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Ensure sound legal environment for our projects:China to Lanka

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Press Trust of India Beijing
Last Updated : Feb 27 2015 | 8:48 PM IST
China today asked the new Sri Lankan government to ensure sound legal environment for its multi-billion dollar investments in the island, amid uncertainty over China-funded Colombo Port City project.
"Sri Lanka should offer a sound legal environment for Chinese investments," Premier Li Keqiang told visiting Sri Lankan Foreign Minister Mangala Samaraweera during their meeting here.
Li said China valued its ties with Sri Lanka, and respected the Sri Lankan people's choice of a development path that fits in its reality.
Earlier, Samaraweera after meeting his Chinese counterpart Wang Yi, said that some projects, not only Chinese, are being reviewed in the light of certain allegation which were made by the people during the last elections.
"There are certain allegations of corruption, again not directly involving Chinese projects alone but others as well. Like the government of China, the Lankan government is committed to wage a war on corruption," Samaraweera said, addressing a joint press conference with Wang after the talks.
"We have decided to review some of those projects. Review the tender procedures and environmental procedures. The government has appointed cabinet sub-committee to review the projects and give a report on each of these projects as soon as possible," he said.

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Samaraweera is visiting China on a two-day trip, taking place in the backdrop of the new Sri Lankan government's decision to review the USD 1.5 billion Colombo Port Project, especially its environmental impact as it will be built on reclaimed land.
The port, expected to play a key role for China's ambitious Maritime Silk Road project in India's backyard, is being seen as the single largest private sector development ever in the island.
The project, would allow China Communication Construction Co Ltd, a Chinese government-owned infrastructure builder, to hold land in a high-security zone within close proximity to the Colombo port.
In the run up to the last month's polls, President Sirisena and Prime Minister Wickremesinghe criticised the mega investments by China, stating that they were taken at high rates of interest and deeply indebted Sri Lanka.
The port city project envisages reclaiming 233 hectares of water front to be developed as a port city with roads, water, electricity, communication facilities to set up shopping areas, water sports area, mini golf course, hotels, apartments, recreation areas and marinas.

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First Published: Feb 27 2015 | 8:48 PM IST

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