Sri Lanka state-carrier looks for foreign finance

Oct 31, 2013 (LBO) - Sri Lanka's state-run SriLankan Airlines is negotiating a 250 million US dollar facility for working capital, a top official said.
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The carrier is looking for 4-year funding, from international markets chief executive Kapila Chandrasena said.

SriLankan Airlines has mapped out an ambitious re-fleeting program involving fuel-efficient Airbus A-350 XWB and new A3330 aircraft to replace its gas guzzling ageing A330 and A340 aircraft and turnaround its finances.

But until the new aircraft comes, the airline is expected to lose money.

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SriLankan's biggest expenses are fuel, which has to be imported.

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SriLankan had earlier raised finance from the Middle East. State-run full service carriers in the region have been facing pressure from more efficient citizen-owned budget carriers that gaining market share in the region.

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