Sri Lanka has delivered a significant blow to China by entrusting the responsibility of controlling the Mattala Rajapaksa Airport in Hambantota to Indian and Russian companies. The decision was made by the Sri Lankan government on Friday, marking a pivotal shift in control and dealing a strong blow to China’s interests.
Key Decision by Sri Lankan Government
Bandula Gunawardena, the Minister and spokesperson of the Sri Lankan government, revealed that the Cabinet had approved the proposal to seek expressions of interest for the airport. Following this decision, the Cabinet concluded to assign the responsibility of managing the Mattala Rajapaksa Airport to Shoury AeroNautics (Private) Limited from India and Airports of Regions Management Company from Russia for a period of 30 years.
Airport Built with Chinese Assistance
The construction of the Mattala Rajapaksa Airport was facilitated with assistance from China. The airport was built at a cost of approximately $209 million in 2013, with China extending a substantial loan to Sri Lanka at a significantly high interest rate. Through the EXIM Bank, China provided a loan of nearly $190 million for the construction.
The World’s Empty Airport
Mattala Rajapaksa Airport has earned the title of being the world’s emptiest and quietest airport. The airport sees minimal flight operations, leading to its underutilization. The airport has been running at considerable losses. Since 2016, the Sri Lankan government has been seeking partners to manage the airport. However, now Indian and Russian companies will take over the control for the next three decades. It’s worth noting that the airport is named after Sri Lanka’s former President Mahinda Rajapaksa.
Aiding Surveillance on China
Notably, China holds a 99-year lease on the Hambantota Port, which is located adjacent to the Mattala Airport. With the airport’s control now in the hands of Indian and Russian entities, it will aid in monitoring China’s activities in the region.
This strategic decision by Sri Lanka marks a significant geopolitical development, with India and Russia gaining control over a key infrastructure asset in the region, potentially impacting China’s influence in the Indian Ocean.