President says SL to receive $ 8 b worth debt relief through EDR

President Ranil Wickremesinghe

President Ranil Wickremesinghe yesterday revealed that the External Debt Restructuring (EDR) process will include a $ 5 billion in loan interest relief from bilateral creditors and a $ 3 billion debt write-off from commercial creditors providing the country with a total relief of $ 8 billion.

Wickremesinghe revealed this while addressing the ‘Urumaya’ Freehold Land Deed Ceremony held in Kurunegala, the President’s Media Division (PMD) said.

“I must express my gratitude to the residents of this area. Despite facing personal challenges akin to a house on fire, they prioritised community welfare and worked tirelessly to provide relief. Now, our country has emerged from bankruptcy. We have a four-year plan to repay our loans, offering reduced burdens and interest cuts that will yield $ 5 billion in savings,” the President said.

“We are currently in negotiations with private contractors. As a result, approximately $ 3 billion has been withdrawn. In total, $ 8 billion has been allocated for our use. Additionally, we have been granted $ 2 billion under relaxed terms. This does not account for funds expected from China or assistance from India. As a result, we have saved $ 8 billion over the past two years,” he added.

Wickremesinghe recalled that before assuming office, during President Gotabaya Rajapaksa’s tenure, India provided $ 3.5 billion on favourable loan terms. Bangladesh also contributed $ 200 million. Despite economic challenges, we managed to repay $ 200 million.

The President emphasised that true socialism lies in granting free land rights to the people, dismissing mere talk about socialism.

He highlighted that his Government, credited with rescuing the country from bankruptcy, is actively addressing public issues. He pointed out that an additional 200,000 individuals will benefit from the “Urumaya” freehold land title initiative.

The President underscored these initiatives, speaking at a ceremony held at the North Western Provincial Council auditorium in Kurunegala, where symbolic deeds were presented to 463 recipients out of 73,143 eligible in the district under the “Urumaya” national program. 

Addressing the gathering, he noted that he assumed leadership during a period of governmental uncertainty. He emphasised that the nation is now recovering from economic turmoil due to effective economic management. He highlighted plans for inclusive development in Kurunegala district as part of advancing the country’s new economy.