Sri Lanka settles entire $200 million loan from Bangladesh!!
Sri Lanka has paid off the entirety of USD $200 million loan from Bangladesh.
Bangladesh media reported quoting a senior official at the Bangladesh Bank that in the last installment, Sri Lanka paid about $50 million and $4.5 million in interest for the loan.
Sri Lanka obtained the loan for a period of one year in May 2021. However, the country failed to repay the loan due to a worsening economic crisis and the Sri Lankan government declared itself bankrupt. Thereafter, Sri Lanka took an extension to repay the debt several times.
According to the Bangladesh Bank, Sri Lanka initially repaid $50 million on August 20. Then on August 31, it returned $100 million. Finally, they returned the remaining $50 million on Thursday night.
Sri Lanka has paid off the loan taken from Bangladesh in three installments.