September 25, 2022

Finance & Economy

Let's Talk About Investment

India extends Sri Lanka $55 mn credit line for fertiliser imports


The Indian government has decided to extend a Line of Credit (LOC) of USD 55 million to Sri Lanka for the procurement of Urea Fertiliser.


This credit line was extended in response to an urgent request from the Government of Sri Lanka (GOSL), amid the ongoing economic crisis.


“In this context, a LOC agreement was signed between GOSL and the Export-Import Bank of India today (June 10, 2022) at Colombo, in the presence of the Prime Minister of Sri Lanka Ranil Wickremesinghe, the Minister of Agriculture Mahinda Amaraweera, and the High Commissioner of India to Sri Lanka Gopal Baglay. Senior officials from the Sri Lankan and Indian side were also present during the signing ceremony,” the Indian High Commission said in a statement.


This credit line will help Sri Lankan government secure urea fertilizer for the ongoing paddy sowing ‘Yala’ season. In view of the critical requirement, the Sri Lankan government and EXIM Bank have agreed to complete all procurement procedures expeditiously so that urea supplies can reach Sri Lanka in a short span of time.


During the signing ceremony, Prime Minister Ranil Wickremesinghe expressed his gratitude to the Indian government for the timely assistance.


The Indian High Commissioner highlighted that the speedy finalization of the credit line testifies to the importance the Indian government attaches to the welfare of the people of Sri Lanka.


“It may be recalled that in line with its ‘Neighbourhood First’ policy and as an earnest friend and partner of Sri Lanka, India has extended multi-pronged assistance to the people of Sri Lanka in the last few months,” the Indian High Commission said.


The support from India ranges from economic assistance of close to USD 3.5 billion to helping secure Sri Lanka’s food, health, and energy security by supplying essential items like food, medicines, fuel, kerosene etc.

(Only the headline and picture of this report may have been reworked by the Business Standard staff; the rest of the content is auto-generated from a syndicated feed.)

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https://www.business-standard.com/article/current-affairs/india-extends-sri-lanka-55-mn-credit-line-for-fertiliser-imports-122061100168_1.html