$ 1 b from China Development Bank in Sri Lanka today

Wednesday, 17 October 2018 00:00 - - {{hitsCtrl.values.hits}}

The much-needed $ 1 billion concessionary and long-term loan from the China Development Bank (CDB) is scheduled to be remitted by today, Daily FT learns.

The eight-year facility has been pending for weeks but Daily FT can confirm that the funds will arrive today, offering a big boost to the country’s reserves and defences against external-factor-led pressure on the rupee.

The Central Bank is likely to make a formal statement on the receipt of CDB funds today.

Recently Central Bank Governor Dr. Indrajit Coomaraswamy said that apart from the $ 1 billion CDB facility, the Government may consider $ 250 million each Panda and Samurai bonds as well as a $ 1 billion International Sovereign Bond issue to shore up the country’s reserves to ward off the vagaries of pressure on the rupee and debt servicing in 2019.