Sri Lanka has successfully concluded its international bond restructuring, bringing closure to one of the most complex and challenging sovereign debt restructuring exercises in recent history, says Treasury Secretary Mahinda Siriwardana.

In a post on ‘X’ (formerly Twitter), he expressed gratitude to all stakeholders who supported them in this journey, including Sri Lanka’s government and political leadership since he took office in April 2022 to date, Sri Lanka’s international and domestic creditors, who he says continuously worked with them in good faith.

He also thanked the Sri Lankan government’s advisors Lazard and Clifford Chance, along with Citi, Sodali & Co, and all those who worked with them in making the debt exchange a success, as well as officials at the Ministry of Finance and the Central Bank of Sri Lanka (CBSL), who he said worked tirelessly over the last 32 months towards bringing Sri Lanka out of this deep crisis.

Siriwardana, who is also Secretary to the Finance Ministry, said the debt restructuring process provides Sri Lanka with substantial debt relief “which we must use diligently to re-build our fiscal and external buffers and set the foundation for economic recovery and growth.” 

“As we close this chapter, Sri Lanka now has the opportunity for a fresh beginning, where we must not repeat mistakes of the past, and instead embark on a journey of sustainable, inclusive, productivity driven economic growth that enriches the lives and well- being of all Sri Lankans,” he said.

The Government of Sri Lanka today announced indicative results of its recent consent solicitation and invitation to exchange concerning the country’s existing bonds. 

The initiative, which launched on November 25, 2024, has seen significant bondholder participation ahead of the December 12, 2024, expiration deadline.

Sri Lanka gained extensive support from private creditors to restructure its international bonds, a key step for the country to exit an extended default. 

Investors representing 96% of the country’s $12.6 billion in dollar bonds agreed to swap their securities for new notes, the government said, citing indicative results of its consent solicitation for the exchange. Once confirmed with official results on Dec. 16, the widespread support would mean that the debt restructuring should be completed before year-end.