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Sri Lanka wraps up US$300mn arms loan with Russia: report

Feb 09, 2010 (LBO) - Sri Lanka has wrapped up a 300 million US dollar loan to buy "armaments and dual purpose technology" from Russia during a visit by President Mahinda Rajapaksa, a media report said.
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Russia and China have been the main arms suppliers to Sri Lanka during a 30-year war with Tamil Tiger separatists. RIA-Novosti, a Russian news agency, quoted the country's deputy finance minister Dmitry Pankin as saying that Sri Lanka would get a 10 year loan at a premium of 3.
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5 percent above the London interbank offered rate.



Sri Lanka's president President Mahinda Rajapaksa is to return to Sri Lanka Monday following the visit to the Russian Federation.


A weekend news report said the loan will cover repairs to damaged Russian military equipment already with Sri Lanka.

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