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debt restructuring scheme

Pakistan to approach China to restructure its $15 billion energy debt

Pakistan has decided to approach its all-weather ally China with a formal request to restructure its USD 15 billion energy debt to help the cash-strapped country wriggle out of its financial woes. Planning Minister Ahsan Iqbal and Finance Minister Muhammad Aurangzeb would visit China this week, the Express Tribune newspaper quoted highly placed sources as saying. While Iqbal's visit was pre-planned, the finance minister is being sent as Prime Minister Shehbaz Sharif's special messenger, they added. Iqbal is scheduled to attend the Global Development Initiative forum to be held in China from July 11 to 13. As the finance minister's visit was not scheduled earlier, Pakistan's ambassador to Beijing has been instructed to arrange meetings with Chinese authorities, said the sources. A Cabinet member, speaking on condition of anonymity, confirmed that the premier decided the issue of Chinese Independent Power Producers' (IPP) debt should be immediately taken up for re-profiling. Accord

Pakistan to approach China to restructure its $15 billion energy debt
Updated On : 09 Jul 2024 | 3:00 PM IST

Sri Lanka strikes pvt debt restructuring deal with bondholders, says min

Sri Lanka has reached a debt restructuring deal with the international sovereign bondholders after protracted negotiations, state finance minister Shehan Semasingher said on Thursday, calling it a "crucial step" in the cash-strapped country's efforts to restore debt sustainability. In a statement, State Minister of Finance Semasinghe said that an agreement on restructuring terms was reached on Wednesday, completing Sri Lanka's debt restructuring process. ISBs (International Sovereign Bonds) account for USD 12.5 billion out of the total external debt of USD 37 billion. This agreement is a crucial step in our efforts to restore debt sustainability, Semasinghe said. He added that the agreement with private bondholders was subject to the approval by the official creditor committee of nations, including India. "This marks another key milestone in our journey towards economic revival and strengthening," he said. Officials said the expected haircut agreed upon would amount to 28 per cent

Sri Lanka strikes pvt debt restructuring deal with bondholders, says min
Updated On : 04 Jul 2024 | 11:34 AM IST

Debt restructuring deal aids Sri Lanka's economic revival: Wickremesinghe

President Ranil Wickremesinghe on Tuesday said substantial progress" has been achieved in Sri Lanka's debt restructuring, which he said provided the much-needed breathing space for the cash-strapped country to transform its bankrupt economy into a resilient and stable one. Briefing Parliament on the country's resulting benefits of the correct course of action, President Wickremesinghe also countered the Opposition's criticism of the debt restructuring agreement with major bilateral creditors and promised to table all agreements and documents related to it to a Parliamentary panel. In April 2022, the island nation declared its first-ever sovereign default since gaining Independence from Britain in 1948. The unprecedented financial crisis led President Ranil Wickremesinghe's predecessor Gotabaya Rajapaksa to quit office in 2022 amid civil unrest. Earlier last week, President Wickremesinghe announced that debt restructuring agreements were finalised with bilateral lenders, including ..

Debt restructuring deal aids Sri Lanka's economic revival: Wickremesinghe
Updated On : 02 Jul 2024 | 5:44 PM IST

Wickremesinghe defends Sri Lanka's debt restructuring deal amid criticism

Sri Lankan President Ranil Wickremesinghe on Tuesday countered the Opposition's criticism of the cash-strapped country's external debt restructuring agreement with major bilateral creditors and promised to table all agreements and documents regarding debt restructuring to a parliamentary panel for scrutiny. The planned two-day debate in Parliament on the deal was, however, postponed as Opposition members protested the lack of transparency regarding the agreements reached. Dismissing the Opposition's criticism as inaccurate, Wickremesinghe argued, No bilateral creditor would agree to a reduction of principal amount. Instead, concessions are allowed through extended repayment periods, grace periods and lower interest rates. The president, who also holds the portfolio as the finance minister, said the agreements with bilateral creditors include extending principal repayments until 2028, maintaining interest rates below 2.1 per cent, and extending the full debt resettlement grace period

Wickremesinghe defends Sri Lanka's debt restructuring deal amid criticism
Updated On : 02 Jul 2024 | 2:53 PM IST

Sri Lanka deal key milestone towards restoring debt sustainability: IMF

Sri Lanka still needs to convince bondholders to restructure about $12.5 billion in international bonds, on which the global lender said it hopes to see swift progress in the near future

Sri Lanka deal key milestone towards restoring debt sustainability: IMF
Updated On : 27 Jun 2024 | 11:27 AM IST

Lanka approves debt restructuring; to ink deal on Jun 26: Govt spokesman

Cash-strapped Sri Lanka has approved the debt restructuring deal with its creditors while the negotiations with international sovereign bondholders are to be continued further, cabinet spokesperson and minister Bandula Gunawardena said on Tuesday. Gunawardena also said that top treasury officials along with the minister of state for finance have been sent to Paris to sign the relevant agreements with the Official Creditors Committee which comprises two types of creditors called Paris Creditors and Non-Paris Creditors. There are a group of 15 countries under the Paris Creditors group whereas seven countries, including India in the Non-Paris Creditors. "Sri Lanka on Tuesday approved the debt restructuring deal with creditors committee while the negotiations with international sovereign bondholders are to be continued further," Gunawardena, the minister for Transport, Highways and Mass Media said. "Sri Lanka faced its worst crisis since independence when we were no longer able to meet

Lanka approves debt restructuring; to ink deal on Jun 26: Govt spokesman
Updated On : 25 Jun 2024 | 7:28 PM IST

Govt offers one-time settlement option to sugar mills for SDF loans

To provide relief to sugar mills, the government has come out with revised guidelines for loans taken under the Sugar Development Fund (SDF), giving factories option of debt restructuring and also a one-time settlement. As on January 31, sugar mills have an outstanding loans of Rs 3,730.15 crore under different schemes, of which, penal interest is about Rs 939.87 crore, according to official data. Issuing the revised operational guidelines for restructuring of SDF loans on February 28, the food ministry said, "Restructuring of the SDF loans would be in the form of capitalisation of balance interest, along with principle and re-schedulement," it said. In case of restructuring, the penal interest will be waived off, it said. Under the restructuring option, the government has offered a moratorium period of 24 months for payment of balance principal amount and interest amount. However, normal interest will continue to accrue during the moratorium period. "Balance loan amount, includi

Govt offers one-time settlement option to sugar mills for SDF loans
Updated On : 01 Mar 2024 | 8:42 PM IST

Sri Lanka debt restructuring makes slow progress even with 1.6% growth rate

The restructuring of Sri Lanka's external debt is to take much longer than expected, going by President Ranil Wickremesinghe's policy speech on Tuesday even though he signalled a positive shift in the cash-strapped economy with a surplus by the end 2023, first since 1977. Delivering the Statement of Government Policy' on the first day of the Fifth Session of the Ninth Parliament, Wickremesinghe said the finalisation of debt restructuring could be completed by the first half of the year, which is going beyond the earlier anticipation for it to be completed within the first quarter. The domestic debt restructuring plan has been successfully executed as the first step, and a policy agreement for restructuring has been reached with foreign creditors as the second step. Negotiations with private creditors are presently in progress, Wickremesinghe, who is also the finance minister, said. By September 2023 our total debt burden was USD 91 billion. It will take a considerable period of time

Sri Lanka debt restructuring makes slow progress even with 1.6% growth rate
Updated On : 07 Feb 2024 | 2:54 PM IST

McLeod-Carbon pact period ends as debt restructuring talk with banks linger

In August 2023, McLeod reached an understanding with Carbon Resources for the sale of tea estates. The size of the deal pegged at Rs 700 crore was to enable a one-time settlement

McLeod-Carbon pact period ends as debt restructuring talk with banks linger
Updated On : 14 Jan 2024 | 9:39 PM IST

China agrees to consider restructuring of loans: Maldives President Muizzu

Maldives President Mohamed Muizzu said on Saturday that China, largest external creditor to the country, has agreed to consider restructuring the repayment of loans taken by his country and the governments will initiate negotiations soon. He told the media in Male after his return from a five-day high-profile state visit to China that he has directly appealed to Chinese President Xi Jinping to restructure the loans provided to the Maldives. He said that the loans were direct loans and that a technical team from China's Finance Ministry will travel to Maldives soon to research and decide the way to offer a grace period in loan repayments over next five years, Maldives news portal Sun online reported. This will allow us great easements in loan repayment, he said. China is currently the Indian Ocean island nation's largest external creditor, comprising about 20 per cent of its total public debt, according to data from the International Monetary Fund (IMF). Data shows that Maldives owe

China agrees to consider restructuring of loans: Maldives President Muizzu
Updated On : 13 Jan 2024 | 9:39 PM IST

BDO Restructuring Advisory re-invites bids for gaming company SMAAASH

The Corporate Debtor (SMAAASH) has been involved in ongoing litigations, especially in connection with the trademarks and other brand content

BDO Restructuring Advisory re-invites bids for gaming company SMAAASH
Updated On : 11 Dec 2023 | 8:14 PM IST

Hong Kong court puts off Evergrande's hearing on debt restructuring to Jan

A Hong Kong court postponed until Jan. 29 a court hearing scheduled for Monday on troubled Chinese property developer Evergrande's winding-up petition. Evergrande is trying to win support from its creditors for a plan to restructure more than $300 billion in debt to stave off liquidation. The company's lawyer told the court it was requesting an adjournment to refine its new debt restructuring plan. The Hong Kong High Court has postponed the hearing over Evergrande's potential liquidation several times. Judge Linda Chan had said in October that Monday's hearing would be the last before a decision is handed down. Evergrande could be ordered to liquidate if creditors reject its plan. The company, the world's most indebted property developer, ran into trouble when Chinese regulators cracked down on excessive borrowing in the real estate sector. Last month, the company said Chinese police were investigating Evergrande's chairman, Hui Ka Yan, for unspecified suspected crimes in the late

Hong Kong court puts off Evergrande's hearing on debt restructuring to Jan
Updated On : 04 Dec 2023 | 9:40 AM IST

OCC approves debt restructuring of Sri Lanka, paves ways for fund flow

The Official Creditor Committee (OCC) co-chaired by India, Japan and France on Wednesday reached an agreement with debt-ridden Sri Lanka on the main parameters of debt treatment, consistent with those of the IMF-supported Extended Fund Facility (EFF) for the island nation. This agreement will pave the way for the first review of Sri Lanka's EFF arrangement and enable further flow of funds to Sri Lanka. The Finance Ministers of India, Japan and France jointly launched the multilateral coordination platform in April 2023 under the G20 India Presidency. With this debt treatment agreement, India has set a benchmark in expeditious debt resolution for middle-income countries, the finance ministry said in a post on X. India remains resolutely positive in its commitment to the 'Neighbourhood First' Policy, it said. Sri Lanka was hit by its worst economic crisis in history when the country's foreign exchange reserves fell to a critical low and the public came out on the streets to protest

OCC approves debt restructuring of Sri Lanka, paves ways for fund flow
Updated On : 29 Nov 2023 | 11:35 PM IST

NCLT has considered SBI petition for withdrawal: Bajaj Hindusthan Sugar

The company owed banks around Rs 4,771 crore and had availed itself of two debt-restructuring schemes, leading to steep haircuts taken by the lenders

NCLT has considered SBI petition for withdrawal: Bajaj Hindusthan Sugar
Updated On : 17 Oct 2023 | 10:15 AM IST

Sri Lanka confirms major debt deal with China for its economic recovery

The Sri Lankan government has confirmed that it has concluded a preliminary deal with China on the restructuring of its debts to Beijing, seen as a "big step" in the cash-strapped country's economic recovery. In a statement issued on Wednesday, the Ministry of Finance said The Government of the Democratic Socialist Republic of Sri Lanka is pleased to announce that it has reached an agreement on the key principles and indicative terms of a debt treatment with the Export-Import Bank of China. China holds about 52 per cent of Sri Lanka's USD 46 billion external credit. The agreement in principle covers approximately USD 4.2 billion of outstanding debt, it said adding that it constitutes a key step towards restoring Sri Lanka's long-term debt sustainability and will pave the way to a prompt economic recovery. The terms of the restructuring agreed upon will provide the space for Sri Lanka to implement its reform agenda. The government has expressed hope that it should also facilitate .

Sri Lanka confirms major debt deal with China for its economic recovery
Updated On : 12 Oct 2023 | 12:54 PM IST

Evergrande Group pushes restructuring plan after $81 bn loss over 2 years

To implement one of China's largest debt restructurings ever, the company needs approval from at least 75% of each group of creditors

Evergrande Group pushes restructuring plan after $81 bn loss over 2 years
Updated On : 18 Jul 2023 | 4:04 PM IST

Evergrande pushes debt restructuring after posting $81 bn loss over 2 yrs

The defaulted real estate giant asked to convene meetings for offshore creditors to approve its credit overhaul plan, after reporting long-delayed financial statements for 2021 and 2022

Evergrande pushes debt restructuring after posting $81 bn loss over 2 yrs
Updated On : 18 Jul 2023 | 9:43 AM IST

Debt restructuring talks at G20 meet hurt by differences, low attendance

The two-day meetings that kicked off on Monday were seen as key to setting the tone for the G20 leaders' summit in September in New Delhi

Debt restructuring talks at G20 meet hurt by differences, low attendance
Updated On : 17 Jul 2023 | 6:07 PM IST

Edtech start-up Byju's and lenders renew talks to restructure $1.2 bn loan

Byju's and its lenders have been mired in a conflict for several months following rounds of failed negotiations to revamp its loan agreement

Edtech start-up Byju's and lenders renew talks to restructure $1.2 bn loan
Updated On : 01 Jul 2023 | 8:43 AM IST

Sri Lanka to spare banks in $19.8 bn local debt restructuring plan

Sri Lanka will spare banks from being part of its local debt restructuring plan because of the possible impact on deposits, while the bulk of the burden will be shared by the Central Bank and superannuation funds, officials said Thursday. Sri Lanka's Cabinet a day earlier approved a plan to restructure nearly half of its $42.1 billion local debt following a bailout agreement with the International Monetary Fund. A special Parliament sitting has been convened for Saturday to seek approval for the plan. The government has announced a bank holiday until next week to prevent any speculation-triggered bank run. Central Bank governor Nandalal Weerasinghe said the treasury bills owned by the bank will be converted into treasury bonds with a longer maturity period and the same has been proposed to superannuation funds. If those funds are unwilling to be part of the plan they may have to pay a 30% tax instead of the 14% special treatment effective now. Sri Lanka is also seeking to reduce ..

Sri Lanka to spare banks in $19.8 bn local debt restructuring plan
Updated On : 29 Jun 2023 | 3:03 PM IST