Colombo project to continue after environmental analysis:Lanka

Assuring China of maintaining strong ties, Sri Lanka's new government has said that it will continue with the Beijing-funded USD 1.5 billion Colombo Port City project after the environmental assessments are met.
"Our new government will continue to maintain good relations with China to carry out a pragmatic and mutually beneficial cooperation. The Sri Lankan government will not change the policy of friendship with China," C Mahendran, foreign affairs secretary of Prime Minister Ranil Wickremesinghe, was quoted as saying by China's state-run Xinhua news agency.
"For a long time, China has always helped Sri Lanka. China has played a major role in Sri Lankan national unity and national construction and development. The Sri Lankan government and people are deeply grateful," he added.

Regarding the port city project, which is the largest investment project to date between the two countries, Mahendran said the Prime Minister had given his assurance that the project would continue once environmental assessments are met.
Mahendran described it as a "big opportunity" for Sri Lanka to attract much-needed capital investment.
The project, regarded as one of the key venture for Chinese President Xi Jinping's ambitious Maritime Silk Road plan, was mentioned as strategic rivalry between India and China in Sri Lanka in China's state-run Global Times yesterday.

"The Chinese side will suffer heavy losses if the USD 1.5 billion project that started in September is halted. Given similar cases in Myanmar, this has triggered many concerns domestically," the first editorial after the Lankan elections in which pro-Beijing former President Mahinda Rajakpaksa was defeated by Maithripala Sirisena said.

"The West and many Asian countries are willing to see such uncertainties arising between China and Sri Lanka. India particularly has its own doubts since it always considers Sri Lanka as within its sphere of influence," it said.
Earlier in an interview, Wickremasinghe had made it clear that Sri Lanka will take necessary action where there is corruption in awarding a contract to any country, including China.
"We are looking into all foreign contracts and local ones, and where there is corruption, we will certainly ensure we take action whether it is by Chinese or any other country," he had said.