COLOMBO — Sri Lankan Prime Minister Ranil Wickremesinghe said the country will attract $1 billion of investment after completion of the first site of a China-funded massive port city project, state media reported Sunday.

The Colombo Port City funded by China Communication Construction Company Limited (CCCC) is estimated to cost a total of $1.4 billion with the first site for construction expected to be completed by the end of 2018.

Once the site is ready, investments worth an estimated $1 billion are expected to come into the country from around the world, while the total project is expected to attract billions of dollars worth of investments.

Speaking at the annual meeting of the International Organisation of Securities Commission (IOSCO) and the Growth and Emerging Market Committee (GEM), Wickremesinghe said the investment would strengthen Sri Lanka's position and help the island re-pay its debts.

He said since 2006, Sri Lanka had been engaged in a high level of debt from commercial to local and foreign debt to fund development programs.

He added that the government decided to bring in large scale investments including the development of the Hambantota Port with China's assistance and the strengthening of the Mattala Airport, all of which would strengthen the island's position in the Indian Ocean.

He further said Sri Lanka will bring in a new law to improve the business environment in the island country.