Sri Lanka will keep its “middle-income” status, but it will ask for cheaperloans. loans.
Sri Lanka will stay a middle-income country, but it will ask the World Bank for some loans that are usually given to poorer countries, the president’s office said on Tuesday, clarifying wCabinetabinet spokesperson had said earlier.
The island nation of 22 million people is going through its worst economic crisis in more than 70 years. Earlier in the day, a spokesperson said that the government would try to change the country’s economic status to “low income country” so that it would be easier to get funding.
The office of President Ranil Wickremesinghe, on the other hand, said that the change in status would not happen.
In a statement, the office said, “Sri Lanka will stay a middle-income country.” “We will ask the World Bank to make it possible for the country to get loans from the International Development Association (IDA).”
The World Bank’s International Development Association (IDA) helps the poorest countries in the world.
The Colombo office of the World Bank had nothing to say right away about Sri Lanka’s request. It said it would keep talking with Sri Lanka and that the “key priority” was to move forward with debt restructuring and economic reforms to get the country’s growth back on track.
