Sri Lankan envoy meets Indian finance minister to discuss $ 1 billion loan

Indian Finance minister Nirmala Sitharaman and Sri Lankan high commissioner Milinda Moragoda on Friday discussed the finalisation of a USD 1 billion line of credit to be provided by India to the island nation to purchase essential items to tide over an economic crisis.

“The high commissioner also followed up with minister Sitharaman on the early finalisation of the USD 1 billion line of credit to purchase essential items, which is part of the four-pillar bilateral economic cooperation concept,” the statement said.

As part of the four-pillar package decided during Sri Lankan finance minister Basil Rajapaksa’s visit to New Delhi last year, the Indian side has so far provided a USD 500-million line of credit for purchasing fuel and a currency swap of USD 400 million under the SAARC facility.

Moragoda also thanked Sitharaman for the assistance provided by India to Sri Lanka as envisaged under the four pillars of cooperation, and discussed arrangements for Rajapaksa’s forthcoming visit to New Delhi.