A government document has revealed that the China Development Bank is to increase its lending to Sri Lanka development projects, now totalling to more than US$1.4 billion.
The document outlines that US$300 million of the loan will be spent on developing roads and US$200 million on water supply projects, with the rest going to the national business school.
This follows on from previous funding of road development and irrigation projects, as wel as the $1.5 billion loan for the construction of a port and $209 million loan for the construction of an airport, both in Sri Lankan President Mahinda Rajapaksa's hometown of Hambantota.
Mahinda Rajapaksa is set to visit China next week for the first time since Chinese President Xi Jinping came into power.
See the report from Reuters here.