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Tuesday September 27th, 2022

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)

Your email address will not be published.

  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