Sri Lanka secures € 30 m debt relief deal with Hungary

Friday, 4 July 2025 00:43 - - {{hitsCtrl.values.hits}}

Sri Lanka has taken another key step in its ongoing external debt restructuring process, signing a bilateral agreement with Hungarian Export Credit Insurance PLC to reschedule outstanding loans valued at around € 30 million (approximately Rs. 10.5 billion).

The Finance Ministry noted that the agreement is testament to the Government’s commitment to conclude the restructuring process as soon as possible to restore debt sustainability and thereby revamp Sri Lanka’s economy.

The deal follows the conclusion of the Memorandum of Understanding (MoU) with the Official Creditor Committee (OCC) and reflects continued progress in Sri Lanka’s negotiations with individual bilateral creditors.

Under the terms of the agreement, Hungarian Export Credit Insurance PLC has agreed to provide debt relief through the rescheduling of outstanding liabilities, offering much-needed breathing room for Sri Lanka as it navigates its financial crisis.

The bilateral agreement was signed by Finance, Planning, and Economic Development Ministry Secretary Dr. Harshana Suriyapperuma on behalf of the Government of Sri Lanka, while Foreign Corporate Risk Management and Claims and Recoveries Director Györgyi Rehoregh, and Claims and Recoveries, Foreign Corporate Risk Management and Claims and Recoveries Directorate Head Dr. Adrienn Hegyi Szénásiné on behalf of the Hungarian Export Credit Insurance PLC.

The signing of the agreement will certainly pave the way to developing further the deep and longstanding bilateral relationships between Hungary and the Government of Sri Lanka.

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.