US $ 250 mn mixed project to be launched soon | Daily News


New Government’s first foreign investment

US $ 250 mn mixed project to be launched soon

Sri Lanka is well poised to honor all its international debt repayments this year and in the future said State Minister of Development Banking and Loan Schemes, Shehan Semasinghe said.

He said that unlike in previous years the government will depend on foreign direct investments to settle debt. “The government is expecting FDI from Colombo Prot City project for which several global investors have expressed interests to the BOI. In addition the government also expects more FDI to come from the Hambantota Port.”

The Minister also said that the opposition is trying to create an ugly picture to the world to deplete investor confidence which has now been restored by leveling various allegations. “One such is the accusation made against the proposed 30 storeyed Commercial Tower with 700 residencies in near Shangri La Hotel Colombo.

The Cabinet of Ministers has approved the proposal made by Prime Minister Mahinda Rajapaksa as the Minister of Finance, Economy and Policy Development to facilitate investment activities for the relevant company. Perennial Real Estate Holdings of Singapore will invest US$ 250 million for this project.

“The opposition is saying that this three acre land has been sold, but it’s not true. We have only leased this land. This government will not sell state property at all.”

Semasinghe said that the investment has now increased to US$ 250 million and the initial payments will be made soon.

This propjet first came to Sri Lanka in 2014 during the Rajapaksa government. “However when the government changed they did not follow up on this investment indicating the lethargic attitude of the previous government towards FDI.”

The previous government also did not have a long standing economic policy. “They presented five budgets and changed economic policies 10 times, making Sri Lanka volatile for foreign investors.”

Commenting on Global Rating Agencies he said that this is nothing new and changes did take place in earlier years as well.

The Minister also said that Sri Lanka will not sign the controversial MCC agreement with USA and will also revisit some of the other agreements like the Singapore FTA, SOFA ect.

Asked to comment on the ban of ethanol he said this was done since the product is available in Sri Lanka and to safeguard the local manufacture.


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