INSUBCONTINENT EXCLUSIVE:
in line with the parameters set in the IMF program, Finance State Minister Shehan Semasinghe says.Following the launch of a common platform
Since its formation, the OCC has engaged extensively with the Sri Lankan authorities, the IMF, the World Bank as well as China, and Sri
Facility (EFF) program and unlock the next tranche of the loan which is expected in December and in turn would enable the World Bank and
Asian Development Bank (ADB) to provide further financing.Semasinghe also noted that this is another important indicator of the continued
comprehensive reform program that will restore macroeconomic stability and firms place the country on a path of sustainable and inclusive
Subsequently, Sri Lanka through its financial advisors, will continue to engage with its external private sector creditors in order to reach
restructuring, the OCC said it has come to an agreement with Sri Lanka on the main parameters of a debt treatment consistent with those of
the EFF arrangement between the island nation and the IMF.The OCC has commended the Sri Lankan authorities for their continuous efforts in
statement on the agreement:Following the launch event in April 2023, 17 countries formally formed, on May 9, an Official Creditor Committee
The committee includes India and Hungary in addition to Paris Club creditors
private creditors.The OCC and Sri Lanka agreed on the main parameters of a debt treatment consistent with those of the Extended Fund
Facility (EFF) arrangement between Sri Lanka and the IMF
way for approval of the second disbursement under the arrangement
a sustainable path.The OCC stands ready and looks forward to formalizing this agreement in the coming weeks in a Memorandum of Understanding
with the Sri Lankan authorities
The OCC expects other bilateral creditors to consent to sharing, in a transparent manner, the information necessary for the OCC to evaluate
comparability of treatment regarding their own bilateral agreement
The OCC also expects that the Sri Lankan authorities will continue to engage with their private creditors to find as soon as possible an
agreement on terms at least as favourable as the terms offered by the OCC.These engagements will ensure that the overall debt treatment
granted to Sri Lanka is consistent with the IMF program parameters.
