Sri Lankan government to buy 12 railway engines from the US through loan supported by Export Development Canada
Co-Cabinet Spokesperson of the Sri Lankan government, Lands Minister Gayantha Karunathileka has reportedly said that Standard Chartered Bank will provide a loan supported by Export Development Canada, Canada’s export credit agency to arrange the finances for Sri Lanka to buy 12 railway engines from the United States.
Karunathileka has been quoted as saying that the engines for Sri Lanka Railways will be used on the hill country network.
The 12 engines are estimated to cost US$ 48.67 million.
OSL take:
The Sri Lankan government’s decision to purchase 12 railway engines from the US to upgrade its hill country network is part of the state’s move to upgrade and develop the country’s railway sector. The move by Standard Chartered to arrange a loan facility through Export Development Canada indicates the level of support Sri Lanka receives internationally to raise funds for the island nation’s development agenda. Foreign businesses engaged in upgrading and developing rail transport could explore business opportunities in Sri Lanka’s railway sector or even propose new upgrades to bring sector on par with international standards.
| Article Code : | VBS/AT/20180628/Z_2 |