The International Monetary Fund (IMF) has expressed support for Sri Lanka's recent agreement in principle with international bondholders, pending confirmation from the Official Creditors Committee regarding comparability of treatment.
This is a significant step in Sri Lanka's debt restructuring process, involving approximately USD 17.5 billion of external commercial debt.

The agreement includes a present value concession of 40.3% for bondholders, negotiated with the Ad Hoc Group of Bondholders and the Local Consortium of Sri Lanka, which collectively holds over 50% of the bonds.

Additionally, Sri Lanka has finalized key terms with the China Development Bank for restructuring USD 3.3 billion of sovereign debt.
Overall, these agreements contribute to over USD 17 billion in debt service relief during the IMF program period.