Chinas EXIM Bank says in a letter to Sri Lanka that the latter need not pay back the principal and interest due on EXIM banks US$ 2.8 billion loan that were due in 2022 and 2023.
Reuters reported on Tuesday that the Export-Import Bank of China has told Sri Lanka, through a letter, that it is going to provide an extension on the debt service due in 2022 and 2023 as an immediate contingency measure based on Sri Lankas request.
At the end of 2020, Chinas EXIM bank had loaned Sri Lanka US$ 2.83 billion which is 3.5% of the islands debt, according to an IMF report released in March last year.
According to Reuters, which had seen a copy of the letter, the EXIM bank said: You will not have to repay the principal and interest due of the b…
Read the full article at: https://www.eurasiareview.com/24012023-china-gives-immediate-relief-to-debt-ridden-sri-lanka-analysis/