Thursday, September 21, 2017

Over US$ 40 bn for Western Megapolis

Asian Development Bank (ADB) Deputy Chief Economist Juzhong Zhuang, Megapolis and Western Province Development Minister Patali Champika Ranawaka and ADB Country Director Sri Widowati, at the annual ADB-Asian Think Tank Development Forum 2017, held in Colombo. The forum this year was held on the topic ‘Financing for Sustainable Urbanization in Asia and the Pacific’. The keynote address was made by Minister Ranawaka. Picture by Saman Sri Wedage

The proposed Megapolis project covering the Western Province would be major driver of economic growth not only for the Western province but to the entire country, said Minister of Megapolis and Western Development Patali Champika Ranawaka.

Speaking at the ADB Asian Think Tank Development Forum 2017 in Colombo he said that the economic contribution of the Megapolis region will be higher than the country’s average GDP.

Minister disclosed that the total investment cost of the Megapolis project would be in the excess of round US$ 40 billion expanding for around 12 years. “Government contribution to equity in such very high capital intensive projects would be minimal and is not in a position to be the major funder for these developments. We have identified over 100 privately funded projects worth around $10 billion,” he said.

Ranawaka said that the government wants to offer most of these opportunities to the private sector and get them involved in financing critical urban infrastructure as its own equity contribution would be limited.

“It is imperative for the government to integrate the private sector to ensure stable financing and projects would be mainly in the form of public-private partnerships. The PPP model would be applicable to these projects”, he said.

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