India extends $100 million credit to Sri Lanka

[TamilNet, Monday, 12 June 2000, 19:40 GMT]
India's Minister of External affairs of India, Sri Jaswant Singh said his government would extend to Sri Lanka a credit facility of 100 million US dollars, according to a statement regarding his visit to the island issued Monday by Sri Lanka's Foreign Ministry. The statement had been approved by both governments, officials said.

Following is the full text of the statement:

"The Minister of External affairs of India, Sri Jaswant Singh made an official visit to Sri Lanka, at the invitation of the Government of Sri Lanka, from 11th to 12th June. During his visit the Minister had discussions with President Kumaratunga and Foreign Minister, Lakshman Kadirgamar. He also met Mr.Ranil Wickremasinghe, the leader of the opposition and representatives from other political parties.

Indian Foreign Minister Jaswant Singh, left, with Sri Lankan Foreign Minister Lakshman Kadirgamar in Colombo, Sri Lanka on Monday June 12, 2000.Photo:AP

"At the commencement of discussions, the visiting Minister reiterated the continued commitment of the Government of India to the unity, sovereignty and territorial integrity of Sri Lanka. He also expressed the good wishes and support of the Government of India to the restoration of a lasting peace, which would be possible through a political process that produces a settlement, which meets the aspirations of all communities.

"The discussions touched upon the present situation and also the broader issues related to the further strengthening of the existing close and friendly relations that India and Sri Lanka have traditionally.

"President Kumaratunga apprised the visiting Minister of current political developments including the consultations between the Government and other political parties and the facilitation efforts of Norway.

"President Kumaratunga welcomed India's assistance in the humanitarian as well as economic sphere to ease any constraints that may be currently faced by Sri Lanka. Shri Jaswant Singh added in this regard that India would be prepared to extend to Sri Lanka a credit facility, on terms to be mutually worked out between the two Finance Ministries, amounting to US$ 100 million. The possibilities of Sri Lanka's purchasing wheat, rice and sugar on a counter trade basis from India, were also discussed.

"In conclusion both sides noted that the discussions had been productive and that they had enabled the reaching of understandings on the measures that India and Sri Lanka can take both collectively as well as individually, to bring about lasting peace in Sri Lanka. Shri Jaswant Singh emphasised that he was leaving Sri Lanka at the end of his visit confident of the depth, strength and direction of India-Sri Lanka relations and their ability to meet the common challenges both countries face."