Debt restructuring

The International Monetary Fund (IMF) has reported progress in debt restructuring in countries outside the G20 common framework, including Sri Lanka.

 

 

During a press briefing, the IMF's Director of Strategic Communications, Julie Kozack, highlighted that creditor coordination in these countries has also shown positive developments.

 

 

The G20 common framework has been successful in debt restructuring cases for countries such as Chad, Ghana, and Zambia.

 

 

Kozack emphasized the need to accelerate and ensure predictability and timeliness in debt restructuring. Additionally, debtor countries should be provided with "breathing space" through debt suspension during negotiations.

 

 

The IMF, World Bank, and India, as the G20 Chair, have initiated the Global Sovereign Debt Roundtable (GSDR) to expedite debt restructuring efforts.

 

 

This platform brings together traditional Paris Club creditors, non-Paris Club official creditors like China, India, and Saudi Arabia, as well as private sector creditors and debtor countries.

 

 

The GSDR aims to address procedural and process-related issues, focusing on broader topics rather than specific country cases. Specific country cases are handled within official creditor committees and in negotiations between creditors and debtors.