Central Bank has decided to suspend repayments of foreign debt of the government and public sector agencies period pending an orderly restructuring of debt. Commenting to the Economynext on the move Central Bank governor Dr. Nandalal Weerasinghe has said that as they announce before hand that Sri Lanka is not in a position to pay and he has invited to the lenders come to the negotiating table.
Investors were asked to capitalize interest payments until negotiations started in a notice issued by the government and the country would issue a short term security for each delayed payment. Interest would accrue at the rate of the original debt.
If the investor wants they can get repaid in rupees Central Bank announced.
