Economic Crisis in Sri Lanka- The problems of the Chinese ship will freeze the IMF loan. Sri Lanka may be in dire straits


The Economic Times newspaper reports thurtal of the Chinese Yuan Wang 5 ship at Hambantota port, Sri Lanka will have a negative impact on the process of obtaining the expected loan from the International Monetary Fund.

 To implement the loan package from the International Monetary Fund for Sri Lanka, the approval of the main creditors of the Sri Lanka debt sustainability assessment report is essential.

China is one of the major lenders to Sri Lanka and it has become essential for China to give its consent to the loan process of the International Monetary Fund.

But the report further states that if China wants to, this process can be delayed for a long time and thus Sri Lanka’s economic crisis can be made even more miserable.

Economic Times