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Sri Lanka asks China, India to reduce its debts

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Sri Lanka

The Central Bank of Sri Lanka has urged creditors India and China to agree a write-down of their loans as soon as possible in an effort to “help us to start repaying their obligations”.

Speaking to the international news medias on Wednesday night, the bank’s Governor P. Nandalal Weerasinghe said: “The sooner they give us finance assurances that would be better for both (sides), as a creditor, as a debtor. That will help us to start repaying their obligations.

“We don’t want to be in this kind of situation, not meeting the obligations, for too long. That is not good for the country and for us. That’s not good for investor confidence in Sri Lanka.”

Sri Lanka, which is currently amidst the worst-ever economic crisis since its independence in 1948, defaulted on its debt repayments and negotiated a $2.9 billion bailout.

But the International Monetary Fund (IMF) will not release the funds until India and China first agree to reduce Sri Lanka’s billions of dollars of debt.

China’s lending to Sri Lanka stands at around $7 billion while India is owed around $1 billion.

The Sri Lankan government had initially hoped to agree a new payment plan with China and India by the end of 2022.

Weerasinghe told that it was possible an agreement could come later this month but added “this all depends on the other parties — our creditors really have to make that decision”.

“Sri Lanka had now provided them with all the information on the country’s borrowings they needed,” he added.

But if India and China agree to write down their loans to Sri Lanka another potential problem looms in the form of private creditors, who account for 40 percent of the country’s external debt stock.

Asked about Sri Lanka’s private bondholders, the Governor told: “We engage with private creditors in good faith negotiations. And what we are seeing is that they are very positive and they are willing to engage with us.”

Weerasinghe said he expected that once agreement from bilateral creditors has been agreed the IMF funds could be distributed to Sri Lanka within “four to six weeks”.

Also speaking on Wednesday night, US Ambassador to Sri Lanka, Julie Chung, said the greater onus to move was on China, as the biggest bilateral lender.

“We hope that they do not delay because Sri Lanka does not have time to delay. They need these assurances immediately. For the sake of the Sri Lankan people, we certainly hope China is not a spoiler as they proceed to attain this IMF agreement,” she added.

The Governor’s remarks came just days after a large group of international economists on January 8 called for Sri Lanka’s bonds, to be “canceled”.

“All of Sri Lanka’s creditors must ensure debt cancellation sufficient to provide a way out of the current crisis,” they said.

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Settle disputes through dialogue, say ‘no’ to wars: PM Hasina at UNESCAP meet

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Prime Minister Sheikh Hasina today (25 April) called for speaking out against all forms of aggression and atrocities, and say ‘no’ to wars.

“We must speak out against all forms of aggression and atrocities, and say ‘no’ to wars,” she said adding that Bangladesh supports the UN Secretary General’s ‘New Agenda for Peace.

The prime minister was addressing the 80th Session of the United Nations Economic and Social Commission for Asia and the Pacific (UNESCAP) held at the ESCAP Hall (2nd floor), United Nations Conference Center (UNCC) here.

She arrived in Bangkok on Wednesday on a six-day official visit to Thailand.

The PM said the pre-condition for sustainable development is lasting peace and security.

“We must settle regional disputes and tension through dialogue. Our mutual respect for national sovereignty and territorial integrity must remain paramount,” she said.

Hasina called upon the Asia-Pacific region, especially ASEAN, to redouble their efforts to end Rohingya crisis as all efforts at regional connectivity, integration, and prosperity will continue to be marked by a missing puzzle without it.

“The origin of their crisis has been in Myanmar, and its solution also lies in Myanmar,” she declared.

“As long as that solution remains out of reach, all our efforts at regional connectivity, integration, and prosperity will continue to be marked by a missing puzzle. Let us redouble our efforts to put that puzzle back in place,” she said.

She said that in August 2017, when thousands of Rohingya men, women, and children from Myanmar fled to Bangladesh, Bangladesh offered them temporary shelter.

“With an ever growing population, this has now become one of the largest humanitarian situations in the world,” she said.

Sheikh Hasina said that In the backdrop of ongoing armed conflicts in Myanmar, the Rohingya repatriation process is also getting delayed.

“This is creating serious security risks within and beyond our territories,” she said.

She called upon the Asia-Pacific region, especially ASEAN, to play a proactive role in resolving the volatile situation in Myanmar.

“We must ensure that the Rohingya can go back home in safety and dignity at the earliest possible,” she said.

The prime minister said that the Asia-Pacific region must stand united against its common enemies of poverty and hunger.

She said Bangladesh has reduced poverty from 41.51 percent to 18.7 percent between 2006 and 2022.

It also reduced extreme poverty from 25.1 to 5.6 percent during the same period.

“We remain confident about eradicating extreme poverty by 2030,” she said.

She mentioned that Bangladesh has made notable progress on food security, with focused interventions on maternal and child nutrition.

“Our current priority is to address inequalities through income distribution, asset ownership, and social protection,” she said.

The prime minister said that Asia-Pacific region must put up a united front in tackling the climate crisis, biodiversity loss, and transboundary pollution.

“We need to push for ambitious climate financing goals beyond 2025 at COP-29. We need to cooperate on cross-border water management and air quality improvement. We must all prepare for growing extreme weather events,” she said.

In this connection, she suggested looking into Bangladesh’s experience in disaster risk reduction.

“We appreciate UN-ESCAP’s support in improving our early warning capabilities,” she added.

Briefly describing various development programmes and achievements of her govebrment, the prime minister said that much of the development gains are affected by climate impacts.

“As a low-lying delta, Bangladesh has no option but to invest heavily in climate resilience,” she said.

She mentioned that Bangladesh is already recognised as a global leader in climate adaptation.

“We are happy to share our traditional and innovative solutions with other vulnerable countries,” she said.

She said that Bangladesh has urged developed and emerging economies in the region to raise their time-bound emission reduction targets.

“For economies in transition, it is important to have a just energy transition.”

In Bangladesh, she said, “we are working on long-term energy security with a sound mix of clean and renewable energy.”

“We shall continue to do our part in pursuing a circular and low-carbon economic growth pathway.”

She underscored the need for increased and easy access to financing and technology from both the public and private sectors.

“I invite UN-ESCAP to help build the capacity of climate-vulnerable countries to mobilise adequate international climate financing.”

PM Hasina said that Bangladesh now provides critical links to the Trans-Asian Highway and Railway networks.

“Our physical and digital infrastructures are being developed to foster regional trade and connectivity.”

She said Bangladesh offers access to the Bay of Bengal for land-locked territories in its neighbourhood.

“We stand ready to work together with all regional partners through mutual understanding and cooperation,” said the prime minister.

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Internet Disruption Duration Unclear, Likely to Extend 4-5 Days

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The ongoing internet disruption, which began last night due to a cut in the country’s second submarine cable near Singapore, is expected to persist for at least 4-5 days, according to Mirza Kamal Ahmed, managing director (additional charge) of the Bangladesh Submarine Cables PLC.

Ahmed, the official of the state-owned bandwidth provider, informed The Business Standard that the international consortium is in search of a special purpose ship necessary for restoring the undersea cable.

“The exact duration cannot be specified,” he stated, adding, “Based on past instances, it is likely to take a minimum of 4-5 days.”

Internet users are experiencing significant disruption as the accidental cut in Bangladesh’s second submarine cable, South East Asia–Middle East–Western Europe 5 (SEA-ME-WE 5), is blocking Singapore-Kuakata traffic, the source of 1700 GBPS bandwidth.

“We are serving all our users with the help of other sources of bandwidth – the international terrestrial cable (ITC) and the first submarine cable,” informed Nazmul Karim Bhuiyan, secretary general of the ISP Association of Bangladesh.

However, he mentioned that users are encountering some lag on Saturday afternoon.

“As the main broadband usage peaks during the night, we could learn about the full extent of the disruption and any resulting delays tonight,” he added.

The Bangladesh Submarine Cables PLC (BSCPLC) has issued sincere apologies for the temporary inconvenience to its customers.

Efforts are underway to repair the cable through the SEA-ME-WE 5 and restore connectivity promptly, stated the BSCPLC in a statement released today (April 19).

Currently, Bangladesh requires around 5,200 GBPS of internet bandwidth, with half of the demand being met by ITC companies importing bandwidth from India.

For the remaining half of the demand, the country relies on the state-owned Bangladesh Submarine Cable Company.

The first submarine cable SEA-ME-WE 4, located in Cox’s Bazar, is presently supplying approximately 850 GBPS bandwidth.

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Diplomats, Journalists from Russia and Africa Forge Alliance to Develop Information Strategy

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Russia and Africa have joined forces to craft a comprehensive information strategy, as revealed during the Second International Journalists Forum held on Thursday, April 18, both online and offline.

Organized by the Russian-African Club in collaboration with the Faculty of Journalism and the Faculty of Global Studies of Lomonosov Moscow State University, and backed by the Secretariat of the Russia-Africa Partnership Forum of the Russian Foreign Ministry, the forum drew a diverse array of participants. Diplomats, government officials from African nations, media executives, producers, TV hosts, journalists, public figures, scholars, educators, and representatives from cultural and media sectors converged, totaling around 100 individuals from 32 countries spanning Russia, Africa, the Middle East, India, Bangladesh, and Brazil.

The forum, moderated by Alexander Berdnikov, Executive Secretary of the Russian-African Club, featured notable figures such as Anna Gladkova, Louis Gouend, and Ilya Shershnev from Lomonosov Moscow State University. Oleg Ozerov, Ambassador at Large of the Ministry of Foreign Affairs of the Russian Federation, and Head of the Secretariat of the Russia-Africa Partnership Forum, conveyed a welcoming address stressing the pivotal role of truthful media in shaping perceptions of current events. He also highlighted the significance of the upcoming Russia-Africa Ministerial Conference scheduled for November in Sochi, emphasizing the need for a robust information framework to facilitate productive discussions.

Elena Vartanova, Dean of the Journalism Faculty of Lomonosov MSU, extended greetings and underscored the intensified efforts of the Russian-African Club ahead of the university’s 270th anniversary. Yves Ekoué Amaiso from Togo emphasized the imperative of devising a unified media strategy amidst the ongoing political, economic, and information dynamics influenced by the Global West.

Subsequent speakers, including Zenebe Kinfu, Leonard Dossou, Ondua Ovona Joseph Julien, and Tokologu Tau, deliberated on the growing Western influence on African media and proposed concrete measures to bolster collaboration between Russian and African journalists.

Jamal Othman, Head of the Main Department for Media Content Monitoring in Libya, shed light on his organization’s role in combating misinformation and promoting tolerance.

Ilya Shershnev reiterated the significance of advancing preventive journalism, announcing plans for an innovative training course encompassing areas such as public diplomacy, fake news mitigation, and peacebuilding, underscoring Moscow State University’s commitment to fostering a new frontier in the information domain.

Renowned Indian expert, professor, and journalist Dwivedi Ratnesh highlighted Russia as a blueprint for India in terms of governmental support for national media activities, balancing control with respect for journalists’ independent and constructive opinions.

Maxim Reva, Deputy Editor-in-Chief for Economics at the African Initiative news agency, showcased the agency’s three correspondent points established directly in Africa – in Mali, Niger, and Burkina Faso. He underscored the paramount importance of personal communication between media professionals and the audience. Reva also pointed out the significant potential of African graduates from Soviet and Russian universities who have emerged as leading specialists in African countries.

Joining the session online from Cameroon, Club expert, International Journalist, and Academician of Petrovsky Academy of Sciences and Arts, Sergei Chesnokov, participating in the fourth investment forum, highlighted the keen interest of Cameroonians in the Russian delegation, expressing a desire for an equal partnership.

Patrick Boyanga Bozi, President of the Congolese Diaspora in Russia, expressed confidence in Africans’ immunity to correctly perceive information, stemming from the historically friendly relations between Russia and Africa.

Entrepreneur Georges Romain Zobo from Congo, a graduate of a Soviet university, stressed the necessity for practical measures to provide information support to small and medium-sized agricultural businesses in Africa.

Said Ali, President of the Malagasy diaspora in Russia, endorsed the Russian-African Club of Lomonosov Moscow State University’s activities, deeming it a pivotal organization for advancing the Russian agenda in Africa.

Africanist and writer Igor Sid highlighted Africa’s perennial role as a source of new perspectives, generously shared with the global community.

Concluding the proceedings, Alexander Berdnikov, Executive Secretary of the Russian-African Club of Lomonosov Moscow State University, affirmed that all proposals from the forum participants would be considered by the Journalists Association of Russia and African Countries. The forum’s main thrust emphasized the necessity of crafting an information strategy to bolster Russian-African relations.

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