India, Sri Lanka central banks sign $700 mln currency swap agreement

Business

India's central bank said on Tuesday it would allow its Sri Lankan counterpart to draw up to $700 million over a maximum period of three months under a new special currency swap agreement signed by the two central banks, Reuters reported.

The Reserve Bank of India has previously provided currency swaps to the Central Bank of Sri Lanka, including plans to extend a $1.5 billion agreement by one year.

Sri Lanka is seeking a loan of $1.5 billion from the International Monetary Fund (IMF) to boost foreign exchange reserves and help avert a balance of payments crisis.

The country has seen its foreign exchange reserves depleted by the central bank's defence of its rupee currency, as it struggles with heavy debt piled up under the previous government.

Comments

Still No Comments Posted.

Leave Comments

Most Reviews

June 29, 2024

- 876 - 0

Israeli Tourist found safe after three-day search in Trincomalee

Tamar Amitai, a 25-year-old Israeli tourist who went missing in Uppuveli, Trincomalee, was found safe after a three-day joint search operation today.

June 28, 2024

- 414 - 0

Former MP Hirunika taken to Welikada Prison

June 26, 2024

- 320 - 0

Chris and Mahela resign

June 28, 2024

- 314 - 0

Former MP Hirunika Premachandra sentenced to three years RI

The Colombo High Court today (28) sentenced former parliamentarian Hirunika Premachandra to three years of Rigorous Imprisonment over charges of the involvement of an abduction.

June 26, 2024

- 191 - 0

All bilateral loans postponed until 2028; President

In his special statement, President Ranil Wickremesinghe announced that debt restructuring agreements will postpone all bilateral loan payments to foreign countries until 2028. Additionally, Sri Lanka will have until 2043 to repay these loans on concessional terms.

June 25, 2024

- 159 - 0