President’s China visit to expedite Hambantota port project

Channa KASTURISINGHE

COLOMBO: President Mahinda Rajapaksa’s forthcoming visit to China would ensure the speedy implementation of the long awaited Hambantota Port development project.

Treasury Secretary Dr. P.B Jayasundera told the media that the President’s visit next week will secure the required technical and financial assistance for the proposed project which is expected to be completed in 2011.

It has two main components - the breakwater project and the industrial port and bunkering facility.

“The commercial contract between the Sri Lanka Ports Authority and the relevant Chinese institutions have been finalised and hopefully the contracts would be signed during the President’s visit,” Dr. Jayasundera said.

The Hambantota Port Development Project is expected to cost Rs. 30,900 million. It includes the construction of a breakwater, the industrial port facilities and bunkering facilities.

Planned for development as an industrial and services port Hambantota will later be developed as a major transshipment port making use of its location of being within 10 nautical miles of the world’s busiest shipping line.

The project would also ensure rapid development in the Hambantota area which lags behind other regions.

Dr. Jayasundera also said that the President’s State visit will also benefit Sri Lanka’s tourism sector as the Government is planning to increase the number of tourists coming here from China.

He said that Sri Lanka has already started to reap the benefits of the recently concluded Development Forum in Galle and development partners such as China and Japan are ready to provide funds for major infrastructure projects.

“This week the Japanese Government announced that it will provide 39,233 million Japanese Yen for three important projects. It is the largest ever yen loan from Japan.

This loan package supports the Greater Colombo Urban Transport Development Project, Water sector Development project and Pro-poor rural development project which are in line with the needs identified in the Mahinda Chinthana,” Dr. Jayasundera said.

He also said that the World Bank would soon provide US$ 100 million for road development and a further US$ 150 million will be provided by the Asian Development Bank for the same purpose.