Sri Lankan government in discussion with China-backed AIIB to secure US$ 1 billion
Sri Lanka’s Finance Minister Mangala Samaraweera has reportedly stated that the government of Sri Lanka is in talks with China-backed Asian Infrastructure Investment Bank (AIIB) for up to a US$ 1 billion.
The Minister has informed parliament that the AIIB had already agreed to give US$ 280 million for Colombo Urban Development and a project for landslide protection.
“We are in talks with AIIB for close to a billion US dollars in funds for power sector and highways development,” Samaraweera has said.
According to the local media, last year Sri Lanka said there had been an offer of US$ 300 million from Bank of China, but officials said talks had been since dropped.
Samaraweera has stated that confidence in Sri Lanka was rising after a coup triggered in October and the economy was getting back on track.
He has further noted that the International Monetary Fund (IMF) had approved US$ 164 million =in May, the US Millennium Challenge Corporation (MCC) had approved US$ 480 million.
Last week the Asian Development Bank (ADB) had approved US$ 50 million for micro loans.
OSL take:
The approach by the government of Sri Lanka to secure up to US$ 1 billion from for the country’s development programme is indicative of the active projects that are currently being launched in the country. Sri Lanka’s Finance Minister’s statement on the foreign assistance received for development work shows the funding availability for projects in the country. Therefore foreign businesses/investors could explore business/investment opportunities in Sri Lanka’s development programme.
| Article Code : | VBS/AT/20062019/Z_1 |