Sri Lanka unveils debt restructure to tackle economic crisis

Sri Lanka's central bank unveiled a far-reaching debt restructuring plan on Thursday aimed at restoring stability after an unprecedented economic crisis last year.

The bank said it was offering a 30 percent reduction on dollar-denominated bonds, including the international sovereign bonds (ISB) that make up more than a quarter of Sri Lanka's total foreign debt.

The move comes after Colombo cut subsidies, doubled taxes and promised to privatize hundreds of state enterprises under a 2.9 billion USD IMF bailout agreed in March.