Strategically located on the major  shipping routes of South Asia and the Far East, the  island of  Sri Lanka is one of the best investment  locations in the South Asian Region..
Sri Lanka has positioned itself as the “ Services & Trading hub” of the vast Indian subcontinent .

Today, Sri Lanka is ranked as the most liberalized economy in South Asia. Investors are provided with preferential tax rates, constitutional guarantees on investment agreements, exemptions from exchange control and 100% repatriation of profits. Total foreign ownership is welcome in almost all areas of the economy, with only a few areas limited or restricted to foreigners. The safety of the foreign  investment  is guaranteed by the constitution. An advanced legal and regulatory framework exists , covering , for instance, intellectual property, settlement of disputes through arbitration, company law etc. Equal treatment is assured for foreign and local investors under the investment and general law of the country.

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Potential investment sectors of Sri Lanka

Agricultural and fisheries sector  : More modernization and value addition, especially related to horticulture, hi-tech agriculture, and deep sea fishing.

Transport sector : Especially  road and fly-overs, development and railways , investment in airport and port development.

Tourism : The areas include eco, adventure, cultural and leisure tourism, construction of  up-market boutique hotels, developing infrastructure facilities to hold international conventions, meetings etc.

Oil refining an developing alternative energy sources, such as coal power as well as renewable energy sources, wind, solar and hydro power are open for investment. Sri Lanka is endowed with large oil resources  and opportunities exist for oil exploration

The other major sectors open for investment are health, Information and communication technology, software development, electronic products, , textileas and apparels, gem, ceramic and rubber industries etc.

The financial sector also offers attractive  new opportunities fuelled  by Sri Lanka’s ambition to become the financial hub of South Asia.

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Economic policy framework

The economy has benefited by policies that give freedom  to the private sector, with low barriers  to trade and investment.  External trading relations have been  strengthened with the expansion in bilateral, regional  and multilateral trading arrangements.

Economic Freedom

The 2004 Index of Economic Freedom published by the Heritage Foundation has ranked Sri Lanka 76th out of 155 developed & developing countries, in terms of its “economic freedom” & the quality of its overall policy environment.

Global Logistics Hub

Sri Lanka will be developed as a major Global Logistics Hub in the South Asian region for trade, investment, communications, and financial services.

Strategic Access To The Indian Market

The Indo Lanka Free Trade Agreement clearly demonstrates the goodwill and commitment between India and Sri Lanka. The agreement creates multiple investment opportunities for local and multinational firms based in Sri Lanka seeking to enter the Indian market. The underlying premise of the agreement is to create a free trade area through the complete or phased elimination of tariffs, which will occur over defined phases.

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Highly Literate & Cost Competitive Labour Force

The Sri Lankan work force accounts for 35% of the total population. Sri Lanka boasts high levels of education and the highest literacy rate in South Asia (92%). Approximately 50% of the students who have completed their higher education are trained in technical and business disciplines. English is widely spoken in the country and is the main language used by the business community.

Attractive & Transparent Laws

The specific incentives granted to foreign investment  include tax holidays or preferential tax rates, exemptions from customs duty and foreign exchange controls and  remain valid for the entire life of the enterprise.

Constitutional Guarantee for Investments

Sri Lanka has an enviable record of political credibility in the international arena. The two major political parties are committed to free enterprise and individual freedom.
Bilateral investment agreements supported by a constitutional guarantee, provides strong protection for foreign investment in Sri Lanka.

Sri Lanka is also a founder member of the Multilateral Investment Guarantee Agency (MIGA). This provides further safeguards against expropriation and non-commercial risk. Investors may also refer disputes for arbitration under the rules of the International Chamber of Commerce.     For  more information on Sri Lanka’s investment and trade , please visit the following Web Sites

Sri Lanka Board of Investments
Sri Lanka Export Development Board
National Chamber of Commerce
Ceylon Chamber of Commerce
Sri Lankan Trade Portal

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SRI LANKA PORTS AUTHORITY - Request for Proposals to Commence Business Ventures at Port of Hambantota

  1. The Cabinet Appointed Negotiating Committee (CANC), on behalf of the Sri Lanka Ports Authority (SLPA) is pleased to request proposals from international and local firms or consortia to design, build, finance, manage and operate business ventures at the Port of Hambantota.
  2. The construction works of the Phase 1 developments of Hambantota Port Project is now nearing completion and this project has been designed to accommodate vessels of nearly 100,000 DWT with the depth of 16m. The Port will be created by the construction of new breakwaters and will be served by a channel with a depth of 17m and a width of 210m. The basin in the initial phase will be nearly 60 ha and will serve a quay length of 600m for general cargo activities and another quay of 610 m for gas and oil. The basin will be dredged to – 17m with provision to deepen it to – 21m should new generation of deep drafted vessels come into operation.
  3. Interested parties may inspect the RFP document at the address given below on normal working days between 10.00 – 16.00 hrs. free of charge. Bidders may obtain additional information or seek clarifications in writing from:
    4. Chief Engineer (Southern Port Development)
    Sri Lanka Ports Authority,
    45, Leyden Bastian Road, Colombo I, Sri Lanka
    Tel. No +94 (0) 112432712
    Fax No +94 (0) 112323024
    Email address: agilslpa@yahoo.com
  4. The RFP document can be obtained from the office of Chief Engineer (Southern Ports Development), during 10.00 to 14.00 hrs of any working day from 17th August 2010 to 28th September 2010 upon payment of a non-refundable fee of Rs. 50,000 Sri Lankan Rupees plus VAT.
  5. The completed proposals shall be delivered to the address given below for the attention of the Chairman, Cabinet Appointed Negotiating Committee (CANC), on or before 14.00 hours on 30th September 2010. The envelope containing Experience and Technical Proposal will be opened immediately afterwards in the presence of the Bidder’s representatives who choose to attend. Late bids will be rejected.
  6. The Sri Lanka Ports Authority will not be responsible for any costs or expenses incurred by the bidders in connection with the preparation of delivery of proposal including costs and expenses related to site visits.
    7. The Chairman
    Cabinet Appointed Negotiating Committee
    Request for Proposals for Business Ventures at Port of Hambantota
    Ministry of Ports & Aviation – Ports Division
    45, Leyden Bastian Road
    Colombo I, Sri Lanka

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