2016-11-08

Colombo/Beijing: Sri Lanka today warned China against raising its concerns in public after the Chinese envoy in Colombo criticised the island-nation for complaining about high rates being charged on Chinese loans for infrastructure.

The strong reaction from Sri Lankan Foreign Ministry came as China defended its envoy’s comments to local media last week that Colombo should stop criticising the “expensive” loans.

Sri Lankan Foreign Ministry said that it was prepared to discuss any concern with China following the critical comments by ambassador Yi Xianliang, the Colombo Gazette reported.

Foreign Secretary Esala Weerakoon spoke to Yi on telephone yesterday and “noted” Sri Lanka’s willingness to discuss his concerns, said the Sri Lankan Foreign Ministry.

A Foreign Ministry spokesperson said Weerakoon has told Yi it would be best for any concerns China has to be raised directly with the Foreign Ministry – and not the media.

The Ministry, however, denied reports that it was mulling to summon Yi to raise objections to his public criticism.

In Beijing, Chinese Foreign Ministry defended its envoy’s comments, saying he had only “clarified some misunderstandings and misleading remarks” on bilateral cooperation.

“The Chinese Ambassador to Sri Lanka exchanged views with friends from the media on China-Sri Lanka relations and the status quo of bilateral cooperation and clarified some misunderstandings and misleading remarks regarding China-Sri Lanka cooperation at a seminar,” Chinese Foreign Ministry spokesman Lu Kang said.

“The candid exchange of views on relevant cooperation between China and Sri Lanka is conducive to the sound development of bilateral mutually beneficial cooperation as they are good friends that trust and help each other,” Kang told PTI in a written response.

Responding to the questions raised by the media last week, Yi had insisted that China has no hidden agenda in Sri Lanka.

But Yi had warned that Sri Lanka

may lose foreign direct investments if it fails to maintain a consistent policy.

“We give loans to developing countries like Sri Lanka at 2 per cent interest, and not 5 like most other countries,” he had said.

“If you don’t like this one, why you come again, to talk with me about another one,” Yi had told reporters, referring to criticism from lankan Finance Minister Ravi Karunanayake who said Chinese loans carried higher interest rates.

Yi had also criticised the slow progress of Chinese-funded projects and refuted allegations that Chinese firms offered bribes for any project. “The Chinese do not get involved in local politics and will work with the government in power.”

The government of Mahinda rajapaksa depended heavily on Chinese funds for infrastructure development. But President Maithripala Sirisena’s government suspended Chinese-funded infrastructure projects shortly after taking power, accusing the previous regime of corruption.

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