Sri Lanka asks China to facilitate trade, investment, and tourism

Sri Lanka

Sri Lanka has asked China to help with trade, investment, and tourism to assist it to grow sustainably, Colombo’s envoy to Beijing aforementioned on Mon because it negotiating for an emergency $4 billion package to assist it in emerging from an economic meltdown.

Sri Lanka Asks China For Trade:

The Sri Lanka of twenty-two million individuals is suffering its worst economic crisis since independence in 1948 when running out of foreign reserves. Protesters were angry regarding the shortages of fuel, food and medication toppled the Rajapaksa ruling family.

Ambassador Palitha Kohona’s stress on China as a key to Sri Lanka’s economic recovery reflects Beijing’s status as one of Sri Lanka’s 2 largest foreign creditors, together with Japan. China conjointly holds some 100% of Sri Lanka’s external debt.

In an interview with Reuters at Sri Lanka’s Beijing embassy, Kohona said that Colombo desires China to raise its firms to shop for additional Sri Lankan tea leaf, sapphire, spices, and clothes and to create Chinese import rules additional clear and easier to navigate.

He said that Beijing may conjointly facilitate by running more investment into large China-backed port comes in Colombo and Hambantota. Major Chinese investment plans had not materialized due to the COVID-19 pandemic, Kohona aforementioned.

In addition, Sri Lanka would love to examine additional Chinese tourists, whose numbers fell from 265,000 in 2018 to nearly zero when the 2019 suicide attacks and also the pandemic.

Kohona aforementioned new Sri Lankan President Ranil Wickremesinghe has plans to go to China to debate cooperation on matters as well as trade, investment, and tourism.

Wickremesinghe is not unknown to China. a photograph of him shaking hands with Chinese President Xi Jinping once he visited Beijing in 2016 as prime minister hangs within the hall of the embassy wherever Reuters interviews Kohona.

Kohona aforementioned he expects no basic amendment within the new government’s policy towards China.

He aforementioned he understands China is finding it onerous to act quickly to assist Sri Lanka currently as a significant world creditor it’s conjointly financially exposed to several different countries in financial issues. He aforementioned that perhaps if it was solely Sri Lanka, then the decision-making would’ve been a lot easier.

For many months Sri Lanka had been in talks in China for a $4 billion aid package, consisting of a loan of $1 billion to repay a roughly equivalent quantity of Chinese debt due this year.

It is conjointly soliciting a $1.5 billion credit line to purchase Chinese imports. Kohona aforementioned these imports are in the main inputs required by his country’s moneymaking industry like buttons and zippers.

Sri Lanka conjointly hopes to steer China to activate a $1.5 billion bilateral currency swap.

Kohona aforementioned discussions on assistance with China are still afoot however no date for a subsequent meeting has been set.

The Chinese foreign ministry aforementioned this month that Beijing is willing to work with different countries and international financial establishments to “play a positive role” to assist Sri Lanka.

Read Also: After crackdown, Sri Lanka president’s office reopens

Beyond assistance, Sri Lanka conjointly hopes China will facilitate it get fuel, plant food and different desperately required provides.

China pledged five hundred million yuan ($74.09 million) of emergency support for Sri Lanka in April and May month and will. Kohona aforementioned that we need a lot more of it.