Union Minister for Finance & Corporate Affairs, Nirmala Sitharaman, recently participated in a high-level event on Sri Lankan debt issues at the International Monetary Fund (IMF)- World Bank (WB) Spring Meetings in Washington D.C. This meeting was held to address the ongoing debt crisis in Sri Lanka, and demonstrate the multilateral cooperation among creditors to help with the debt restructuring process.
Mr. Suzuki Shunichi, Finance Minister of Japan, Mr. Emmanuel Moulin, Director General of the Treasury, France, and Mr. Shehan Semasinghe, State Minister of Finance, Sri Lanka, were also present in the meeting. Meanwhile, Mr. Ranil Wickremesinghe, President and Minister of Finance of Sri Lanka, participated virtually.
Debt Restructuring Negotiation Process Launched
One of the highlights of the event was the announcement of the launch of the debt restructuring negotiation process on Sri Lanka. India, Japan, and France will lead the coordinated debt restructuring of Sri Lanka, under the three Co-Chairs. This move is seen as a significant step towards resolving the country’s debt crisis.
India Commits to Support Sri Lanka
During the meeting, Union Finance Minister Smt. Sitharaman reiterated India’s commitment to support Sri Lanka in dealing with its current economic crisis. She emphasized the importance of collaboration among creditors to ensure transparency and equality in the treatment of all creditors in the debt restructuring discussions.
Importance of Multilateral Cooperation
The participation of Smt. Sitharaman and other high-ranking officials in this meeting highlights the importance of multilateral cooperation in resolving the ongoing debt crisis in Sri Lanka. By working together, creditors can help alleviate the burden of debt on the country and enable it to achieve sustainable economic growth in the long run.
Conclusion
In conclusion, the high-level event on Sri Lankan debt issues at the IMF-WB Spring Meetings was a significant step towards resolving the country’s ongoing debt crisis. The launch of the debt restructuring negotiation process, under the Co-Chairs of India, Japan, and France, is expected to lead to a coordinated effort to help Sri Lanka address its debt problem. India’s commitment to support Sri Lanka in this regard highlights the importance of multilateral cooperation among creditors to achieve sustainable economic growth.
