MI. Mohamed Irfan MPPG 6th Batch Welcome to the Presentation on Learning and Unlearning from Chinese Model of Development and China-Sri Lanka Economic Relationship MI. Mohamed Irfan MPPG 6th Batch 6/18/2018

Outline of the Presentation Introduction Learning and unlearning from Chinese economic development China-Sri Lanka Economic Relationship Historical Relationship between Sri Lanka and China Agreement and Infrastructure Development ‘One Belt One Road’ initiative and Sri Lanka 21st Century ‘Maritime Silk Road’ and Sri Lanka Challenges Conclusion 6/18/2018

Learning from Chinese Economic Development The Chinese development model is vastly different from the Western development model. It is a grand global strategy for achieving the “Chinese Dream and Existing Foreign Policy”. Combination of pragmatism, gradualism, economic freedom and political oppression. It is based on massive state-led investments in infrastructure that facilitate industrial development such as roads, ports, electricity, railways and airports. 6/18/2018

Learning from Chinese economic development This model indeed has made it attractive to many developing countries: Successful in boasting the world’s fastest-growing economy under the one-party rule. Fast track for economic growth without visible social and political disorder. New model on how to fight poverty and ensure good governance. 6/18/2018

Unlearning from Chinese economic development Chinese citizens are not satisfied with the development model because China suffers from corruption, inequality, and lack of democracy, human rights and the rule of law. Promote enlightened authoritarianism; neo colonization; more complex and unclear. Environment-related issues. 6/18/2018

China-Sri Lanka Economic Relationship Historical Relationship between Sri Lanka and China Agreement and Infrastructure Development ‘One Belt One Road’ initiative and Sri Lanka 21st Century ‘Maritime Silk Road’ and Sri Lanka Challenges 6/18/2018

Historical Relationship between Sri Lanka and China The two sides always have a sound relationship. Sri Lanka has friendly relationship from before the independence of Sri Lanka such as, a long-term cultural and mutually beneficial cooperation. The official relationship between the two countries started in January 1950. The bilateral economic agreement and trade relationship was signed of Sino-Lanka Rubber-Rice Pact in 1952. 6/18/2018

Agreement and Infrastructure Development The bilateral economic agreement and trade relationship was signed of Sino-Lanka Rubber-Rice Pact in 1952. 1977- Sri Lanka- China trade agreement. 1984- Agreement on economic & trade cooperation. 1994- Sri Lanka-China business council was instituted. In the 21st century, between Sri Lanka and China has many bilateral economic relationships and a number of agreements were held in both countries. Which can be considered the era of China-centric infrastructure development in Sri Lanka. 6/18/2018

Completed under Chinese Cooperation since 1972 Name of the Project Cost (US$ Million) Year Completed Superior Court Complex 3.58 1972 Bandaranaike Memorial International Conference Hall 2.14 1973 Exclusive Economic Zone at Mirigama 28 2009 Polonnaruwa Water Supply & Sanitation Project 32.93 2010 Norochcholai Power Station 1400 2011 Lotus Pond Theatre 30 Colombo-Katunayake Expressway 248.2 2013 Colombo South Container terminal 2.4 Mattala International Airport 210 Hambatota Port Development Project (Phase I &II) 461 2014 Moragahanka Reservoir Project (Stage I) 370 Source: Created by author based on Hariharan (2013) and Deyshappriya (2016). 6/18/2018

Complete Development Projects 1972 Complete Development Projects 1973 2013 2011 2011 2011 2013 2013 2014 6/18/2018

‘One Belt One Road’ initiative and Sri Lanka OBOR initiative was announced by President Xi Jinping in 2013, It has connected around 66 countries from East to West. OBOR has been strongly linked to infrastructure connectivity in Sri Lanka. Colombo Port city project Hambantota harbor (South Port) In future North port, West port and Trincomale port (Eastern) also will come under the direct initiatives of OBOR in Sri Lanka. 6/18/2018

Sri Lanka PM has met Xi Jinping on 14.05.2017 Sri Lankan delegations for OBOR forum Ranil Wickremesinghe. PM Dr. Sarath Amunugama. Rauff Hakeem. Malik Samarawickrema. Saman Ekanayake. Saman Athaudahetti. Savithri Panabokke. Madara De Silva. Sandra Perera. Sri Lanka PM has met Xi Jinping; China to invest 780bn yuan (113 billion US $) on OBOR 6/18/2018

21st Century ‘Maritime Silk Road’ and Sri Lanka The geographic location and deep harbours are midpoint of the shipping lane and String of Pearls. Indeed, it is one of the strong strengthening for Sino-Lanka economic trade relationship. Strong mutual political trust between the two countries. The two countries take economic development as a priority of their national strategy. 6/18/2018

Challenges Create a Chinese Colony. China-India Geopolitical negotiation. The geopolitical realities posed a real challenge for China when developing the relations with Sri Lanka. “Sri Lanka is no pearl on China’s string” but maintained that Indians are his “relations” and Chinese are his “friend” 6/18/2018

Conclusion Sri Lanka and China has sound relationship. Which can be considered the ‘era of China-centric infrastructure development in Sri Lanka’. Sri Lanka has become a “Chinese island” in the Indian Ocean. However, Sri Lankan government would have to be: Receptive and sensitive to the citizens’ satisfaction/ sentiment Controlling pollution Maintaining diplomatic relationship Future political stability. 6/18/2018

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