Accordingly, the governments of Sri Lanka and Republic of Korea have agreed to sign a new Framework Arrangement for the period of 2020-2022 to obtain loans through EDCF up to an aggregate commitment amount of USD 500 million to finance projects mutually agreed.
The loan interest rate on this concessional loan is about as low as 0.15% - 0.20% and the loan has a repayment period of about 40 years with a grace period of 10 years.
In addition, both sides agreed to continue the Korean Exim Bank Representative Office, which was opened in Colombo in January 2016 by its Chairman, to further implement the projects in a well-coordinated manner.
The Framework Arrangement was signed today (10) by Ambassador of the Republic of Korea - Mr. Woonjin Jeong and Finance ministry secretary - Mr. S.R. Attygalle.