Sri Lanka secures $3.7 Billion investment from China for oil refinery

During Sri Lankan President Anura Kumara Dissanayake’s four-day state visit to China, Sri Lanka achieved a major milestone by securing the largest foreign direct investment in its history.

The $3.7 billion agreement was signed today (January 16) between Sri Lanka’s Ministry of Energy and Sinopec, a leading Chinese petroleum corporation.

This investment will fund the construction of a state-of-the-art oil refinery in the Hambantota region.

The refinery will have a production capacity of 200,000 barrels and will significantly boost Sri Lanka’s foreign exchange earnings by exporting a substantial portion of its output.

The project is expected to strengthen Sri Lanka’s economic growth and improve the livelihoods of low-income communities in the Hambantota area.

The positive impacts of this investment are also expected to benefit the broader population across the country.

The signing ceremony was attended by Minister of Foreign Affairs, Labour, and Tourism Vijitha Herath, Minister of Transport, Highways, Ports, and Civil Aviation Bimal Rathnayake, and Director General of Government Information H. S. K. J. Bandara, along with other notable officials.