SL invites Saudi Arabia to set up oil refinery in H’tota

25 December 2015 05:58 am Views - 5340

Sri Lanka has invited Saudi Arabia to set up a petroleum refinery in Hambantota, Central Bank Governor Arjuna Mahendran has told the media in Riyadh.

In addition to meeting the needs of Sri Lanka, he said such a refinery could tap markets in neighboring countries such as India, Pakistan and Bangladesh.

Mahendran, who was leading a high-powered delegation to the Kingdom, comprising chairmen and CEOs of commercial and state banks in Colombo, ended his Saudi visit on Wednesday.

He has held talks with Saudi Arabian Monetary Agency (SAMA) Gov. Fahad bin Abdullah Al-Mubarak on Tuesday, Aran News reported today.

He said that the proposed refinery could be set up in Hambantota port which could export crude and refined oil to other countries.

He said that international players such as SABIC and Saudi Aramco could easily come into this project.

Mahendran also said that Saudi construction companies could participate in infrastructure developments in the island. “We need more schools, hospitals, houses and elders’ homes,” he said.

Meanwhile, he pointed out that around 550,000 Sri Lankans working in Saudi Arabia remit some SR10 billion annually.

According to Saudi officials, Sri Lankan was ranked as the third country in terms of outward remittances to home countries.

“Although, we have a tiny population here compared to other countries, law-abiding Sri Lankans send their monies through official channels,” Mahendran said.

This is appreciated by the host as well as their country of origin, he added.

Explaining the purpose of his visit, he said the government is interested in projecting its potential and explore new areas of cooperation with the Kingdom.

“We are exporting tea for some $800 million to the Kingdom. This could be improved and there are several other areas where the two countries could benefit from viable projects,” he added.