The economic reality is that Sri Lanka leased out Hambantota port to China largely due to a persistent balance of payment (BOP) crisis resulting from the reduction of trade over the years even while external debt servicing costs have been soaring. Sri Lank faced a severe shortage of foreign reserves in light of the upcoming […]
Port City Colombo, an ambitious Chinese-funded project to build a new metropolis on a 665-acre island reclaimed from the sea, is set to rise just off the popular spot in a couple of decades. Rising in tandem, however, are concerns about the amount Beijing is lending Colombo, and the circumstances of those loans – with the controversial […]
On the first day of the New Year, the Chinese and Sri Lankan flags were hoisted to the same height over the Hambantota port in the Indian Ocean nation. It was the first time the Chinese flag had risen over the loss-making facility which Sri Lanka formally handed over to a Chinese state firm in […]
Hambantota isn’t just a place in Sri Lanka, it’s a symbol. What started out as a gargantuan project to transform an undeveloped swath of Sri Lankan jungle into the country’s number two city — an industrial and logistical epicenter in the heart of the Indian Ocean — turned into a metaphor for opaque government dealings, poor […]
Japanese Prime Minister Shinzo Abe is slated to visit Sri Lanka soon. Abe will undoubtedly express his appreciation for Sri Lanka’s past assistance to Japan, but a more important task will be to convey Japan’s strong concern over China’s strategic muscle-flexing. He will be trying to pour a bit of cold water on the island-nation’s […]
The New York Times recently reported that China apparently has agreed to take over the operations of a $200 million port it built for Pakistan in Gwadar, on the Indian Ocean close to the Iranian border and close to the entrance to the Persian Gulf. We’ll see if this actually happens. If it does, it will be geopolitically significant. To a […]
looking beyond borders 