Rs. 31.7 billion loan to recommence construction of the Central Expressway

COLOMBO (News 1st): The Highways Ministry and the Road Development Authority have received cabinet approval to borrow more than Rs. 31.7 billion from foreign or domestic sources for the construction of the first section of the Central Expressway. The third phase of the Central Expressway which runs from Pothuhera to Galagedara was embroiled in controversy in the recent past. This was after Japan’s Taisei Corporation Ltd. had been awarded the contract for the construction of the road in 2018. The contract had been awarded to Taisei Corporation on the understanding that Japan's Mitsubishi Financial Group would lend 100 billion yen for it. Although talks between Sri Lanka and Japan had commenced in 2015, the Attorney General’s (AG) Department and the Finance Ministry’s External Resources Department had not agreed on certain clauses of the proposed agreement. The Attorney General had stated that the anti-corruption provisions were not compatible with Sri Lankan laws. The third phase of the expressway is considered to be one of the most expensive road development projects in recent times. Speaking about the first phase of the expressway which runs from Kadawatha to Mirigama, former parliamentarian Patali Champika Ranawaka said that this is being carried out while the government claims that the country does not have sufficient funds. “The President's Secretary is requesting to slash down the salaries of public servants by 50%. But they have approved Rs. 31 billion for these expressways,” the former parliamentarian said. He also raised concerns over the allocation of large amounts of funds for projects at a time when parliament stands dissolved. Speaking on the matter recently, Co Cabinet Spokesperson Minister Bandula Gunawardena said this government will not make ad hoc decisions without consulting the cabinet of ministers first. However, former Ratnapura district parliamentarian Vasudeva Nanayakkara said the people his electorate do not like roads to be constructed through mountains on which their houses have been constructed. “They have vehemently opposed it,” former parliamentarian Vasudeva Nanayakkara said.