India tells IMF to clear the path for Sri Lanka
India has told the International Monetary Fund (IMF) to clear the way for Sri Lanka to move forward, India’s External Affairs Minister Dr. S. Jaishankar said today.
He told reporters in Colombo that India has given the IMF financing assurances to clear the path for Sri Lanka.
“India decided not to wait on others but to do what we believe is right. We extended financing assurances to the IMF to clear the way for Sri Lanka to move forward. Our expectation is that this will not only strengthen Sri Lanka’s position but ensure that all bilateral creditors are dealt with equally,” Jaishankar said in the presence of President Ranil Wickremesinghe.
Jaishankar said that Sri Lanka’s pathway is one of a strong economic recovery propelled by greater investments.
He said that India will encourage greater investments in the Sri Lankan economy, especially in the core areas like energy, tourism and infrastructure.
However, he called on the Government of Sri Lanka to provide a more business-friendly environment to create a powerful pull factor.
“I am confident that the gravity of the situation is realized by policy makers here,” he said.
Jaishankar also said that energy security is today one of Sri Lanka’s most serious challenges and a search for solutions must necessarily encompass the larger region.
“Only then will Sri Lanka get the full benefit of scale. This country has enormous renewable energy potential that can become a sustainable source of revenue. It has the capability as well for Trincomalee to emerge as an energy hub. In its support for Sri Lanka, India is prepared to be a reliable partner on such initiatives. We have today agreed in-principle on a renewable energy framework that would take this cooperation forward,” he said.
He also said that tourism is the life blood of the Sri Lankan economy and Indian tourists are expressing their positive sentiments for Sri Lanka in a very very practical manner by visiting the country.
“But there are many more steps we can take to make this sustainable. Strengthening connectivity and promoting travel is therefore a very high priority for all of us. Definitely, encouraging Indian tourists to make RuPay payments and utilize UPI would be most helpful in this regard,” he said.
Jaishankar added that in a turbulent world, it is essential that India and Sri Lanka steady their trade. He said the use of rupee settlement for trade is in their mutual interest.
“India has always supported both the political and economic stability of Sri Lanka. The President briefed me on the question of political devolution and his thinking. I shared with him our considered view that the full implementation of the 13th amendment and early conduct of provincial elections are critical in this regard. Durable efforts towards reconciliation are in the interests of all sections in Sri Lanka. I also spoke of the need to pay special attention to the requirements of the Indian origin Tamil community,” Jaishankar said.
He also handed over Prime Minister Narendra Modi’s invitation to President Ranil Wickremesinghe to visit India at an early date to discuss how their partnership can facilitate Sri Lanka’s strong recovery. (Colombo Gazette)
