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World / Asia-Pacific

Sri Lanka officially informs Chinese investors of resuming construction of mega Port City project

(Xinhua) Updated: 2016-03-15 09:57

COLOMBO - The Sri Lankan government on Monday officially informed the Chinese investors of resuming the construction of the multi billion dollar Port City project in the capital, one year after its suspension.

The Ministry of Ports and Shipping, in an official letter to the CHEC Port City Colombo (Pvt) Ltd, said that the company could resume the construction of the project immediately.

"At its meeting held on March 9, 2016, the Cabinet of Ministers has granted approval for the project to resume immediately," the letter said.

"Accordingly the suspension effected by my letter dated March 6, 2015, is hereby withdrawn with effect from today (Monday)," the ministry said in the letter.

The 1.4 billion dollar project which will be the first of its kind in South Asia began construction adjacent to the Galle Face Green and near the Colombo Harbour in September 2014 under the previous government. However, it was suspended by the new government of President Maithripala Sirisena in March last year, six months after it began construction. The new government said that the project needed to be reviewed.

The Port City is expected to boost the local economy by generating millions of dollars upon its completion and generate over 80,000 jobs.

Prime Minister Ranil Wickremesinghe said that the island nation will have a "unique financial and business district" in Colombo when the Port City resumes work.

The project includes a marina and yacht club, a central boulevard, a sea view apartment complex and a five-star hotel, shopping and entertainment center, office space, a mini golf course, and many other modern facilities.

The Port City is also vital in the government's megapolis development program which was launched this year and is set to transform the capital and its suburbs in the coming years.

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