Thursday, February 27, 2020

China invests $800 mn on a Marina Track in Colombo


CHEC Port City Colombo (Pvt) Ltd, a Chinese Communications unit, has invested $800 million of a total of $1.4 billion in land reclaim, and is preparing to market and build support facilities, an official said. "So far, only $800 million has spent from the initial $1.4 billion investment," Nihal Fernando, project manager for the Port City initiative, told the media. The City of Port rolled out with the Urban Development Authority of Sri Lanka.

In 2019 under the first phase of the project, it completed the reclamation of 269 hectares of land from the ocean south of the Colombo Port. Fernando said the rest of the funds from the initial investment used to build a yachting marina. It will have a central park, as well as other facilities.
The second phase of the project will see the firm marketing the plan to invest internationally. Overall, it expected that Port City, also known as the Colombo International Financial Centre, will attract US$ 15 billion in investment to Sri Lanka. They have already allocated the first three buildings. Fernando said some of the building has already begun, and the first building will open in 2023.
He said CHEC await concessions from the government to go out and sell the project. A new law is a draft on how the Port City will operate, making it easier to arbitrate and settle international contracts and becoming a hub for such activity in South Asia.
"Everything has now lined up, and the government is very keen on that as well. The legislation is coming out very early," said Fernando. "China-Sri Lanka partnership is getting stronger day by day," he said.
The sale of real estate in the Colombo Port City is an ideal investment opportunity for foreign investors to invest in Sri Lanka’s future. Investments in Port City are possible in several areas that range from business, leisure, health and many other sectors.
Local businesses could also grab the opportunity to seek foreign business entities to form partnerships/joint ventures to set up new investments in the Port City. Even with Sri Lanka closing in on achieving hub status in the Indian Ocean region, holding a land space in the Colombo Port City will be a great asset in the global business sphere.
OSL Take: The Belt and Road Initiative expected to possibly become the most significant infrastructure project ever involving 68 countries around the world resurrecting the old “Silk Road” that used to link Europe and Asia.
 The initiative’s objective is to make economic and trade activities along the route dynamic and vigorous once again, establishing it as the world’s most dominant trading area. The Belt and Road Initiative will complement the government of Sri Lanka’s aim of establishing Sri Lanka as a global hub and also open avenues for innumerable opportunities.
 VBS/AT/27022020/Z_TB1

No comments:

Post a Comment