No more Chinese loans?

The Government of China is seriously considering refraining from granting any more loans to Sri Lanka, informed sources revealed.

A high level group of Chinese Government officials, who are currently in Colombo, had reportedly conveyed this decision to a few top officials in the Government.

It is stated that Beijing had decided to abstain from granting loans or aid to Colombo due to two reasons. One of the main issues is said to be the problems that had cropped up in connection with the construction of the third phase of the Central Highway.

The second reason is the controversial Chinese fertiliser vessel that had been sent back from Colombo after its arrival here. It is reported that China had granted loans to Sri Lanka amounting to US$ 16 billion. 

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