From Beijing To Colombo: Impacts Unveiled

Penned by: Rtr. Siluni Mendis

Exploring the Impact of Chinese Loans on Sri Lanka: A Zoom Session with Mr. Shakthi De Silva. In a thought-provoking Zoom session held on 30th July 2024, our members had the privilege of engaging with Mr. Shakthi De Silva, a distinguished lecturer and expert in International Relations. Known for his deep insights into Sri Lanka's foreign policy and broader geopolitical dynamics, Mr. De Silva provided an illuminating analysis of the complex and often controversial issue of Chinese loans to Sri Lanka.

Diving into the Details: The session commenced with an introduction to the context of Chinese loans in Sri Lanka. Mr. De Silva outlined the historical backdrop of Sri Lanka’s economic relationship with China, tracing the roots of financial engagements that have evolved over the past two decades. He elaborated on how these loans have been instrumental in funding large-scale infrastructure projects, including the Hambantota Port and the Colombo Port City, which have attracted significant global attention.

Analyzing the Economic and Political Implications: Mr. De Silva then delved into the economic implications of these loans, highlighting both the opportunities and the risks associated with them. He addressed the concerns surrounding the sustainability of Sri Lanka’s debt, drawing attention to the growing burden on the nation's economy.