• ISB holders ask Govt. to restructure domestic debt 
• Govt. expresses willingness to explore, but non-committal 

A delegation of representatives from the International Monetary Fund (IMF) is currently in Sri Lanka to hold discussions with local stakeholders. 

The Sunday Morning learns that they plan to discuss the implementation of the reforms programmes the Government has initiated following consultations with the IMF. 

A highly-placed Government source said that it was understood that the feedback from the planned stakeholder meeting would be used by the IMF to prepare for the feedback sessions, which are expected in the following month.

The IMF team had held discussions last week with several line ministries and key departments.

Furthermore, representatives of Sri Lanka’s financial advisor, Lazard, have also arrived in Sri Lanka to engage with the country’s debt restructuring programme that is to be finalised, given the IMF deadline of end April to receive the debt restructuring plan. 

It is learnt that some private creditors (ISB holders) had proposed that Sri Lanka begin domestic debt restructuring. 

However, the Government is not keen on the proposal.

In May last year, Sri Lanka hired leading financial and legal advisory firms Lazard and Clifford Chance LLP to support its debt restructuring process.