China's Diya Group to make colossal investments in Sri Lanka

Shirajiv SIRIMANE

Diya Investment and Management Group Beijing, China one of the biggest trading and real estate companies would be entering Sri Lanka with an investment package running into several billion of dollars.

Zhang Zhi Li, Chairman of the Group who was in the island last week toured Hambantota, Kalpitiya, Anuradhapura and several other areas in Sri Lanka and have now decided to set up a company with an initial capital of US $100 million before the end of the year.

''Our first aim is to commence trading between Sri Lanka," he said. For this purpose for the first time he is looking at building a China Town in the outskirts of Colombo or in Hambantota.

This would be a large area where all Chinese products would be available on a wholesale basis similar to the Pettah wholessale market.

"I am looking at building a large warehouse in Hambantota where ships bringing in goods could be stored. Secondly I am looking at producing fertilizer in Sri Lanka for both the local and export market as there is enough raw material," he said.

The third investment would be in the leisure sector where Diya Investment is looking to build a 300 room five star hotel in Sri Lanka. The company is also looking at acquiring a four or five star hotel soon.

Elaborating his plans in the leisure sector Li said, he is very keen in Kalpitiya and appreciated the plan forwarded by Sri Lanka Tourism to make it an up market destination.

Diya Investment that operates one of the largest travel agencies in China is looking at three hotels in three areas.

"I am looking at opportunities in Colombo, Kalpitiya and either Anuradhapura or Hambantota," he said. Li said he is looking at Anuradhapura to offer religious tour packages for Chinese travellers and the idea behind investing in Hambantota is to woo the airport and harbour traffic.

"To make connections easier among the three proposed hotels I am also looking at commencing a domestic airline service in the future. "I am also looking at setting up a factory to build solar panels in Sri Lanka for both the local and international market and also explore the possibility of generating electricity from garbage,? he said. The Federation of Chamber of Commerce and Industry (FCCISL) who negotiated the visit has also come forward to provide him many other investment opportunities which he is currently studying.