Sri Lanka signs Bilateral Amendatory Loan Agreements with the Saudi Fund for Development (SFD)

COLOMBO (News 1st): The signing of Bilateral Amendatory Loan Agreements with the Saudi Fund for Development in relation to the present External Debt Restructuring Process took place in Colombo today.

Sri Lanka today marked a significant milestone in its external debt restructuring process with the signing of Bilateral Amendatory Loan Agreements with the Saudi Fund for Development (SFD). The agreements, totaling Saudi Riyal (SAR) 516,951,065.02, formalize the restructuring of loans provided by the SFD.

The Kingdom of Saudi Arabia has been a crucial partner, continuing loan disbursements even after Sri Lanka's debt standstill declaration during its economic crisis. This sustained support proved vital in ensuring the uninterrupted progress of various development projects. Notably, the SFD loans were extended on concessionary terms, providing much-needed relief to Sri Lanka's overall debt burden.

The agreements were signed by Dr. Harshana Suriyapperuma, Secretary of the Ministry of Finance, Planning, and Economic Development, on behalf of the Government of Sri Lanka, and Mr. Sultan Abdulrahaman A Almarshad, Chief Executive Officer of the SFD.

During their visit, a high-level SFD delegation also participated in the ceremonial opening of the 'Wayamba University Township Development Project,' which is funded by the SFD.

The successful conclusion of these loan restructuring agreements is expected to further deepen the longstanding bilateral relationship between Sri Lanka and the Kingdom of Saudi Arabia.