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Prez AKD to woo rising global Economic power

by malinga
January 10, 2025 1:10 am 0 comment

On the eve of President Anura Kumara Dissanayake’s official visit to China next week, the Government officially put the record straight that the long-standing One-China policy will firmly embedded in Sri Lanka’s international relations. This visit signifies the 68 years of Sri Lanka-China relations on one hand and reaffirms Sri Lanka’s foreign policy of non-alignment and neutrality and the desire to have cordial relationship with friendly neighbour India and main economic partner China.

President Dissanayake’s visit to China follows his visit to India in December, his first foreign trip since assuming charge on September 21.

China held nearly than half of Sri Lanka’s bilateral debt at the height of the economic crisis in 2022, when the country ran out of foreign currency to pay for essential imports such as food, fuel and medicine.

The economy is recovering after receiving a bailout from the International Monetary Fund (IMF) initiated by the previous Government and continues with the fullest endorsement of the current Government. Head of the radical Marxist party, Janatha Vimukthi Peramuna, Anura Kumara Dissanayake took office as President in September with a pledge to fight corruption and tighten his grip on power after the alliance, National People’s Power (NPP) won a landslide election victory.

Indian investments

The destination of President Dissanayake’s first foreign trip as Head of State was to neighbouring India, where he established a rapport with Prime Minister Narendra Modi and succeeded in obtaining a huge grant and ensure several Indian investments in key areas.

The benefits of Sri Lanka’s foreign policy of neutrality was evident during the recent challenges faced on several fronts and next week’s visit will be another significant milestone in continuation of that policy.

The President will be accompanied by Senior Ministers, Vijitha Herath the Foreign Minister, and Bimal Rathnayaka, the Minister of Transport.

Cabinet Spokesman Jayathissa said a proposal by the Foreign Minister to express Sri Lanka’s acceptance of ‘One China policy’ was cleared at the Cabinet meeting held on January 6.

One China policy

It is a fact that Sri Lanka has continued to accept the People’s Republic in its One China policy and has treated Taiwan as a province in China.

On September 23, 2024, President Xi Jinping sent a congratulatory message to Anura Kumara Dissanayake on his inauguration as President of the Democratic Socialist Republic of Sri Lanka.

Xi Jinping pointed out that China and Sri Lanka are traditional friendly neighbours. Since the establishment of diplomatic relations between the two countries 67 years ago, China and Sri Lanka have always understood and supported each other, setting a good example of friendly co-existence and mutually beneficial cooperation between countries of different sizes. Xi Jinping said that he highly values the development of China-Sri Lanka relations, and is ready to work with President Dissanayake to carry forward the traditional friendship, enhance political mutual trust, facilitate more fruitful high-quality Belt and Road cooperation, and make steady and long-term progress of China-Sri Lanka strategic cooperative partnership featuring sincere mutual assistance and ever-lasting friendship, so as to bring more benefits to the people of the two countries.

Last month, Qin Boyong, Vice-Chairwoman of the National Committee of the Chinese People’s Political Consultative Conference (CPPCC) called on President Dissanayake and Prime Minister Harini Amarasuriya and reaffirmed the commitment to advancing high-quality development under China’s Belt and Road Initiative (BRI).

Former Prime Minister Dinesh Gunawardena said when he was Foreign Minister earlier that although it was quite evident during the 30 years of conflict as many countries – Pakistan, China, Russia, United States, Israel and India – came to assist at different times, the success of Sri Lanka’s foreign policy became most prominent during the last three years of difficulties due to the pandemic and economic downturn.

Development assistance

In addition to Government-to-Government development assistance as well as investments, Sri Lanka is also receiving generous grants and development cooperation and investments in the second tier such as from the state Governments of India and Provincial Governments of China.

Last year a high-level delegation headed by the Yunnan Provincial Federation of Industry & Commerce Chairman Gao Feng, who is also CPPCC Vice Chairman, held a discussion with the then Prime Minister Dinesh Gunawardena on the follow-up plans on trade and investment proposals emanated during the Prime Minister’s visit to Yunnan in April 2023.

During the meeting, the high-level delegation of Chambers of Commerce and Industry and leading entrepreneurs of Yunnan held a detailed discussion on how to enhance trade and investment between Yunnan and Sri Lanka.

Yunnan’s keenness to have closer relations became evident from the visit of the Chamber head Gao Feng who, as CPPCC Vice Chairman, is responsible for all economic and trade and investment affairs concerning Yunnan.

Areas for collaboration

During the discussions, trade, tourism, agriculture, technology and investments in solar and wind power were identified as potential areas for collaboration.

President Dissanayake will be able to ensure during his visit that necessary measures to take forward the agreements reached during the visit of former Prime Minister during his visit to Yunnan in August 2023 are taken immediately as they would immensely benefit Sri Lanka.

There were several agreements and Memorandum of Understandings (MOUs) during the 2023 visit to the Yunnan Academy of Agriculture Sciences, Kunming International Flower Trade Centre and Auction, Yunnan Solar Power Station, Gushen Village Experimental Paddy Field, Errhai Ecological Corridor, Xiaguan Tuocha Tea Experimental Center and Three- Pagoda Chongsheng Temple in Dali in Yunnan Province. It was decided to cooperate in tea, paddy, and other crops, gem and jewellery and tourism.

China also pledged Rs.1500 million for the benefit of the fisheries sector in the North. This grant was given to mark the tenth anniversary of the Belt and Road Initiative. It was also announced that LKR 500 million will be provided for the construction of housing for fishermen and another LKR 500 million for the provision of fishing gear such as nets. The remaining LKR 500 million is meant for the provision of dry rations to the fisher families.

Another Chinese province helping Sri Lanka in the rural revitalisation programme is Chongqing Province. In July last year when Dr Yuan Jiajun, top official of the Chinese Communist Party in Chongqing, who is also a CPC Politbureau member said in Colombo that China would extend fullest cooperation by encouraging, large-scale investments in industrial and agricultural spheres.

He also agreed to provide experts on hybrid rice varieties and other food crops to Sri Lanka of which expertise has been developed by Chongqing-rich researchers.

Food security

You have vast flat lands all over the country suitable for rice and other crops and we will extend assistance to increase harvest by several folds,” he said during his meeting with the then Prime Minister Dinesh Gunawardena.

Sri Lanka requested the delegation to share Chongqing’s experience of successfully alleviating poverty and ensuring food security by using hybrid rice and other food crops to increase production by several times.

Dr Yuan Jiajun assured every possible assistance to ensure speedy progress in poverty alleviation and food security. He said Chongqing could help Sri Lanka double its rice production by introducing hybrid rice varieties developed by China.

In addition to hybrid rice, Chongqing has also developed rice varieties that can be grown in dry zones with water shortages and also in saline lands near the seacoast, he said.

Sri Lanka consistently stood by its commitment to the One-China principle. China firmly support Sri Lanka to uphold its independence, sovereignty and territorial integrity, and supporting the independent choice of development path that suits its national conditions.

Dissanayake’s approach reflects a broader balancing act. After assuming office in September 2024, his first foreign trip was to India in December, where he acknowledged India’s vital role in supporting Sri Lanka during its 2022 economic crisis. This pragmatic diplomacy underscores Sri Lanka’s need to navigate its geographic and economic realities carefully. India’s financial assistance and its historical and cultural ties to Sri Lanka remain indispensable. Meanwhile, China’s investments, particularly in infrastructure, provide critical support for the island nation’s recovery.

President Dissanayake’s visit next week marks a continuation of his efforts to balance relations with China and India, two influential powers with strategic and economic interests in Sri Lanka. The visit aims to strengthen the long-standing partnership with China, particularly in areas like infrastructure and economic recovery through the Belt and Road Initiative.

The President emphasised that Sri Lanka, as an island nation, has the potential to attain a higher standing in the international arena by adopting a nonaligned foreign policy. The close development partnership with China must be viewed in terms of neutrality which aims to avoid reliance on or alignment with any regional power or a global power bloc.

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