Sri Lanka and the Belt and Road Initiative: A Balancing Act in the Indian Ocean Region

Abstract

Sri Lanka's salient position in Beijing's global ambitions is reflected in the availability of the Chinese resources for its economic and defence modernisation. The country's strategic proximity to China's commercial sea routes and its positive reception to the BRI provides Beijing with an opportunity to illustrate the promise of mutual benefits offered in its initiative. Meanwhile, Colombo's acceptance of China's investments relies on an economic strategy that seeks to modernist its infrastructure and naval operations that would secure the new economic growth sectors as a IOR state. As Beijing advances its geo-economic objectives across three continents, important questions emerge regarding the impact of the BRI on the existing political and economic arrangements. Sri Lanka offers an informative case study towards understanding the initiative’s implementation, the resulting escalation of rivalries in the IOR, and national responses in the new setting. The ripple effects of the BRI developments present new dilemmas and weighs heavily on state decisions for a country that finds itself in the center of great power rivalry.