Which projects of India and China are at stake in Sri Lanka?
Sri Lanka is an island country located in the Indian Ocean. Due to its ports, it has been an important part of the Silk Route in ancient times. This country with a population of just 2.21 crores is very important for both India and China due to its geographical location.
Although Sri Lanka is currently ruled by Anura Dissanayake, a leftist who is considered close to China, by choosing India for his first foreign trip, he has given a clear message about how important India is to him. This move of his is being considered a big setback for China because China is as interested in Sri Lanka as India is, but the objectives of both countries are different.
Whatever the circumstances, both India and China want to maintain good relations with Sri Lanka. The biggest reason for this is that while China is working on a strategy to use this region against India, India does not want to let Sri Lanka go away under its maritime security and Neighborhood First policy. This is the reason that many projects of India and China are at stake in Sri Lanka.
India has many big projects in Sri Lanka.
India is working on many big projects in Sri Lanka, apart from this, during Anura Disanayake's visit to India, there was an agreement to move forward on many important projects. India is also working on a housing project in Sri Lanka, soon the work of Phase-3 and Phase-4 related to this project is going to be completed. Apart from this, 3 island hybrid renewable energy project and community development project are also going on.
India is also rapidly progressing on the solar electrification project in the religious places of various communities in Sri Lanka. Apart from this, a $5 billion road, rail link project is being discussed between the two countries, which will improve connectivity between India and Sri Lanka. After the meeting between the President of Sri Lanka and PM Modi, it has been decided that India will supply LNG for Sri Lanka's power plants. Also, both the countries have agreed to finalize the agreement related to defense cooperation soon.
Talking about the three major projects between the two, the first among them is direct connectivity. Under this, a bridge is to be built in the sea between India and Sri Lanka, although the decision on what its structure will be is yet to be made. The second major project involves connecting Sri Lanka's power distribution sector to India's power grid, while the third project is to build a pipeline for gas and oil supply between the two countries.
China is trying to increase its influence.
Sri Lanka is dependent on China to deal with its foreign debt burden. China has invested about $12 billion in Sri Lanka's infrastructure projects between 2006 and 2019. However, India has also helped Sri Lanka a lot during the economic crisis, the Indian government has so far given Sri Lanka a line of credit and a grant of $5 billion.
Talking about the major projects of China in Sri Lanka, the most important is the Hambantota port. The Hambantota port of Sri Lanka has been built by China. For this port, Sri Lanka borrowed 1.2 billion US dollars from China Ex-Im Bank. After which in the year 2017, Sri Lanka handed over this port to China on a lease of 99 years.
Now it is planning to build another port like Hambantota. Apart from this, there is also a plan to set up a real estate project and a radar base outside Colombo. Through this radar base, China will be able to keep an eye on the activities of the Indian Navy and the nuclear power plants built in Tamil Nadu.
Sri Lanka is an important part of BRI.
Apart from this, China is building Colombo Port City in Sri Lanka, this project was started in the year 2014 and is targeted to be completed by the year 2042. Apart from this, Sri Lanka is also an important part of China's ambitious Belt and Road Initiative (BRI) project. China is developing two new trade routes through this project under which it will establish connectivity to Africa and Europe through a network of railways, ports, highways, and pipelines.