Sri Lanka has decided to explore options for financial assistance and possible swap arrangements with the countries in the Middle East.
The Sunday Morning reported that a high-level delegation from the Central Bank of Sri Lanka (CBSL) left for an official visit to Qatar and several other Middle Eastern countries on Saturday (11).
The three-member delegation includes a CBSL Deputy Governor and an Assistant Governor, with plans to visit the Kingdom of Saudi Arabia as well as the United Arab Emirates (UAE).
Sources have also revealed that Central Bank Governor Ajith Nivard Cabraal is set to join the delegation in Saudi Arabia to lead the discussion.
The move comes after Finance Minister Basil Rajapaksa promised in Parliament last week that Sri Lanka will honour its debt obligation due next year, revealing that a US$ 500 million debt repayment is due in January 2022, and a further US$ 1 billion later that year.
He had vowed to settle the debts without the assistance of the International Monetary Fund (IMF).
According to reports, the Government is exploring options of financial assistance as the anticipated assistance from India is reportedly delayed.
Last week, Parliament was informed Sri Lanka’s net foreign assets were worth $ 1.507 billion as of November this year, and that a US$ 1 billion swap facility with the Qatar Central Bank (CB) had been sought. (NewsWire)