Hambantota project talks with SL should be speeded up: China

China has called for fast-tracking negotiations with Sri Lanka over the $750 million second phase of the Hambantota port which in the past caused unease in India over concerns that the project is part Beijing’s ‘string of pearls’ strategy to contain it.

Chinese Premier Li Keqiang, during talks with his Sri Lankan counterpart Ranil Wickremesinghe, said both sides should speed up the negotiations on the second phase operation of the Hambantota Port in the southern part of Sri Lanka. The first phase was completed in 2014 at a cost of $361 million.

Li said the port will give Sri Lanka full play to its geological advantage to become an important international logistic hub. The second phase of construction is expected to cost over $750 million.

Hambantota, the home of former Sri Lankan President Mahinda Rajapaksa, aims to service ships travelling along one of world’s busiest shipping lines — the east-west shipping route.

When the three phase project is completed, it will become the biggest port on South Asia with 4,000 acres of service area with provision to accommodate 33 vessels at a time.

The scale of the project evoked concerns in India that it could be part of China’s ‘string of pearls’ strategy to corner India. China, which has been building various ports in different countries including Myanmar, Bangladesh and Pakistan, has denied having such a strategy. During their meeting yesterday, Wickremesinghe and Li also discussed the construction of an industrial park in Hambantota. Li also welcomed Sri Lanka’s decision to lift ban on the construction of the Chinese funded $1.5 billion Colombo Port City Project.

China will work together with Sri Lanka to push forward resumption of the delayed construction of the port city project in Colombo, Li told Wickremesinghe here on Thursday.

“We welcome the resumption of the Colombo Port City Project and stand ready to work with Sri Lanka to push forward the construction steadily,” Li said.