China's Historic $3.7 Billion Investment Boosts Sri Lanka's Economy

China has pledged a $3.7 billion investment in Sri Lanka for an advanced oil refinery, marking the largest-ever foreign investment in the island. This followed Sri Lankan President Anura Kumara Dissanayake's visit, where 15 agreements were signed, enhancing BRI cooperation and expanding China-Sri Lanka relations.

China is set to inject $3.7 billion into Sri Lanka for the construction of a state-of-the-art oil refinery, marking the largest foreign investment in the country to date. The announcement was made during Sri Lankan President Anura Kumara Dissanayake's state visit to China.

On Thursday, President Dissanayake engaged with Chinese Premier Li Qiang and Zhao Leji, Chairman of the Standing Committee of the National People's Congress, urging further investment from China. During his visit, 15 agreements were inked, including a significant one between Sri Lanka's Ministry of Energy and Sinopec.

The refinery will boast a capacity of two lakh barrels and will be located in the strategic port city of Hambantota, where China has a 99-year lease. This development comes amid India's concerns over Chinese ship visits and underscores China's influence in Sri Lanka as the island navigates its economic recovery.

(With inputs from agencies.)