Services of two foreign firms to be obtained to identify scattered Lankan ISB holders

The Cabinet nod has been granted to seek services of two foreign firms to identify Sri Lanka’s International Sovereign Bond (ISB) holders and to communicate the debt restructuring plans to them.

President Ranil Wickremesinghe in his capacity as the Finance Minister sought the approval of the Cabinet of Ministers to seek services of two foreign firms, based on a request of Lazard and Clifford Chance, who have been appointed as financial and legal advisors to assist with the country’s debt restructuring process.

The Cabinet Spokesperson and Minister of Transport and Highways and Minister of Mass Media
Bandula Gunawardena pointed out that identifying the country’s ISB holders has become a difficult task as they are spread across the world.

“There are many investors from the U.S., the UK, France, Germany. We have to identify them, and this has become a complex process,” he said.

Sri Lanka announced a pre-emptive default on its foreign debt including US$-denominated ISBs and bilateral credit in April.