P
resident Ranil Wickremesinghe announced in a televised address that Sri Lanka has successfully negotiated restructuring deals with the Paris Club, China, and India, delaying repayment of $10 billion in bilateral debt until 2028. Under these agreements, Sri Lanka will have until 2043 to repay these loans under favorable concessional terms.
“The agreements reached will remove legal obstacles that previously hindered friendly countries from providing new assistance to Sri Lanka,” President Wickremesinghe stated, emphasizing that the international community’s confidence in Sri Lanka has been reaffirmed through these agreements, serving as a significant endorsement.
“Our Prime Minister will present these agreements in a special parliamentary session on July 02nd, and I urge all patriotic members of Parliament to ratify them,” he added.
Reflecting on the challenges faced, President Wickremesinghe acknowledged the perseverance of his ministers, officials, and the resilience of the majority of Sri Lankan citizens. He highlighted the country’s determination to progress despite ongoing difficulties.
Sri Lanka’s engagement with the IMF, now its 17th program, was also underscored by President Wickremesinghe, who emphasized the country’s commitment to achieving economic independence and sustainability.
“We must seize this opportunity to propel ourselves towards becoming a developed economy, ensuring that Sri Lanka never again finds itself in need of IMF support,” he affirmed.
President Wickremesinghe contextualized Sri Lanka’s economic journey, mentioning past monetary conflicts and policy challenges that led to currency crises and eventual default. He noted the importance of legalizing operational frameworks under IMF-backed monetary laws to stabilize the economy.
Drawing parallels to the tale of the Caucasian Chalk Circle, President Wickremesinghe remarked on the stability achieved and the subsequent interest of various parties in assuming leadership roles.
“Now that our country is stable, many are eager to lead, much like the characters in the Caucasian Chalk Circle,” he remarked.
