Sri Lanka to borrow $1mn from China for Central Expressway

Colombo (News1st): The China-based Global Times website quoting the Sri Lankan Ambassador to China says Sri Lanka will soon sign a concessionary loan agreement with the Export-Import Bank of China to borrow $ 1 billion to fund a major highway from Colombo to its second largest city Kandy. Karunasena Kodituwakku had said the money will be used for the first stage of the central highway while the second stage will be financed by Sri Lankan consortiums and the third by Japanese loans. The chief of Sri Lanka's central bank had earlier said the country will receive a sovereign loan of $1 billion from Bank of China in the first quarter of this year. According to the report, Kodituwakku didn't confirm with the Global Times if it was the same loan and whether it is linked with the $1 billion in loans from the Export-Import Bank of China.