Sri Lanka closes $12.5 Bn bond restructuring deal

By Shabiya Ali Ahlam 

Sri Lanka has successfully concluded its discussions with bondholders, reaching an agreement on restructuring terms yesterday. This follows an unsuccessful first round of talks in April.   A notice issued last evening confirmed the island nation has reached a consensus with advisors to restructure US$12.5 billion outstanding bonds.   “At the conclusion of the meetings, Sri Lanka is pleased to report that, following negotiations, the Parties agreed core financial terms of a restructuring of the ISBs, the terms of which are embodied in a joint working debt treatment framework”.