May 29, 2013 (LBO) – China Development Bank will help finance an expressway to Sri Lanka’s North, the government said, after visiting President Mahinda Rajapaksa met its chairman Hu Huaibang in Beijing. CDB had already given 866 million US dollars for roads and irrigation including 214 million US dollars for Sri Lanka’s Moragahakanda Irrigation Project.
The CDB and Exim Bank of China had become key sources of funds for Sri Lanka’s infrastructure development drive. Sri Lanka had inked a series of agreements with China on May 28 which involved funding from China Development Bank, with the Colombo-Jaffna expressway being among key projects to get funding, the president’s office said in a statement.
The Northern Expressway projects is one of the largest infrastructure projects planned in Sri Lanka leading from Colombo to Kurunegala and branching off to Kandy and Jaffna and Trincomalee, which will need funding from multiple lenders.
CDB’s director general Zhang Linwu, Treasury Secretary PB Jayasundera had been at the meeting with President Rajapaksa.
In 2013 the CDB is to provide 580 million US dollars to Sri Lanka for with 300 million US dollars, the government had said earlier.