Financial advisory group Lazard has started talks with India, China and Japan on restructuring Sri Lanka’s debt, Cabinet Co Spokesman and Minister of Plantation Dr. Romesh Pathirana said yesterday as Sri Lanka seeks an IMF bailout.
Earlier this month, the IMF said it had reached a preliminary agreement with Sri Lanka for a loan of about US$2.9 billion. But for the deal to go through, the country will require debt relief from China, India and Japan, its three main international lenders. Lazard was hired by Sri Lanka in May, along with international lawyers Clifford Chance, to guide the government through the process of restructuring its debt, for which estimates range from US$85 billion to well over US$100 billion.
“They are in the process of speaking to India, China, Japan, mainly to ensure we come to some sort of consensus” Pathirana said (www.channelnewsasia.com)
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