US assures support for debt restructuring - Treasury Secretary Janet Yellen

COLOMBO (News 1st); US Treasury Secretary Janet Yellen has assured support for the process to restructure Sri Lanka's debt.

The President's Media Division said that the US Treasury Secretary had also extended support to extend the financing assurances consistent with the Paris Club Principles.

In addition, she had extended support to engage with the World Bank, Asian Development Bank, and US Agencies.

The United States (US) Secretary of the Treasury, Janet Yellen, has informed that the US as a creditor country, will participate in restructuring Sri Lanka’s debt. The critical need for full cooperation of all official creditors in debt negotiations and restructuring through timely participation and equal burden sharing have been outlined.

The US Treasury welcoming President Ranil Wickremesinghe’s proposal for a Coordination Platform for Sri Lanka’s official bilateral creditors, has urged engagement in this regard, said the President's Media Division.

Sharing the common goal with Sri Lanka of expediting financing assurances, the US has expressed readiness to join other Paris Club members in this process, in keeping with its principles. Further the US Treasury has pledged to continue to engage with their other government agencies, as well as the World Bank and Asian Development Bank, to assist the people of Sri Lanka.

It is recalled that the US has supported the people of Sri Lanka inter alia through the provision of school nutrition for children, food vouchers for pregnant women and new mothers, and fertilizer & cash transfers for small and medium scale farmers to increase food production.

The US Department of Treasury has welcomed the Sri Lankan government’s decision, to seek IMF assistance through an Extended Fund Facility (EFF), and thereby the recently concluded staff level agreement.

These observations were conveyed by the US Secretary of the Treasury in a communication addressed to President Wickremesinghe.