Ex-Central Banker tweets possible Govt.’s fix for $ 1 b ISB liability

Monday, 19 April 2021 03:40 - - {{hitsCtrl.values.hits}}

Former Central Bank Senior Deputy Governor and Daily FT columnist W.A. Wijewardena tweeted last week that the Government has come up with a unique way to manage its upcoming liability of $ 1 billion International Sovereign Bond (ISB).

Wijewardena said that he was told by a London-based trader that they would hold the July ISB to maturity since Sri Lanka would pay foreigners out of reserves and arrange to issue a dollar denominated note to local banks holding these ISBs.

“No default of these bonds this year,” Wijewardena added.

His apparent comment comes amidst fears within some financial circles locally and international that Sri Lanka may default its upcoming ISB settlement despite Sri Lanka’s clean track record foreign debt servicing and reassurance of same by the Government and the Central Bank.

CB doubles timeline for exporters’ forex earnings conversion

CB halts ISB purchases by banks

Discover Kapruka, the leading online shopping platform in Sri Lanka, where you can conveniently send Gifts and Flowers to your loved ones for any event including Valentine ’s Day. Explore a wide range of popular Shopping Categories on Kapruka, including Toys, Groceries, Electronics, Birthday Cakes, Fruits, Chocolates, Flower Bouquets, Clothing, Watches, Lingerie, Gift Sets and Jewellery. Also if you’re interested in selling with Kapruka, Partner Central by Kapruka is the best solution to start with. Moreover, through Kapruka Global Shop, you can also enjoy the convenience of purchasing products from renowned platforms like Amazon and eBay and have them delivered to Sri Lanka.