As of May 9, 2023, 17 countries have formally constituted a official committee of creditors, co-chaired by India, Japan and France, to discuss the request by the Sri Lankan authorities for a debt treatment. The committee includes Paris Club creditors as well as other official bilateral creditors. This first meeting took place after the successful launch of the Sri Lankan debt restructuring process led by the co-chairs on April 13, 2023.
The Sri Lankan authorities attended the meeting and formally submitted their request for debt treatment. They reiterated their commitment to transparency and comparability of treatment towards their official bilateral creditors. The IMF and World Bank representatives presented the latest macroeconomic developments regarding Sri Lanka and the current status of their relationship with the country.
Japan, India and France begin a negotiation process on Sri Lanka’s debt
The creditors’ commission takes note of the open letter addressed by the President of Sri Lanka to all its official bilateral creditors on March 14, 2023, in which he guarantees transparency and comparability of treatment for all external creditors and ensures that no collateral agreements incompatible with the comparability of treatment with any creditor will be established. The committee welcomes the adoption of the resolution for the implementation of the IMF-supported program by the Parliament of Sri Lanka on April 28, 2023.
Sri Lanka’s creditors’ committee will continue its work to find an appropriate solution to Sri Lanka’s external debt vulnerabilities, consistent with IMF program parameters.
The Sri Lanka Creditors Committee will continue its work to find a suitable solution to Sri Lanka’s external debt vulnerabilities
It underlines the importance of Sri Lanka’s private creditors and other official bilateral creditors providing debt treatment on terms at least as favorable as those agreed by this creditors’ committee, in line with the principle of comparability of treatment. It reiterates its invitation to other official bilateral creditors to formally join the creditors’ committee.
