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Monday, October 19 2026
Monday, October 19 2026
MONETABRIEF – Sri Lanka Ports Authority will seek new investors for a logistics hub after a planned project with private investors was terminated, President Anura Kumara Dissanayake said.
"The first plan is to expand container terminals in Colombo Port," President Dissanayake told a economic forum organized by Ceylon Chamber of Commerce this month.
"The second is to make it a logistics centre."
There was a project which was initiated before the current administration came, which had led to some conflicts.
"All that has been now cleared up," President Dissanayake said. "I think it is a very good location. We hope to tender is quickly. Then we have the ability to attract a very good investor for a logistics hub."
The planned logistics hub was a joint venture between China Merchant Ports Holdings, Sri Lanka Ports Authority and Access Engineering.
CMPorts in a Hong Kong Stock Exchange filing said the parties had agreed to terminate the South Asia Commercial and Logistics Hub (SACLH) project and return their investment money after paying value added taxes and other charges.
Unions had earlier protested that the land had been given to the investors without a proper tender on a 50 year BOT concession.
CMPorts did not explain in detail the reasons for abandoning the project, but said there were "changes in external circumstances" and " implementation environment and timetable as well as the respective commercial considerations".
"Following discussions with the local government, the parties proposed to enter into a settlement agreement to terminate the SACLH Project in an orderly manner on the principles of "amicable consultation and neutral handling", the statement said.
"Pursuant to the terms of the Settlement Agreement, the funds invested in SACLH will be refunded, and the parties will reach a comprehensive and final resolution in respect of all matters relating to the SACLH Project."
"In view of changes in external circumstances, including adjustments to the SACLH Project’s implementation environment and timetable as well as the respective commercial considerations of the parties, the Company has reassessed the SACLH Project and concluded that terminating the project would be in the best interests of the parties." (Colombo/Oct19/2026)
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