Sri Lanka’s Groundbreaking Debt Agreement – Major Relief Achieved

News Today: Sri Lanka debt restructuring agreement with creditors finalized, bringing substantial debt relief during IMF programme.

Sri Lanka has reached a crucial debt agreement with its external commercial creditors to restructure around USD 17.5 billion in external debt. The deal achieves a 40.3% Net Present Value (NPV) concession, marking a significant milestone in the country’s efforts to stabilize its economy. Additionally, Sri Lanka has finalized a USD 3.3 billion debt restructuring deal with China Development Bank. According to the President’s Media Division, these agreements—coupled with deals made with Eximbank of China, OCC, and bondholders—will provide over USD 17 billion in debt service relief during the IMF programme.

This agreement is a critical step toward Sri Lanka’s long-term economic recovery, bringing much-needed financial relief during this challenging time.