Jan - June Foreign Direct Investments top US $ 540mn

Foreign Direct Inflows (FDIs) in to Sri Lanka during the first half (1H) of 2013 is up 20 percent Year-on-Year (YoY) to US $ 540.211 million, Investment Promotion Minister, Lakshman Yapa Abeywardena said.

Sri Lanka could attract only up to US $ 452 million during the corresponding period in2012.

The largest inflows of US $ 284 million was for infrastructure development followed by another US $ 174 million for the manufacturing sector.

During the period, Hong Kong (along with China) have led with US $ 175 million inflows to Sri Lanka followed by India with US $ 33 million.

“By the end of September, we would be able to record US $ 800 million worth of FDIs, and can also go for the full year target,” confided Minister Abeywardena. Sri Lanka’s Board of Investment (BoI) has a FDI target of US $ 2.0 billion for 2013.

The Minister said that Sri Lanka was placed second after Poland among countries that had made the most improvements in the field of business friendliness, according to a World Bank study.

Minister further said that the two biggest projects received Cabinet approval last week, and the final parliamentary approval will be sought in the first week of October.

“Cabinet last week approved the US $ 850 million JKH’s The Waterfront Properties (Private) Limited project and James Packer’s proposed US $ 350 million integrated resort. Both are 5-year projects and will create 3,000 and 2,600 employment opportunities respectively,” he said.

During January and June this year, 15 companies from China, Hong Kong, United Kingdom, India, Netherlands, Mauritius, UAE, Canada, Malaysia, Japan, Singapore and Germany have made several investments.

The largest investment of US $ 116 million during this period was brought in by Colombo International Container Terminals Ltd. (CICT), a joint venture between China Merchants Holdings (International) Co., Ltd. (CMHI), a listed blue chip Company in the Hong Kong stock exchange, and the Sri Lanka Ports Authority (SLPA). (DK)