Abstract-The main purpose of this thesis was to analyze the risk of engineering project of Yunnan enterprises in Sri Lanka.Since the end of civil war, the backward traffic conditions, weak electrical infrastructure and lacking housing supply were severely restricting the development of the economy and society in Sri Lankan. In order to expand the market in Sri Lanka, the development of Yunnan enterprises' international project contracting in Sri Lanka is an important gap to open South Asia market. Chinese government can make use of regional advantages of Yunnan province, so Yunnan province can actively integrate into the"One Belt, One Road" strategy, continually innovate foreign economic cooperation, give full play to Yunnan location and channel advantages, steadily push forward the western region to carry out the strategy of "going out". Therefore, in order to gain a firm foothold in Sri Lanka engineering contracting market, Yunnan enterprises will encounter a variety of risks inevitably.