Lazard initiates talks with India, China & Japan on restructuring Sri Lanka debt

 

Financial advisory group Lazard has started talks with India, China and Japan on restructuring Sri Lanka’s debt, a spokesman for the Sri Lanka government said on Tuesday, as the crisis-hit island nation seeks an International Monetary Fund (IMF) bailout. 

Lazard was hired by Sri Lanka in May, along with international lawyers Clifford Chance, to guide the government through the process of restructuring its debt, for which estimates range from $85 billion to well over $100 billion. 

Sri Lanka is also expected to formally reach out to private creditors who hold about $12 billion in bonds later this week, a government source told Reuters. 

“The government is planning to start talks with the ambassadors of China, U.S., Japan and India next week on debt restructuring,” the source said, declining to be named as he was not authorised to speak to media.