Unveiling local stakeholder dynamics: Contextual factors shaping project success in China–Sri Lanka BRI infrastructure development

Abstract

The Belt and Road Initiative (BRI) of China has contributed to the socio-economic development of third-world countries, ranking Sri Lanka fourth globally with a total investment of USD 4.5 billion on development projects (Green Finance and Development Centre, 2023). To respond to the sustainable performance of projects attaining stated objectives within the schedules, this study aims to identify macro-level institutional drivers affecting BRI project persistence, to investigate local stakeholder perceptions to understand coordination issues, and to determine governance mechanisms that affect project sustainability. Embedded in the political economy of space theory, adopting a qualitative research design, collecting data utilizing observations and semi-structured interviews, the study involved 20 stakeholders: local urban development officials, planners, engineers, business owners, and residents of the Moratuwa Municipal Council area with experience in BRI development projects. NVivo-assisted thematic analysis generated 361 codes and identified four macro themes with reference weights: political interference (65%), neglect of end-users (48.29%), livelihood impacts (51.71%), and small business disruptions (54.96%). It was revealed that BRI impact assessments were politically interrupted, undermining investor confidence. Limited end-user collaboration led to asymmetric information and misconceptions of foreign investments as detached and self-interested. Community resistance was misconstrued as negativity by development officers, leading to multi-phase stakeholder conflicts. The local stakeholder perspective and global development agendas revealed a disconnection, emphasizing the integration of participatory governance to approach community acceptance; highlighting the need for a strong legal framework with an institutionalized coordination mechanism to ensure continuity of projects for the sustainability of BRI projects.