The Government today informed Parliament it is confident of reaching an amicable deal with the Chinese company involved in the port city project on compensation sought over the losses incurred as a result of the temporary suspension of the project work.
Megapolis and Western Province Development Deputy Minister Lasantha Alagiyawanna told Parliament that an initial agreement has been reached where Sri Lanka will not be required to pay the compensation sought by the Chinese company.
He said that discussions are still ongoing between the Government and China on the compensation issue and the way forward.
The Deputy Minister also insisted that Sri Lanka had not lost investment opportunities as a result of the decision taken last year to temporarily suspend work on the project over environment concerns.
He said that concerns over the agreement reached between the Chinese company involved in the project and the former Government has also been addressed with changes being made to the agreement.
Alagiyawanna said the Chinese funded project has now been given the clearance to proceed with the construction work. (Colombo Gazette)