Google's balloon-powered high-speed Internet service known as "Project Loon" began its first tests in Sri Lanka Monday ahead of a planned joint venture with Colombo, the country's top IT official told AFP.

One of three balloons that will be used in the trials entered Sri Lankan airspace Monday, the Information and Communication Technology Agency chief Muhunthan Canagey said.

"The first balloon entered our airspace this morning. It was launched from South America." Canagey told AFP on Monday. "It is currently over southern Sri Lanka."

He said a Google team was expected later this week to test flight controls, spectrum efficiency and other technical matters.

The government announced earlier this month it would take a 25 percent stake in a joint venture with Google to deliver a high-speed Internet service powered by helium-filled balloons.

Sri Lanka is not investing any capital, but will take the stake in return for allocating spectrum for the project, the AFP report pointed out.

A further 10 percent of the joint venture would be offered to existing telephone service providers on the island.

It promises to extend coverage and cheaper rates for data services.

Service providers will be able to access higher speeds and improve the quality of their existing service once the balloon project is up and running.

(With inputs from AFP)