Sri Lanka creates history by joining the global debt defaulters club

Sri Lanka which is battling its worst economic downturn since independence in 1948, joins a small club of countries that have failed to repay their debts.

The crisis-hit country announced yesterday that it was defaulting on all payments on its $ 51 billion external debt after running out of foreign exchange to import desperately needed goods.

Following is the list of countries Sri Lanka joins as it defaults on its foreign debts, as reported by the AFP:

Lebanon, Argentina, Belize, Zambia, Suriname, 2020  

Lebanon, once known as the “Switzerland of the Middle East”, defaults on a debt payment for the first time in its history in March 2020 with the country sunk in a deep economic crisis amid huge protests about corruption.

In May 2020, Argentina defaults for the ninth time in its history, unable to make a $ 500 million payment.


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