Foreign debt restructuring will not be possible without domestic debt restructuring, according to Finance Secretary Mahinda Siriwardana.
The Finance Secretary stated that the administration places a high priority on protecting the banking sector and the Employees’ Provident Fund (EPF) while participating in a special media conference held by the Presidential Media Center on Thursday, June 29 to discuss the Domestic Debt Optimization (DDO).
According to Siriwardana, it is crucial to widely disseminate information about these programs, especially to the poor people living in isolated communities who might not be aware of them or unable to actively engage.
The Finance Secretary stated that neglecting to pursue debt restructuring will have an impact on the program Sri Lanka has entered into with the International Monetary Fund (IMF).
“Unthinkable consequences could result for the future of our nation in such a situation. Therefore, it is crucial to understand how sensitive this subject is and to deal with it appropriately.
Both domestic and international loans are a part of this reorganization. The domestic debt restructuring program’s speedy completion has been given top priority, despite the fact that the program to restructure international debt is already under way.
The Finance Secretary continued by stressing how crucial it is to take action in order to inform and educate the public about the current situation. “Many concerns are being voiced, including worries about the banking system’s imminent collapse and its negative effects on the nation. I personally find this situation to be disturbing because the country is now dealing with serious issues that have not yet been handled. It is essential to put programs into place that can aid in overcoming these obstacles.
