Sri Lanka has paid another $100 million in the second instalment out of a $200 million loan given by Bangladesh in a currency swap, a Bangladesh Bank spokesperson said on Friday. According to Bangladeshi Media, last month, Colombo paid $50 million in the first instalment of the loan repayment.

Bangladesh lent $200 million from its foreign exchange reserves to Sri Lanka during its economic crisis.

With the latest instalment, the Island nation paid back a total of $150 million, according to Md Mezbaul Haque, the central bank’s spokesman.

Mesbaul Haque added that the remaining $50 million is due to be repaid within the current year.

“We are hopeful that the rest of the amount will be cleared by September,” said Haque.

The repayment comes more than a year and a half after the original agreed date. Sri Lanka and Bangladesh entered into the currency swap agreements in August 2021.

Bangladesh extended the debt repayment time to give Sri Lanka time to revive its economy.