Foreign Minister Vijitha Herath yesterday (14) assured the Colombo-based diplomatic community that the new government was going ahead with the IMF-led debt restructuring programme.
The assurance was given at an interaction with them at the Ministry of Foreign Affairs.
Minister Herath said: “Earlier this month, we had productive discussions with the visiting IMF team who reiterated their support to Sri Lanka. We will work closely with then on the next phase relating to the Extended Fund Facility (EFF), and the related reform programme.
“Also in this month, the Official Creditor Committee (OCC) and the IMF confirmed that the agreements reached with Sovereign bond holders is in line with the ‘comparability of treatment’ requirements and debt sustainability targets, respectively. This in simple words means that the debt restructuring process is very near completion, enabling the government to proceed towards the third review of the IMF programme, further cementing economic stability, and reinforcing the foundation for sustainable, inclusive economic recovery and growth.
“In another positive step, the World Bank signed the agreement on the RESET (Second Resilience, Stability, and Economic Turnaround) Development Policy Operation (DPO) amounting to $200 million. This is aimed at implementing a reform programme, including economic governance, enhancing growth, and protecting the poor and vulnerable. As the programme is proceeding satisfactorily, this was the second operation to be disbursed of the two-part series.
“The Government is keen to ensure that these stabilization measures go hand in hand with improving the standard of living of all Sri Lankans and will implement practical programmes to alleviate the heavy economic burden faced by them. We are committed to ensuring that economic growth is truly inclusive, which will at the same time drive growth and investment, with the confidence of our private sector and business community.
“I believe that this meeting will provide me with an opportunity to brief you on the initial plans of the new Government and have some informal interaction. It is only after the Parliamentary Election is concluded in November, that the new Government will be able to fully focus on operationalizing its way forward, and we look forward to having more comprehensive engagements with each one of you at that stage on matters related to bilateral matters.
At the recently concluded Presidential Election, the people of Sri Lanka voted for a mandate for ‘change’ – a change that will bring all our citizens together in a new ethical political culture.
As the President mentioned in his inaugural address to the nation, this change entails many steps, and one of the most important is to reinforce stability and confidence in the economy and stimulate growth, while prioritizing welfare and alleviating the hardships of the people.
“The President has also placed high emphasis on ethical governance, elimination of corruption, efficiency in public service and fostering a new political culture that embodies the rule of law, accountability and integrity. We believe that economic success must be accompanied by these supportive pillars.
“In line with the commitments made by us on zero tolerance for bribery and corruption we have already commenced investigations into certain key matters. The Bribery Commission has already expedited action relating to cases of alleged corruption.
“Another key objective of this Government is to end the era of division based on race, religion, class and other differences and build a nation that respects diversity. We are ready to bring in the necessary constitutional, economic, and political reforms towards this end.
“The Government will protect democracy and human rights of all citizens, including addressing past issues. As directed by the President, investigative authorities have already announced a redoubling of investigation into a number of clearly identified accountability cases that were pending from the past.
“On all these fronts, the Government is encouraged by the support that it has received from the countries and the organizations you represent. We look forward to working closely with all of you as partners, and seek your continued support for our efforts to advance sustained economic growth and social well-being of all our citizens.
“I have been active in the recent weeks on a number of matters on the foreign affairs front:
*Sri Lanka has decided to apply for the membership of the BRICS and the New Development Bank. HE President and myself – we are unable to attend the Outreach BRICS Summit to be held in Kazan, Russian Federation, from 23-24 October 2024, due to the upcoming elections. Secretary/Foreign Affairs will represent Sri Lanka and place on record our request for membership. I have already addressed letters to my counterparts in the BRICS member states seeking support.
* We consider BRICS to be an effective partnership to realize aspiration for mutually beneficial cooperation, peace and development, through strengthened and inclusive multilateralism within the framework of the UN Charter.
* On 9 October 2024, the government made a statement at the Human Rights Council in Geneva. In our statement to the Council, we highlighted our commitment to have credible and independent domestic mechanisms and processes on reconciliation that enjoy the people’s trust. We have already initiated action to move forward on this front.
* Despite our rejection of the resolution that was tabled at the Council, we will continue to engage constructively with the Council and its regular UN human rights mechanisms. As you are well aware Sri Lanka opposes the resolution which establishes an external mechanism on human rights issues.
* We thank the countries that took helpful and principled positions in support of Sri Lanka in Geneva and a number of countries also spoke in support of the progress made by Sri Lanka at the interactive session.
* On Sri Lanka’s chairmanship of the Indian Ocean Rim Association (IORA), we would like to inform you that, due to the upcoming Parliamentary Elections, we are compelled to postpone the meeting of the IORA Council of Ministers till next year. The timeframe is to be decided in consultation with IORA Members and the Secretariat.
* On the international front, we continue to remain highly concerned about the current global situation, particularly in the Middle East region. The humanitarian situation in Gaza is turning dire by the day, and recent developments that have an impact on wider regional dimensions, in particular in Lebanon, are most concerning. We continue our call for an immediate ceasefire and unrestricted humanitarian access to Gaza and a sustainable two-state solution that includes the establishment of an independent sovereign and viable State of Palestine, based on the 1967 borders, in line with relevant UN resolutions, as well as ensuring the security of Israel.
* We deeply regret the attacks that injured two of our peacekeepers in the United Nations Interim Force in Lebanon (UNIFIL). We are proud of our peacekeepers who serve in several challenging UN Missions and it is important that the obligation of all parties to respect UN personnel and UN premises is respected.”
