Sri Lanka has sought an additional USD 500 million Credit Line from India to import fuel.
A spokesman at the Indian High Commission in Colombo yesterday confirmed that the matter was under discussion.
Previously, a USD 500 million Line of Credit Agreement for supply of petroleum products was signed between the Government of Sri Lanka and the EXIM Bank of India on February 2, 2022. More than 384,000 MT of various types of fuel has been supplied under this Credit Line.
The overall economic assistance provided to Sri Lanka by the Government of India this year alone amidst an unprecedented economic crisis stands at around USD 3.5 billion.
A Currency Swap of USD 400 million was extended to the Central Bank of Sri Lanka (CBSL) by the Reserve Bank of India (RBI) in January 2022.
Also, a USD 1 billion Credit Facility Agreement was signed between the Government of Sri Lanka (GOSL) and the State Bank of India (SBI) on March 17, 2022 for the supply of food items, medicines, fuel and industrial raw materials.
This facility has helped the people of Sri Lanka in meeting their diverse needs.
Meanwhile, the Reserve Bank of India deferred payments worth more than USD 1.5 billion to CBSL under the Asian clearing Union framework as a means of forex support
India also extended support to the farmers in Sri Lanka through a special concessional facility of USD 55 million for the purchase of Urea fertilizer. The agreement was signed on June 10, 2022.
India also donated medicines worth SLR 370 million, and provided kerosene to fishermen in Sri Lanka. And also provided 9,000 MT of rice and 50 MT of milk powder to be distributed across Sri Lanka.
Add new comment