Sri Lanka Ports Authority Confirms Stability Of Adani Group's Colombo Terminal Project

Sri Lanka Ports Authority has reaffirmed its commitment for Adani Port and Special Economic Zone's Colombo West International Project. In a statement, SLPA Chairman Admiral Sirimewan Ranasinghe (Retd) has emphasised that there is no immediate plan to reassess or terminate the agreement.

Adani Group is playing a vital role in expanding the country's port infrastructure. The Colombo terminal project, which involves a $1-billion fund infusion, will mark the largest foreign direct investment in Sri Lanka's port sector.

The SLPA's statement, reiterating stability of Adani Group's project in Colombo, comes a day after the Indian conglomerate clarified that neither its Chairman Gautam Adani nor his associates face bribery charges under the US Foreign Corrupt Practices Act.

The US Department of Justice indictment, filed in a New York court last week, does not name Adani, his nephew Sagar Adani, or senior executive Vneet Jaain in any conspiracy involving violations of the FCPA, the firm had said in a filing to the stock exchange.

Adani Group last week denied all allegations as baseless and said it would seek legal recourse to defend itself.

Meanwhile, Abu Dhabi's International Holding Company has also reaffirmed its support for the Adani Group, maintaining that its investment outlook remains unchanged.

"As with all of our investments, our team continuously monitors relevant information and developments. At this time, we remain confident in our outlook for these investments," IHC said in a statement.

The Tanzanian government has also reiterated its full commitment to its agreements with Adani Ports, asserting that there are no concerns regarding the ongoing projects and that all contracts are in complete compliance with the domestic laws.

In May 2024, Tanzania and Adani Ports finalised a 30-year concession agreement for the operation of Container Terminal 2 at the Dar es Salaam port.

Furthermore, Adani Ports acquired a 95% stake in Tanzania International Container Terminal Services, a state-owned company, for $95 million.