The Paris Club said on Friday it was ready to start the debt relief process for Sri Lanka.
It reiterated its willingness to coordinate with non-Paris Club official bilateral creditors to provide financing assurances in a timely manner, the media release stated.
The Paris Club release stated, “Paris Club members welcome the Staff-Level Agreement (SLA) concluded between the Sri Lankan authorities and IMF staff for a 48-month arrangement under the Extended-Fund Facility (EFF).
This agreement represents an important step to restore macroeconomic stability and public debt sustainability.” Noting the IMF’s assessment for the need for a debt treatment in the context of the IMF program, the Paris Club said it is ready to start the debt treatment process and reiterated its willingness to coordinate with non-Paris Club official bilateral creditors to provide the financing assurances in a timely manner and ensure fair burden sharing, as already proposed to the large other official bilateral creditors. “The Paris Club remains at the disposal of the Sri Lankan authorities and non-Paris Club official bilateral creditors to further discuss the next steps of the debt treatment process,” the statement added.