The status of BRI projects in Srilanka
Download the report: Link Year Import from China Export to China Balance of Payment 2017 $3.29 billion $137.39 million -$3.15 billion 2018 $3.52 billion $152.3 million -$3.37 billion 2019 $3.65 billion $169.8 million -$3.48 billion 2020 $4.75 billion $186.2 million -$4.56 billion 2021 $5.17 billion $200 million -$4.97 billion 2022 $5.75 billion $215.6 million -$5.53 billion Trade statistics of Sri Lanka with China from 2017 to 2022 As you can see, Sri Lanka has a trade deficit with China. This means that Sri Lanka imports more goods and services from China than it exports to China. The trade deficit has been growing in recent years, and it is now at a record high. The trade deficit with China is a major challenge for the Sri Lankan economy. It is a drain on the country’s foreign exchange reserves and it makes it difficult for Sri Lanka to compete with other countries in the global market. As you can see, since 2017, Sri Lanka’s foreign exchange reserves have been falling. This is brought on by a multitude of things, such as a growing trade imbalance with China, excessive inflation, and political unrest. Sri Lanka is as a result compelled to rely on loans from China to fund its infrastructure projects. Since 2017, Sri Lanka’s overall debt to China has risen. Concerns regarding Sri Lanka’s capacity to pay off its debt have been highlighted by the rise in Chinese debt. China’s Belt and Road Initiative (BRI) has had a devastating impact on Sri Lanka. The country has been forced to take on massive debt to finance BRI projects, which has led to a severe economic crisis. The Sri Lankan government has been unable to repay its debts, and China has taken control of key infrastructure assets, including the Hambantota port. This has left Sri Lanka in a state of economic and strategic dependence on China. The BRI has also led to environmental damage in Sri Lanka. Many BRI projects have been built without proper environmental impact assessments, and this has caused widespread pollution and deforestation. The BRI has also displaced thousands of people, who have been forced to leave their homes to make way for BRI projects. Our investigation revealed that a majority of Belt and Road Initiative (BRI) projects in Sri Lanka had major problems. 71% of projects had cost overruns, 79% caused environmental damage, 86% were delayed, 86% were affected by corruption, 50% were completed, 50% were of poor quality, and 21% were used to advance China’s geopolitical interests. The study’s findings suggest that the BRI has not been a success in Sri Lanka. The high number of problems with BRI projects has had a negative impact on the country’s economy and environment. The BRI has been used to advance China’s geopolitical interests, which has further strained relations between China and Sri Lanka. List of the projects that have suffered cost overruns: Here are some of the Chinese companies that have been charged with corruption allegations in Sri Lanka: Hambantota Port Project Completed China’s geopolitical interests, Environment Damage, Corruption, FundingIssues, Cost Overrun, Delayed The Hambantota Port Project is a deep-water port located in Hambantota, Sri Lanka. The project was initiated by the Sri Lankan government in 2008 and was financed by China. The total cost of the project was estimated to be $1.5 billion, but it ended up costing $3.8 billion. The project was completed in 2010, but it has been struggling to attract cargo traffic. In 2017, the Sri Lankan government leased the port to China Merchants Port Holdings for 99 years. The Hambantota Port Project has been plagued by several issues. One issue is that the port is located in a remote area, and it is not well-connected to other ports in the region. Another issue is that the port is not deep enough to handle large ships. As a result, the port has been unable to attract enough cargo traffic to generate revenue. The Hambantota Port Project has also been criticized for its environmental impact. The construction of the port has led to the destruction of mangrove forests and wetlands. The port has also been accused of polluting the water and air in the area. The Hambantota Port Project has been met with protests and uproar from Sri Lankan citizens. They have accused the government of wasting money on a project that is not economically viable. They have also expressed concerns about the environmental impact of the port. The Hambantota Port Project has also been criticized by world leaders. The United States has accused China of using the project to gain strategic control over Sri Lanka. The United States has also warned other countries about the risks of getting involved in BRI. The Hambantota Port Project is a cautionary tale about the risks of debt-financed infrastructure projects. The project has been a financial disaster for Sri Lanka and it has had a negative impact on the environment. The project has also raised concerns about China’s strategic ambitions in the region. Colombo Port City Project China’s geopolitical interests, Environment Damage, Corruption, FundingIssues, Cost Overrun, Delayed The Colombo Port City initiative is a $15 billion initiative in Colombo, Sri Lanka, to build a new financial and commercial center. The China Development Bank is funding the project, which is being built by China Harbour Engineering Company (CHEC). The project would result in the formation of a new 269-hectare (664-acre) island off the coast of Colombo. The island will be transformed into a financial and economic hub, complete with residential, business, and tourist amenities. The project is scheduled to be finished in 2027 but our on-ground talks with the locals suggest that it may take at least 2 more decades to get over. The project has already overrun its budget by a whopping $1.5 billion. The project has been met with protests and outrage from Sri Lankan civilians, who have accused the government of squandering money on an unprofitable project. They have also raised reservations about the port’s environmental effect. World leaders…
