Sri Lanka approves construction on stalled Chinese port project

Sri Lankan Prime Minister Ranil Wickremesinghe (R) shakes hands with Wang Jiarui, vice chairman of the National Committee of the Chinese People’s Political Consultative Conference, in Colombo, Sri Lanka, Feb. 12, 2015 [Xinhua]

Ahead of President Maithripala Sirisena’s March 26 visit to China, Sri Lanka’s cabinet on Wednesday approved the construction of a breakwater for a Chinese funded port city project which had been suspended by the government earlier this month. China is  a key supporter of the island’s economy after its 26-year civil war ended in 2009.

Cabinet Spokesperson and Health Minister Rajitha Senaratne told Chinese state agency Xinhua that the decision was taken, following a request made by Prime Minister Ranil Wickremasinghe, when the cabinet convened for its weekly meeting Wednesday evening.

Colombo Port City is among the several Chinese-funded projects that have come under the scrutiny of the new government, which alleges large-scale corruption by the previous government of Mahinda Rajapaksa, who was ousted in the presidential elections in January.

The project, inaugurated by Chinese President Xi Jinping in September last year, is financed by China’s state-controlled China Communications Construction Co (CCCC).

The entire project had been suspended by the new government which took office in January.

However, Sri Lanka’s Ports, Shipping and Aviation Minister Arjuna Ranatunga said earlier Wednesday that approval had been given to allow part of the project to continue in order to prevent damage from heavy rains and sea erosion.

Following this, the cabinet which met Wednesday evening had gone further by allowing the construction of the breakwater which further reduces any damage to the project. “The request to construct the breakwater had been put forward to the cabinet by Prime Minister Wickremesinghe. Therefore cabinet approval was granted,” the minister said.

He further said that the prime minister had asked for the necessary reports and documents over the Port City to be submitted to the sub committee soon in order to decide the future of the project. “Only once the necessary documents are submitted will the prime minister decide on the future of the project,” the minister said.

Sri Lankan President Sirisena is due to arrive in China on a state visit on March 26 during which he will hold bilateral talks with his Chinese counterpart Xi Jinping.

Sri Lanka has received an estimated $5 billion in Chinese loans.

 

TBP and Agencies