Japan to Bolster Sri Lanka’s Infrastructure with Lifeline Assistance
Japan to Bolster Sri Lanka’s Infrastructure with Lifeline Assistance
Japan is considering providing financial assistance to Sri Lanka to help the country revive key infrastructure projects that were suspended due to the current economic crisis.
The two sides discussed the possibility of restarting several projects, including the Light Rail Transit (LRT) project in Colombo and the East Terminal of the Colombo Port.
Japanese Foreign Minister Hayashi Yoshimasa and Sri Lankan President Gotabaya Rajapaksa met in Tokyo on Tuesday to discuss ways to boost cooperation between the two countries.
Hayashi said that Japan is willing to provide financial assistance to Sri Lanka to help it implement its economic reform program. He also said that Japan is ready to work with Sri Lanka to revive the stalled infrastructure projects.
Rajapaksa said that he is grateful for Japan’s assistance and that he is confident that the two countries can work together to overcome the current economic challenges.
The LRT project is a US$1.5 billion project that would have connected the suburbs of Colombo with the city center. The East Terminal project is a US$740 million project that would have expanded the Colombo Port.
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Both projects were suspended in 2021 due to financial constraints.
The Japanese government is also considering providing financial assistance to Sri Lanka to help it import essential goods, such as fuel and food.
Sri Lanka is facing a severe economic crisis, with inflation at a record high and the country’s foreign exchange reserves running low. The government has been forced to impose a number of austerity measures, including a fuel shortage and a ban on the import of certain goods.
The economic crisis has led to widespread protests in Sri Lanka, with demonstrators demanding the resignation of the government.
The Japanese government is one of the largest donors to Sri Lanka, and it has provided the country with billions of dollars in assistance in recent years.
The two countries have a long history of close cooperation, and Japan is seen as a key ally of Sri Lanka.
How Japan’s Assistance Could Help Sri Lanka
Japan’s assistance could help Sri Lanka in a number of ways. First, it could provide the country with much-needed financial resources to implement its economic reform program. Second, it could help to revive the stalled infrastructure projects, which would create jobs and boost economic growth. Third, it could help Sri Lanka to import essential goods, which would help to alleviate the current shortages.
The Future of Japan-Sri Lanka Cooperation
The meeting between Hayashi and Rajapaksa was a sign of the strong commitment that both countries have to their relationship. The two sides agreed to work together to overcome the current economic challenges and to promote further cooperation in the areas of infrastructure, trade, and investment.
It is likely that Japan will continue to provide assistance to Sri Lanka in the coming months and years. The two countries have a long history of close cooperation, and they are likely to continue to work together to promote their shared interests.
