Sri Lanka’s Central Bank has lowered its benchmark interest rate by 50 basis points to 8.0 percent, following the government’s commitment to a $12.55 billion debt restructuring deal with international bondholders. This step aligns with conditions set by the International Monetary Fund (IMF) for a $2.9 billion bailout, helping the nation navigate its economic crisis. Recent austerity measures, including tax hikes and energy subsidy withdrawals, aim to improve state revenue amidst high unemployment and fiscal challenges.

China's Coal Usage May Peak by 2025

A report from the Centre for Research on Energy and Clean Air (CREA) and ISETS suggests China's coal consumption could peak by 2025, reflecting progress in its transition to renewable energy. Despite significant strides in renewable installations, coal remains dominant in China’s energy mix. Experts believe that carbon emissions may already have peaked or will do so within two years, though challenges remain in achieving the country’s carbon neutrality goals set for 2060. Coal permits dropped by 83% in early 2023, highlighting efforts to curb fossil fuel reliance.

Bolivia Strikes $1 Billion Lithium Deal with China

Bolivia has inked a $1 billion deal with China’s CBC, part of CATL, to establish two lithium carbonate production plants in the Uyuni salt flats. With annual capacities of 10,000 tons and 25,000 tons, these facilities are poised to boost Bolivia’s role in the global lithium market, critical for electric vehicle batteries. The deal follows a $970 million agreement with Russia for a similar project, though both contracts await parliamentary approval. President Luis Arce emphasized Bolivia’s ambitions to influence international lithium pricing.