Sri Lanka and the United Kingdom signed a bilateral debt agreement on Friday (22 August), implementing the debt restructuring terms agreed with the Official Creditor Committee in June 2024.
The agreement, signed by British High Commissioner Andrew Patrick and Finance Ministry Secretary Dr. Harshana Suriyapperuma, allows Sri Lanka to resume interest payments while principal repayments are deferred until 2028.
The deal covers UK Export Finance (UKEF) and forms part of the wider restructuring effort co-chaired by France, India, Japan, and other Paris Club members.
British High Commissioner Patrick said the agreement was a “key step to restore debt sustainability and regain investor confidence to support Sri Lanka’s economic recovery.” (Newswire)
