China approves USD1bn for 1st phase of Central Expressway construction

May 15, 2018 (LBO) – Chinese Government has approved 1 billion US dollars for the phase I of the Central Expressway construction and instructions have also been given to Chinese EXIM bank to process the loan, Prime Ministers Office said.

Chinese Ambassador to Sri Lanka has met with Prime Minister Ranil Wickeremesinghe yesterday to break the news of approving the loan and has requested the Sri Lankan side to expedite administrative and legal formalities.

The Chinese ambassador has also discussed Hambantota port project and Colombo Port City project and said that once started the two projects will become the engine of growth for Sri Lanka.

With regard to Hambantota Port, Chinese ambassador has mentioned that they encourage investors to set up factories for producing high end products.

The Chinese ambassador has also requested to expedite the negotiations for signing of Chinese free trade agreement.

Prime Ministers Office said the progress of Chinese funded water projects were also discussed.

The last tranche for the payment of Hambantota port is due on 9th June which will enhance the foreign reserves of the country.