26 August 2023 12:00 am Views - 76
Parliament on Wednesday approved a comprehensive incentives programme for Colombo Port City which will pave the way for it to become a competitive special economic zone (SEZ) which Port City authorities called a significant milestone in its journey.
Established under the Colombo Port City Economic Commission Act, No. 11 of 2021 (Act), the Commission aims to attract global investors, promote economic stability, and position Sri Lanka as a leader in service exports.
In accordance with the Act, the Commission identified businesses important for the success of the Colombo Port City to be designated as a BSI and recommended exemptions or incentives from the scheduled statutes of the Act.
To offer a competitive value proposition to potential investors, the Commission engaged with top international advisory firms such as Pricewaterhouse Coopers, Ernst and Young, KPMG, and Boston Consulting Group for international benchmarking of selected factors. These collaborations resulted in a proposed framework that establishes Colombo Port City as a globally competitive SEZ with transparent regulations and good governance principles, along with proposed sector incentives.
Businesses of Strategic Importance in Colombo Port City are classified into two groups: “Primary Businesses of Strategic Importance” and “Secondary Businesses of Strategic Importance”. Primary businesses involve the development of physical infrastructure of USD 100 million per land plot or USD 25 million in the Marina or Social Infrastructure. Secondary businesses encompass sectors such as international trade, shipping logistics, banking and financial services, information technology, and tourism, among others. (YP)