Colombo. Sri Lanka, which is facing severe economic crisis, has now become a defaulter. He 51 Billion Dollars i.e. in Indian Rupees 3.8 They have given up on repaying the foreign debt of lakh crores. Sri Lanka said on Tuesday that it 51 Billion dollars will not repay the foreign debt as its foreign exchange reserves are depleted. He also said that he has money only for the purchase of essentials and fuel.
Refusing to repay the debt, Sri Lanka said that it would go to the International Monetary Fund to repay it., Awaits a relief package from the IMF. Sri Lankan Central Bank Governor P Nandalal Veerasinghe said – a decision has been taken to temporarily stop the payment of foreign debt. He said- It is challenging and impossible for the country to pay the debt. This is the right decision at this time.
The Finance Ministry said that the lending countries and other lenders can charge interest on their loans or withdraw the loan money in Sri Lankan rupees from Tuesday afternoon. We have only limited foreign exchange reserves, Which we will use for importing essential commodities like fuel. This means that Sri Lanka is no longer in a position to pay in dollars.
Significantly, there has been a big shortage of food and drink in Sri Lanka and there is a huge fuel crisis going on. To meet this requirement, Sri Lanka has imposed a temporary moratorium on debt repayment. Sri Lanka’s foreign exchange reserves last month 16 percentage drop 1.94 billion dollars while he 2022 $7 billion in debt to be repaid. Now Sri Lanka is left with the help of the bailout package of the IMF. Meanwhile Sri Lankan President Gotabaya Rajapaksa and his brother, The pressure on Prime Minister Mahinda Rajapaksa to step down has increased. His party has also lost majority in Parliament and people are also protesting continuously.