News

Three Chinese loans requested to be considered as state loans!

Published

on

The Finance Ministry has submitted a proposal to the Cabinet seeking approval to consider loans obtained from China for three projects as state loans.

The three projects are Mattala Airport, Norochcholai Power Plant and Hambantota Port.

The purpose of this proposal is to transfer the loan amount obtained from the China Export-Import Bank (Exim Bank of China) to the balance sheet of the Government of Sri Lanka.

As at the end of 2022, an amount of USD 93 million from the loan obtained for the Mattala Airport was still to be paid.

The Finance Ministry said that USD 591 million has to be paid from the loans obtained for the Norochcholai Power Plant project while USD 742 million has to be paid for the Hambantota Port project.

Due to the release of Hambantota Port on a long-term lease basis, the Sri Lanka Ports Authority has removed the relevant loan and asset reports from the financial statements.

Furthermore, the Auditor General has also informed the ministry that eight project loan agreements signed with the Exim Bank have not been included in the government’s financial statements.

Trending

Exit mobile version