Sri Lanka receives first tranche of IMF bailout
Sri Lanka has received the first tranche of its bailout package from the International Monetary Fund (IMF), President Ranil Wickremesinghe told parliament.
'This sets the stage for Sri Lanka to have better fiscal discipline and improved governance,' President Wickremesinghe said on Wednesday.
The first tranche of 330m dollar comes after the IMF on Monday approved a 3bn US dollar rescue package for the crisis-stricken island nation.
Sri Lanka's President Wickremesinghe said his government officials will kick off the next round of talks with bondholders and bilateral creditors in the third week of April.
'This will create opportunities for low-interest credit, restore foreign investors’ confidence and lay the foundation for a strong new economy,' President said.
The IMF bailout is expected to catalyse additional support to the tune of 3.75bn dollar from the likes of the World Bank, the Asian Development Bank and other lenders. It clears the way for Sri Lanka to rework a substantial part of its 84bn dollar worth of public debt.
China, Sri Lanka's biggest bilateral creditor, earlier this month agreed to restructure its loans to the country, clearing the final hurdle to receiving the IMF bailout.
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