China willing to give Lanka $24 bn more as part of OBOR

Beijing: As Sri Lanka struggles to repay a USD 8 billion debt to China, Beijing is “willing to give” an estimated additional USD 24 billion as part of the One Belt One Road initiative.

China has offered more loans to countries taking part in the ‘One Belt One Road’ initiative, Sri Lanka’s Minister on Special Assignment Sarath Amanugama said.

“In Sri Lanka’s case, it may be about four times of what we are getting now, over and above $8 billion… they are willing to give,” Amanugama, who is part of the official delegation headed by Sri Lankan Prime Minister Ranil Wickremeshinghe that took part in the summit meet, told PTI here.

“So we have to negotiate, whether it is Government-to- Government or through (China sponsored) Asia Infrastructure Investment Bank (AIIB) they are going to extend credit,” he said. With the existing $8 billion, it will total to $32 billion. China is investing more than $50 billion in the China Pakistan Economic Corridor (CPEC) over which India raised concerns as it traverses through Pakistan-occupied Kashmir.

India skipped the Belt and Road Forum meeting attended by 29 heads of state and governments besides heads of the UN, the International Monetary Fund and World Bank.

In his statement on May 13 about OBOR, External Affairs Ministry spokesman Gopal Bagley referred to debt burden.

“We are of firm belief that connectivity initiatives must be based on universally recognised international norms, good governance, rule of law, openness, transparency and equality. Connectivity initiatives must follow principles of financial responsibility to avoid projects that would create unsustainable debt burden for communities; balanced ecological and environmental protection and preservation standards; transparent assessment of project costs,” he said. (PTI)