• Dr. de Silva cites need of public mandate to ensure sustainable restructuring
• Calls for a more mutually beneficial restructuring agreement
• Stresses both reform and relief is needed for the public

The Opposition party Samagi Jana Balawegaya (SJB) yesterday (4) called upon international creditors to reach a sustainable debt restructuring agreement that is mutually beneficial.

Speaking at a press conference held yesterday (4) SJB Opposition Parliamentarian (MP) Dr. Harsha de Silva emphasised the importance of having such an agreement signed by a government with a fresh mandate from the people following the upcoming Election. "It is much better if the agreement is signed by a government with a people's mandate after the upcoming election," he stated.

He stressed that a Government elected by the people would be better positioned to make necessary structural changes within the given framework for the benefit of the populace, pointing out that the SJB had held lengthy discussions with the IMF delegation while they visited the island.  He said that the SJB communicated to the IMF that both ‘reform and relief’ was needed.

Highlighting the potential issues if President Ranil Wickremesinghe was to sign the agreement before the Election, Dr. de Silva noted: "If President Ranil Wickremesinghe signs the agreement before the Election, it will not be possible to change the agreement if someone else is elected. If it happens, the successive government would not be able to change it," De silva opined. He blamed the President Ranil Wickremesinghe and his officials for painting the IMF agreement as one set in stone, and for fear mongering about possible repercussion if it was to be recalibrated or renegotiated.

He argued that decisions of such magnitude should reflect the democratic will of the people, particularly given the country's unprecedented levels of poverty. Dr.de Silva also addressed concerns regarding the International Monetary Fund (IMF) Extended Fund Facility (EFF). He clarified that the SJB is not in a position that the IMF EFF cannot be changed, suggesting that there is room for renegotiation.

"The people have understood that the country cannot deviate from the IMF programme, but they also favour a party that can renegotiate it in a more favourable manner," he said. He further asserted that the SJB is the only Party capable of leading such renegotiations effectively.

Dr de Silva added that the current IMF agreement did not hold enough incentives to encourage the kind of economic change that is required to make Sri Lankan economy more competitive and to create a climate conducive for entrepreneurs to grow.