Giving a big blow to China, the management of the airport built at a cost of crores in Sri Lanka was handed over to India

India Sri Lanka Airport News : It has been decided to hand over the management of Mattala Rajapaksa International Airport in Hambantota, Sri Lanka to a company of India and Russia. This decision is being considered a big blow for China. This airport has been constructed at a cost of US$209 million.

There was once a most desolate airport…

At one time this airport was considered the most desolate airport in the world due to lack of flights. Mattala Airport is named after former President Mahinda Rajapaksa. Mahinda Rajapaksa’s nearly decade-long rule saw many large-scale infrastructure projects launched, of which this is one.

What did the Sri Lankan government say…

Sri Lankan government spokesperson and minister Bandula Gunawardena said that the Sri Lankan Cabinet approved inviting tenders from potential parties on 9 January. Then 5 proposals were received. An advisory committee appointed by the Cabinet decided to award a 30-year management agreement to India’s Shaurya Aeronautics (Pvt) Ltd and Russia’s Airports Region Management Company. Gunawardena said the Cabinet has approved the proposal submitted by the Minister of Civil Aviation and Airport Services.

China provided commercial loan to Sri Lanka

China provided commercial loans at high interest rates for this project. US$209 million was spent on the project, of which US$190 million was lent by China’s Exim Bank at high interest rates. The Sri Lankan government had been looking for a business partner to manage the airport since 2016 as it was incurring heavy losses. Due to less number of passengers here, the number of flights is continuously decreasing.

Airports are environmentally sensitive

Apart from this, this airport was also quite sensitive from environmental point of view. Due to continuous losses, questions were being raised on the construction of the airport. Many experts say that by building this airport, China has trapped Sri Lanka in another debt trap. Now it remains to be seen what change will happen after Indian and Russian companies get the responsibility of management.