Adani receives US funding for Colombo port project

Karan Adani, CEO of Adani Ports and Special Economic Zone, said in Colombo US International Development Finance Corp funded the Colombo West International Terminal project to the tune of USD 553 mn.

The Adani Group has teamed up with John Keells Holdings PLC, Sri Lanka’s largest private sector conglomerate to carry out this project. “This is the first time that the U.S. government, through its agency, DFC, has financed any port-related investment in Sri Lanka or any Adani-operated project,” the media quoted Karan as having said.

Any project financed by the DFC is first approved by the US Congress, Adani said. “It is an approval and reposing of faith in our group’s financial and execution capabilities.”

The tenure of the loan will be for 20 years, with an equity contribution of 30% by the partners. “We are looking at around 16% return on investments from the project,” he said.