Geographically situated directly below India, Sri Lanka was the first country in South Asia to liberalize its economy in 1977. Since that time Sri Lanka has actively courted foreign investment and predicated its economic development strategy on exports. Originally deemed as being on a fast track to becoming the next Singapore, Sri Lanka’s full economic potential was undermined by a protracted civil conflict, which began in 1983 and ended in May 2009. Despite all of its set backs Sri Lanka’s economy continued to grow during the conflict. And in the aftermath the economy is likely to grow even more as large parts of the north and the east of the country need to be rebuilt.  In addition to opportunities in the domestic market Sri Lanka may also serve foreign investors as a platform for expansion into the Indian market. Though not necessarily well known internationally, Sri Lanka has a Free Trade Agreement (FTA) in place with India, which allows the country to export a variety of goods and services tariff free. The FTA provides a ready made platform through, which foreign companies and investors can access the booming Indian market. Currently, the leading sectors of Sri Lanka’s economy include, apparel manufacturing, ports, telecommunications and financial services. Some of the key sectors in, which we see value include:

Tourism
(Hotels and resort development)
Infrastructure
(Roads, railways, bridges, ports)
Energy
(Power generation and distribution)
Renewable energy
(Wind, mini-hydro, solar and biomass)
Telecommunications
Software development
Back office processing and outsourcing

Area
65,610 sq km

Population:
21,128,773

Natural resources:
limestone, graphite,
mineral sands, gems,
phosphates, clay, hydropower