<span style="color: #222222;">China kept a cautious silence on Friday on Sri Lanka's request for financial aid of as much as US$4 billion to deal with the ongoing crisis in the island nation even as Sri Lankan Ambassador to China, Palitha Kohona expressed confidence that Beijing will agree "at some point" to the request. Sri Lanka is asking China for a loan of US$1 billion to repay an equivalent amount of Chinese debt coming due this year, Sri Lankan Ambassador said in a TV interview on Friday. <br />''<br />''It is also seeking a US$1.5 billion credit line to pay for Chinese imports and activation of a US$1.5 billion swap, he added. "We are confident that at some point the Chinese system will agree to our requests because these are not unreasonable requests," Kohona said. "We have made similar requests to other creditors," he added. However, Chinese Foreign Ministry spokesperson Wang Wenbin again declined to confirm if Beijing will agree to Sri Lankan requests for financial assistance.<br />''</span><br />''"As a friendly neighbour and cooperative partner of Sri Lanka, China is closely monitoring the situation in Sri Lanka. China feels deeply for the difficulties and challenges Sri Lanka faces. In past few months, China has provided RMB 500 million worth of humanitarian assistance to Sri Lanka," Mr. Wang said on Friday when asked, whether the negotiations are taking place between the two countries as mentioned by Sri Lankan top envoy. <br />''<br />''China on Thursday kept silent over reports of President Gotabaya Rajapaksa fleeing the country amid unprecedented public protests demanding his resignation keeping observers perplexed over such delays in Chinese response to shore-up the island's fast depleting forex reserves. Sri Lankan Speaker's office later said, the Speaker has received President Gotabaya Rajapaksa's resignation letter. The embattled Sri Lankan President had fled to the Maldives earlier this week and on Thursday took a Saudi Airlines plane to Singapore.<br />'' <br />''"China stands ready to work with relevant countries and international financial institutions to continue to play an active role in Sri Lanka overcoming current difficulties, easing debt burden and realizing sustainable development," he said. "Chinese financial institutions reached out to Sri Lankan side shortly after the crisis started in Sri Lanka and have maintained communication with Sri Lankan side. China supports relevant financial institutions in discussing with Sri Lanka and properly resolving them," he reiterated his earlier stance. <br />''<br />''Sri Lanka has received about US$3.8 billion in aid from India which Mr. Kohona termed as a close and vital neighbour. The cash is needed to pay for food and fuel purchases, with severe shortages seen stoking inflation to 70 per cent, triggering violent public protests and forcing President Gotabaya Rajapaksa to flee the nation and resign.<br />''<br />''<span style="color: #222222;">Mr. Kohona said, around 10 per cent of Sri Lanka's external debt is owed to China. Acting President Ranil Wickremesinghe had earlier said that Japan is owed roughly an equal share but the interest rates on Chinese loans are higher. Wickremesinghe is seeking a bailout from the International Monetary Fund. After initial reluctance, China has agreed to back the IMF package to bailout Sri Lanka, similar to the international lender's assistance to Pakistan, which is also on the brink of economic crisis. China last month announced USD 2.3 billion to Islamabad to shore up the forex reserves of its all-weather ally but despite that Pakistan's economy appears to be on the brink of collapse. Chinese analysts say that departure of Rajapaksas could be a blow to Beijing's close ties with Colombo and on its extensive investments to the tune of over USD 10 billion in the island country sitting at the crucial sea lane of communication.</span><br />