The Chinese Foreign Minister said on Monday that the country made loans to Sri Lanka based on a consensus through talks between the two countries and at Sri Lanka's request, Reuters reports.

The announcement comes at a time that Sri Lanka's finance minister expressed concern about the loans while discussing the nearly $5 billion owed to China over the weekend.

"The loans are extended at the request of Sri Lanka and based on consensus through consultations," Chinese Foreign Ministry spokeswoman Hua Chunying told a daily news briefing, adding the loans were made to promote development in Sri Lanka.

She also emphasized that the loans were made on the principal of a mutual benefit.

"The loan arrangements are for the whole nation and people and have played a positive role in the economic and social development of Sri Lanka," Hua said.

New Sri Lankan President Maithripala Sirisena is re-examining certain projects that China has invested in, which includes a $1.5 billion project for a "port city" in the capital, Colombo.

India was concerned about the security threat posed by Chinese ownership of land which has been aggravated by the docking of Chinese submarines in Colombo last year.

India lost out to China in infrastructure development on Sri Lanka. The country was worried about former president Mahinda Rajapaksa because he was trying to develop a better relationship with China.

After Sri Lanka's Civil War ended after 26 years, China became a key supporter of Sri Lanka's economy.

Reuters reports that Sri Lankan Foreign Minister Mangala Samaraweera visited Beijing in order to allay fears that the Indian Ocean island nation's new government was distancing itself from China.

"Some people say the (Sri Lankan) government had put too many eggs in the China basket," said Sinderpal Singh, an India expert at the National University of Singapore.

"It's a symbol to say 'we would like to recalibrate our policy to one equidistant between India and China.'"

Samaraweer said he did not schedule any more visits by Chinese submarines in the near future.