Sri Lankan officials said China had agreed to support the country’s debt restructuring, an important step towards finalising a $2.9bn IMF rescue package and pulling the island out of an economic crisis.
The IMF package has been pending for months as Sri Lanka has sought to convince its creditors to agree a plan to restructure the bankrupt country’s foreign debts, a precondition for unlocking the funds.
President Ranil Wickremesinghe told parliament on Monday that his government had received a letter from the Export-Import Bank of China, a state-owned bank that leads China’s overseas investments, and had informed the IMF.
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