Sri Lanka announces debt deal with China after IMF withholds bailout package
Sri Lanka has reportedly reached a deal with China’s Exim Bank to restructure $4.2bn of debt, as it looks to release the second tranche of an International Monetary Fund (IMF) bailout package that was withheld last month.
The island was plunged into an economic crisis last year and defaulted on billions of dollars of foreign debt, forcing it to reach out to the global financial body for assistance.