A busy Colombo street
Beijing/Colombo: Following Colombo’s request to Beijing for debt relief, the latter today deflected the issue, ambiguously stating that Sri Lanka will “surely overcome the temporary difficulties”.
Referring to the debt issue, Chinese foreign ministry spokesperson Wang Wenbin cryptically said that since the establishment of diplomatic ties, China and Sri Lanka had been showing each other “understanding and support”.
“China has been providing assistance to Sri Lanka’s economic and social development to the best of its capacity and will continue to do so in the future,” he said. He further stated: “It is believed that with the concerted efforts of the Sri Lankan government and people, the country will surely overcome the temporary difficulties as soon as possible and usher in renewed and greater development.”
Refuting reports that Sri Lanka was struggling economically due to expensive joint Chinese investments that were not profitable, Beijing retorted by claiming further that it was “untrue to say that joint Chinese investments are expensive and not profitable”.
Wenbin asserted that China-Sri Lanka cooperation “is mutually beneficial and has been warmly welcomed by all sectors in Sri Lanka”.
Already there are strong speculations about whether China will grant the debt restructuring that Sri Lanka has asked for, and help to repay the latter upcoming debt maturities. Moreover, Chinese Foreign Minister Wang Yi’s call to Sri Lanka to return to the table on a free trade agreements, too has created a perception that whether this is a condition for debt and restructuring. It may be mentioned that on Sunday, January 9, 2022, Yi had told Sri Lankan President Gotabaya Rajapaksa in Colombo to discuss the restart of talks on free trade agreement by tapping the opportunities of the Regional Comprehensive Economic Partnership (RCEP) agreement and China’s vast market. Wang had said that the Colombo Port City and Hambantota Port projects could be engines for pushing forward bilateral cooperation.
Going by today’s developments, these speculations don’t seem unfounded. While Wenbin parried a question on the free trade agreement, he again referred to the controversial Colombo Port City and Hambantota Port projects. “We will make good use of the two flagship projects of Colombo Port City and Hambantota Port to help Sri Lanka realize its “Vistas of Prosperity and Splendour”, and better deliver benefit to the two countries and peoples,” Wenbin tod reporters. He parried a question on the free trade agreement.
As it is, there are apprehensions within Sri Lankan policy makers about the two projects that many believe to be a hasty decision by Colombo that will only serve China’s strategic interest. According to a report by a think tank, Policy Research Group – Strategic Insight, the way the Colombo Port City Economic Commission bill, which was tabled in the Sri Lankan Parliament in April 2021, and passed through Sri Lankan Supreme Court, raised questions over the Supreme Court’s speedy approval of the project by obviating the need for two-third majority or a referendum. Experts believed that China had taken advantage of Sri Lanka’s deep economic crisis.
Today Wenbin strongly reminded Colombo of the latter’s commitment towards the one-China policy, and told it to remain committed to staunchly support China’s “just proposals” on international occasions. He went on to state: “China firmly supports Sri Lanka in safeguarding national sovereignty, independence and territorial integrity”. He referred at great length to Yi’s visit to Sri Lanka, where the Chinese foreign minister had joined Sri Lanka’s President Gotabaya Rajapaksa and Prime Minister Mahinda Rajapaksa in attending the launching ceremony of celebrations to mark the 65th anniversary of China-Sri Lanka diplomatic relations and the 70th anniversary of the signing of the Rubber-Rice Pact.
“China is ready to work with Sri Lanka to carry forward the spirit of the Rubber-Rice Pact characterized by independence, self-reliance, unity and mutual support, further deepen political mutual trust, fight against the epidemic together, synergize development strategies, promote multilateralism and consolidate and expand the bilateral strategic cooperative partnership,” Wenbin said.
He also referred to Wang Yi’s observation during his visit to Sri Lanka that that island countries in the Indian Ocean have similar experiences and common needs, boasts similar natural endowments and share similar development goals. ” The Chinese side proposes that a forum on the development of island countries in the Indian Ocean can be held at an appropriate time to pool consensus and form synergy for common development,” he said.
– global bihari bureau
