The International Monetary Fund (IMF) has welcomed Sri Lanka’s recent agreement with international sovereign bondholders but emphasized that the deal still requires approval from the Official Creditor Committee (OCC) of bilateral lenders.
“We welcome the agreement in principle between Sri Lanka and the representatives of international bondholders, pending confirmation on the comparability of treatment by the Official Creditors Committee,” stated an IMF spokesperson.
“This marks significant progress in Sri Lanka’s ongoing debt restructuring efforts.”
The updated restructuring terms were formulated in consultation with the IMF to ensure they align with the Debt Sustainability Analysis required for the country’s financial program, according to the Finance Ministry.
The revised proposal came after a detailed technical process with IMF staff and incorporated feedback from the OCC regarding the July agreement.
The announcement of the deal follows a change in Sri Lanka’s government after the Presidential elections.