Japan-Sri Lanka Free Trade Zone Aims to Stimulate Economic Growth with $15 Billion Investment"

15 Oct, 2023

Japan-Sri Lanka Free Trade Zone Aims to Stimulate Economic Growth with $15 Billion Investment

The national economy is poised for a significant boost as plans are underway to establish a Japan-Sri Lanka Free Trade Zone (FTZ) with a substantial investment of $15 billion. This initiative was disclosed by Dilum Amunugama, the State Minister for Investment Promotion, who revealed that the designated areas for this project are Bingiriya and Iranavila. The Japanese-Sri Lankan Business Council and Japanese entrepreneurs who are keen on establishing FTZs in Sri Lanka are backing this endeavor.

Amunugama made this announcement during a press conference held at the Presidential Media Centre, focusing on the theme of "Collective Path to a Stable Country." He also provided insights into the progress of the Port City, which has been temporarily opened to the public. The development of the Port City is being carried out under a third-party agreement, with a budget of $15 billion allocated for this purpose. China Harbour Engineering Company has already completed 80% of the construction work, and the necessary legal framework for conducting business within the Port City has been prepared. Several operational regulations are set for approval by Parliament.

To date, investments totaling approximately $1.6 billion have been received, with an additional $1.6 billion in investments currently in progress. The government's plan includes the sale of 28 project land plots to investors, comprising 74 plots designated for business purposes and 44 for public use. This initiative also enjoys the support of the Japanese-Sri Lankan Business Council and Japanese entrepreneurs who have a keen interest in establishing free trade zones in Sri Lanka.