China lends Sri Lanka $290m for development

[TamilNet, Wednesday, 10 March 2010, 12:30 GMT]
China has completed arrangements through its funding arm, Exim Bank, to provide $290m in concessionary development loans to Sri Lanka, Reuters reported. $190m of the loan is to develop a second airport in Matara and the other $100m is to improve the railways. China was the largest foreign funding source for Sri Lanka in 2009 with $1.2 billion followed by the Asian Development Bank with $424 million, according to the same report. The 2009 funds were allocated to build roads, coal power project in the Eastern province, and a port in Sri Lanka's President's electorate in Hambantota.

"[T]he two Concessional Loan agreements were signed during a three day visit by P. B. Jayasundera, Secretary to the Ministry of Finance of Sri Lanka and a delegation from the External Resources Department and Attorney General’s Department to Beijing from March 3 to 5, according to Indian media.

"To offset the economic losses on account of the strained ties with the allies in the West, President Mahinda Rajapaksa has deepened ties with Japan, India, China and Myanmar, as well as Iran, Indian daily Hindu said. “The government of China, Asian Development Bank and the World Bank were the three main donors who accounted for 1.9 billion dollars or 84.3 percent of the total commitment in 2009,” the Sri Lanka Finance Ministry report had said. Japan and the Manila-based Asian Development Bank have in the past been the biggest lenders to the island, according to the Hindu.

With strained economic relations with the West on the war-crime allegations, Colombo has been openly depending on China and other countries for financial assistance. Recently European Union moved to terminate the GSP+ concessions that Sri Lanka enjoyed in the past several years to consolidate Sri Lanka's position as an apparel manufacturer.


External Links:
Reuters: China to loan Sri Lanka $290 mln for airport, railways
Hindu: China gives Sri Lankan infrastructure a shot in the arm

 

Latest 15 Reports
24.04.22 05:44  
தீவின் நெருக்கடிச் சூழலில் ஈழத்தமிழர் தேசம் கடைப்பிடிக்கவேண்டிய நிலைப்பாடுகள்
09.04.22 14:44   Photo
குறிதவறும் ஈழத்தமிழர் தலைமைகளுக்கு வரலாறு தருகின்ற எச்சரிக்கை
21.01.22 07:24   Photo
ஈழத்தமிழர் தேசத்தின் தலைமைத்துவம் தேர்தல் அரசியற் கட்சிகளுக்கு அப்பாலானது
02.11.21 15:32   Photo
13 ஆம் சட்டத்திருத்தத்தால் கட்டமைக்கப்பட்ட இன அழிப்பை எதிர்கொள்ள முடியுமா?
15.09.21 08:19  
English version not available
17.05.21 19:23   Photo
Ananthi blames war criminal Silva for blocking collective memorial at Mu'l'livaaykkaal
09.04.21 14:46  
English version not available
23.03.21 12:41   Photo
No focus on Tamil genocide, geopolitics gets played out in Geneva in favour of QUAD formation
21.03.21 13:34   Photo
Navi Pillay explains ‘human rights’ limitations in Geneva on Tamil genocide
15.03.21 20:36   Photo
Deceived Tamil activists in UK falsely claimed ‘substantial changes’ to Zero draft
09.03.21 21:34   Photo
UK repeatedly wronged Tamils says hunger-striker, demands genocide justice
26.02.21 11:53   Photo
Tamils witness false dilemma in Geneva as geopolitical formations pit against each other
19.02.21 14:02   Photo
UK not prepared to push for ICC option in new UNHRC Resolution
07.02.21 23:16   Photo
Unprecedented P2P uprising paves the way for rights-oriented politics of Tamils and Muslims
22.01.21 08:01   Photo
Gotabaya sets up deceptive COI citing ‘sovereignty’ and ‘non-aligned’ foreign policy
 
Find this article at:
http://www.tamilnet.com/art.html?catid=13&artid=31336