ADB to assist in expansion of Colombo Port
EXPANSION PROJECT:ADB will help fund the expansion of the
Colombo Port with a $300 million loan that will substantially upgrade
the facility.
"Colombo Port is a natural transshipment hub for South Asia," said
Prodyut Dutt, a Senior Transport Specialist with ADB's South Asia
Department. "In recent years, Colombo Port has lost market share in
transshipment because it does not have the operating capacity or depth
required to berth the latest generation container ships."
The Colombo Port Expansion Project will be implemented as a public
private partnership project.
The public sector will implement the common user harbour
infrastructure works, such as dredging and breakwater construction
sufficient to accommodate three new container terminals.
The private sector will develop and operate the container terminals
which will be built sequentially. The Project will also help establish a
new marine operations center, relocate an underwater oil pipeline and
provide navigational aids.
The Container-handling capacity will be increased from 3.3 million
20-foot containers in 2006 to 5.7 million by 2010 and eventually to 10.5
million.
This expansion will assist Sri Lanka in generating additional income
from transshipment. Foreign direct investment in the ports sector is
expected to increase by about $800 million by 2024.
Under the current conflict situation, security measures have been
highlighted and incorporated into the project.
The project will promote Sri Lanka's overall economic growth by
improving its international competitiveness with lower transport costs
and faster delivery times. Faster economic growth will bring benefits to
all citizens of Sri Lanka.
Through this and other projects, ADB remains constructively engaged
in supporting the country's development under the current difficult
situation. |