IMF says G20 Common Framework delivering for Sri Lanka

International Monetary Fund (IMF) Managing Director Kristalina Georgieva says the G20 Common Framework is delivering for countries outside of the Common Framework such as Sri Lanka.

She said that the top priority must be to ease the debt burden on countries, especially those who have been hit by exogenous shocks.

“We do have now the G20 Common Framework delivering for Chad, for Zambia, and also for countries outside of the Common Framework such as Sri Lanka and Suriname. They are benefiting from bringing creditors – both public and private – together,” she said.

She expressed these views while speaking at the closing press conference of the Paris Summit.

“We recognize we have to accelerate debt restructuring. Make it predictable, timely and provide breathing space to debtor countries through debt suspension during negotiations,” she said.

Georgieva said that the World Bank has shown leadership on debt suspension clauses in their programs.

“At the IMF, we have an instrument called the Catastrophe Containment and Relief Trust that allows us to directly provide debt relief to poorer countries when they’re hit by shock,” she said.

President Ranil Wickremesinghe was among those who attended the Paris summit. (Colombo Gazette)