Rail Finance

Mar 12, 2012 (LBO) – China has given a 278.2 million US dollar loan to finance the first part of a new railway track running from the Southern town of Matara to Kataragama, the finance ministry said. A statement on the finance ministry website said the loan has been approved by the Exim Bank of China.

The loan will be used to build 26.75 kilometres of track, four railway stations, bridges including one over Nilwala river, level crossings and underpasses from Matara to Beliatta.

The next two phases will be from Beliatta to Hambantota and Hambantota to Kataragama.

China has financed a series of infrastructure through loans including a port, an airport and roads.

The country has emerged as a top donor, unseating traditional donors. .