Investor confidence boosted despite malicious propaganda

By Gamini WARUSHAMANA

Sri Lanka is open for investment and there is no risk of terrorism, no tough regulations obstructing business and the country is open for competition, President Mahinda Rajapaksa told the business delegation at the inauguration of Sri Lanka Expo 2012 at the BMICH last week. “You have come here today, with confidence in Sri Lanka without believing in false propaganda that is being spread by those who are trying to block foreign investments coming to our country.

The presence of a large number of foreign delegates here is a clear indication of the growing awareness in the world of new investment opportunities in Sri Lanka, as well as the failure of those who still support the agenda of separatist terror that prevented development in Sri Lanka for more than three decades”, he said. President Rajapaksa said that the Government is committed to reconciliation., “It is our commitment to our people. This event commenced after a 15-year lapse.

During this period the country suffered from the brutality of terrorism.

During this time business in the country was low, he said.

In our own region we are today unique in being free of conflict, there is no threat of terrorist violence, we have initiated competitive market strategies, there are no tough regulations and the Government encourages business ably- assisted by a participatory private sector.

This is why foreign direct investments in Sri Lanka more than doubled last year. This is why statistics of net inflows to the Colombo Stock Exchange (CSE) is most encouraging.

This is why foreign investors are ready to place their trust in Sri Lanka Development Bonds and also the reason for the many new IPOs in the CSE.

It is our conducive business environment coupled with a good image abroad and the rapidly increasing tourist arrivals is a barometer of confidence that has brought international hotel chains such as Shangri-la, Sun City and Sheraton to invest in Sri Lanka while other investments in a diverse portfolio of opportunity are in the pipeline.

“We are a new hub of opportunities in a vast field of business. As much as we are encouraged by your presence here today, I urge you to make the most careful studies of the progress we are making and earn the best profits by your confident investments.

Discover the opportunities in a land liberated from terror and participate in the progress of Sri Lanka”, President Rajapaksa said.

Sri Lanka Expo 2012 attracted international buyers from every region. Trade representatives, delegations and journalists from 60 countries were present at the event.

Over 370 exporters including SMEs exhibited their products and services.

Minister of Industry and Commerce, Rishad Bathiudeen said “It makes us proud that over 1,300 foreign representatives from around the world, along with several foreign Ministerial and official delegations have specially arrived in Sri Lanka to take part in this event.”

He said that this is the first international event of this magnitude held in Sri Lanka after more than a 15 -years lapse.

Despite, the World Trade Organisation forecasting only 5.8 percent world export growth for 2011, Sri Lanka’s export sector showed strong resilience, by registering a highly commendable growth rate of 22.37 percent in comparison to 2010.

It is ‘highly commendable’ since we achieved, despite a looming global economic downturn. In 2011 export earnings reached $ 10.4b and surpassed the previously envisioned target $ 9.1b.

The export sector accounts for 17 percent of the GDP and we have now set an ambitious target of $ 20 b export revenue by 2020 lending sustainable support to doubling of our per capita income, as envisioned under the Mahinda Chintana policy framework.

“The positive performance achieved by the export sector in 2011, was led by industrial and agricultural sectors.

Agricultural exports which accounted for 23 percent of the total export earnings grew by 11% while industrial exports which accounted for 75 percent of the total export earnings grew by 27 percent.

The mega event launched today focuses on exports, investment promotion and tourism, and thereby expected to catalyze Sri Lanka’s international trade outreach successfully in its new resurgence.

I am glad to inform you, that 350 Sri Lankan exhibitors from over 20 different product sectors are showcasing their portfolios today.

The small and medium scale entrepreneurs who are the backbone of our national economy too, are taking part in this show for the first time.

Their products are exhibited through 60 SME display stalls, specially setup for them.

I am pleased to say that this is the first time that Sri Lanka’s SME sector is being assimilated to the global export supply chain in this manner thereby serving our long-term national objective of integrating this sector to promising international markets”, Minister Bathiudeen said