“port city” deal between SriLanka and China,concerns India

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Colombo: On Thursday Sri Lanka’s cabinet said it would allow a”port city” deal with China worth $1.5 Billion , revealing to drop a threat to cancel the project which had been approved by the government in previous hold.

India has raised concern over security threats posed by Chinese ownership of the freehold of 20 hectares of land next to the main commercial port in Colombo. India uses Colombo as a trans-shipment port reclaimed land, when he visited Colombo.
Last year, Sri Lanka had allowed a Chinese submarine and a warship to dock at Colombo, despite concerns raised by New Delhi.

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President Maithripala Sirisena was elected in January. Sri Lanka’s new Prime Minister, Ranil Wickremesinghe, said before last month’s presidential vote he would cancel the deal if his party came to power because no environmental impact assessment (EIA) or feasibility study had been presented to parliament.

“He informed the cabinet that this has to be looked at with the relationship with China and to make any alterations where possible with the understanding of the Chinese government.”

Asked if this meant the government would allow the project to go ahead, the spokesman replied: “Yes.” The port which referred would be built on 233 hectares of land reclaimed, it would include shopping malls, a water sports area, a mini golf course, hotels, apartments and marinas.

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