On Monday, Chinese President Xi Jinping expressed his hope to expand cooperation with Sri Lanka through his Belt and Road Initiative (BRI) as he congratulated the newly elected President Anura Kumara Dissanayaka.
Dissanayaka was sworn in at the Presidential Secretariat in Colombo, pledging to restore public trust in the political system. His appointment comes as Sri Lanka emerges from a prolonged economic crisis, partially attributed to high-debt Chinese mega-projects under the BRI—Xi’s flagship global infrastructure project aimed at expanding China’s influence.
“I place great importance on the development of China-Sri Lanka relations and am eager to work with the President to strengthen our traditional friendship and enhance mutual political trust,” Xi stated in a message to Dissanayaka, as reported by state broadcaster CCTV.
Xi expressed optimism that cooperation between the two nations under the BRI would “yield greater results” and emphasized Beijing’s commitment to advancing mutual assistance and their long-standing strategic partnership for the benefit of both countries’ populations.
Western critics have accused China of using the BRI to trap developing nations in unsustainable debt, exert diplomatic leverage, or seize assets. However, many global leaders and research institutions, including London’s Chatham House, have challenged this “debt trap” narrative.
In 2017, Sri Lanka was forced to lease its Hambantota port to a Chinese firm for $1.12 billion after it could not repay a significant Chinese loan. The country defaulted on foreign debt in 2022, triggering severe shortages of food, fuel, and medicine.
China, Sri Lanka’s largest bilateral creditor, holds $4.66 billion of the $10.58 billion the country owes to foreign nations. Last year, the International Monetary Fund (IMF) approved a $2.9 billion bailout package for Sri Lanka, and China agreed to restructure its loans. This month, Sri Lanka also secured a deal with international bondholders to complete its debt restructuring process.
(Source: AFP)
