Tuesday, May 17, 2022
-Advertisement-
-Advertisement-
Tech ObserverNewsGovernanceIn financial mess, Sri Lanka urges China to restructure debt repayment

In financial mess, Sri Lanka urges China to restructure debt repayment

The economy of the island nation is already in shambles with foreign reserves drying up and financial bankruptcy looming large.

The economy of the island nation is already in shambles with foreign reserves drying up and financial bankruptcy looming large.

With the economy of the island nation already in shambles with foreign reserves drying up and financial bankruptcy looming large, Sri Lankan President Gotabaya Rajapaksa has requested Chinese Foreign Minister Wang Yi for possible restructure of the debt repayment plan. Chinese Foreign Minister Wang Yi is currently on an official visit to .

“It would be a great relief if it could be focused on restructuring the debt repayments as a solution to the economic crisis that has arisen due to the Covid-19 pandemic,” President Rajapaksa said.

President Rajapaksa earlier met ’s Foreign Minister and State Councilor Yi who was visiting Sri Lanka marking the 65 years of diplomatic relations between the two countries. Sri Lanka is the final destination of the Chinese Minister who visited five countries in the Belt and Road Initiative (BRI) from Africa to Asia Eritrea, Kenya and Comoros in Africa and the Maldives in Asia.

In the backdrop of the financial crisis faced by Lanka, President Rajajapaksa also said, “if a concessional trade-credit scheme could be obtained for imports from China, it would enable industries to run smoothly.”

During the meeting, President Rajapaksa also requested Minister Yi to assist in attracting Chinese tourists to Sri Lanka by allowing visits using the bio-bubble program, President’s Office said in a statement.

During the meeting Sri Lankan leader thanked the “Chinese government for the material and financial assistance given to battle the Covid-19 pandemic and for its continued support in providing Sri Lanka with Sinopharm vaccines for the successful implementation of the vaccination program,” President’s Office stated.

In response, the Chinese Foreign Minister has stated that “China would always support the island nation as a close friend.” Meanwhile, Prime Minister Mahinda Rajapaksa who met Wang Yi at the Temple Trees thanked the Chinese government for its financial support in the backdrop of the Covid-19 pandemic.

“As you know, similar to many other countries, Sri Lanka’s economy was also greatly impacted by the pandemic. We appreciate China’s assistance towards our economic revival and financial stability,” said Premier Mahinda Rajapaksa.

“There is still a long way to go in establishing normalcy, but we’re confident that with support from friendly countries like China, we will be able to overcome these challenges soon. I look forward to continue working closely with you and the Government of China in addressing common challenges,” Lankan PM Rajapaksa said.

Meanwhile, Chinese Foreign Minister Yi assured to assist Sri Lanka saying that, “China will continue to do its best to provide all the necessary help and support [to Sri Lanka],” PMO statement quoted.

Chinese Foreign Minister’s visit to the island nation comes amidst a strained relationship due to the shipment of 20,000 metric tonnes of organic fertilizer from China which was rejected by Sri Lanka after it was found to be infected with harmful bacteria.

Subscribe to receive the day's headlines from Tech Observer straight in your inbox

- Advertisement -

Your Comment on this Story

Comments

Share on activity feed

Powered by WP LinkPress

LEAVE A REPLY

Please enter your comment!
Please enter your name here

Subscribe to our Newsletter

83000+ Industry Leaders read it everyday

By subscribing you agree to our Privacy Policy, T&C and consent to receive newsletters and other important communications.
- Advertisement -ESDS SAP HANA Community Cloud
- Advertisement -Digital Senate 2022

RELATED ARTICLES

- Advertisement -