Beijing has acted in a similar way in a number of African countries, including Kenya, Tanzania and Ethiopia. Indeed, this policy of financing the construction of ports, irrigation and mining projects, and then taking them over when recipients cannot repay the loans, has become standard Chinese practice across Asia and Africa, and is popularly known as ‘debt trap diplomacy’.

Apart from what has transpired in Hambantota, it is in India’s natural interest to have a significant presence in the Colombo port. The overwhelming share of revenues for the port is generated by goods being transferred to and from Indian ports. These goods include items which have a bearing on India’s National Security. An exclusive Chinese presence in the port would, therefore, be matter of serious concern. India’s involvement in the expansion of the Colombo Port City – together with a Japanese presence, in order to improve the terms of funding – would make sense for Sri Lanka. This is particularly important, given the exploitative terms of Chinese ‘aid’. While such a project has been under discussion with the Rajapaksa Government, New Delhi now appears hopeful that Sri Lanka will agree to the project, despite vehement Chinese objections. China is now facing serious problems on its maritime boundary claims in the Indo-Pacific region. ASEAN States recently joined hands to reject and oppose China’s policies of arbitrarily defining its maritime boundaries, in violation of International Law. Beijing, however,    appears determined to stand firm on its untenable claims to vast tracts of maritime space from virtually all its maritime neighbours, ranging from Japan, South Korea and Taiwan, to the Philippines, Vietnam, Indonesia and Malaysia.

The recently established ‘Quad’, comprising Japan, the US, Australia and India, is preparing the ground to respond comprehensively to these challenges. The current focus of attention is on countries around the Straits of Malacca, which lie astride the main supply lines for the bulk of China’s oil imports from the Persian Gulf. India has already commenced strengthening its forces across the Straits of Malacca, in the Andaman and Nicobar Islands. This maritime cooperation, primarily with the US Pacific Fleet and Japan, with Australia set to join, will have to be extended westwards, by strengthening existing links between India’s Western Fleet, and the Bahrain-based US Fifth Fleet.

One is now seeing signs of strong Chinese backing for Pakistan, and Iran, even as relations between Saudi Arabia and Pakistan deteriorate. China has also embarked on efforts to strengthen Pakistan’s navy, with the supply of its modern frigates and submarines. Even so, New Delhi appears reasonably confident that, with its focus on economic recovery, Sri Lanka will steer clear of any action that could raise regional security concerns.