‘Current crisis, an opportunity not a problem’:

Sri Lanka greatly values economic ties with EU - Anura Priyadharshana Yapa

RAMANI KANGARAARACHCHI

Sri Lanka greatly values its economic relations with the European Union (EU), one of the leading trading partners since the country’s independence, which has achieved cohesion in many vital areas governing the economy, said Minister of Enterprise Development and Investment Promotion for the European Union Business Summit Anura Priyadarshana Yapa.

Trade and investment, the key to progress

He was addressing the gathering at the first ever EU Business Summit in Sri Lanka at the BMICH yesterday.

He said that European Union Investments in Sri Lanka represent a total investment of over one billion dollars and employ 73,000 workers in sectors such as textiles, IT, BPO, gems and jewellery, soft toys, coir products, light and heavy engineering and electronic products. In 2008, EU companies invested USD 354 million in Sri Lanka.

These enterprises originated from Belgium, Cyprus, the Czeh Republic, Denmark, France, Germany, Ireland, Italy, Luxembourg, the Netherlands, Sweden and the UK. The EU’s economic presence in Sri Lanka represents 269 factories and other enterprises that include both fully owned European Union ventures and joint ventures with Sri Lankan companies, he said.

Minister Yapa said that there is a huge potential from the re-integration of the North and East to the rest of the country and there are huge challenges ahead as well for the nation.

When the internal conflict comes to an end people will be able to plan their development as the conflict is one of the deciding variables. He said that this Summit is, therefore, highly opportune in the present economic and political context and hoped there will be many opportunities to expand bilateral trade between Sri Lanka and the EU which will be mutually beneficial.

Trade and investment will be the key to progress and Sri Lanka will need this in the present context of economic uncertainty. We must not look at the current crisis as a problem but rather as an opportunity upon which we can build our future.

The Summit’s purpose is to look at options available to Sri Lanka and particularly at strategies for rebuilding the nation and unleashing Sri Lanka’s true potential.

This is absolutely necessary as normalcy will return and investor confidence will improve. The most important issue is how to make up for the destruction and loss of opportunity, estimated at USD 200 billion that the country has incurred in three decades of conflict apart from human suffering and damage, he said.

Sri Lanka will need more than ever the support of friendly nations to address economic disparities between the regions to solve many of the social problems that are at the root of conflict. The EU and friendly countries have an important role to play in this vital endeavour, Yapa said.