Sri Lanka to renegotiate Hambantota port deal with China

Sri Lanka is to scale back the Hambantota port deal with China after widespread protests by local residents.

The original deal was to transfer an 80% stake to China Merchants Port Holdings through a long lease. However, after protest by local community members and some politicians, it is expected that the deal will be renegotiated.

“We have proposed several changes and we will end up with a situation which is far more favourable to the institution [Sri Lanka Port Authority],” said the Ports Minister, Arjuna Ranatunga.

The port was built during Rajapaksa’s presidency and is included in the $8-billion worth of debt to be owed to the Chinese.

Read more on The Hindu.

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