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2024ID: SL-BOND-2024-MLB (US85227SAV49 / USY8137FAV49)

Restructured Macro-Linked Sovereign Bonds (MLB Series 2024–2038)

ප්‍රතිව්‍යුහගත සාර්ව-සම්බන්ධිත ස්වෛරී බැඳුම්කර (MLB ශ්‍රේණිය 2024–2038)

RESTRUCTURED

Official Agreement: Democratic Socialist Republic of Sri Lanka Sovereign Bond Exchange Offer & Restructuring Memorandum

Original Principal$8800 MUSD 8,800,000,000

Current Outstanding$8800 MRs. 2,657,600 M

Principal Repaid$0 MInterest Paid: $0M

Interest Rate4.5%MIXED (Step-up coupon structure: 3.50% (2024-2027), 4.50% (2028-2032), 6.50% thereafter, subject to GDP threshold Macro-Linked adjustments)

Why Was This Loan Taken? Officially Stated Purpose

Comprehensive restructuring and settlement of defaulted legacy International Sovereign Bonds (ISBs) to restore debt sustainability under IMF EFF parameters.

පැරණි ජාත්‍යන්තර ස්වෛරී බැඳුම්කර (ISBs) සඳහා වූ විස්තීර්ණ ණය ප්‍රතිව්‍යුහගත කිරීම සහ ආර්ථික තිරසාරභාවය නැවත ඇති කිරීම.

Responsible MinistryMinistry of Finance, Economic Stabilization and National Policies

Implementing AgencyPublic Debt Department, Central Bank of Sri Lanka

Project Site / ScopeGlobal Bond Exchange (London / New York)

Full Contractual Terms & Financing Conditions

CreditorAd Hoc Committee of Sri Lanka Commercial BondholdersInternational Capital Markets

Borrower EntityDemocratic Socialist Republic of Sri LankaGOVERNMENT_OF_SRI_LANKA

Signing Date2024-11-26Effective: 2024-12-12

Final Maturity2038-09-30Original: 2038-09-30

Interest Rate4.5% (MIXED)Fixed Coupon

Grace Period4 YearsPrincipal moratorium

Repayment FrequencySEMI_ANNUALSTEP UP

Commitment Fee0%On undisbursed balance

CONTRACTUAL TIMELINE

Loan Duration & Repayment Schedule Architecture

Total Tenure: 14 Years

Agreement Signing2024-11-26Year: 2024

Grace Period Moratorium4 YearsInterest only (No principal due)

Principal Repayment Starts2028-06-30Frequency: SEMI_ANNUAL

Final Maturity2038-09-304414 Days Remaining

Amortization Method: STEP UP

Repayment Window: 10 Years

2024 Sovereign Debt Restructuring Treatment

COMMERCIAL_BOND_EXCHANGE

Original Contract Terms (Pre-Restructuring)

Legacy ISB contracts carried fixed coupons of 5.75% to 7.85% with massive bullet maturities between 2022 and 2030.

Original Maturity: 2038-09-30

Post-Restructuring Terms (2024 Agreement)

27% nominal baseline principal haircut (subject to GDP performance adjustments) with step-up coupons and maturity extended to 2038.

New Maturity: 2038-09-30

Treatment: NOMINAL_HAIRCUT (27% Haircut)

Government in Office & Political Context When Signed

President / Head of StateAnura Kumara Dissanayakeඅනුර කුමාර දිසානායක

Prime MinisterHarini Amarasuriyaහරිනි අමරසූරිය

Finance MinisterAnura Kumara Dissanayakeඅනුර කුමාර දිසානායක

Constitutional Record: This loan was executed under the official mandate of the Anura Kumara Dissanayake Administration. The sovereign obligor is the Democratic Socialist Republic of Sri Lanka.

Auditor General Official Record

No adverse special audit query on record for this loan facility in National Audit Office archives.

Cabinet & Parliament Approvals

Cabinet Paper: CP/24/1820/01 (2024-11-20)

Approved execution of International Sovereign Bond exchange offer and terms agreed with commercial creditor steering committee.

Parliamentary Hansard / Act: Public Debt Management Act No. 33 of 2024 & Bond Exchange Resolution

Approved under Appropriation Act limits

Payment-level contract amortization schedule not publicly disclosed by creditor.

Aggregate annual repayments and outstanding balances are reported under CBSL Public Debt Bulletin.

Verified Document Library & Primary Sources

Tier: PRIMARY_OFFICIAL

Central Bank of Sri Lanka Annual Report 2025 (Public Debt Operations)Central Bank of Sri Lanka (CBSL) | Published: 2026-04-30

Verify Source

Ministry of Finance & Planning - Public Debt Management Bulletin (Q4 2025)Department of Public Debt, Ministry of Finance | Published: 2026-02-15

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IMF Country Report No. 25/84 - Sri Lanka Third Review Under Extended Fund Facility (EFF)International Monetary Fund | Published: 2025-12-18

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