Sino-Lankan Economic Relations: A Dynamic and Forward Looking Perspective

A previous Pathfinder Foundation (PF) Economic Alert (64) argued that the Sino-Lanka FTA has the potential to be the ‘Jewel in the Crown’ in the bilateral economic relationship. It can have a transformative impact not just on market access for Sri Lanka’s exports to China but also on inward investment and technology transfer. Internal trends within China also reinforce the prospects for an encouraging future in the bilateral economic relationship. Furthermore, China’s Maritime Silk Road initiative provides a framework for a multifaceted strengthening of the partnership. High priority should be attached to taking advantage of the existing close bilateral Sino-Lanka relationship to shape the economic links between the two countries to serve Sri Lanka’s development priorities. It is important to elaborate briefly on these themes.