Sri Lanka will receive its largest FDI from China with a $3.7 billion investment in an oil refinery under China's BRI. Sinopec's refinery deal competes with India's strategic interests in Sri Lanka's energy market.

Sri Lanka’s Marxist-leaning President Anura Kumara Dissanayake has held talks with Chinese leader Xi Jinping, one month after visiting India on his first overseas trip since winning election in September.

BEIJING (Reuters) -China and Sri Lanka agreed on more investment and economic cooperation on Wednesday as China's President Xi Jinping met recently-elected Sri Lankan President Anura Kumara Dissanayake in Beijing.

China will continue to play a "positive role" in the International Monetary Fund and maintain friendly communication with other creditors, in assisting Sri Lanka to achieve financial relief and debt sustainability,

Sri Lanka and China have agreed to work towards the early conclusion of a comprehensive Free Trade Agreement (FTA) in “one package” in line with the principles of equality, mutual benefit and win-win

In recent years, China has deepened its strategic cooperative partnership with Sri Lanka with fruitful outcomes on Belt and Road cooperation, including the building of a container terminal in the Sri Lankan capital of Colombo, as well as roads and railways, and the development of Hambantota Port and Port City Colombo.