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Bondholders Group prepared to engage with Sri Lanka on Debt Restructuring - newsfirst.lk - India - Sri Lanka - state Indiana
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Bondholders Group prepared to engage with Sri Lanka on Debt Restructuring
COLOMBO (News 1st) – The Ad Hoc Group of Sri Lanka Bondholders (the "Bondholder Group") in a letter to the IMF Managing Director has confirmed it is prepared to engage, through its Steering Committee, with the Sri Lankan authorities in restructuring negotiations consistent with the parameters of an IMF Programme and the targets specified therein (the "IMF Programme Targets").The Ad Hoc Group of Sri Lanka Bondholders (the "Bondholder Group") has acknowledges the Sri Lankan authorities' engagement with their official creditors towards a resolution of the current crisis and restoration of debt sustainability.The Bondholder Group further acknowledged that such engagement has recently resulted in the Government of India (in its letter to the IMF, dated January 16, 2023 (the "India Letter")) delivering letters of financing assurances, committing to support Sri Lanka and contribute to its efforts to restore debt sustainability by providing debt relief and financing consistent with the IMF Extended Fund Facility Arrangement (the "IMF Programme") and the IMF Programme targets indicated in the India Letter.Similarly, the Bondholder Group through its Steering Committee stands ready to engage quickly and effectively with the Sri Lankan authorities to design and implement restructuring terms that would help Sri Lanka restore debt sustainability and allow the country to re-gain access to the international capital markets during the IMF Programme period.The Bondholder Group understands that the IMF Programme's debt sustainability targets are identified as (i) reducing the ratio of public debt to GDP to 95% by 2032,  (ii) limiting the central government's annual gross financing needs to GDP ratio to 13% in the period between 2027 and
Sri Lanka will remain a middle-income country despite GDP decline: IMF Asia & Pacific Dep. Director - newsfirst.lk - Sri Lanka - county Pacific
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Sri Lanka will remain a middle-income country despite GDP decline: IMF Asia & Pacific Dep. Director
COLOMBO (News 1st) – The Deputy Director of the Asia and Pacific Department of the International Monetary Fund, Anne-Marie Gulde-Wolf has said that Sri Lanka will remain a middle-income country despite the decline in GDP.Speaking at an IMF press conference on the Asia and Pacific Region’s Economic Outlook, the Deputy Director of the Asia and Pacific Department of the IMF responded to questions raised about Sri Lanka's progress toward debt restructuring negotiation, the IMF's program timeline, and whether Sri Lanka could be downgraded to low-income status.She pointed out that it is difficult to predict a timeline because the process of debt negotiations takes time, and mentioned that timelines differ depending on who the creditors are and what is involved. "We certainly are supporting the process as much as we can. And we hope that everybody can work expeditiously to get a process underway, and discussions have started, including with support of all bilateral creditors that are involved," she said. Anne-Marie Gulde-Wolf further speaking noted that with regard to the other multilateral lenders, the IMF is working very closely with the World Bank, the Asian Development Bank, the Asian Investment Bank, on programs for Sri Lanka, which would assist in closing the financing gap. "But I want to say also very importantly that the policies under the other multilateral lenders in their areas of expertise will be important to resolve Sri Lanka's longer term growth problems," Anne-Marie Gulde-Wolf emphasized.
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