Sri Lanka’s debt burden leaves Gotabaya facing a crisis
Sri Lanka’s newly elected President Gotabaya Rajapaksa inherits more than US$34.4bn worth of debt, a quarter of which are owed to China alone, reports Al Jazeera.
Colombo remains heavily burdened with foreign debt, with the Chinese, in particular, having invested billions in major infrastructure projects ranging from power stations to ports. And as Sri Lanka’s economic crisis worsened, the island was forced to hand over control of Hambantota Port in a debt-for-equity swap with Beijing in 2017.
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