China to build 19,000 houses for the poor in Sri Lanka

A similar project by India stalled

Colombo (Sri Lanka) – Sri Lanka’s Minister of Urban Development and Housing, Prasanna Ranatunga, has announced that Sri Lanka is set to sign an agreement with China in October to construct more than 19,000 affordable houses for impoverished families. This agreement will be formalised during the ‘Belt and Road Initiative’ (BRI) summit to be held in Beijing, with the participation of President Ranil Wickremesinghe. This development has raised concerns about China’s increasing influence in Sri Lanka. On the other hand, India has also pledged to build houses for low-income groups here but these projects are currently stalled. In 2010, the Government of India unveiled plans to construct 50,000 houses, with an estimated cost of 3,300 crore Sri Lankan rupees.

During the financial crisis of 2022, China extended assistance to Sri Lanka by distributing essential provisions through various channels, including the Sri Lankan Government, temples, political parties, and friendly social organisations in China. This support contributed to the construction of approximately 2,000 houses in Sri Lanka.

Editorial Perspectives

  • China is constantly trying to exert influence in Sri Lanka through one or the other means or leveraging it against India. India must respond resolutely to these tactics employed by China.
  • Given that China is regarded as a rival by India, and India is actively providing assistance to Sri Lanka, it is imperative for Sri Lanka to be vigilant about allowing China to extend its influence under the pretext of aid. In the event that Sri Lanka continues to permit such encroachments by China, India may need to consider taking assertive measures to convey a clear message to Sri Lanka.