A crucial vice-ministerial-level meeting took place in Morocco involving Japan, India, and France, where discussions regarding Sri Lanka's debt issues were jointly chaired.

The trio of nations has stated that progress is being made in the ongoing talks, but numerous challenges persist. Japanese sources revealed their firm intention to work towards achieving an early agreement between Sri Lanka and its creditors.

Sri Lanka has been grappling with a significant devaluation of its currency and high inflation, largely due to a series of failed financial policies. Since April of the preceding year, the nation has struggled to meet its foreign debt obligations, effectively putting it in a state of default.

To aid Sri Lanka's economic recovery, Japan and others established a framework in April of this year to address topics like modifications to repayment conditions by creditor nations.

The recent meeting, conducted in Marrakech, coincided with the convening of finance ministers and central bank governors from G20 nations.

Creditor nations are actively considering adjustments in repayment conditions, including extending repayment deadlines and reducing interest rates. Although there has been progress in the talks, certain issues are yet to be resolved.

Reaching a final agreement poses a significant challenge, and the manner in which each creditor nation implements any agreement will also be a critical issue. Notably, China, Sri Lanka's largest creditor, is only participating as an observer in the discussions.