Export Import Bank of India, Sri Lanka sign $500-million loan agreement
The Hindu
The Sri Lankan government is expected to invite bids from Indian suppliers soon to finalise its import
The Export Import Bank (EXIM) of India and the Government of Sri Lanka on Wednesday signed a $500- million Line of Credit agreement aimed at helping Sri Lanka cope with its current fuel shortages, amid one of the worst economic meltdowns facing the island nation.
New Delhi’s support for fuel imports — by Sri Lanka from India — through the Line of Credit, is in response to Colombo’s “urgent requirement”, according to a statement from the Indian High Commission in Colombo. “This critical support comes in the wake of a virtual meeting between the External Affairs Minister of India S. Jaishankar and Sri Lanka’s Minister of Finance Basil Rajapaksa, held on January 15,” said the official statement released on Wednesday. Days after the meeting, India made the announcement confirming the emergency loan.
Official sources indicated that the Line of Credit spans a year, and comes at a “nominal” interest rate, of under 2%. The Sri Lankan government is expected to invite bids from Indian suppliers soon to finalise its import. Amid Sri Lanka’s persisting dollar crisis, the country’s ability to import fuel has been severely affected, leading to frequent reports of shortages, as well as power failures.
Everyone talks about the Airport Metro, but one look at the pillars and completion seems nowhere in sight. Meanwhile, a faster, cheaper, roomier alternative called the Suburban Rail Airport Corridor is finally getting off the drawing board. This dedicated corridor with its specialised coaches will link the airport to vast stretches of Bengaluru, where the metro connection is still years away.