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China injects an extra US$1 billion to boost Sri Lankan Belt and Road project.

A further US$1 billion in Chinese funding has been secured for the Colombo Port City development, the largest Belt and Road Initiative project currently underway in Sri Lanka. This latest tranche of investment relates to the construction of a new tower block within the International Financial City complex, a core element of the overall Port City, and is in addition to the US$1.5 billion of Chinese mainland backing already pledged to underwrite the costs of dredging and reclamation work for the project.

Once completed, Colombo Port City will function as an extension to the Sri Lankan capital's central business district and as a semi-autonomous entity, operating under a different financial and investment regime to the rest of the country. From China's point of view, however, the primary significance of the project – and, indeed, the very core of its relationship with this comparatively tiny island-nation – is geography.





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