Sri Lanka to establish US$ 200 million credit line to Maldives

Sri Lanka has agreed to establish a credit line worth US$200 million with Maldives to aid the country to overcome its foreign exchange crisis.

With the credit line Maldivians can purchase Sri Lankan rupees with Maldivian rufiyaa for imports as well as making Maldivian rufiyaa available to Sri Lankans who wish to buy Maldivian goods.

A Minister from the Maldives will arrive in Sri Lanka shortly to seal this currency swap agreement, the Sri Lankan government said.

The agreement was to sign by the Maldivian President Mohamed Nasheed with Sri Lanka's Central Bank officials when he visited Sri Lanka to attend the President Mahinda Rajapaksa's inauguration.

However, Nasheed had to cut short his visit and return to Maldives to attend his father-in-law's funeral.