Among three governments of Sri Lanka, Japan and India a Memorandum of Cooperation were signed for the development of the East Container Terminal (ECT) located In the Colombo South Port.
Around 70% of Colombo Port’stransshipment business is India-related. Sri Lanka, Japan, and India will work together for further development of the Colombo Port and contribute to further regional prosperity and stability of global trading networks.
The SLPA retained 100% ownership of East Container Terminal (ECT). The Terminal Operations Company (TOC) conducting all East Container Terminal operations is jointly owned; Sri Lanka retains a 51% stake, and the joint venture partners purchased a 49% stake. The envisaged Japanese loan carries one of the best loan terms Sri Lanka has obtained. The 51% stake is also one of the best in SLPA joint ownership endeavors. SLPA’s majority ownership in the new TOC represents a significant step in prioritizing National Interests.
The three governments will work out details based on the MoC at joint working group meetings and advance their cooperation towards early commencement of work and operation of the ECT.