Sri Lanka to use another US $ 70 M from Indian credit line to import food

• Food items worth US 180 million already on the way
• The recent economic, financial and humanitarian assistance  of over US$ 3.5 billion was guided by  ‘Neighbourhood First’ policy and Security and Growth for All in the  Region (SAGAR) vision of PM Narendra Modi  

By Kelum Bandara 

The government has given approval to make use of another US $ 70 million from the US $ 1 billion Indian line of credit to import essential food items, a minister said.  Trade Minister Nalin Fernando told Daily Mirror that this would be in addition to US $ 180 million worth food commodities already imported from India under the same facility.   

Rice, sugar, onions and wheat (whole grain) are among the items already ordered to be delivered to the country.   
“Once we get these items, we will have food required for at least another couple of months. Besides, we got approval to use another US $ 70 million from the same credit facility to import food commodities in the near future,” he said.   

India has offered the US $ 1 billion credit facility to import food, pharmaceuticals and raw materials. Of the credit line, US $ 200 million was also released earlier to import fuel for the country.   

A delegation of senior Government of India officials led by Foreign Secretary Vinay Kwatra visited Sri Lanka on June 23. They held talks with President Gotabaya Rajapaksa and Prime Minister Ranil Wickremesinghe .   “The Indian delegation underscored that the unprecedented recent economic, financial and humanitarian assistance of over US$ 3.5 billion to the people of Sri Lanka was guided by ‘Neighbourhood First’ policy and Security and Growth for All in the Region (SAGAR) vision of Prime Minister Narendra Modi.  

 During the call on President Gotabaya Rajapaksa, the Indian side thanked the President of Sri Lanka for his commitment to the development of India-Sri Lanka bilateral relations. Both sides had a productive exchange of views on the current economic situation in Sri Lanka as well as India’s ongoing support. In the meeting with Prime Minister Ranil Wickremesinghe, the two sides had an in-depth discussion on the Sri Lankan economy and efforts undertaken by the Government of Sri Lanka towards achieving economic recovery. In this context, both sides highlighted the importance of promoting India-Sri Lanka investment partnership including in the fields of infrastructure, connectivity, renewable energy and deepening economic linkages between the two countries.  
 It may be recalled that development assistance extended by India stands at over USD 5 billion with more than USD 600 million being in grants, which include the Sri Lanka Unique Digital Identity Project. India continues to be the largest source of tourism for Sri Lanka,” the statement from the High Commission said.