New agreement puts Sri Lankan port city back on track

The construction of a new financial city in Sri Lanka’s capital Colombo has been given the green light by the government.

A tripartite agreement between Sri Lanka’s Urban Development Authority, the Ministry of Megapolis and Western Development and the China Harbour Engineering Company has put back on track the US$ 1.4 billion project that stalled last year, following environmental concerns.

The Sri Lankan government is hoping that the project, which has been renamed the Colombo International Financial City, will help transform the country into a financial hub in the Indian Ocean region.

Speaking at the signing ceremony last week, Champika Ranawaka, Minister of Megapolis and Western Development, said the project was one of the key phenomenon that would decide the future development of Sri Lanka.

Under the new agreement, the city has been expanded to 269 hectares and will now include central parks and public beaches. It is also expected to create thousands of jobs in the country.