Bangladesh Hopeful on debt repayment

According to Bangladesh’s foreign minister, the country would repay the money Sri Lanka borrowed from it by September of this year since its economic situation is improving.

The new government in Sri Lanka is managing the country “very well,” according to the foreign minister of Bangladesh, who returned home from there on Sunday.

For Sri Lanka’s 75th Independence Day celebrations, which were attended primarily by foreign ministers from its neighbours, Foreign Minister Moment travelled there as a guest.

A recent staff-level agreement between Sri Lanka and the International Monetary Fund (IMF) on a 48-month, $2.9 billion Extended Fund Facility will also help Sri Lanka receive short-term funding from other donors.

After Sri Lanka requested an extension of the loan’s payback time due to its protracted economic difficulties, Bangladesh Bank previously gave the island nation six additional months to pay back the $200 million loan.

Under a currency swap agreement, Bangladesh had extended the loan to cash-strapped Sri Lanka in 2021 as a show of goodwill.