Credit lines exhausted, India asks Sri Lanka to pay for fuel in advance

Sri Lanka, which has depleted its foreign exchange reserves, was hoping for a fresh approval from India of a $500 million credit line for fuel purchases

India is seeking payment in advance for supply of fuel to Sri Lanka after credit lines were exhausted, according to people with knowledge of the matter.
 

The larger South Asian neighbor stopped supplying gasoline and diesel on credit after the island nation ran out of dollars to purchase fuels amid its worst economic crisis. That’s holding up some fuel shipments pending cash payment by Sri Lanka’s Ceylon Petroleum Corp., according to two Indian government officials, who asked not to be identified citing rules. 

Ceylon Petroleum’s cargo schedule tweeted by Energy Minister Kanchana Wijesekera showed at least four shipments of gasoline