China has always encouraged the IMF and other international financial institutions to continue to play a positive role in supporting Sri Lanka’s debt crisis, the Chinese Embassy in Sri Lanka said.
The Embassy made the statement in response to the International Monetary Fund’s (IMF) comments on Sri Lanka’s debt restructuring.
Sri Lanka and the international financial institution struck a staff-level agreement for an Extended Fund Facility yesterday.
Responding to the IMF’s comments on Sri Lanka’s debt restructuring, the Chinese Embassy said, “As a traditional friendly neighbor of Sri Lanka and a major shareholder of the International Monetary Fund, China has been always encouraging the IMF and other international financial institutions to continue to play a positive role in supporting Sri Lanka’s response to current difficulties and efforts to ease debt burden and realize sustainable development.”
The Embassy further said as to the bilateral financial cooperation, Chinese financial institutions reached out to the Sri Lankan side shortly after the Sri Lankan government announced suspending international debt payments in April 2022.
Chinese financial institutions expressed their readiness to find a proper way to handle the matured debts related to China and help Sri Lanka to overcome the current difficulties, the Embassy said.
The Chinese Embassy in Sri Lanka further said, “We hope Sri Lanka will work actively with China in a similar spirit and work out a feasible solution expeditiously.” (NewsWire)