negative.

“The volatility in investor sentiments persisted. There are a lot of spectators in the market over the last few weeks, despite some positive news coming in.”

Treasury bill and bond rates have also dropped.

The top contributors to the ASPI were Melstacorp Plc (up at 86.00), SMB Finance Plc (up at 0.70), and TeeJay Lanka Plc (up at 40.00).

There was a net foreign inflow of 392 million. (Colombo/Jul17/2024)

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