China Eximbank provides $200 million preferential buyer’s credit for Matara-Beliatta Section of Matara-Kataragama Railway Line Extension Project (Linked to Project ID #33407)
Constant 2017 USD
Funding agency [Type]
Export-Import Bank of China [State-owned Policy Bank]
Transport and storage (Code: 210)
Export Buyer's Credit
On February 19, 2013, China Eximbank and the Government of Sri Lanka signed a $200 million preferential buyer's credit (PBC) agreement [China Eximbank PBC (2013) 7 TOTAL NO (251)] for the Matara-Beliatta Section of Matara-Kataragama Railway Line Extension Project. The PBC carried the following terms: 20 year maturity, 7 year grace period, a 2% interest rate, a 0.5% commitment fee, and a 0.5% management fee. Then, on May 28, 2013, China Eximbank and the Government of Sri Lanka signed an RMB 508 million government concessional loan (GCL) agreement [China Eximbank GCL (2013) 4 TOTAL NO (449)] for the Matara-Beliatta Section of Matara-Kataragama Railway Line Extension Project (See: ) Performance Report 2013. The GCL carried the following terms: 20 year maturity, 7 year grace period, a 2% interest rate, a 0.25% commitment fee, and a 0.25% management fee. Project ID#33396 (this project) captures the PBC, while Project ID#33407 captures the GCL. The purpose of this project, which is formally part of the Belt and Road Initiative (BRI). was to improve transport in the southern region. It involved the construction of 26.75 km length of single line broad gauge rail track from Matara to Beliatta (and a designed speed of 120 kilometers per hour); the construction of structures such as culverts, bridges, viaducts those required over the Nilwala river flood plain, level crossings, underpasses, overpasses, and tunnels; as well as the construction of four numbers railway crossing stations, 2 numbers sub stations and functional requirements of stations. There were three contractors responsible for project implementation: China National Machinery Import and Export Corporation, China Railway No. 5 Engineering Group, and China Railway Electrification Group. A groundbreaking ceremony took place on October 28, 2013. The railway line was completed and opened for use on April 8, 2019. This 26.75 km section of the Matara-Kataragama railway line runs from Matara to Beliatta. More detailed locational information can be found at https://reconnectingasia.csis.org/database/projects/matara-kataragama-railway-phase-1-extension/3fe22445-fc24-42cb-9b04-8697a667033b/.
The Southern (Matara-Kataragama) Railway Line Extension Project is being implemented in three stages. The Matara-Beliatta section is the first stage; the Beliatta-Weerawila section is the second stage; the Weerawila-Kataragama section is the third stage.
Number of official sources
Number of unofficial sources
Receiving agencies [Type]
Government of Sri Lanka [Government Agency]
Implementing agencies [Type]
China National Machinery and Equipment Import & Export Corporation [State-owned Company]; China Railway Engineering Corporation (CRECG) [State-owned Company]; China Railway No.5 Engineering Group Co., Ltd. (CR5) [State-owned Company]; Sri Lanka Ministry of Transport and Civil Aviation [Government Agency]; Sri Lanka Road Development Authority [Government Agency]