China calls on multilateral creditors to participate in Sri Lanka's debt restructuring on a fair burden-sharing basis.

China yesterday called on commercial and multilateral creditors to take part in Sri Lanka’s debt restructuring based on fair burden-sharing. Foreign Ministry Spokesperson Wang Wenbin told the Regular Press Conference on May 17, 2023

He was responding to a question by Reuter’s correspondent, quoting a US official, that China needs to play an official role in the common framework initiated by the Paris Club and India to advance negotiations on Sri Lanka’s debt restructuring.

Wang Wenbin replied, "We have stated our position multiple times on the Sri Lanka debt issue. Let me reiterate that we support Chinese financial institutions in actively working out debt treatment with the Sri Lankan side. We have been in close communication with the Sri Lankan side and have taken concrete steps. We will continue to play a positive role in this regard. At the same time, we call on commercial and multilateral creditors to take part in Sri Lanka’s debt restructuring based on fair burden-sharing.

It was learned that the Sri Lankan government has explicitly noted that it will discuss the debt restructuring issue with some of its creditors, including China, through bilateral channels. China and Sri Lanka are in communication on this.